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Florida Insurance Commissioner Kevin McCarty
Issues Cease and Desist Order
7/10/07, Tallahassee, FLA - 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.
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