The Institutional Life Markets Association (ILMA), Washington, released life settlement provider best practices which it says focuses on disclosure and due diligence.
The best practices, according to ILMA, focus on on providers certifying the intermediary (broker, agent, financial advisor, or attorney); guidance to providers on transferred policies; whether policy premiums have been financed; anti-fraud plans including retention of a medical professional or underwriter capable of comparing policy applications to medical records for material discrepancies; and privacy policies; and direction on state and federal laws and regulations compliance.
ILMA’s provider best practices are “an important step toward standardizing life settlement origination practices,” said Jack Kelly, ILMA managing director. “Providers following the same, transparent procedures and diligence will protect consumers and investors while fostering confidence in this viable investment option.”
To view the complete document, go to: ILMA Best Practices