Litigation

Wrap Regulation of "Secondary Market" for Life Insurance and Structured Settlements Under One Umbrella

By John Darer

JG Wentworth issued a Press Release today promoting its now being licensed for life settlements in 22+ states. Perhaps factoring companies are not so resistant to be licensed after all! So why, 6 years after tax relief was granted by Congress, is there not such a mechanism for structured settlements factoring? to protect consumers.

Why is it that regulators can get it right with life settlements and get it SO VERY WRONG with structured settlement factoring?

Structured settlement factoring appears to be one of the only areas currently, where the disposition of rights to receive benefits under an insurance product does not require a professional license. It's an industry where many advertisers can run amok, saying anything they damn well please at any hour of the day or night and are universally hated. Moreover, advertisers can pay kick backs to similarly unlicensed referrers where the referrer competes with the seller for a slice of the pie. It has created the vulture culture that exists today, their sharp beaks scything through the financial carcasses of young adults, seniors, many of whom are profoundly injured people.

If the mechanism is already in place for life settlements, combine the oversight mechanism.

Full post as published by Structured Settlements 4Real on March 04, 2008 (boomark / email).