§ 27-72-12 - Authority to promulgate regulations – Conflict of laws. [Effective July 1, 2010.].
SECTION 27-72-12
§ 27-72-12 Authority to promulgateregulations – Conflict of laws. [Effective July 1, 2010.].– (a) The Commissioner may:
(1) Promulgate regulations implementing this chapter andregulating the activities and relationships of providers, brokers, insurers andtheir agents, subject to statutory limitations on administrative rule making.
(2) Provide by regulation that the commissioner is authorizedand may in his or her discretion recover the reasonable cost of legal servicesincurred by the department in enforcement actions under this chapter eitherfrom the licensee against whom the action is taken or by way of an assessmentof all providers licensed pursuant to subsection 27-72-3(a). The assessmentformula shall be set by regulation based upon information provided in the prioryears annual statement filed pursuant to subsection 27-72-3(l).
(b) Conflict of laws.
(1) If there is more than one owner on a single policy, andthe owners are residents of different states, the life settlement contractshall be governed by the law of the state in which the owner having the largestpercentage ownership resides or, if the owners hold equal ownership, the stateof residence of one owner agreed upon in writing by all of the owners. The lawof the state of the insured shall govern in the event that equal owners fail toagree in writing upon a state of residence for jurisdictional purposes.
(2) A provider from this state who enters into a lifesettlement contract with an owner who is a resident of another state that hasenacted statutes or adopted regulations governing life settlement contracts,shall be governed in the effectuation of that life settlement contract by thestatutes and regulations of the owner's state of residence. If the state inwhich the owner is a resident has not enacted statutes or regulations governinglife settlement contracts, the provider shall give the owner notice thatneither state regulates the transaction upon which he or she is entering. Fortransactions in those states, however, the provider is to maintain all recordsrequired as if the transactions were executed in the state of residence. Theforms used in those states need not be approved by the department.
(3) If there is a conflict in the laws that apply to an ownerand a purchaser in any individual transaction, the laws of the state that applyto the owner shall take precedence and the provider shall comply with thoselaws.