ROBERT L. EHRLICH, JR., Governor                             Ch. 275

(C) (1) DISCLOSURE TO A VIATOR ALSO SHALL INCLUDE DISTRIBUTION OF A
BROCHURE THAT DESCRIBES THE PROCESS OF VIATICAL SETTLEMENTS.

(2) THE NATIONAL ASSOCIATION OF INSURANCE COMMISSIONERS
FORM FOR THE BROCHURE SHALL BE USED UNLESS A BROCHURE IS DEVELOPED BY:

(I)      DEVELOPED BY THE COMMISSIONER: OR

(II)     DEVELOPED BY A VIATICAL SETTLEMENT BROKER OR VIATICAL
SETTLEMENT PROVIDER THAT IS AND APPROVED BY THE COMMISSIONER

(D)     THE DISCLOSURE DOCUMENT STATEMENT SHALL CONTAIN THE
FOLLOWING LANGUAGE: "ALL MEDICAL, FINANCIAL, OR PERSONAL INFORMATION
SOLICITED OR OBTAINED BY A VIATICAL SETTLEMENT PROVIDER OR VIATICAL
SETTLEMENT BROKER ABOUT AN INSURED, INCLUDING THE INSURED'S IDENTITY OR
THE IDENTITY OF FAMILY MEMBERS, A SPOUSE, OR A SIGNIFICANT OTHER MAY BE
DISCLOSED AS NECESSARY TO EFFECT THE VIATICAL SETTLEMENT BETWEEN THE
VIATOR AND THE VIATICAL SETTLEMENT PROVIDER. IF YOU ARE ASKED TO PROVIDE
THIS INFORMATION, YOU WILL BE ASKED TO CONSENT TO THE DISCLOSURE. THE
INFORMATION MAY BE PROVIDED TO SOMEONE WHO BUYS THE POLICY OR
PROVIDES FUNDS FOR THE PURCHASE. YOU MAY BE ASKED TO RENEW YOUR
PERMISSION TO SHARE INFORMATION EVERY 2 YEARS.".

(E)     A VIATICAL SETTLEMENT PROVIDER OR VIATICAL SETTLEMENT BROKER
SHALL PROVIDE THE VIATOR WITH A COPY OF THE DISCLOSURE STATEMENT SIGNED
BY THE VIATOR AND THE VIATICAL SETTLEMENT PROVIDER OR VIATICAL
SETTLEMENT BROKER, AT THE TIME THAT AN APPLICATION FOR A VIATICAL
SETTLEMENT CONTRACT IS PROVIDED TO THE VIATOR

(F)     (1) A VIATICAL SETTLEMENT PROVIDER SHALL PROVIDE THE VIATOR
WITH AT LEAST THE DISCLOSURES REQUIRED BY THIS SUBSECTION NO LATER THAN
THE DATE THAT THE VIATICAL SETTLEMENT CONTRACT IS SIGNED BY ALL PARTIES.

(2)      THE DISCLOSURES SHALL BE CONSPICUOUSLY DISPLAYED IN THE
VIATICAL SETTLEMENT CONTRACT OR IN A SEPARATE DOCUMENT SIGNED BY THE
VIATOR AND THE VIATICAL SETTLEMENT PROVIDER OR VIATICAL SETTLEMENT
BROKER

(3)      THE DISCLOSURES REQUIRED UNDER THIS SUBSECTION SHALL
PROVIDE THE FOLLOWING INFORMATION:

(I)      A STATEMENT OF THE AFFILIATION, IF ANY, BETWEEN THE
VIATICAL SETTLEMENT BROKER, VIATICAL SETTLEMENT PROVIDER, AND THE
INSURER THAT ISSUED THE POLICY TO BE VIATICATED;

(II)     THE NAME, ADDRESS, AND TELEPHONE NUMBER OF THE
VIATICAL SETTLEMENT PROVIDER;

(III)   A DISCLOSURE BY THE VIATICAL SETTLEMENT BROKER OF THE
AMOUNT AND METHOD OF CALCULATING THE VIATICAL SETTLEMENT BROKER'S
COMPENSATION, INCLUDING ANYTHING OF VALUE PAID OR GIVEN TO A VIATICAL
SETTLEMENT BROKER FOR THE PLACEMENT OF A POLICY;

- 1015 -