Life Settlements have just gotten safer than ever. New legislation governing and regulating the industry is constantly being enacted and the changes are always to the client or prospects benefit. Life Settlements are a valuable financial tool and now they are safer than ever!
Last month, one of the newest in a progression of extremely important legislation was passed in New York concerning the activities of the industry’s Brokers. The act was made up of proscriptions that concern the privacy and protection of applicant’s medical and financial information. These new Regulations will ensure that any information give to a Broker or a Funder by prospective customers, will be completely confidential, private, and protected under these new legislative measures.
There have been other Insurance laws enacted in the past that have tried to address the issue of making this immensely profitable enterprise safer and more protective toward possible applicants. The beginning of the industry dealt mainly with Viatical Settlements, which focused on client’s with life threatening illness or terminal conditions. Since then however, Life Settlements have grown to benefit who may no longer need, want, or are able to afford current insurance policies, and instead of letting them lapse or taking a cash out amount, they may now receive a sizable lump sum amount for their policy. This allows insurance policies, which previously had little to no value for clients during their life, to be converted into liquid cash and can become a very valuable asset.
More legislation is coming to increase the possible benefit of a settlement for savvy senior investors, clients, and prospects. Many of the new laws will completely remove the threat of STOLI, or stranger originated life insurance, that can be used to take advantage of ill-prepared seniors. More information and disclosures will be mandatory, and these much safer regulations will make sure that each applicant will have the most profitable, speedy, and secure the transaction. To find out more of these new rules for your benefit, and to use Life Settlements Calculators to see your own situation, please see the contact information below.
Immobilienmakler Heidelberg Makler HeidelbergSource by Grant Shellhammer