Idaho Life Settlement
Idaho Life Settlements
The Idaho life settlement Act states that any persons involved in the business of life settlements, including life settlement brokers and life insurance agents, must be specifically and fully licensed for that state. The other significant change made by this act is the prohibition of activity in any type of STOLI transaction, or Stranger Owned Life Insurance.
Full disclosure of fees and commissions must be kept on record and officially filed by your broker to be presented or examined at any time. Brokers must provide policy-specific and personal information privacy disclosures to the policy holder before the transaction through its completion.
A viatical settlement is when a policy holder with a chronic illness sells his/her life insurance policy to a third party investor. A state of Idaho viatical settlement acts also require that all brokers, agents and funders must be licensed to conduct transactions in the state of Idaho. Idaho state viatical settlement laws prohibits STOLI deals involving viatical statements.
An Idaho life settlement works well with whole life, universal life or convertible term policies. An Idaho viatical settlement may provide necessary funds to help with living and medical costs to a terminally ill policy holder. Prior to offers and negotiation of a viatical settlement, the most important steps are a life expectancy calculation of the policy holder and an evaluation of the policy.