life settlement contract

"Life settlement contract" means an agreement between a life settlement provider and the holder of a group or individual life insurance policy insuring the life of a person with a terminal illness or condition, or between a life settlement provider and the certificate holder of such a policy, in which:

(a) The terms establish that the life settlement provider pays something of value in return for the policyholder's or certificate holder's assignment, transfer, sale, devise or bequest of the death benefit or ownership of the insurance policy or certificate to the life settlement provider; and

(b) The policyholder or certificate holder holds an irrevocable right under the policy or certificate to name the beneficiary.