§ 48.102.040. Requirement for provider to obtain information -- Medical information is confidential -- Rescission rights -- Time is of the essence
(1) A viatical settlement provider entering into a viatical settlement contract with a viator shall first obtain the following:
(a) A written and signed statement from an attending medical doctor that in his or her professional opinion, the viator is of sound mind and under no undue influence;
(b) A document witnessed by a person not employed by or affiliated with the viatical settlement provider, in which the viator consents to the viatical settlement contract, acknowledges the catastrophic or life-threatening illness or condition, and represents that he or she:
(i) Has a complete understanding of the viatical settlement contract;
(ii) Has a full and complete understanding of the life insurance policy;
(iii) Releases his or her medical records for the limited and express purpose of making the viatical settlement agreement possible;
(iv) Has either obtained advice or assistance from an attorney or tax professional, or has had the opportunity to do so; and
(v) Has entered into the viatical settlement contract freely and voluntarily; and
(c) In those cases where the viator is not the insured person, a written consent to the viatical settlement agreement from the insured person or his or her legal representative.
(2) All medical information solicited or obtained by any holder of a license issued under this chapter is subject to all applicable laws governing confidentiality of medical information.
(3) All viatical settlement contracts entered into in this state shall contain a provision no less favorable than that in the event the viator exercises his or her right to rescind the viatical settlement contract, any proceeds previously paid shall be refunded no later than the earliest of (a) thirty days of the date of rescission or (b) fifteen days of payment of the proceeds.
(4) All viatical settlement contracts entered into in this state shall contain a rescission clause no less favorable than that the viator has the unconditional right to rescind the contract on or before the later of (a) thirty days of the date it is signed by all parties or (b) fifteen days of the receipt of the proceeds of the viatical settlement agreement; subject to refund of those proceeds as set forth in subsection (3) of this section.
(5) Time is of the essence in delivery of the proceeds of any viatical settlement contract by the date disclosed to the viator.
(6) No viatical settlement contract entered into in this state may contain any restrictions upon the use of the proceeds of the contract.
(7) Any viatical settlement contract entered into in this state shall establish the terms under which the viatical settlement provider shall pay compensation or anything of value, which compensation is less than the expected death benefit of the insurance policy or certificate of insurance, in return for the assignment, transfer, sale, devise, or bequest of the death benefit or ownership of the insurance policy or certificate to the viatical settlement provider.
[1995 c 161 § 8.]
Sections: Previous 48.102.005 48.102.010 48.102.015 48.102.020 48.102.025 48.102.030 48.102.035 48.102.040 48.102.045 48.102.050 48.102.055 48.102.900 48.102.901 NextLast modified: April 7, 2009