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Travel expenses settlements

The concept of per diem works on the premise that a person with a terminal illness can sell your life insurance policy for less than face value. The person can obtain cash to both lump sum and the buyer can reap the benefits of the policy after the death of the original policy.

But then the rare life time follows a logical path and that the element of risk is there, if the holder of the original policy of the life expectancy with the passage of time. It is after all, a commitment to death. If the buyer dies earlier than expected, pick up greater profitability and, on the other hand, if the person lives longer than expected, it will pick up one minor benefit. To this is added the fact that also can lose their main investment, if you live long enough and you have to pay additional premiums.

Travel insurance pending issue for tourists

Given the above scenario, the question arises why opt for the travel expenses. The advantage of viator (seller) is that he can get lump-sum agreements to alleviate the financial strains of his last days. The profits of the purchaser, and here there is no guarantee to become the beneficiary of the policy. The investor can buy the policy at a reduced rate of the real nominal value, which can sometimes be 50% of the actual value. Then it becomes your responsibility to pay the remaining premiums. After the disappearance of the Viator is the buyer can collect the benefits. If the person survives beyond the expected, the investor may lose investment.

There is an element of risk involved for parties. Viator may sell the policy to a very low rate. The investor can lose if the Viator survives the expected life expectancy. The investor must also face the risk of the insurance company on bankruptcy. There are also possibilities that the insured had committed some kind of fraud during the filling of the application for life insuranceand so the insurance company may not be able to pay benefits.