What is the term for the insured who enters into a viatical settlement?

The term 'viator' specifically refers to the insured individual who enters into a viatical settlement. In the context of viatical settlements, this person sells their life insurance policy to a third party for a lump-sum payment, typically when they are terminally ill or facing a serious medical condition. This allows the viator to access funds that can be used for medical expenses, debt repayment, or any other financial need.

Understanding this term is crucial as it distinguishes the individual directly involved in the transaction and highlights the nature of the agreement where the insured effectively becomes a seller of the policy rather than just a policyholder. Thus, recognizing the role of the viator helps clarify the dynamics of viatical settlements within the broader scope of life insurance transactions.