Flat Fee vs. Broker Commission: Why Our Model Puts More Money in Your Pocket
Traditional brokers charge 10–30% of your settlement in commissions. Trust Life Settlements uses a transparent flat fee — so you keep more of what your policy is worth.
A Better Way to Sell Your Life Insurance Policy
When most people explore a life settlement, they assume working with a broker is the only option. Brokers typically charge a commission of 10–30% of your settlement proceeds — meaning the more your policy is worth, the more they take. At Trust Life Settlements, we do things differently.
We operate on a transparent flat fee model. You know exactly what you'll pay before you commit, and our compensation is the predetermined fixed dollar amount associated with the applicable settlement-offer tier rather than a percentage that continuously increases with every additional dollar of settlement proceeds. The result? You keep significantly more of your money.
How the Traditional Broker Model Works
In the traditional life settlement process, a broker acts as a middleman between you and institutional buyers. While brokers can be helpful in finding offers, their compensation creates a fundamental conflict of interest:
Brokers typically charge 10–30% of the gross settlement amount
On a $150,000 settlement, that's $15,000–$45,000 in fees
Some brokers also collect fees from the buyer side, creating dual agency concerns
Fee structures are often buried in complex contracts and not clearly disclosed upfront
This percentage-based model means you're paying a premium that scales with your policy's value — even though the work involved doesn't necessarily increase.
How Our Flat Fee Model Works
Trust Life Settlements charges a fixed, predetermined flat fee that is disclosed before you agree to proceed. The settlement amount determines which of Trust's five Flat-Fee tiers applies. Once the applicable tier is determined, the broker fee is the fixed dollar amount assigned to that tier — not a percentage of the settlement.
Here's what that means in practice:
Full transparency — You know your cost upfront, before any commitment
More money in your pocket — On larger settlements, the savings compared to a percentage-based broker can be tens of thousands of dollars
Aligned incentives — Our motivation is to get you the highest possible offer, because our fee is a predetermined dollar amount rather than a percentage that grows with the offer
No hidden charges — No closing fees, no administrative costs, no surprises
Real Numbers: Flat Fee vs. Broker Commission
Let's compare under both models. An $80,000 settlement falls in Tier 1 ($6,000 fee), while a $300,000 settlement falls in Tier 3 ($30,000 fee):
$80,000 settlement — Traditional broker (20% commission): You pay $16,000 in fees. You keep $64,000.
$80,000 settlement — Trust Life Settlements (Tier 1): You pay $6,000. You keep $74,000.
$300,000 settlement — Traditional broker (20% commission): You pay $60,000 in fees. You keep $240,000.
$300,000 settlement — Trust Life Settlements (Tier 3): You pay $30,000. You keep $270,000.
The difference can fund months of long-term care, pay off a mortgage, or simply provide greater financial security in retirement.
Why Transparency Matters
The life settlement industry has historically lacked pricing transparency. Many sellers don't realize how much they're paying in broker commissions until after the transaction closes. Some discover that common myths about the process — including the belief that all companies charge the same — cost them real money.
We believe seniors deserve to know exactly what they'll pay and exactly what they'll keep. It's that simple.
What You Still Get With a Flat Fee
Choosing a flat fee model doesn't mean sacrificing service. With Trust Life Settlements, you still receive:
A dedicated specialist (Michael) who guides you through every step of the process
Access to a competitive network of licensed institutional buyers
Full evaluation of your policy's market value
Clear explanation of all offers and their tax implications
Complete handling of paperwork, legal transfers, and closing logistics
Zero pressure to accept any offer — if the numbers don't work for you, you walk away at no cost
Who Benefits Most From Our Model?
Every policyholder benefits from lower fees, but the savings are especially significant for:
Policies with face values over $250,000
Policyholders who meet the strongest eligibility criteria and are likely to receive competitive offers
Seniors whose policies show multiple signs of high value
Anyone who values knowing their costs upfront before making decisions
Questions to Ask Any Settlement Company
Before choosing who to work with, ask these questions:
1. Is your fee a flat amount or a percentage of my settlement?
2. Are there any additional fees beyond your stated compensation?
3. Do you receive compensation from the buyer as well as from me?
4. Will I see all offers, or only the ones you select?
5. Can I walk away at any point without owing anything?
At Trust Life Settlements, the answers are: flat fee, no additional fees, no dual compensation, all offers shown, and yes — you can always walk away.
Ready to See the Difference?
Don't leave tens of thousands of dollars on the table with an outdated commission model. Get a free estimate of your policy's value, or call Michael directly for a transparent, no-obligation conversation about how our flat fee approach puts more money where it belongs — in your pocket.
New to life settlements? Start with our guide on what a life settlement is and how it works.
This content is for informational and educational purposes only and does not constitute financial, legal, or tax advice. Every life settlement transaction is unique. Consult a licensed professional for advice specific to your situation.
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