Life settlement companies currently have no laws giving guidance in how to pursue the life settlement market in California. Laws due to be passed and in effect on June 1, 2010 have yet to make it through the legislature. As a result, the State Department of Insurance has passed “guidelines” to follow for the time being.
Life settlement companies wishing to do business in California are welcome to do so, as long as the companies or brokers pursue a license within 30 days of the license and application becoming available. While conducting such business, life settlement companies or brokers are instructed to comply with consumer disclosure requirements stated in laws passed last year. In addition, producers who have been licensed for one year or more are able to broker a life settlement, but must notify the state within 10 days of doing so.
LISA and Coventry First are encouraging the Department of Insurance to get new legislation that would clean up last year’s laws passed for settlement companies.
For more information on life settlement law in California or in your State, click LIVEpdq link today!