Yes — a Trustmark universal life policy can be sold in a life settlement when you and the policy qualify, and universal life is the most common policy type in the secondary market. The contract is your property. A buyer purchases it from you and becomes the owner and beneficiary; the insurance company’s permission is not needed, and the carrier is not a party to your decision.
Trustmark Insurance Company sits in Lake Forest, Illinois, within a mutual holding company structure, and began in 1913 as a fraternal association serving railway workers. Its modern business is voluntary and worksite benefits sold through employers — universal life offered at enrollment alongside disability and critical illness coverage — rather than large retail life policies sold one at a time.
That shapes the two things to check before anything else: whether your certificate is portable individual coverage or still group coverage, and whether the face amount clears the threshold buyers work with. Verify your portability terms and Trustmark’s current A.M. Best rating with the company as of 2026. Pine Lake Life Solutions is not affiliated with, endorsed by, or acting on behalf of Trustmark.
In This Article
- Portable, Ported, or Still Group?
- Face Amount: The Screen That Ends Most Inquiries
- Why Universal Life Gets Into Trouble
- Request the In-Force Illustration Both Ways
- How Buyers Price Universal Life
- Documents and the Free Review
- Timing, Escrow, and Your Right to Change Your Mind
- Options to Price Before You Sell
- Frequently Asked Questions
Portable, Ported, or Still Group?
Worksite universal life is often described as “portable,” which can mean different things depending on the product and the plan.
- Individual policy issued at the worksite. You are the owner from day one; leaving the employer just changes how you are billed. This version can be sold.
- Group certificate with a portability election. The master contract belongs to the employer or association. Portability lets you keep coverage after leaving, but the coverage may remain group in character.
- Group certificate with a conversion right. You exchange the coverage for an individual policy, usually within about 31 days of leaving.
Only an individual policy you own can be transferred to a buyer. Ask the service center to state in writing which of these describes your coverage today, and if a deadline applies, what date it falls on.
Face Amount: The Screen That Ends Most Inquiries
Worksite universal life is usually issued in modest amounts. Plenty of certificates sit in the $25,000 to $75,000 range, sometimes structured as a benefit that steps down at retirement age.
Buyers generally look for $100,000 or more of death benefit, because the fixed costs of a transaction — medical records, life-expectancy estimates, legal work, escrow, ongoing premium servicing — do not shrink with the policy. Under that threshold, offers are rare and the effort is usually wasted.
Check your certificate for one more thing: a benefit reduction schedule. Some worksite products reduce the death benefit at age 65 or 70. If your $100,000 policy becomes a $50,000 policy at 70, that reduction is part of what a buyer is pricing. See what policies qualify for a life settlement.
Why Universal Life Gets Into Trouble
Universal life keeps a running account: premiums go in, interest is credited, and monthly charges for cost of insurance and expenses come out. When the account cannot cover the deductions, the policy lapses — even if you paid every bill you were sent.
Policies written in the 1980s through the early 2000s were commonly illustrated at credited rates of 8% to 12%, matching the interest environment of the time. Rates fell for decades, and many of those contracts have long been crediting at or near their guaranteed minimum, often 3% or 4%. Meanwhile the cost of insurance climbs with the insured’s age, fastest in the 70s and 80s.
The result is the letter that brings people to this page: your premium must increase substantially to keep the policy in force. That letter is not the end of the story — it is often the start of a settlement conversation, because a policy heading toward lapse still has a death benefit a buyer may want.
Request the In-Force Illustration Both Ways
Ask the servicing center for an in-force illustration at current assumptions and at guaranteed assumptions. The first shows what happens if today’s credited rate and current charges continue; the second shows the worst case the contract permits — minimum crediting, maximum charges.
Then find one number in each version: the year the policy lapses. The distance between those years is the risk you are carrying. Also request the annual premium required to carry the policy to age 95 or 100, the current account value and net surrender value, and any loan balance.
Put the request in writing so you have a dated record. Our page on what an in-force illustration is gives wording you can copy.
| What to Ask Trustmark | Why It Decides the Outcome |
|---|---|
| Is my coverage an individual policy or a group certificate? | Only an individual policy can be transferred to a buyer |
| If group, what is the portability or conversion deadline? | Group windows are commonly about 31 days |
| Does the death benefit reduce at a future age? | A step-down changes what a buyer is purchasing |
| What is the projected lapse year at current and guaranteed assumptions? | Shows how much risk the policy carries |
| What premium carries the policy to age 95 or 100? | The buyer inherits this obligation |
| What is the current net surrender value and loan balance? | Sets your comparison point and your net proceeds |
How Buyers Price Universal Life
Two inputs dominate: the estimated life expectancy of the insured, drawn from medical records under a HIPAA authorization you sign, and the premium required to keep the policy in force. Universal life’s flexible funding helps here — a buyer can often carry the policy on less than the originally scheduled premium.
What improves an offer: a larger death benefit, meaningful health impairments, low required premium relative to face, no outstanding loan, and a contract past its contestability period. What hurts: small face amount, steep required premium, a benefit reduction at a future age, or a loan that has been compounding for years.
Federal research on the market (GAO-10-775) found sellers typically received roughly 10% to 35% of the death benefit, several times what surrendering paid on average. Those are market-wide figures. Our page on how much you can get for a policy explains the variables.
Documents and the Free Review
Begin with the policy cover page — insurer, policy or certificate number, face amount, issue date. One page is enough for a free, no-obligation review that tells you quickly whether the policy is realistic.
If it is, add the most recent annual statement, the in-force illustration described above, written confirmation of whether the coverage is individual or group, and a HIPAA authorization. Keep any medical release specific and revocable.
Timing, Escrow, and Your Right to Change Your Mind
Plan on 60 to 120 days from application to funded payment. Medical record retrieval is usually the slow step; a busy worksite service center can be a second one.
When offers come in, get everything in writing, and if a broker is involved ask for both the gross number and the net-of-commission figure. Contracts should close through an independent escrow agent — never transfer ownership against a promise of later payment. After the carrier records the change of owner and beneficiary, escrow releases your funds, and most states provide a rescission window during which you can unwind the sale. See how the policy options work, including structures that let you keep part of the death benefit.
Options to Price Before You Sell
Ask the carrier three questions first. Can the face amount be reduced so the required premium drops to something the account can sustain? Is there an accelerated death benefit or terminal illness rider already in the contract? What would it cost to fund the policy to a target age rather than to 100?
Any of those may solve the problem without a sale. And if the coverage is small, keeping it is often simply the better answer — worksite universal life was designed to be affordable coverage, not an asset to liquidate.
This page is education, not legal, tax, or investment advice; involve your own tax professional and attorney before acting. If you hold other Trustmark coverage, see our guides to selling a Trustmark whole life policy or a Trustmark term policy. For a free review, send the policy cover page or call (305) 209-7183.
Frequently Asked Questions
Does Trustmark have to approve the sale?
No. Once you own an individual policy, it is your property and a buyer purchases the contract from you. The carrier’s only role is recording the new owner and beneficiary after closing. Pine Lake is not affiliated with, endorsed by, or acting on behalf of Trustmark.
My coverage came through work. Can it be sold?
Only if it is now an individual policy you own. Some worksite universal life is issued as an individual policy from the start; other coverage remains a group certificate that must be converted or ported. Ask the service center to confirm in writing which applies to you and whether a deadline is running.
Can I sell a policy that is about to lapse?
Often yes. A policy heading toward lapse is a common settlement candidate, because a buyer can fund the premium and keep the death benefit alive. The critical thing is not to let it lapse while you decide — a lapsed policy has nothing left to sell.
Why did my premium suddenly have to increase?
Universal life credits interest and deducts monthly charges for the cost of insurance, which rises with age. Many older policies were illustrated at much higher interest rates than they now credit, so the account no longer covers the deductions. Request an in-force illustration to see the projected lapse year.
My face amount is $50,000. Is a settlement possible?
Very unlikely. The fixed costs of a transaction are similar regardless of size, so buyers generally look for $100,000 or more of death benefit. For smaller worksite coverage, compare keeping the policy, reducing the face amount, or surrendering, and talk with your own advisors.
What exactly should I request from the carrier?
An in-force illustration at both current and guaranteed assumptions, the premium required to carry the policy to age 95 or 100, the current account value and net surrender value, any loan balance, and confirmation of whether the death benefit reduces at a future age. Ask in writing.
How much could I receive?
Federal research on the market (GAO-10-775) found sellers typically received roughly 10% to 35% of the death benefit, on average several times cash surrender value. That is a market-wide range rather than a quote. Age, health, face amount, and required premium determine where a specific policy lands.
How long does it take and how am I paid?
Generally 60 to 120 days from application to funded payment. Funds should be held by an independent escrow agent and released only after the insurer confirms the ownership transfer, and most states then give you a rescission window during which you can unwind the sale.
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Related Reading
- What Policies Qualify For Life Settlement
- What Is An In Force Illustration
- How Much Can I Get For My Life Insurance Policy
- How It Works Policy Options
- Sell My Trustmark Whole Life Policy
- Sell My Trustmark Term Policy
Pine Lake Life Solutions does not purchase life insurance policies and does not provide legal, tax, or investment advice. Information provided is for educational purposes only. Eligibility for any option, including life settlements, is not guaranteed and depends on individual circumstances, policy terms, underwriting, and market conditions. Consult independent legal, tax, or financial professionals before making decisions regarding a life insurance policy.