Commissioner McCarty Issues Cease And Desist Order To Unlicensed Viatical Settlement Provider

Below is a press release issued by the Florida Office of Insurance Regulation regarding a Cease and Desist order against an unlicensed viatical settlement provider, Great West Growth.  

Should you have any comments or questions, please do not hesitate to contact this office.
 

Tallahassee (July 6, 2007) – Florida Insurance Commissioner Kevin McCarty issued a Cease and Desist Order to Great West Growth, LLC of Minneapolis, Minnesota ordering Great West Growth to cease operating as a viatical settlement provider in Florida.
 
The Office of Insurance Regulation charged that Great West Growth has been transacting business without a license as required by Florida’s Viatical Settlement Act.  Evidence shows Great West Growth solicited, negotiated and processed numerous viatical settlement contracts involving life insurance policies owned by Florida residents.
 
Viatical settlement providers buy life insurance policies from policyholders who sell their policies for a percentage of the face value.  The viatical settlement provider then resells an interest in those policies to investors. 
 
“It is critical that businesses and consumers ensure they are working with licensed entities when making important financial decisions,” remarked Commissioner McCarty.  “Not only are unauthorized entities acting illegally, but consumers do not have protections afforded them under the law, specifically, guaranteeing the underlying financial solvency of the entity doing business.”
 
Prior to any transaction, consumers should call the Department of Financial Services consumer helpline at 1-800-342-2762, or visit www.fldfs.com to be sure a viatical company is authorized to do business in Florida.
 
Click here to view a copy of the Order to Cease and Desist.