Okla. Stat. tit. 36, § 36-4055.8

A. With each application for a viatical settlement, a viatical

settlement provider or viatical settlement broker shall provide the

viator with at least the following disclosures no later than the

time the application for the viatical settlement contract is signed

by all parties. The disclosures shall be provided in a separate

document that is signed by the viator and the viatical settlement

provider or viatical settlement broker, and shall provide the

following information:

1. There are possible alternatives to viatical settlement

contracts including any accelerated death benefits or policy loans

offered under the viator’s life insurance policy;

2. That a viatical settlement broker represents exclusively the

viator, and not the insurer or the viatical settlement provider, and

owes a fiduciary duty to the viator, including a duty to act

according to the viator’s instructions and in the best interest of

the viator;

3. Some or all of the proceeds of the viatical settlement may

be taxable under federal income tax and state franchise and income

taxes, and assistance should be sought from a professional tax

advisor;

Oklahoma Statutes - Title 36. Insurance Page 884

4. Proceeds of the viatical settlement could be subject to the

claims of creditors;

5. Receipt of the proceeds of a viatical settlement may

adversely affect the viator’s eligibility for Medicaid or other

government benefits or entitlements, and advice should be obtained

from the appropriate government agencies;

6. The viator has the right to rescind a viatical settlement

contract before the earlier of thirty (30) calendar days after the

date upon which the viatical settlement contract is executed by all

parties or fifteen (15) calendar days after the viatical settlement

proceeds have been paid to the viator. Rescission, if exercised by

the viator, is effective only if both notice of the rescission is

given, and the viator repays all proceeds and any premiums, loans

and loan interest paid on account of the viatical settlement within

the rescission period. If the insured dies during the rescission

period, the viatical settlement contract shall be deemed to have

been rescinded, subject to repayment by the viator or the viator’s

estate of all viatical settlement proceeds and any premiums, loans

and loan interest on the viatical settlement within sixty (60) days

of the insured’s death;

7. Funds will be sent to the viator within three (3) business

days after the viatical settlement provider has received the

insurer’s or group administrator’s written acknowledgment that

ownership of the policy or interest in the certificate has been

transferred and the beneficiary has been designated;

8. Entering into a viatical settlement contract may cause other

rights or benefits, including conversion rights and waiver of

premium benefits that may exist under the policy or certificate, to

be forfeited by the viator. Assistance should be sought from a

financial adviser;

9. Disclosure to a viator shall include distribution of a

brochure describing the process of viatical settlements. The

National Association of Insurance Commissioner’s (NAIC’s) form for

the brochure shall be used unless another form is developed or

approved by the Insurance Commissioner;

10. The disclosure document 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
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 two (2) years.”;

and

Oklahoma Statutes - Title 36. Insurance Page 885

11. Following execution of a viatical contract, the insured may

be contacted for the purpose of determining the insured’s health

status and to confirm the insured’s residential or business street

address and telephone number, or as otherwise provided in the

Viatical Settlements Act of 2008. This contact shall be limited to

once every three (3) months if the insured has a life expectancy of

more than one (1) year, and no more than once per month if the

insured has a life expectancy of one (1) year or less. All such

contacts shall be made only by a viatical settlement provider

licensed in the state in which the viator resided at the time of the

viatical settlement, or by the authorized representative of a duly

licensed viatical settlement provider.

B. A viatical settlement provider shall provide the viator with

at least the following disclosures no later than the date the

viatical settlement contract is signed by all parties. The

disclosures shall be conspicuously displayed in the viatical

settlement contract or in a separate document signed by the viator

and provide the following information:

1. The affiliation, if any, between the viatical settlement

provider and the issuer of the insurance policy to be viaticated;

2. The document shall include the name, business address and

telephone number of the viatical settlement provider;

3. Any affiliations or contractual arrangements between the

viatical settlement provider and the viatical settlement purchaser;

4. If an insurance policy to be viaticated has been issued as a

joint policy or involves family riders or any coverage of a life

other than the insured under the policy to be viaticated, the viator

shall be informed of the possible loss of coverage on the other

lives under the policy and shall be advised to consult with his or

her insurance producer or the insurer issuing the policy for advice

on the proposed viatical settlement;

5. State the dollar amount of the current death benefit payable

to the viatical settlement provider under the policy or certificate.

If known, the viatical settlement provider shall also disclose the

availability of any additional guaranteed insurance benefits, the

dollar amount of any accidental death and dismemberment benefits

under the policy or certificate and the extent to which the viator’s

interest in those benefits will be transferred as a result of the

viatical settlement contract; and

6. State whether the funds will be escrowed with an independent

third party during the transfer process, and if so, provide the

name, business address, and telephone number of the independent

third-party escrow agent, and the fact that the viator or owner may

inspect or receive copies of the relevant escrow or trust agreements

or documents.

C. A viatical settlement broker shall provide the viator with

at least the following disclosures no later than the date the

Oklahoma Statutes - Title 36. Insurance Page 886

viatical settlement contract is signed by all parties. The

disclosures shall be conspicuously displayed in the viatical

settlement contract or in a separate document signed by the viator

and provide the following information:

1. The name, business address and telephone number of the

viatical settlement broker;

2. A full, complete and accurate description of all offers,

counter-offers, acceptances and rejections relating to the proposed

viatical settlement contract; and
conspicuously displayed in the viatical

settlement contract or in a separate document signed by the viator

and provide the following information:

1. The name, business address and telephone number of the

viatical settlement broker;

2. A full, complete and accurate description of all offers,

counter-offers, acceptances and rejections relating to the proposed

viatical settlement contract; and

3. A written disclosure of any affiliations or contractual

arrangements between the viatical settlement broker and any person

making an offer in connection with the proposed viatical settlement

contracts.

D. If the viatical settlement provider transfers ownership or

changes the beneficiary of the insurance policy, the provider shall

communicate in writing the change in ownership or beneficiary to the

insured within twenty (20) days after the change.

E. A viatical settlement provider or its viatical settlement

investment agent shall provide the viatical settlement purchaser

with at least the following disclosures no later than at the time of

the assignment, transfer or sale of all or a portion of an insurance

policy. The disclosures shall be contained in a document signed by

the viatical settlement purchaser and viatical settlement provider

or viatical settlement investment agent, and shall make the

following disclosures to the viatical settlement purchaser:

1. Disclose all the life expectancy certifications obtained by

the provider in the process of determining the price paid to the

viator;

2. State whether premium payments or other costs related to the

policy have been escrowed. If escrowed, state the date upon which

the escrowed funds will be depleted and whether the purchaser will

be responsible for payment of premiums thereafter and, if so, the

amount of the premiums;

3. State whether premium payments or other costs related to the

policy have been waived. If waived, disclose whether the investor

will be responsible for payment of the premiums if the insurer that

wrote the policy terminates the waiver after purchase and the amount

of those premiums;

4. Disclose the type of policy offered or sold, i.e., whole

life, term life, universal life or a group policy certificate, any

additional benefits contained in the policy, and the current status

of the policy;

5. If the policy is term insurance, disclose the special risks

associated with term insurance including, but not limited to, the

purchaser’s responsibility for additional premiums if the viator

continues the term policy at the end of the current term;

6. State whether the policy is contestable;

Oklahoma Statutes - Title 36. Insurance Page 887

7. State whether the insurer that wrote the policy has any

additional rights that could negatively affect or extinguish the

purchaser’s rights under the viatical settlement contract, what

these rights are, and under what conditions these rights are

activated; and

8. State the name and address of the person responsible for

monitoring the insured’s condition. Describe how often the

monitoring of the insured’s condition is done, how the date of death

is determined, and how and when this information will be transmitted

to the purchaser.