I am a widowed, retired federal employee, and not in very good health. I have for years had a life policy for about $286,000 through the Office of Personnel Management (OPM) carried by MetLife. I only have one beneficiary which is my only child (25 years of age). There is no cash value before my death. This not a term policy.
Question: Is there a way to assign a portion of this policy for cash? If so, what could I expect to be offered for an assignment of $50,000? Just an example to get an idea how this might work.
A beneficiary of a life insurance policy must have an insurable interest to the insured person - this includes persons, businesses, and other types of organizations.
What is the reason for wanting to assign $50,000 of the $286,000 coverage amount to cash and not to your son or another person/entity?
There is no way to assign a portion of your benefit based on what you have provided however you might qualify for a life settlement. Life Settlements is basically selling your policy to get some cash. What happens if you qualify, is the owner and beneficiary would change. Upon death, the benefit would go to the new beneficiary/owner.
I hope this helps. If you want more information, please reach out to me.