Which term describes the entity that enters into or effectuates a viatical settlement contract and is not the viator?

Which term describes the entity that enters into or effectuates a viatical settlement contract and is not the viator?

• A. Viatical settlement provider
• B. Viatical settlements
• C. Viatical settlement broker
• D. Viator

Answer: (A)

In a viatical settlement, the party that enters into and completes the contract with the policy owner (the person selling the policy) and is not the viator is the viatical settlement provider. This provider funds the transaction, purchases the policy, and becomes the new owner and beneficiary, taking on the responsibility to manage premiums and the policy until the insured’s death. The person who sells the policy is the viator, while a viatical settlement broker merely acts as an intermediary to arrange the deal. The term viatical settlements describes the contract itself, not the party, and the viator is the one selling the policy.

In a viatical settlement, the party that enters into and completes the contract with the policy owner (the person selling the policy) and is not the viator is the viatical settlement provider. This provider funds the transaction, purchases the policy, and becomes the new owner and beneficiary, taking on the responsibility to manage premiums and the policy until the insured’s death. The person who sells the policy is the viator, while a viatical settlement broker merely acts as an intermediary to arrange the deal. The term viatical settlements describes the contract itself, not the party, and the viator is the one selling the policy.