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Gov Signs Bill Regulating Life Settlements and STOLI

1/9/2013

Massachusetts Governor Patrick on January 8, 2013 signed into law H. 4296, “An Act Relative to Life Settlements and Stranger Originated Life Insurance”. The bill, among other provisions, authorizes and regulates life settlement contracts and prohibits stranger originated life insurance, the act of initiating the issuance of a life insurance policy for the benefit of a third-party investor who, at the time of policy origination, has no insurable interest in the life of the insured.


See below for a summary:

 

AN ACT RELATIVE TO LIFE SETTLEMENTS AND STRANGER ORIGINATED LIFE INSURANCE.docx