What is the maximum time a viator has to rescind a Viatical Settlement contract after receiving the proceeds?

The correct answer is based on the specific regulations governing Viatical Settlements in Indiana. In this context, a viator is a person who sells their life insurance policy to a third party for a lump sum payment, typically due to a terminal illness or critical health condition. The law provides a period during which the viator has the right to rescind the settlement, allowing them to reconsider their decision after receiving the proceeds.

In Indiana, the maximum time frame that a viator can rescind a Viatical Settlement contract after the proceeds have been paid out is indeed 15 days. This period is designed to protect viators by providing them a limited opportunity to change their mind if they feel that the decision to enter into the settlement was made in haste or if circumstances around their health or financial needs change. Therefore, the 15-day period is a safeguard to ensure that viators have sufficient time to reassess their decision once they receive the funds from the transaction.

This legislative measure reflects the balance between facilitating the sale of life insurance policies while also acknowledging the vulnerability of individuals in critical health situations.