20-1621. Scope of article A. This article applies to an insurer or producer transacting credit property insurance. B. All credit property insurance written in connection with credit transactions for personal, family or household purposes is subject to this article, except: 1. Insurance resulting from transactions involving extensions of credit primarily for business or commercial purposes. […]
20-1621.01. Definitions In this article, unless the context otherwise requires: 1. " Closed-end credit" means a credit transaction that does not meet the definition of open-end credit. 2. " Collateral" means personal property in which a purchase money security interest is retained or that is pledged as security for the satisfaction of a debt. 3. […]
20-1621.02. Amount; term; coverage; prohibited practices A. For credit property insurance sold in conjunction with a closed-end transaction, an insurer shall not: 1. Issue credit property insurance coverage unless the amount financed exceeds one hundred dollars. 2. Issue credit property insurance in an amount that exceeds the amount of the underlying credit transaction unless otherwise […]
20-1621.03. Disclosure to debtors; provisions of policies; certificates of insurance A. Before a debtor elects to purchase credit property insurance, the following information shall be disclosed to the debtor in writing: 1. Purchase of credit property insurance through the creditor is optional and not a condition of obtaining credit approval. 2. If more than one […]
20-1621.04. Rates and forms; filing; approval; withdrawal of approval A. A person shall not deliver, or issue for delivery in this state, any credit property insurance policy or rate unless the person has first filed the form or rate with the director and the director has approved the form or rate. Unless the director issues […]
20-1621.05. Reasonableness of benefits in relation to premium charged A. An insurer’s premium rates shall be reasonable in relation to the benefits provided and shall not be excessive, inadequate or unfairly discriminatory. B. At least once every three years, the director shall establish by order a loss ratio standard. In establishing the loss ratio standard, […]
20-1621.06. Experience reports An insurer transacting credit property insurance in this state shall annually file with the director and the national association of insurance commissioner’s a report of credit property insurance written on a calendar year basis. The report shall use the credit insurance supplement annual statement blank approved by the commissioners, and shall contain […]
20-1621.07. Cancellation and refund of unearned premium On cancellation for any reason, the debtor is entitled to a refund of unearned premiums calculated on a daily pro rata basis, except that an insurer is not required to make any refund of less than five dollars.
20-1621.08. Claims A. A creditor shall promptly report all claims to the insurer or its designated claim representative. B. All claims shall be paid either by draft drawn on the insurer, by electronic funds transfer, by check of the insurer to the order of the claimant to whom payment of the claim is due pursuant […]
20-1621.09. Cease and desist order; hearing On finding that a person has violated this article or a rule adopted pursuant to this article, the director may issue an order directing that the person cease and desist from committing the violation. On the issuance of an order to cease and desist, the person may request a […]
20-1621.10. Rules The director may adopt any rules reasonably necessary to carry out and effectuate this article.
20-1621.11. Penalties In addition to any other penalties authorized by this title, after notice and a hearing, the director may impose on an insurer that violates an order of the director that is issued pursuant to this article or any rule adopted pursuant to this article a civil penalty of not more than one thousand […]
