Oregon Life Settlement Insurance Bond

OregonA new bill was enacted relating to life settlement insurance in the State of Oregon. The new law is titled SB 973 and revised the present law regarding life settlement insurance, which states that the Director of the Department of Consumer and Business Services has the option to implement regulations to require life settlement providers and brokers to attain a surety bond or acquire an errors and omissions insurance policy. SB 973 added a licensing requirement for life settlement investment agents and subjected them to a modified bonding obligation for life settlement providers and brokers. The new law states that such licensees must display financial responsibility through a surety bond, a cash deposit, certificates of deposit, securities, or any mixture of these in a quantity that the Director of the Department of Consumer and Business Services would establish. SB 973 states that the Director may authorize evidence of financial instruments that met the requirements of the proposed legislation had been filed with a minimum of one state where the applicant is licensed as a life settlement provider, broker or investment agent.