The following words and phrases shall have the meanings ascribed herein unless the context clearly indicates otherwise: “Commissioner” means the Commissioner of Banking and Consumer Finance. “Person” means an individual, partnership, association, business corporation, nonprofit corporation, common-law trust, joint-stock company or any other entity, however organized. “Premium finance agreement” means an agreement by which an […]
The commissioner, or his duly authorized representative, for the purpose of discovering violations of this chapter and for the purpose of determining whether persons are subject to the provisions of this chapter, may examine persons licensed under this chapter and persons reasonably suspected by the commissioner of conducting business that requires a license under this […]
A premium finance company shall maintain records of its premium finance transactions. A premium finance company shall preserve its records of premium finance transactions, including preservation by means of electronic data processing or computer records, for at least two (2) years after making the final entry with respect to any premium finance agreement. The preservation […]
A premium finance agreement shall: Be dated and signed by or on behalf of the insured, and the printed portion thereof shall be in at least eight-point type; Contain the name and place of business of the insurance agent or broker negotiating the related insurance contract, the name and residence or place of business of […]
A premium finance company shall not charge, contract for, receive or collect any interest or service charge other than as permitted in this section. The interest is to be computed on the balance of the premiums due, after subtracting the down payment made by the insured in accordance with the premium finance agreement, from the […]
A premium finance agreement may provide for the payment by the insured of a delinquency charge of up to five percent (5%) of any installment which is in default for a period of more than five (5) days. If the premium finance agreement is primarily for personal, family or household purposes then the maximum delinquency […]
When a premium finance agreement contains a power of attorney clause enabling the premium finance company to cancel any insurance contract or contracts listed in the agreement, the insurance contract or contracts shall not be cancelled by the premium finance company unless such cancellation is done in accordance with this section. Not less than ten […]
Whenever a financed insurance contract is cancelled, the insurer shall return to the premium finance company as soon as reasonably possible whatever gross unearned premiums are due under the insurance contract, and also shall furnish to the premium finance company a report setting forth an itemization of the unearned premiums under the policy that includes […]
No filing of the premium finance agreement shall be necessary to perfect the validity of such agreement as a secured transaction as against creditors, subsequent purchasers, pledgees, encumbrancers, trustees in bankruptcy or any other insolvency proceeding under any law or anyone having the status or power of the aforementioned or their successors or assigns.
All revenues collected by or paid to the commissioner under the provisions of Section 81-21-9 shall be forwarded immediately to the State Treasurer, who shall deposit them into the special fund in the State Treasury designated as the “Consumer Finance Fund.”
This chapter shall not apply to: The financing of insurance premiums by any seller who sells goods or services pursuant to an installment sales contract in which a time price differential is charged, or to any savings and loan association, savings bank, bank, trust company, finance company, credit union or mortgage company; Any insurance company, […]
No person shall engage in the business of a premium finance company in this state without first having obtained a license as a premium finance company from the commissioner. With each initial application for a license, the applicant shall pay to the commissioner at the time of making the application a license fee of Seven […]
Upon the filing of an application and the payment of the license fee, the commissioner shall make an investigation of each applicant and shall issue a license if the application is qualified in accordance with this chapter. If the commissioner does not so find, he or she, at the request of the applicant, shall give […]
The commissioner may revoke or suspend the license of any premium finance company when after investigation the commissioner finds that: The license was obtained by material misrepresentation or fraud; The holder of the license has shown himself untrustworthy or incompetent to act as a premium finance company; or The licensee has violated any of the […]
In lieu of revoking or suspending the license for any of the causes enumerated in this chapter, after a hearing as provided in Section 81-21-7, the commissioner may subject the company to a penalty not to exceed Five Hundred Dollars ($500.00) for each offense when the commissioner finds that the public interest would not be […]
