SOURCE: AAA Settlements

October 26, 2007 10:02 ET

AAA Settlements Report Shows Life Settlements Had Robust Growth in 2006; Suggests Recent Research Estimate That Industry Has Grown Only by 600M Is Inaccurate

NEW YORK, NY--(Marketwire - October 26, 2007) - A new report released by AAA Settlements Inc. shows that the life settlements market has seen tremendous year over year growth from 2005 to 2006.

While the study only examined 9 companies and represents only a portion of the market, it gives a solid indication of the continued growth of the industry.

The 9 companies' combined face amount purchased rose from 1.18 billion purchased in 2005 to 2.42 billion purchased in 2006. This represents an increase of over 100% year over year increase.

The study is based on annual reports that were filled with state insurance departments and with the SEC. "We tried to get as much solid data as available," said Al Weinberger, co founder of AAA Settlements. After months of work we were able to compare year over year results from 9 life settlements providers. While Coventry, widely perceived as the largest settlements provider in 2006, also files annual reports with the state of Florida, the Florida department was unable to release information on that company. A court injunction was issued on April 20 2007, in response to Coventry's claim of 'Trade secrets.'"

Other major providers however where included. Peachtree life settlements has seen their face amount acquisition rising from approximately 337 million in '05 to 834 million in '06, an increase of about a half billion of face purchased. Life Settlement Solutions, Life Equity, Magna, and Q capital saw growth ranging from around 100% to around 400% in face of policies purchased in the studied two years.

Maple life, CMG, and Life partners also saw solid growth, ranging from 12% to around 75%, while Living Benefits was the only company that saw a decline in purchased policies from approximately 66 million in '05 to 38 million in '06.

Weinberger says he was surprised to see a recent study quoted by the "financial times" estimating that total face amount of purchases for the whole life settlement market had risen only by 600 million. "I think that our numbers prove much greater growth in this period," he says

About AAA Settlements

AAA Settlements is an emerging Life Settlements Broker Company that works with financial professionals and life insurance agents, AAA Settlements is a member of the Life Insurance Settlements Association. AAA Settlement Corp. is not affiliated with American Automobile Association or AAA Life Insurance Co.

For questions on the AAA Settlements study, or to purchase a copy of the study call 212.710.5608 or by e-mail sales@aaasettlements.com

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