41-2301. DECLARATION OF PURPOSE. The purpose of this chapter is to promote the public welfare by regulating credit life insurance and credit disability insurance. Nothing in this chapter is intended to prohibit or discharge or discourage reasonable competition. The provisions of this chapter shall be liberally construed. History: [41-2301, added 1961, ch. 330, sec. 536, […]
41-2302. SHORT TITLE. This chapter may be cited as "the model law for the regulation of credit life insurance and credit disability insurance". History: [41-2302, added 1961, ch. 330, sec. 537, p. 645.]
41-2303. SCOPE OF CHAPTER. All life insurance and all disability insurance in connection with loans or other credit transactions shall be subject to the provisions of this chapter; except, that insurance in connection with a loan or other credit transaction of more than fifteen (15) years duration shall not be subject to this chapter, nor […]
41-2304. DEFINITIONS. For the purposes of this chapter: (1) "Credit life insurance" means insurance on the life of a debtor pursuant to or in connection with a specific loan or other credit transaction. (2) "Credit disability insurance" means insurance on a debtor to provide indemnity for payments becoming due on a specific loan or other […]
41-2305. FORMS OF CREDIT LIFE INSURANCE AND CREDIT DISABILITY INSURANCE. Credit life insurance and credit disability insurance shall be issued only in the following forms: (1) Individual policies of life insurance issued to debtors on the term plan. (2) Individual policies of disability insurance issued to debtors on a term plan, or disability benefit provisions […]
41-2306. AMOUNT OF INSURANCE. (1) Credit life insurance: (a) The amount of credit life insurance shall not exceed the initial indebtedness, however the indebtedness may be repayable. (b) In cases where an indebtedness is repayable in substantially equal instalments, the amount of insurance shall at no time exceed the scheduled or actual amount of unpaid […]
41-2307. TERM OF CREDIT LIFE INSURANCE AND CREDIT DISABILITY INSURANCE. The term of any credit life insurance or credit disability insurance shall, subject to acceptance by the insurer, commence on the date when the debtor becomes obligated to the creditor, except that, where a group policy provides coverage with respect to existing obligations, the insurance […]
41-2308. PROVISIONS OF POLICIES AND CERTIFICATES OF INSURANCE — DISCLOSURE TO DEBTORS. (1) All credit life insurance and credit disability insurance shall be evidenced by an individual policy, or in the case of group insurance by a certificate of insurance, which individual policy or group certificate shall be delivered to the debtor. (2) Each individual […]
41-2309. FILING, APPROVAL AND WITHDRAWAL OF FORMS. (1) All policies, certificates of insurance, notices of proposed insurance, applications for insurance, endorsements and riders delivered or issued for delivery in this state and the schedule of premium rates pertaining thereto shall be filed with the director. (2) The director shall within thirty (30) days after the […]
41-2310. PREMIUMS AND REFUNDS. (1) Any insurer may revise its schedules of premium rates from time to time, and shall file such revised schedules with the director. No insurer shall issue any credit life insurance or credit disability insurance policy for which the premium rate exceeds that determined by the schedules of such insurer as […]
41-2311. ISSUANCE OF POLICIES. All policies of credit life insurance and credit disability insurance shall be delivered or issued for delivery in this state only by an insurer authorized to do an insurance business therein, and shall be issued only through holders of licenses or authorizations issued by the director. History: [41-2311, added 1961, ch. […]
41-2312. CLAIMS. (1) All claims shall be promptly reported to the insurer or its designated claim representative, and the insurer shall maintain adequate claim files. All claims shall be settled as soon as possible and in accordance with the terms of the insurance contract. (2) All claims shall be paid either by draft drawn upon […]
41-2313. EXISTING INSURANCE — CHOICE OF INSURER. When credit life insurance or credit disability insurance is required as additional security for any indebtedness, the debtor shall, upon request to the creditor, have the option of furnishing the required amount of insurance through existing policies of insurance owned or controlled by him or of procuring and […]
41-2314. ENFORCEMENT. The director may, after notice and hearing, issue such rules and regulations as he deems appropriate for the supervision of this chapter. Whenever the director finds that there has been a violation of this chapter or any rules or regulations issued pursuant thereto, and after written notice thereof and hearing given to the […]
41-2316. PENALTIES. In addition to any other penalty provided by law, any person who violates an order of the director after it has become final, and while such order is in effect, shall, upon proof thereof to the satisfaction of the court, forfeit and pay to the state of Idaho a sum not to exceed […]
