Indiana Administrative Code › Title 760 - DEPARTMENT OF INSURANCE › Article 1 - GENERAL PROVISIONS › Rule 61 - Viatical Settlements › Section 61-4 - Licensure of viatical settlement providers

Current through July 10, 2024
Authority: IC
				  27-8-19.8-10
Affected: IC
				  4-21.5-3; IC
				  27-8-19.8-5
Sec. 4.
(a) No person
				shall act as a viatical settlement provider unless the person has first
				obtained a license from the commissioner.
(b) An application for licensing as a
				viatical settlement provider must be submitted on an application form that may
				be obtained from the department of insurance at 311 West Washington Street,
				Suite 300, Indianapolis, Indiana 46204. The application form is adopted by
				reference.
(c) A licensing fee in
				the amount of one thousand dollars ($1,000) shall accompany the completed
				application form.
(d) The
				application for license as a viatical settlement provider shall furnish all of
				the applicable information as follows:
(1) The
				name, address, and organizational structure of the applicant.
(2) Certified copies of the applicant's
				organization documents, including, but not limited to:
(A) articles of incorporation and any
				amendments thereto; and
(B) a
				certificate of incorporation and any amendments thereto.
(3) The identity of all of the following:
(A) Stockholders holding ten percent (10%) or
				more of the voting securities.
(B)
				Investors holding a ten percent (10%) or greater interest.
(C) Partners.
(D) Corporate officers.
(E) Trustees.
(F) If an association, all of the
				members.
(G) Any affiliates,
				together with a chart showing the relationship of the applicant to all
				affiliates. Any affiliate that is an insurance company licensed in Indiana
				shall be identified as such.
(4) Biographical affidavits of all of the
				following:
(A) Officers.
(B) Directors.
(C) Stockholders holding ten percent (10%) or
				more voting securities.
(D)
				Investors holding ten percent (10%) or greater interest.
(E) Partners.
(F) Trustees.
(G) Members, if an association.
(5) A list of states in which the
				viatical settlement provider is licensed on the date of application, a copy of
				each license, and a list of the states in which the viatical settlement
				provider is or has ever engaged in business as a viatical settlement
				provider.
(6) A list of all
				licenses from any level of federal government or government of any state
				applied for by or currently or previously held by the applicant, its officers,
				directors, trustees, stockholders holding ten percent (10%) or more of voting
				securities, investors holding a ten percent (10%) or greater interest,
				partners, or members (if an association), and a statement showing the current
				status of any such license, including whether it has ever been denied, revoked,
				or suspended.
(7) A report stating
				whether any formal or informal regulatory action by any level of government of
				any state or the federal government, including the Securities and Exchange
				Commission, has been taken or is pending against the applicant or its officers,
				directors, trustees, stockholders holding ten percent (10%) or more of voting
				securities, investors holding a ten percent (10%) or greater interest,
				partners, or members (if an association), and the status of the
				action.
(8) A report stating
				whether any criminal or civil action involving or alleging an offense that
				includes fraudulent acts or breach of contract has been taken or is pending
				against the applicant or its officers, directors, trustees, stockholders
				holding ten percent (10%) or more of voting securities, investors holding a ten
				percent (10%) or greater interest, partners, or members (if an association),
				and the status of the action.
(9) A
				copy of the applicant's most recent financial statement. A financial statement,
				for purposes of this rule, consists of a financial statement that is compiled
				in a manner consistent with generally accepted accounting principles (GAAP) and
				is accompanied by either an opinion by an independent accounting firm or a
				statement by an officer of the applicant, representing that the financial
				statement was prepared in a manner consistent with GAAP and accurately reflects
				the financial condition of the applicant.
(10) Copies of any documents filed by the
				applicant with the Securities and Exchange Commission and any state securities
				regulator.
(11) A detailed plan of
				operations for the applicant's business, including, but not limited to,
				information regarding or identifying the following items:
(A) Escrow accounts and banks.
(B) Advertising and agents, brokers, or other
				distribution system to be used.
(C)
				Marketing techniques to be used.
(D) Market training program.
(E) Entities with whom the applicant will
				contract for services in connection with the acquisition, pricing, and
				servicing of viatical settlement contracts.
(12) Such other information as the
				commissioner reasonably may require.