Retained Death Benefit (RDB) | Abacus Life Settlements
Life Settlement Options  ·  Option 02 Protect Your Loved Ones:

Retained Death
Benefit (RDB)

Eliminate your premium payments entirely while keeping a guaranteed percentage of your policy's death benefit for your beneficiaries. No cash now — but your loved ones stay protected.

The Basics

What Is a Retained Death Benefit?

A Retained Death Benefit (RDB) is a life settlement option that allows the policy owner to retain a guaranteed percentage of their life insurance policy's death benefit — instead of receiving a cash-only lump sum.

When an RDB offer is accepted, the buyer takes over 100% of all future premium payments. You pay nothing more. In exchange, you give up a portion of the death benefit — but your beneficiaries are guaranteed to receive the remaining percentage when the insured passes.

This option is ideal for policyholders who want to eliminate the financial burden of premiums while still leaving a meaningful legacy for their family or loved ones.

Who is it best for?

The RDB is ideal for policyholders who:

  • Want to stop paying premiums but still protect beneficiaries
  • Do not have an immediate need for cash
  • Have a primary goal of leaving a legacy or inheritance
  • Are facing a life change — illness, retirement, or reduced income
  • Would otherwise surrender or let a policy lapse

Key Facts

Cash Payment
None. The RDB is not a cash settlement — the benefit is eliminating premiums and protecting beneficiaries.
Buyer Assumes
All future premium payments from the date of settlement forward.
Beneficiaries Receive
A guaranteed percentage of the death benefit — paid tax-free upon the insured's passing.
Your Obligations
None. No further payments, claims, or responsibilities once the settlement closes.
The Process

How a Retained Death Benefit Works

The RDB process follows the same straightforward steps as a traditional settlement — with one key difference at the end.

01

Submit Your Policy Information

Use our free online calculator or call us. We collect details about your policy, health, and goals — no commitment required.

02

Receive Your RDB Offer

Abacus delivers a no-obligation offer within 24–48 hours, showing the guaranteed percentage your beneficiaries would retain.

03

Review & Accept

Review the offer with your family or advisor. If you accept, we handle all paperwork and coordinate with your insurer.

04

Premiums Stop. Legacy Secured.

Once the transfer is complete, you pay nothing more. Your beneficiaries' guaranteed payout is locked in for the future.

Real Stories

RDB in Action

Terri was suddenly faced with the unthinkable: First, she received a diagnosis of stage IV cancer. Shortly after, Terri's husband lost his job after three decades of dedicated service. They needed financial options to face these devastating life changes, and they needed them quickly.

While researching online, Terri learned that selling her life insurance policy could be an option for relief and decided to work with us to help her through this extremely difficult time.

"Abacus had a solid reputation without any negative consumer ratings," said Terri.

We guided Terri through the process, walking her through the numbers, and the numbers behind the numbers, so she understood all available options and could make the best decision possible for her family.

"Abacus kept me informed throughout the entire process with constant updates every step of the way," Terri said. "Because of their professionalism and knowledge, I found the experience to be less stressful than I had originally feared."

By working with us to sell her life insurance policy, Terri and her husband were able to pay off the remaining mortgage left on their home, giving Terri the financial freedom to concentrate on her cancer treatment and spend more time with her family.

Retained Death Benefit Case Study

Terri, Age 64

$10,000,000 Policy
Retained Benefit
$3,000,000
"I would recommend Abacus to anyone who is coping with a life-changing event like cancer and needs to make tough financial decisions to improve their quality of life. They treated me like a real person and I truly felt Abacus had my best interests in mind."

Terri's settlement eliminated her premium burden entirely while keeping $3,000,000 guaranteed for her family — giving her the freedom to focus on her health and her loved ones.

What's Included

Everything You Get with an RDB Settlement

A Retained Death Benefit settlement with Abacus is a clean, complete transaction that protects what matters most.

  • Guaranteed death benefit percentage for your beneficiaries — locked in at settlement.
  • All future premiums paid by the buyer — zero ongoing financial obligation for you.
  • Death benefit paid tax-free to named beneficiaries as a lump sum.
  • No obligation to accept — receive your offer and take as much time as you need to decide.
  • HIPAA-certified privacy — your health and financial information is always protected.
  • Initial offer within 24–48 hours for qualifying policies.
  • Licensed in 49 states — fully regulated in all states except Alaska.

Abacus by the Numbers

As a publicly traded direct buyer (NYSE: ABX), Abacus Life is one of the most trusted names in life settlements.

$1.2B+
Paid to policyholders since 2017
24–48 hrs
Initial offer turnaround for qualifying policies
A+
Better Business Bureau rating

Unsure Which Settlement Type Is Right for You?

Compare all three options side by side — Traditional, Retained Death Benefit, and Hybrid.

Compare All Options
Your Choices

RDB vs. Other Settlement Options

The RDB isn't right for everyone. Here's a quick comparison to help you choose.

Option 01

Traditional

Sell your full policy for maximum cash now. No death benefit is preserved. Best when you need liquidity and no longer need to provide for beneficiaries.

You Are Here Option 02

Retained Death Benefit

No cash payment, but premiums are eliminated and beneficiaries keep a guaranteed percentage of the death benefit.

Option 03

Hybrid

A combination — receive a partial cash payment now, and your beneficiaries retain a guaranteed portion of the death benefit.

Protect Your Family Without the Premium Burden

Find out if a Retained Death Benefit is right for you — free, no obligation.