Illinois § 11

§ 11.

Viatical settlement broker training requirements. (a) Viatical settlement broker training shall be required as follows: (1) An individual may not sell, solicit, or negotiate viatical settlement contracts unless the individual is licensed as a life insurance producer or viatical settlement broker and has completed a one-time training course. The training shall meet the requirements set forth in subsection (b) of this Section. (2) An individual already licensed and selling, soliciting, or negotiating viatical settlement contracts on the effective date of this Act may not continue to sell, solicit, or negotiate viatical settlement contracts unless the individual has completed a one-time training course, as set forth in subsection (b) of this Section, within 6 months after the effective date of this Act or within 6 months after availability of the training course, whichever is later. (3) In addition to the one-time training course required under items (1) and (2) of this subsection (a), an individual who sells, solicits, or negotiates viatical settlement contracts shall complete ongoing training as set forth in subsection (b) of this Section. (4) The training requirements of subsection (b) of this Section may be approved as continuing education courses under Section 500-35(b)(1) of the Illinois Insurance Code. (b) Minimum education and training shall be required as follows: (1) The one-time training required by this Section shall be no less than 4 hours and the ongoing training required by this Section shall be no less than 4 hours over a 24-month period. (2) The training required under item (1) of this subsection (b) shall consist of topics related to viatical settlement contracts, including, but not limited to: (A) State and federal laws and regulations regarding viatical settlement transactions; (B) potential tax implications for participants in viatical settlement contracts; (C) potential impact on public benefits payments to viatical settlement participants; (D) alternatives to viatical settlement contracts; and (E) consumer suitability standards and guidelines. (3) The training required by this Section shall not include training that is specific to or that includes any sales or marketing information, materials, or training of any company, other than those required by State or federal law. (c) Viatical settlement providers shall provide verification of training as follows: (1) Viatical settlement providers subject to this Act shall obtain verification that a producer receives training required by subsection (a) of this Section before a producer is permitted to sell, solicit, or negotiate viatical settlement contracts. Viatical settlement providers shall maintain records for verification subject to the State's record retention requirements and make the verification available to the Director upon request. (2) Viatical settlement providers subject to this Act shall maintain records with respect to the training of viatical settlement brokers with whom the provider contracts or otherwise engages in viatical settlement transactions. These records shall be maintained in accordance with the State's record retention requirements and shall be made available to the Director upon request. (d) The satisfaction of these training requirements in any state shall be deemed to satisfy the training requirements in this State. (Source: P.A. 96-736, eff. 7-1-10.)