The Life Insurance Settlement Association is criticizing a recent industry group warning against “stranger-owned life insurance.”
The American Council of Life Insurers, Washington, and the National Association of Insurance and Financial Advisors, Falls Church, Va., issued the third in a series of “STOLI Alert” notices earlier this month.
The latest notice describes the groups’ position on STOLI and regulatory efforts to keep strangers from helping consumers buy life insurance mainly to create policies that can be sold through the life settlement market.
LISA, Orlando, Fla., says the latest STOLI notice is “highly misleading and full of errors.”
The life settlements subcommittee of the National Conference of Insurance Legislators, Troy, N.Y., was scheduled to meet today.
Given the timing of the NCOIL subcommittee meeting, “we all need to be accurate about information,” says LISA Executive Director Doug Head.
LISA has responded to the STOLI Alert by issuing its own notice, “Be Alert To STOLI Alert.”