Business Entity Not Licensed
Business Entities Not Licensed as a Life Agent or Licensed as a Life Agent for Less than One Year
Step 1 - Business entities that plan to broker life settlements who are not licensed as a life agent or business entities that have held a life agent license for less than one year must complete a Business Entity Application for Life Settlement Broker License, form LIC 441-18, to operate as a life settlement broker.
Step 2 - The Business Entity Application includes an Applicant Certification which requires the person having authority to bind the business entity to certify that they have reviewed sections 10113.1 through 10113.3 of the California Insurance Code and Section 2548.1 et seq. (Life Settlements) of Title 10 of the California Code of Regulations. In addition, this individual must certify their understanding that pursuant to sections 10113.1(g)(2)(D) and 10113.2(b) of the CIC, any false statement may subject their application to denial and may subject their license/s to suspension and revocation.
Step 3 - The fee for the Business Entity Life Settlement Broker Application is $188, which is for a one-year period. To continue brokering life settlements, the life settlement broker license will need to be renewed on the same date that the business entity's life license expires. When renewing, business entities will be issued a two-year license as they will then qualify under the requirements for life agents licensed for at least one year
Step 4 - Submit a copy of all life settlement forms by filling out and submitting a Life Settlement Form Filing Cover Sheet, form LIC 441-20C, along with a copy of the forms to the following e-mail address: LifeSettlementForms@insurance.ca.gov.
Employees of the Business Entity
- Within 30 days of employing an individual who notified CDI that they are brokering life settlement, business entities shall submit a Business Entity Endorsement, form LIC 411-8A, to identify individuals who are permitted to exercise the brokerage powers of the business entity.
- Upon the termination of employment of any individual authorized to broker life settlements, business entities shall submit a Business Entity Endorsement Termination, form LIC 411-8T, to terminate that individual's authority to exercise the brokerage powers of the business entity.
- Individual employees of a business entity may self terminate their authority to exercise the brokerage powers of the business entity by filing Endorsee Self Termination Notice, form LIC 411-8B.