What is the role of a viatical settlement broker?

The role of a viatical settlement broker primarily involves representing the viator, who is the policyholder looking to sell their life insurance policy, in negotiations with potential buyers, often called viatical settlement providers. The broker acts as an intermediary who helps the viator understand the terms of the settlement and seeks the best possible financial outcome for them. This representation is crucial, as the process of negotiating a viatical settlement can be complex and requires thorough knowledge of both the insurance market and applicable regulations.

In contrast, the other options describe functions that are not typically performed by a viatical settlement broker. Providing insurance coverage after a settlement would fall outside the scope of the broker's responsibilities, as their role is centered on facilitating the sale of the policy rather than continuing coverage.

Administering the settlement funds generally pertains to financial institutions or trust companies managing the disbursed funds once a life insurance policy has been sold. Lastly, assessing claim values for settlement involves valuing the insurance policy, which is usually done by evaluators or financial analysts rather than the broker directly. Thus, the viatical settlement broker's main duty is distinctly focused on representing and negotiating on behalf of the viator during the settlement process.