HB 4941

Abstract

Creates the Viatical Settlements Act of 2008. Provides for the regulation of viatical settlement providers, brokers, and life insurance producers acting as brokers who enter into viatical settlements. Provides license requirements and establishes grounds for the suspension, denial, nonrenewal, or revocation of a license. Requires viatical settlement contracts and disclosure statements to be approved by the Director of the Division of Insurance. Requires certain documents to be kept by licensees for examination by the Director and sets guidelines for examination by the Director. Provides a period of time for rescission after certain disclosures are made. Requires certain disclosures to be made in connection with viatical settlements. Sets forth prohibited practices and exceptions. Grants the Director the authority to adopt rules. Sets forth violations and penalties for violations. Provides standards for advertisement of viatical settlement services and contracts. Amends the Freedom of Information Act to exempt from disclosure certain documents required under the Viatical Settlements Act of 2008. Provides that violations of the Act constitute unfair trade practices subject to penalty under the Illinois Insurance Code and amends the Illinois Insurance Code to include the violations. Amends the Illinois Security Law of 1953 to include viatical investments in a definition of "security" and to add a definition of "viatical investment". Repeals the Viatical Settlements Act. Provides that the provisions of the Act are severable. Effective July 1, 2009.