STOLI changes get OK
The National Association of Insurance Commissioners has voted to make changes to a model act that governs the use of stranger-owned life insurance.
The National Association of Insurance Commissioners has voted to make changes to a model act that governs the use of stranger-owned life insurance. The amendments, made to the Kansas City, Mo.-based association’s Viatical Settlements Model Act, imposes a five-year sales ban on a policy financed with the intent to sell it to investors. The act formerly included a two-year ban. State regulators now will be charged with mirroring the changes in their own state laws. For a look at the NAIC announcement, visit http://www.naic.org/Releases/2007_docs/viatical_settlements_model.htm
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