Ohio § 3916.03

§ 3916.03.

(A) Except as provided in division (H) of this section, an applicant for a license as

a viatical settlement provider or viatical settlement broker shall submit an application

for the license in a manner prescribed by the superintendent of insurance.  The application shall be accompanied by a fee established by the superintendent

by rule adopted in accordance with Chapter 119. of the Revised Code. (B) A license issued under this chapter to a person other than an individual authorizes

all partners, officers, members, or designated employees of the person to act as viatical

settlement providers or viatical settlement brokers, as applicable, and all those

partners, officers, members, or designated employees shall be named in the application

and any supplements to the application. (C) Except as provided in division (H) of this section, upon the filing of an application

under this section and the payment of the license fee, the superintendent shall make

an investigation of the applicant and issue to the applicant a license that states

in substance that the person is authorized to act as a viatical settlement provider

or viatical settlement broker, as applicable, if all of the following apply: (1) Regarding an application for a license as a viatical settlement provider, the applicant

provides all of the following: (a) A detailed plan of operation; (b) Proof of financial responsibility pursuant to division (D) of this section; (c) A general description of the method the applicant will use to determine life expectancies,

including a description of the applicant's intended receipt of life expectancies,

the applicant's intended use of life expectancies, the applicant's intended use of

life expectancy providers, and a written plan of policies and procedures used to determine

life expectancies. (2) The superintendent finds all of the following: (a) The applicant is competent and trustworthy and intends to act in good faith in the

capacity of a viatical settlement provider or viatical settlement broker, as applicable. (b) The applicant has a good business reputation and has had experience, training, or

education so as to be qualified to act in the capacity of a viatical settlement provider

or viatical settlement broker, as applicable. (3) If the applicant is a person other than an individual, the applicant provides a certificate

of good standing from the state of its organization. (4) The applicant provides an antifraud plan that meets the requirements of division (G) of section 3916.18 of the Revised Code . (D)(1) An applicant for licensure as a viatical settlement provider may provide proof of

financial responsibility through one of the following means: (a) Submitting audited financial statements that show a minimum equity of not less than

two hundred fifty thousand dollars in cash or cash equivalents; (b) Submitting both audited annual financial statements that show positive equity and

either of the following: (i) A surety bond in the amount of two hundred fifty thousand dollars in favor of this

state issued by an insurer authorized to issue surety bonds in this state; (ii) An unconditional and irrevocable letter of credit, deposit of cash, or securities,

in any combination, in the aggregate amount of two hundred fifty thousand dollars. (2) The superintendent may request proof of financial responsibility at any time the

superintendent considers necessary. (E) An applicant shall provide all information requested by the superintendent.  The superintendent may, at any time, require an applicant to fully disclose the

identity of all shareholders, partners, officers, members, and employees, and may,

in the exercise of the superintendent's discretion, refuse to issue a license to an

applicant that is not an individual if the superintendent is not satisfied that each

officer, employee, shareholder, partner, or member who may materially influence the

applicant's conduct meets the standards set forth in this chapter. (F) Except as otherwise provided in this division, a license as a viatical settlement

provider or viatical settlement broker expires on the last day of March next after

its issuance or continuance.  A license as a viatical settlement provider or viatical settlement broker may, in

the discretion of the superintendent and the payment of an annual renewal fee established

by the superintendent by rule adopted in accordance with Chapter 119. of the Revised

Code, be continued past the last day of March next after its issue and after the last

day of March in each succeeding year.  Failure to pay the renewal fee by the required date results in the expiration of

the license. (G) Any individual licensed as a viatical settlement broker shall complete not less than

fifteen hours of continuing education biennially.  The superintendent shall approve continuing education courses that shall be related

to viatical settlements and viatical settlement transactions.  The superintendent shall adopt rules for the enforcement of this division. (H) The superintendent shall issue a license to an applicant who is licensed in another

state or has satisfactory work experience, a government certification, or a private

certification as described in Chapter 4796. of the Revised Code as a viatical settlement

provider or viatical settlement broker in a state that does not issue that license

in accordance with that chapter, if either of the following applies: (1) The applicant files and maintains a written designation of an agent for service of

process with the superintendent. (2) The applicant has filed with the superintendent the applicant's written irrevocable

consent that any action against the applicant may be commenced against the applicant

by service of process on the superintendent. (I) A viatical settlement provider or viatical settlement broker shall provide to the

superintendent new or revised information regarding any change in its officers, any

shareholder owning ten per cent or more of its voting securities, or its partners,

directors, members, or designated employees within thirty days of the change. (J) Any fee collected under this section shall be paid into the state treasury to the

credit of the department of insurance operating fund created by section 3901.021 of the Revised Code .