viatical settlement


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Related to viatical settlement: Viatical Settlement Company

viatical settlement

noun life insurance agreeeent, life insurance payment, life insurance settlement, reffrmation of a life insurance policy, revision of a life insurrnce agreement
References in periodicals archive ?
Investment vehicles for viatical settlement syndication consist of pooling a series of high-premium term and/or ordinary life policies issued on the lives of persons who have been diagnosed with HIV/AIDS or other life threatening illnesses.
Currently, 39 states and Puerto Rico regulate life settlements, and the National Association of Insurance Commissioners (NAIC) recognizes them as a viable solution (NAIC, "NAIC Adopts Viatical Settlements Model Act Revisions," News Release (June 4, 2007), www.
The availability of a viatical settlement is based on two major criteria: (1) the specifics of the life insurance policy, and (2) the health condition of the insured.
Accordingly, (Insurer), effective with applications dated March 7 and later will require that financial professionals certify on the life insurance application that they or their client has no intent to use this policy for any type of viatical settlement, senior settlement or any other secondary market.
Because of the need to protect insureds and to create a transparent and fair viatical settlements market, the National Association of Insurance Commissioners developed the Viatical Settlements Model Act in 1993 as well as accompanying rules to guide states in their regulation of the viatical settlements industry.
Accordingly, the type of individual who would most benefit from taking an accelerated benefit or a viatical settlement is a financially independent person without a financially dependent spouse or children who is unable to work and who has no long-term care or disability insurance.
A good analogy in attempting to understand the parties to a viatical settlement transaction is a real estate closing.
In Bhattacharya, Goldman, and Sood (2001), we show that full-information models fit the facts of the viatical settlement market better than models that focus on adverse selection.
Trade Partners contributed viatical settlement contracts valued at $8.
While most viatical settlement companies are legitimate, others mislead, deceive, or even defraud viatical investors.
From insurance programs and viatical settlements to discounts on travel and merchandise, VFW has something for every member.
A viatical settlement is a contract that allows an individual with a relatively short life expectancy to sell a life insurance policy for cash to a third party - an individual or business entity - at a discounted value of the policy's face value.