Which of the following is a function of the life settlement broker?

A life settlement broker plays a critical role in the life settlement market by serving as an intermediary between policyholders who wish to sell their life insurance policies and potential buyers, often institutional investors. The primary function of these brokers is to negotiate life settlement contracts, which means they actively facilitate the transaction in which a policyholder sells their life insurance policy for a lump sum payment that is typically greater than its cash surrender value but less than the death benefit.

Negotiation involves assessing the policyholder's needs, examining the policy details, and finding buyers who are willing to purchase the policy on the secondary market. The life settlement broker aims to secure the best possible price for the seller while ensuring that all parties involved comply with legal and regulatory requirements. In contrast, the other options pertain to activities that are outside the scope of a life settlement broker's responsibilities. For instance, setting premium rates for policies is typically done by insurance companies, selling insurance on the open market involves agents and brokers focused on new policies rather than settlements, and conducting medical examinations pertains to the underwriting process for new insurance applicants, rather than managing existing policy sales.