2008 Minnesota Statutes

60A.971 STANDARDS FOR EVALUATION OF REASONABLE PAYMENTS.

In order to assure that viators receive a reasonable return for viaticating an insurance policy, the following are the minimum permitted discounts:

Insured's Life Expectancy		Minimum Percentage of Face Value Less Outstanding Loans Received by Viator
Less than 6 months		80%
At least 6 but less than 12 months		70%
At least 12 but less than 18 months		65%
At least 18 but less than 24 months		60%
Twenty-four months or more		50%

The percentage may be reduced by five percent for viaticating a policy written by an insurer rated lower than the highest four categories by A.M. Best, or a comparable rating by another rating agency.

History:

1995 c 151 s 12