N.J. Admin. Code § 11:4-35.9

Current through Register Vol. 56, No. 24, December 18, 2024

Section 11:4-35.9 - Approval of contracts and disclosure statements; right of rescission

(a) A person shall not use a viatical settlement contract or provide to a viator a disclosure statement form in this State unless filed with and approved by the Commissioner. Contract filings shall include the methodology for determining the viatical settlement proceeds. A viatical settlement contract or disclosure statement form shall be deemed approved by the Commissioner if not disapproved within 60 days from submission. The Commissioner shall disapprove a viatical settlement contract or disclosure statement form if, in the Commissioner's opinion, the contract, provisions contained therein, or the methodology for determining proceeds are unreasonable, contrary to the interests of the public, or otherwise misleading or unfair to the viator. At the Commissioner's discretion, the Commissioner may require, as part of the approval process, the submission of advertising material.

(b) All viatical settlement contracts entered into in this State shall provide the viator with an unconditional right to rescind the contract for at least 15 calendar days from the receipt of the viatical settlement proceeds. If the insured dies during the rescission period, the viatical settlement contract shall be deemed to have been rescinded, subject to repayment to the viatical settlement provider of all viatical settlement proceeds.