What term describes a person that enters into a viatical settlement contract?

The term that accurately describes a person entering into a viatical settlement contract is "viatical settlement provider." This individual or entity is responsible for purchasing the life insurance policy from the insured individual, often at a value less than the face amount of the policy but higher than its cash surrender value. The provider assumes ownership of the policy and becomes responsible for paying the premiums, while the original policyholder receives immediate financial benefits, typically for medical or personal needs.

Understanding this role is important as it distinguishes the provider from other parties in the transaction. Viatical settlement purchasers, brokers, and effectuators all have different functions. The purchaser refers to the entity acquiring the policy, while brokers typically facilitate the transaction between the policyholder and providers. The term "effectuator" is not commonly used in the context of viatical settlements, and does not represent a recognized role in this industry. Thus, the "viatical settlement provider" is the correct term for someone who actively engages in a viatical settlement contract.