The European Life Settlement Association (ELSA) welcomes the publication of the latest issue of the ‘BVZL Best Practices: Guidelines for Investors and Suggested Best Practice Standards for Professionals in the U.S. Life Settlement Investment Industry’. ELSA is pleased to note BVZL’s reference to these published standards as ‘the missing and probably decisive step toward further professionalization of the international secondary markets for life insurance providing another important contribution to inform the public, interested investors, media and supervisory authorities, thus, creating even more market transparency.’
Participants in ELSA’s Third Investor Summit in September 2013 predicted a ‘New Spring’ in the Life Settlements market, thanks in part to growing acceptance of life settlements for use in long-term care, thus offsetting some of the costs of Medicaid. Improved industry standards and greater transparency, as detailed in the latest edition of ELSA’s own Code of Practice, have also reassured regulators and investors alike about the future of the market.
Simon Erritt, chair of ELSA, said, ‘BVZL’s publication will serve as an important tool for both investors and the SLS industry going forward. However, there are too many companies paying lip service to best practice and not applying the highest standards outlined in this and ELSA’s own Code of Practice. ELSA remains committed to encouraging more SLS companies to follow the requirements and guidance established in our Code of Practice 3.0.’