Members of the District of Columbia are considering a bill that would regulate the secondary life insurance market.
The bill, which would create the Viatical Settlements Licensing Act of 2007, would regulate individuals and organizations involved with offering, soliciting, negotiating, procuring, or implementing viatical and life settlement arrangements.
The D.C. City Council has adjourned for the summer, but the Life Insurance Settlement Association, Orlando, is praising the bill and saying it hopes the council takes a serious look at the bill this fall.
“This bill is reflective of the district’s growing reputation as one of the nation’s leading financial services regulators,” says LISA Executive Director Doug Head.
The bill would permit an individual who holds a life producer license or has held a resident license in his or her home state for at least 1 year to operate as a viatical settlement broker without obtaining an additional license.
The bill also would permit an individual certified as an attorney, certified public accountant or financial planner to negotiate a viatical agreement on behalf of a viator without obtaining a license.