Regulations
Regulated. Transparent. Legal.
Life settlements are legal in every state. The industry has been regulated since the early 2000s, with most states adopting specific life settlement legislation.
Life settlements are regulated by state departments of insurance in 43 states, with requirements for broker and provider licensing, consumer disclosures, anti-fraud provisions, and waiting periods.
Regulations
Life settlements are legal in every state. The industry has been regulated since the early 2000s, with most states adopting specific life settlement legislation.
State regulations exist to protect you. Here's what you're entitled to by law.
Most states require you to own a policy for at least 2 years before selling. Exceptions exist for terminal illness.
All parties involved in a life settlement transaction must be licensed in your state. There are no exceptions.
You must receive full disclosure of your options, the process, and all compensation involved — before you sign anything.
Many states give you a cooling-off period — typically 15 to 30 days — to cancel after accepting an offer. No questions asked.
Your medical and financial information is protected by state and federal privacy laws. Your data cannot be shared without your consent.
The right to sell a life insurance policy was established by the U.S. Supreme Court in 1911 (Grigsby v. Russell). It's not new. It's just not well-known.
Justice Oliver Wendell Holmes, writing for the Court, affirmed that a life insurance policy is personal property — like any other asset — and can be freely transferred. That ruling has never been overturned.
The National Association of Insurance Commissioners (NAIC) has developed model legislation that most states have adopted in whole or in part.
LISA — the Life Insurance Settlement Association — sets ethical standards and best practices for the industry. Licensed professionals are held to both regulatory requirements and voluntary codes of conduct.
Every transaction we facilitate is handled by fully licensed professionals. You're protected at every step.
Get in TouchYes. Life settlements are regulated in 43 states. Regulations require licensing for brokers and providers, mandatory disclosures to sellers, and consumer protection provisions.
State regulations typically require full disclosure of all offers, the right to rescind within 15–60 days (varies by state), prohibition against stranger-originated life insurance (STOLI), and anti-fraud provisions.