Viatical or Life Settlement Investment
M eans the contractual right to receive any portion of the death benefit or ownership of a life insurance policy or certificate, for consideration that is less than the expected death benefit of the life insurance policy or certificate. Viatical Investment does not include :

a. any transaction between a viator and a viatical settlement provider;

b. any transfer of ownership and/or beneficial interest in a life insurance policy from a viatical settlement provider to another viatical settlement provider or to any legal entity formed solely for the purpose of holding ownership and/or beneficial interest in a life insurance policy or policies;

c. the bona fide assignment of a life insurance policy to a bank, savings bank, savings and loan association, credit union, or other licensed lending institution as collateral for a loan; or

d. the exercise of accelerated benefits pursuant to the terms of a life insurance policy issued in accordance with the insurance laws of your state.

The definition of Viatical Investment is intended to include transactions in life insurance policies regardless of the age or health of the insured. [Some states may have adopted insurance laws to limit the scope of coverage to insureds who are terminally or chronically ill.]