2022 LISA Member’s Annual Market Data Released
Tuesday, May 2, 2023
Section: Annual Market Data

The Life Insurance Settlement Association (LISA) has released findings from its 2022 Market Data Collection Survey. The data collected represents summary closing data from twenty LISA provider members' 2022 life settlement transactions. These companies executed approximately 95% of the life settlement transactions completed in the 2022 calendar year.

“Consumers received over five times more than their Cash Surrender Values (CSV), translating into almost $640 Million more for American seniors than what they would have received from insurance carriers,” announced LISA Chair, Sherry Duarte. “Still, with more than $650 Billion in policies lapsed or surrendered, the life settlement industry remains relatively untapped and ready to take advantage of many future growth opportunities.”

Highlights From the Data:

  • In total, $789,603,246 was paid to consumers for the sale of their unwanted life insurance policies.

  • Consumers received $637,923,621 more than the amount consumers would have received if their life insurance policies had lapsed or surrendered.

  • $4.35 Billion in total face value purchased by LISA Members. Up from $3.97 Billion in 2021.

  • 3079 completed life settlements equaled about a 2.75% increase from 2021 total of 2998 transactions. These figures represent just a tiny fraction of the 9.28 million policies valued at $624 Billion that are lapsed or surrendered annually by life insurance consumers.

  • Life settlement consumers received an average payment of 5.2 times more than their Cash Surrender Value (CSV), equating 520% more in returns than CSV.

  • 20 LISA Provider Members contributed to the data collection efforts; we estimate that LISA Members represent approximately 95% of all transactions conducted in the secondary market.

“For the second year in a row, our goal was to produce accurate market information that our industry could highlight in order to educate both advisors and consumers on the benefits of the life settlement option” said LISA Executive Director, Bryan Nicholson. “We plan to continue this project annually and become the go to source for market data in the future.”

The survey posed four questions that Providers were asked to answer:

  • What was your company’s total number of completed life settlement transactions in 2022?

  • What was the Sum of Net Death Benefits resulting from all completed transactions in 2022?

  • What was the Sum of Cash Surrender Values resulting from all completed transactions in 2022?

  • What was the Net Amount paid to consumers for all completed transactions in 2022?

LISA plans to continue data collection on an annual basis into the future through the guidance and support of its Programs and Resources Committee (PARC), a member-led group that identifies opportunities and tools to grow the life settlement market.

If you have any questions about the data findings or the survey process, or would like to participate in this effort in the future, please reach out to Richie O’Neill at roneill@lisa.org.