HB632 Alabama 2010 Session

This bill would provide for licensure of providers and brokers of life settlement contracts

This bill would define terms and provide for licensure requirements and fees

This bill would allow the Commissioner of the Department of Insurance the authority to suspend, revoke, or refuse to renew a license under certain circumstances

This bill would require that life settlement contracts and purchase agreement forms be filed with, and approved by, the commissioner; require providers to annually submit statements or reports to the commission regarding settlements of life proceeds; and allow the commissioner to examine the business and affairs of any licensee or applicant for licensure

This bill would allow providers to advertise; require providers to disclose certain information regarding life settlement contracts; and require written signed disclosures

This bill would allow the commissioner to promulgate rules to regulate providers, brokers, insurers, and their agents

This bill would provide for criminal and civil penalties for violations

Amendment 621 of the Constitution of Alabama of 1901, now appearing as Section 111.05 of the Official Recompilation of the Constitution of Alabama of 1901, as amended, prohibits a general law whose purpose or effect would be to require a new or increased expenditure of local funds from becoming effective with regard to a local governmental entity without enactment by a 2/3 vote unless: it comes within one of a number of specified exceptions; it is approved by the affected entity; or the Legislature appropriates funds, or provides a local source of revenue, to the entity for the purpose

The purpose or effect of this bill would be to require a new or increased expenditure of local funds within the meaning of the amendment. However, the bill does not require approval of a local governmental entity or enactment by a 2/3 vote to become effective because it comes within one of the specified exceptions contained in the amendment

Relating to life settlements; to provide for licensure of providers of life settlement contracts; to provide definitions; to provide for enforcement by the Commissioner of the Department of Insurance; to provide for penalties; and in connection therewith would have as its purpose or effect the requirement of a new or increased expenditure of local funds within the meaning of Amendment 621 of the Constitution of Alabama of 1901, now appearing as Section 111.05 of the Official Recompilation of the Constitution of Alabama of 1901, as amended.