LD 1907
pg. 23
Page 22 of 38 An Act To Govern and Regulate Life Settlements Page 24 of 38
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LR 2724
Item 1

 
Sec. 11. 24-A MRSA §6808-A is enacted to read:

 
§6808-A.__Contact with insured; additional disclosures

 
1.__Contact with insured. The insured may be contacted by
either the settlement provider or its authorized representative
for the purpose of determining the insured's health status. This
contact is limited to once every 3 months if the insured has a
life expectancy of more than one year and no more than once per
month if the insured has a life expectancy of one year or less.

 
2.__Additional disclosures. A settlement provider shall
provide the viator with at least the following disclosures no
later than the date the settlement contract is signed by all
parties.__The disclosures must be conspicuously displayed in the
settlement contract or in a separate document signed by the
viator and the settlement provider or settlement producer and
must provide the following information:

 
A.__The affiliation, if any, between the settlement provider
and the issuer of the insurance policy to be acquired
pursuant to a settlement contract;

 
B.__The name, address and telephone number of the settlement
provider;

 
C.__If an insurance policy to be purchased has been issued
as a joint policy or involves family riders or any coverage
of a life other than the insured's under the policy to be
purchased, information regarding the possible loss of
coverage on the other lives under the policy and advice to
consult with the viator's insurance producer or the insurer
issuing the policy for advice on the proposed settlement;

 
D.__The dollar amount of the current death benefit payable
to the settlement provider under the policy or certificate.
If known, the settlement provider shall also disclose the
availability of any additional guaranteed insurance
benefits, the dollar amount of any accidental death and
dismemberment benefits under the policy or certificate and
the settlement provider's interest in those benefits; and

 
E.__The name, business address and telephone number of the
independent 3rd-party escrow agent and the fact that the
viator may inspect or receive copies of the relevant escrow
or trust agreements or documents.


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