VIATICUS FINED FOR MISLEADING ADVERTISING

Springfield, IL - Illinois Insurance Director Mark Boozell today fined Viaticus, Inc. $25,000 for mailing sales materials printed on Illinois General Assembly letterhead without permission. The solicitations were sent to the homes of thousands of state employees.

In addition to the fine, Boozell ordered the Chicago-based viatical settlement company to cease the unauthorized mailings and to issue corrective notices to everyone who received the improper solicitations.

Viatical settlement companies purchase life insurance policies from terminally ill people for a percentage of the policy's face value, minus any outstanding policy loans.

"Viatical settlements provide an important option to seriously ill Illinois consumers who may need cash for medical or other expenses," Boozell said. "It is unconscionable, however, that this company has given state employees the impression that its program is an employee benefit or that it is tied to the Illinois General Assembly."