VIATICAL SETTLEMENTS: SUICIDE - H.B. 4764: FLOOR ANALYSIS
House Bill 4764 (as reported without amendment)
Sponsor: Representative Gerald Law
House Committee: Insurance and Financial Services
Senate Committee: Financial Services
CONTENT
The bill would amend Public Act 386 of 1996, which regulates the sale and purchase of viatical settlement contracts, to prohibit a provider from offering to provide or from providing any payment to a viator conditioned on the viator's agreement to commit suicide.
(The term "viatical settlement contract" means a written agreement whereby the life insurance policy of a terminally ill person is "bought" by a person or entity at a cost below the amount of the death benefit. "Provider" means a person who enters into a viatical settlement with a viator, but does not include a financial lending institution that takes a policy as collateral for a loan; the issuer of a policy providing accelerated benefits under the Insurance Code; or an individual who enters into no more than one viatical settlement contract in a calendar year for the transfer of a policy for any value less than the expected death benefit. "Viator" means the owner or holder of a life insurance policy or certificate, who has a catastrophic or life-threatening illness or condition and who enters into a viatical settlement contract.)
Proposed MCL 550.524a - Legislative Analyst: N. Nagata
FISCAL IMPACT
The bill would have no fiscal impact on State or local government.
Date Completed: 10-13-99 - Fiscal Analyst: M. TyszkiewiczFloor\hb4764 - Bill Analysis @ http://www.state.mi.us/sfa
This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.