Relevant State Departments of Insurance Contact Info
Office of Superintendent of Insurance –
1120 Paseo de Peralta
Santa Fe, NM 87501
Summary of the State:
- Summary Verbiage
TYPE OF LICENSE VIATICAL SETTLEMENT
WHAT DOES THE STATE DEFINE AS CONTESTABLE?: 2 YEARS. See: N.M. Stat. Ann. § 59A-20-5.
WHAT IS THE REQUIRED HOLDING PERIOD?: N/A.
WHEN DOES LICENSE NEED TO BE RENEWED?: N.M. Stat. Ann. § 59A-20A-3(D). Licenses may be renewed from year to year on the anniversary date of licensure upon payment of the annual renewal fee.
IS BROKER COMPENSATION DISCLOSURE REQUIRED?: NO
IS THERE A MINIMUM PAYMENT REQUIREMENT?: NO
WHEN DOES THE MONEY NEED TO BE IN ESCROW?: N.M. Stat. Ann. § 59A-20A-9(D). Immediately upon the provider’s receipt of documents to effect the transfer of the insurance policy, the provider shall pay the proceeds of the viatical settlement to an escrow or trust account in a state or federally chartered financial institution whose deposits are insured by the federal deposit insurance corporation. The account shall be managed by a trustee or escrow agent independent of the parties to the contract. The trustee or escrow agent shall transfer the proceeds to the viator immediately upon the provider’s receipt of acknowledgment of the transfer of the insurance policy.
IS THERE A NOTICE REQUIREMENT TO THE INSURED AFTER THE SALE?: NO
IS THERE A NOTICE REQUIREMENT TO THE CARRIER BEFORE/AFTER THE SALE?: NO
WHAT IS THE RESCISSION PERIOD?: N.M. Stat. Ann. § 59A-20A-9(C). All viatical settlement contracts entered into in New Mexico shall provide the viator with an unconditional right to rescind the contract for at least fifteen 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 If the insured dies during the rescission period, the viatical settlement contract shall be deemed to have been rescinded, subject to repayment to the provider of all viatical settlement proceeds.
IS THERE A VOC REQUIREMENT (OWN/STATE/NAIC FORM)?: YES – STATE or OWN – STATE APPROVED. NMAC §126.96.36.199.
Stay Informed of Industry News
How to Help Your Client Choose a Life Settlement Provider
Many life insurance policy owners may wonder where to start when pursuing a life settlement provider. Selling a life insurance policy is an important decision…
5 Reasons Why Your Clients Need Life Settlements
Life settlements are a great way for retirees to gain a bit of extra cash in times of need. They are generally a win-win…