H845 - Update Structured Settlement Protection Act

• Aligns North Carolina's Structured Settlement Protection Act with the National Council of Insurance Legislators' most recent model act by updating definitions, procedures, and protections for payees

• Requires structured settlement purchase companies to register with the Department of Insurance and maintain a $50,000 surety bond, letter of credit, or cash bond to protect payees

• Mandates transferees provide payees with detailed disclosure statements at least 3 days before signing, including payment amounts, discounted present value, gross/net advance amounts, transfer expenses, and effective annual interest rate

• Establishes court approval process requiring findings that transfers are in payee's best interest, comply with applicable laws, and don't exceed prime plus 5 percentage points annual rate or 2% of net amount in transfer expenses

• Prohibits transferees from charging commissions or finder's fees to third parties (except to other professionals or structured settlement purchase companies), coercing payees, filing in wrong jurisdiction, or contacting payees with competing offers during pending proceedings

• Effective October 1, 2024, for transfer agreements entered into on or after that date