Financing entity: includes , if the requirements of Subsection (5)(a) are met, the following:
(i)
an underwriter;
(ii)
a placement agent;
(iii)
an enhancer of credit;
(iv)
a lender;
(v)
a purchaser of securities; and
(vi)
a purchaser of a policy from a life settlement provider. See Utah Code 31A-36-102
Insurance: includes :
(i)
a risk distributing arrangement providing for compensation or replacement for damages or loss through the provision of a service or a benefit in kind;
(ii)
a contract of guaranty or suretyship entered into by the guarantor or surety as a business and not as merely incidental to a business transaction; and
(iii)
a plan in which the risk does not rest upon the person who makes an arrangement, but with a class of persons who have agreed to share the risk. See Utah Code 31A-1-301
Insured: means a person to whom or for whose benefit an insurer makes a promise in an insurance policy and includes:
the transfer for compensation or value of ownership or beneficial interest in a trust or other entity that owns a policy if the trust or other entity is formed or operated for the principal purpose of acquiring one or more policies; or
(ii)
a premium finance loan made for a policy by a lender to an owner on, before, or after the date of issuance of the policy if the owner:
(A)
receives on the date of the premium finance loan a guarantee of a future life settlement value of the policy; or
(B)
agrees on the date of the premium finance loan to sell the policy or any portion of the policy's death benefit on a date following the issuance of the policy. See Utah Code 31A-36-102
Life settlement producer: means a person licensed in the state as a life insurance producer that on behalf of an owner and for consideration offers or attempts to negotiate a life settlement between the owner and one or more life settlement providers. See Utah Code 31A-36-102
Life settlement provider: means a person other than an owner that enters into or effectuates a life settlement. See Utah Code 31A-36-102
Owner: means any of the following who resides in this state and seeks to enter into a life settlement:
producer: means a person licensed or required to be licensed under the laws of this state to sell, solicit, or negotiate insurance. See Utah Code 31A-1-301
Related provider trust: means a trust established by a licensed life settlement provider or a financing entity solely to hold the ownership of or beneficial interests in purchased policies in connection with financing. See Utah Code 31A-36-102
Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
Special purpose entity: means an entity formed by a licensed life settlement provider solely to enable the life settlement provider to gain access to institutional markets for capital. See Utah Code 31A-36-102
(a)
Subject to Subsection (1)(b), a life settlement provider shall file with the commissioner on or before March 1 of each year an annual report containing the information the commissioner prescribes under Section 31A-36-119.
(b)
Notwithstanding Subsection (1)(a), the commissioner shall only require the information for those transactions that involve an owner.
(2)
Except as otherwise allowed or required by law, the following may not disclose the identity, financial information, or medical information of an insured to any other person:
(a)
a life settlement provider;
(b)
a life settlement producer;
(c)
a producer of insurance;
(d)
an information bureau;
(e)
a rating agency or company; or
(f)
any other person knowing the identity of an insured.
(3)
Notwithstanding Subsection (2), a person may disclose the identity of an insured if the disclosure is:
(a)
necessary to effect a life settlement between an owner and a life settlement provider and both the owner and the insured give prior written consent to the disclosure;
(b)
furnished in response to an investigation or examination by the commissioner or another governmental officer or agency;
a term of or condition to the transfer of a policy by one life settlement provider to another life settlement provider;
(e)
necessary to permit a financing entity, related provider trust, or special purpose entity to finance the purchase of a policy by a life settlement provider and the insured gives prior written consent to the disclosure;
(f)
necessary to allow the life settlement provider or life settlement producer or the life settlement provider’s or life settlement producer’s authorized representatives to make a contact to determine the health status of an insured; or
