(a) (1) A premium finance agreement shall be dated and signed by or on behalf of the insured. (2) Except as provided under subsection (b)(5)(viii) of this section, the printed part of the premium finance agreement shall be in approximately 8–point type and be easily readable by an average individual. (b) A premium finance agreement shall contain: (1) the name […]
In addition to financing the premium of a surplus lines insurance contract, a premium finance agreement may include any: (1) premium receipts tax that a surplus lines broker is required to charge under § 3-324 of this article and pay to the Commissioner under § 3-325 of this article; (2) policy fee that a surplus lines broker […]
(a) (1) With respect to private passenger motor vehicle insurance and personal insurance, a premium finance company may: (i) assign all rights and obligations under a premium finance agreement to another premium finance company that is registered in the State under this title; or (ii) pledge a premium finance agreement as collateral for a loan. (2) If a premium finance […]
(a) A copy of each premium finance agreement or other notice of a premium finance agreement that describes the policy or policies involved shall be given to the agency issuing the policy or policies or to the insurers involved. (b) (1) If a policy is procured through a surplus lines broker licensed in the State, and payment is […]
(a) An insured may finance an additional premium if: (1) the insured has paid the down payment, if any, required by the premium finance company on the additional premium; and (2) the premium finance company delivers or mails a written notice to the insured at the last known address of the insured indicating that: (i) there is a revised […]
If an insurer receives notice of a financed insurance premium, the insurer shall, within 10 business days after its calculation, notify the insured, the insurer’s insurance producer, and premium finance company of any additional premium arising under the financed policy.
(a) The maximum charges stated in §§ 23-304 and 23-305 of this subtitle shall include all interest, fees, and charges incident to the premium finance agreement and the resulting extension of credit. (b) Notwithstanding subsection (a) of this section, delinquency, collection, cancellation, reinstatement, and electronic payment fee charges may be made in accordance with the limitations of […]
(a) The finance charge shall be computed: (1) on the amount of the entire premium loan advanced, including any taxes or fees that are financed under § 23–301.1 of this subtitle, after subtracting any down payment on the premium loan made by the insured; (2) from the inception date of the insurance contract or from the due date […]
(a) A premium finance company may charge an initial service fee, which may not exceed $20, for actual expenses. (b) The initial service fee may not be refunded on cancellation or repayment.
(a) A premium finance agreement may require the insured to pay a delinquency and collection charge on each installment that is in default for a period of not less than 5 days. (b) A delinquency and collection charge shall be at least $1, up to a maximum of 5% of the installment in default, but may not […]
(a) Except as provided in subsection (d) of this section, a premium finance agreement may require the insured to pay a cancellation charge if a default in paying an installment results in the cancellation of an insurance contract listed in the premium finance agreement. (b) A cancellation charge shall be: (1) with respect to private passenger automobile or […]
(a) (1) In this section the following words have the meanings indicated. (2) (i) “Electronic check” means a form of payment in which a fund transfer is made electronically from a payer’s bank account to a premium finance company’s bank account. (ii) “Electronic check” does not include a written check that is delivered to a premium finance company or an […]
A premium finance company may charge a dishonored check fee, which may not exceed $25, for actual expenses incurred in the processing of a dishonored check.
A premium finance company may not charge an insured or a prospective insured any fee for the expense that the premium finance company incurs in obtaining a comprehensive loss underwriting exchange automobile report (CLUE report) regarding the insured or prospective insured if a producer already has charged the insured or prospective insured for obtaining the […]
Filing of a premium finance agreement is not needed to perfect the validity of the premium finance 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 any of those persons, their successors, or […]
A premium finance company is not required to reinstate a policy if: (1) the insurer requires a reinstatement fee, as authorized under § 27–216(b)(5) of this article, to be paid by the insured; and (2) the insured does not timely pay the reinstatement fee.
