Many structured settlements have two parts: a guaranteed period that pays no matter what, and a life-contingent period where payments continue only while you are living. Sellers are often told the life-contingent portion cannot be sold. That is wrong.
Life-contingent payments can be sold - they simply price differently and involve one extra step. This page explains what changes, what stays the same, and what a realistic offer looks like.
What Are Life-Contingent Payments?
A life-contingent payment is one the insurance company owes only while the measuring life - usually you - is alive. Settlements are commonly structured as a guaranteed period (for example, twenty years certain) followed by life-contingent payments that continue for as long as you live afterward.
Your benefits letter identifies which payments are which. Getting that document early matters more here than in any other sale, because the split between guaranteed and life-contingent portions drives everything about pricing.
Can You Sell Life-Contingent Payments?
Yes. Our funding partner, Genex Capital, purchases life-contingent payment streams, and the sale runs through the same court approval process as any other structured settlement transfer.
Not every buyer in the market handles these deals - some quote only the guaranteed portion and quietly ignore the rest. If a company tells you the life-contingent part is worthless or unsellable, you are hearing about the limits of their program, not the limits of the market.
Why Life-Contingent Payments Price Differently
When a buyer purchases payments that stop at death, the buyer takes on mortality risk. The standard solution is life insurance placed on the measuring life as part of the transaction, so the buyer is protected if payments end early.
That insurance has a cost, and it comes out of the economics of the deal - which is why a life-contingent dollar prices below a guaranteed dollar arriving on the same date. Legitimate buyers disclose these costs before you sign; our Guaranty's no-surprise net price applies here exactly as it does everywhere else.
The Underwriting Step
Expect a short health questionnaire and, in some cases, authorization to review medical records so the life insurance can be placed. This is ordinary insurance underwriting, not a judgment on you, and it is the one step a guaranteed-payment sale does not have.
Underwriting adds time to the quote stage - often a few weeks depending on how quickly records arrive. The court process that follows is unchanged: petition, waiting period, hearing, and the judge's best-interest review.
What Affects a Life-Contingent Offer
Three factors dominate: your age, your health profile, and the size and duration of the payment stream. Together they set the insurance cost and the effective discount, on top of the same present-value math that prices every settlement sale.
Because these inputs are personal, life-contingent quotes vary between sellers far more than guaranteed-payment quotes do. Comparing a written offer against your own alternatives matters even more here.
Guaranteed, Life-Contingent, or Both: Structuring the Sale
You can sell the guaranteed portion only, the life-contingent portion only, or a combination - and partial sales work within each. A common structure sells guaranteed payments for the bulk of the lump sum and adds a life-contingent block to reach a target amount.
The right mix depends on what you need and what each portion prices at. A written quote that itemizes both portions side by side is the tool for that decision, and it is exactly what you should insist on.
Realistic Expectations and Next Steps
Plan for a somewhat longer timeline than a standard sale - underwriting first, then the usual 45 to 90 day court window - and for pricing that reflects the insurance cost. In exchange, you unlock value from payments many companies simply refuse to quote.
Start with a free written quote via the form on this page or at (877) 622-7503. For the educational deep-dive, see our life-contingent payments guide.
Why Choose Sell My Structured Settlement for Cash
Court-Approved Process
Every transfer is reviewed by a judge for your protection, and the filing work is handled for you.
No-Surprise Net Price
The quote you accept is the amount you receive. Transfer legal costs are covered, not deducted later.
Competitive Offers
Strong pricing on your payments, and a legitimate higher written offer will be matched before closing.
No Pressure, Ever
Straight answers and patient support. Take the time you need - the decision is always yours.
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Frequently Asked Questions
Can life-contingent payments really be sold?
Yes. They price differently because the buyer assumes mortality risk, and the transaction includes life insurance underwriting, but the court-approved sale works the same way as any other transfer.
Why is the offer on life-contingent payments lower?
Because payments stop at death, the buyer places life insurance on the measuring life, and that cost reduces the net economics. A life-contingent dollar is worth less to a buyer than a guaranteed dollar due on the same date.
Do I have to take a medical exam?
Expect at least a health questionnaire; some transactions require medical records or an exam depending on the insurance being placed. Requirements vary with the size of the deal.
Does the court process change for life-contingent sales?
No. The same Structured Settlement Protection Act petition, waiting period, and best-interest hearing apply. Underwriting simply happens before the filing.
Can I sell my guaranteed payments and keep the life-contingent ones?
Yes, and the reverse also works. The portions can be sold separately or together, in whole or in part - the structure should follow your need, not the buyer's preference.