viatical settlement

English - English

Definition of viatical settlement in English English dictionary

The sale of a life insurance policy by a terminally ill individual to a third party at a discounted rate in order to raise funds to help ease the financial burden often associated with large medical expenses

cash derived from sale of an insurance policy by a terminally ill policy holder

proceeds from the sale of a life insurance policy to a third party by a terminally ill person

The proceeds received from the sale of a life insurance policy, on the life of a terminally ill individual, to a third party Viatical settlement companies purchase these policies at a discount of the face vale and the insured receives a lump sum payment The company becomes the owner and beneficiary of the policy, pay all future premiums and collects the proceeds when the insured dies

The purchase of a life insurance policy from policy owners on the lives of viator's who are chronic or terminally ill Back To Top

sale of an insurance policy by a terminally ill policy holder cash derived from sale of an insurance policy by a terminally ill policy holder

Arrangement by which a terminally ill patient's life-insurance policy is sold to provide funds while the insured (viator) is living. The buyer (funder), usually an investment company, pays the patient a lump sum of 50-80% of the policy's face value, pays the premiums until the patient dies, and receives the death benefit. Viatical settlements (from Latin viaticum, "provisions for a journey") appeared in the 1980s, when people with AIDS had high medical bills and policies nominally sufficient to cover them but whose funds would not be available until they died

sale of an insurance policy by a terminally ill policy holder

Viatical Settlement is the selling of one's own life insurance policy to another in exchange for an immediate percentage of the death benefit The person or in many cases, group of persons buying the rights to the policy have high expectation of the imminent death of the previous owner The sooner the death of the previous owner, the higher the profit The practice is common in the United States and is spilling over into Canada It would appear to have a definite conflict with Canada's historical view of 'insurable interest'

Payment of a portion of the proceeds from life insurance to an insured who is terminally ill

A settlement that enables a person facing terminal illness to sell a life insurance policy for cash to a third party (i e , a viatical settlement company), who then becomes the beneficiary of the policy upon the death of the policyholder

The purchase of a life insurance policy from policy owners on the lives of viator's who are chronic or terminally ill

Hyphenation

viatical set·tle·ment

Turkish pronunciation

vayätîkıl setılmınt

Pronunciation

/ˌvīˈatəkəl ˈsetəlmənt/ /ˌvaɪˈætɪkəl ˈsɛtəlmənt/