The National Conference of Insurance Legislators may develop an entirely new model law for the secondary life insurance policy market.

State lawmakers who belong to the Life Insurance and Financial Planning Committee at NCOIL, Troy, N.Y., decided last week at the group’s summer meeting in Boston to replace a routine review of the current NCOIL Life Settlements Model Act with a more extensive review, NCOIL officials say.

NCOIL now plans to hold a special session in November, at NCOIL’s annual meeting in Napa Valley, Calif., to discuss the effects of investor-owned life insurance programs on the life settlements market.

A representative of the life settlement industry argued at the Boston meeting that investor-initiated deals represent only a small portion of the life settlement market, and that few members of the public have participated in the deals, according to NCOIL.

A representative from the American Council of Life Insurers, Washington, recommended that NCOIL consider replacing its current life settlements model with a new model better geared to today’s market, NCOIL says.