Title 27, INSURANCE

Sec. 13. The department may not issue a license to an applicant who is not an Indiana resident unless the applicant does either of the following: (1) Files and maintains with the department a written designation of an agent for service of process. (2) Files with the department th…

Sec. 14. A license issued under this chapter authorizes all officers, members, and employees of the license holder designated under section 10(b) of this chapter to act as viatical settlement providers under the license. As added by P.L.130-1994, SEC.47 and P.L.116-1994, SEC.70. …

Sec. 15. (a) A license issued or renewed under this chapter expires on July 1 after its issuance or renewal. (b) A viatical settlement provider may renew a license by: (1) applying for renewal on forms prescribed by the department; and (2) paying the renewal fee. (c) The departme…

Sec. 16. The department may at any time require a viatical settlement provider or an applicant for a license to disclose fully the identity of all of the viatical settlement provider's or applicant's officers, employees, partners, and stockholders. As added by P.L.130-1994, SEC.4…

Sec. 17. (a) A viatical settlement provider shall file with the department an annual report containing information prescribed in rules adopted by the department under IC 4-22-2. (b) The rules adopted by the department under subsection (a) shall set the date by which annual report…

Sec. 18. (a) When the department reasonably considers it necessary for the protection of the public, the department may examine the business and other affairs of a viatical settlement provider or an applicant. (b) The department may order a viatical settlement provider or an appl…

Sec. 19. After a hearing under IC 4-21.5, the department may suspend, revoke, or refuse to renew a viatical settlement provider's license, or impose a civil penalty, or both, if the department finds any of the following: (1) There was a misrepresentation in the application for th…

Sec. 2. As used in this chapter, "department" refers to the department of insurance. As added by P.L.130-1994, SEC.47 and P.L.116-1994, SEC.70.

Sec. 20.1. (a) A person shall not issue, solicit, market, or otherwise promote the purchase of a life insurance policy in connection with stranger originated life insurance. (b) A violation of this section is an unfair and deceptive act or practice in the business of insurance un…

Sec. 21. (a) A viatical settlement contract must establish the terms under which the viatical settlement provider will pay value, in return for the viator's assignment, bequest, devise, sale, or transfer of the death benefit, certificate, or ownership of the insurance policy to t…

Sec. 22. (a) A person may not use a viatical settlement contract form or a disclosure form in Indiana unless the contract form or disclosure form has been filed with and approved by the department. (b) A viatical settlement contract form or disclosure form filed with the departme…

Sec. 23. (a) A viatical settlement provider or viatical settlement broker shall, not later than the date of application, provide to a viator a brochure approved by the commissioner and describing the viatical settlement process. If a brochure describes only a viatical settlement …

Sec. 24. A viatical settlement provider shall obtain the following before entering into a viatical settlement contract: (1) If the viator is the insured, a written statement from a licensed attending physician that the insured is of sound mind and under no constraint or undue inf…

Sec. 24.2. (a) Immediately upon a viatical settlement provider's receipt of a signed viatical settlement contract, the viatical settlement provider shall pay the proceeds of the viatical settlement to a trust or escrow account in a state or federally chartered financial instituti…

Sec. 24.7. Except as otherwise provided by law, a person with actual knowledge of a viator's identity may not disclose that identity to another person unless the disclosure is: (1) necessary to effect a viatical settlement contract and the viator has provided written consent to t…

Sec. 24.8. IC 16-39 applies to the release of an insured's medical records under this chapter. As added by P.L.32-1998, SEC.29.

Sec. 24.9. (a) The viatical settlement provider or viatical settlement broker may contact the insured for the purpose of determining the health status of the insured not more than: (1) one (1) time every three (3) months for an insured with a life expectancy of more than one (1) …

Sec. 25. The department may adopt rules under IC 4-22-2 to establish standards for evaluating the reasonableness of payments under viatical settlement contracts, including regulation of discount rates used to determine the amount paid in exchange for an assignment, a bequest, a d…

Sec. 26. The department may adopt rules under IC 4-22-2 that the department considers necessary to implement this chapter. As added by P.L.130-1994, SEC.47 and P.L.116-1994, SEC.70.

Sec. 3. As used in this chapter, "insured" refers to an individual whose life is the subject of insurance under a life insurance policy or contract. As added by P.L.130-1994, SEC.47 and P.L.116-1994, SEC.70. Amended by P.L.32-1998, SEC.2; P.L.223-2005, SEC.4.

Sec. 4.3. As used in this chapter, "viatical settlement agent" means a person that solicits, offers, or attempts to negotiate a viatical settlement contract with a viator. As added by P.L.32-1998, SEC.3.

Sec. 4.5. As used in this chapter, "viatical settlement broker" means a person that represents a viator and for a fee, commission, or other valuable consideration, solicits, offers, or attempts to negotiate viatical settlements between a viator and one (1) or more viatical settle…

Sec. 5. (a) As used in this chapter, "viatical settlement provider" means a person, other than a viator, that: (1) enters into a viatical settlement contract with a viator; or (2) obtains financing for the purchase, acquisition, transfer, or other assignment of one (1) or more vi…

Sec. 6. As used in this chapter, "viatical settlement contract" means an agreement for the purchase, sale, assignment, transfer, devise, or bequest of a portion of the death benefit or ownership of a life insurance policy or contract for consideration that is less than the expect…

Sec. 6.5. As used in this chapter, "viaticated policy" means a life insurance policy or certificate that has been acquired by a viatical settlement provider under a viatical settlement contract. As added by P.L.32-1998, SEC.7.

Sec. 7. As used in this chapter, "person" means an individual, an association, a corporation, a limited liability corporation, an estate, a partnership, a trust, or any other business or legal entity. As added by P.L.130-1994, SEC.47 and P.L.116-1994, SEC.70. Amended by P.L.32-19…

Sec. 7.8. (a) As used in this chapter, "stranger originated life insurance" means a practice or plan to initiate a life insurance policy for the benefit of a third party investor who, at the time the life insurance policy is originated, has no insurable interest in the insured. (…

Sec. 8. As used in this chapter, "viator" refers to the owner of a life insurance policy or a certificate holder under a group policy that insures the life of an insured who enters or seeks to enter into a viatical settlement contract. As added by P.L.130-1994, SEC.47 and P.L.116…

Sec. 8.5. The following must be licensed as an insurance producer with a life qualification under IC 27-1-15.6-7: (1) A viatical settlement broker. (2) A person who solicits, offers, or attempts to negotiate a viatical settlement contract with a viator. As added by P.L.32-1998, S…

Sec. 8.6. The following are exempt from the licensing requirement under IC 27-8-19.8-8.5: (1) An accountant, an attorney, or a financial planner retained to represent the viator, and whose compensation is paid directly by or at the direction of the viator. (2) A regularly salarie…

Sec. 8.7. A viatical settlement broker: (1) represents only the viator; and (2) owes a fiduciary duty to the viator to act according to the viator's instructions and in the best interest of the viator; regardless of the manner in which the viatical settlement broker is compensate…

Sec. 9. After December 31, 1998, a person may not act as a viatical settlement provider unless the person holds an unexpired license issued under this chapter. As added by P.L.130-1994, SEC.47 and P.L.116-1994, SEC.70. Amended by P.L.32-1998, SEC.13.

Sec. 9.2. An insurance producer that: (1) is licensed under IC 27-1-15.6; and (2) sells a life insurance policy or contract that, less than two (2) years after the insurance producer sells the policy or contract, is the subject of a viatical settlement contract; shall not accept …