May 16, 2008, 6:38 am

Endowment Express Review

by: The Financial Blogger    Category: Reviews
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Endowment Express Review

When I received the request to do this review, I was not even familiar with the word “endowment”. Then again, some financial term that I learned in French are not very similar to their English version. So I started this review with a specific goal in mind: what is an endowment anyway?.

I looked up the term on Wikipedia, and here is the definition:

An endowment policy is a life assurance contract designed to pay a lump sum after a specified term (on its ‘maturity’) or on earlier death. Typical maturities are ten, fifteen or twenty years up to a certain age limit. Some policies also pay out in the case of critical illness.”

What is Endowment Express?

So Endowment Express is a company that finds interested buyers to buyback your life insurance policy. Buyers will offer a price based on the value of your endowment (comparable to a cash surrender value). They are likely willing to offer more than its actual value. This sounds like a real deal, but it isn’t.

The real reason buyers are willing to pay such high price is because the policy will continue to grow overtime. Therefore, their investment will pay off in the future. On the other side, if you need the money right away, you probably don’t care to know what the buyer does with your policy!

What makes you want to visit this site?

This is a transactional website where you can apply to get a quote on how much your policy can be sold at. Endowment Express uses the TEP (Traded Endowment Policies) market to sell your endowment at the highest price.

The format and design are very convenient and easy to use. Filling up a form would take less than 2 minutes.

Are the resources really helpful?

I guess that if you need money right now, selling your endowment could be an option. Since I only have term insurance, I couldn’t try the full service and get a real quote from and advisors. However, the site claims to have experiences advisor that will be able to answer your questions about the process.

Can improvements be done?

The FAQ’s section is there but needs improvement. There are a few lines about the process and why you would need to sell your policy (maybe because you need money?). However, I think that a definition section could be a great help for clients.

I think that key information/advice such as the one found on Wikipedia should also be included:

“When a policy is sold, all beneficial rights on the policy are transferred to the new owner. The new owner takes on responsibility for future premium payments and collects the maturity value when the policy matures or the death benefit when the original life assured dies. Policyholders who sell their policies, no longer benefit from the life cover and should consider whether to take out alternative cover.”

Then, a few definitions about insurance terms and processes would be greatly appreciated. The insurance world is not really clear for people that don’t work in this field. This would surely show professionalism and could lead to good advices.

Since they offer clients to sell their endowments, they might explore the avenue of selling cheap term insurance at the same time. The process could be the following:

Step#1: Selling your endowment policy

Step#2: Getting the money

Step#3: Use a part of this money to buy a term life insurance.

Ways to make money are endless 😉

Disclaimer: This was an honest but paid review. We did it because we think it is a great financial resource on the Web and our opinion has not been biased. We are now offering to review your website for a highly competitive price. If you wish The Financial Blogger to review your website, please feel free to contact us at thefinancialblogger (at) gmail (dot) com or visit our advertise section.

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