What is the Missouri Viatical Settlements Act designed to regulate?

The Missouri Viatical Settlements Act is specifically crafted to regulate viatical settlements, which involve the sale of life insurance policies by policyholders who are terminally ill or chronically ill. This act ensures that individuals entering into viatical settlements are protected and informed throughout the process. It outlines the requirements for viatical settlement providers, which include disclosures and safeguarding the rights of policyholders.

By focusing on the viatical settlements aspect, the act helps establish a structured framework that addresses how these transactions should be conducted, including the responsibilities of both the providers and the sellers. This regulation is crucial as it allows individuals to leverage the monetary value of their life insurance policies while ensuring that the transaction is fair and transparent. Thus, the essence of the Missouri Viatical Settlements Act lies in its dedicated approach to overseeing viatical settlements, rather than other insurance sectors or practices.