Lifeline Program CEO Warns Life Settlement Industry of Carpet Baggers

With interest in the life insurance settlement industry at an all time high, industry founder Wm. Scott Page today warned of a “carpet-bagger” mentality that could be troublesome for the industry. Page, president and CEO of www.thelifeline.com, says that an increasing number of operators are rushing into the industry and promising unrealistic and untenable returns.

“As the industry reaches a new level of acceptance among institutional investors, we are seeing a flood of companies looking for, and promising, a quick score,” said Page. “As an industry, we need to continue to be proponents of long-term, transparent investments; otherwise we are moving forward at our own peril.”

Life settlements are quickly gaining in popularity as an asset class among institutional investors. According to Page, investments correlated to the stock market have taken a major hit in the past few years, but life settlements are now an attractive emerging alternative investment option due to their non-correlated nature. High profile media coverage in The New York Times, The Wall Street Journal and The Economist has focused a tremendous amount of attention on the industry, particularly the prospects for securitization of portfolios of policies. While Page states that his company is seeing increased interest from mainstream funding sources, he also is fielding calls from a number of organizations with quick-strike and “borderline unscrupulous” aspirations.

“The opportunity exists for our industry to reach new heights and deliver incredible value to investors,” said Page. “But we need to police our industry so that we grow not just profitably, but properly.”

About The Lifeline Program (www.thelifeline.com)

The Lifeline Program is a life settlement provider based in Atlanta, Ga., and is a division of Wm. Page and Associates, Inc. Founded in 1989, The Lifeline Program offers life settlement portfolio aggregation services and alternative investment opportunities to financial institutions, fund managers and other investment entities. The company partners with insurance agencies and broker dealers to establish life settlement business lines and assists seniors with retirement planning options. For more information on life settlements, contact Stephen Terrell of The Lifeline Program at 770-724-7300 or visit www.thelifeline.com.