Sec. 5.
(1) Upon receipt from the viator of the documents to effect the transfer of the policy, the provider shall deposit the contract consideration in an escrow or trust account managed by a state or federal chartered financial institution, pending acknowledgment of the transfer by the issuer of the policy. The financial institution shall transfer the contract consideration to the viator immediately upon receipt of acknowledgment of the transfer from the insurer.
(2) Failure by the provider to tender the contract consideration as required by this act renders the contract void.
History: 1996, Act 386, Eff. Mar. 31, 1997 Compiler's Notes: For transfer of authority, powers, duties, functions, and responsibilities of the insurance bureau and the commissioner of insurance to the commissioner of the office of financial and insurance services and the office of financial and insurance services, see E.R.O. No. 2000-2, compiled at MCL 445.2003 of the Michigan compiled laws.
Structure Michigan Compiled Laws
Chapter 550 - General Insurance Laws
Act 386 of 1996 - Viatical Settlement Contracts (550.521 - 550.528)
Section 550.521 - Definitions.
Section 550.523 - Disclosure of Information.
Section 550.524 - Documents to Be Obtained by Provider; Right to Avoid or Rescind Contract.
Section 550.524a - Agreement to Commit Suicide; Payment Prohibited.
Section 550.525 - Disposition of Contract Consideration.
Section 550.526 - Double or Additional Indemnity.
Section 550.527 - Offer to Purchase Policy or Certificate; Notice to Insurer.