28 Tex. Admin. Code § 3.5103 - Policy Provisions
Each individual policy or group certificate of credit life insurance or credit accident and health insurance delivered or issued for delivery in this state must, in addition to the other requirements of law, set forth:
(1) the name and home office
mailing address of the insurer, and on group certificates of insurance, an
identification of the master policy;
(2) the name and age or birth date of the
insured debtor (or debtors, if joint life);
(3) the full amount of premium or the total
identifiable insurance charge, if any, to the debtor, stated separately for
credit life insurance and for credit accident and health insurance; however, if
the indebtedness is an open-end transaction, there must be set forth,
separately for credit life and credit accident and health insurance, the rate
of insurance charge or payment per unit of coverage and how each charge is
derived;
(4) the amount of
insurance coverage;
(5) the
effective date of insurance, and the termination date of insurance. The
termination date may not extend more than 15 days beyond the scheduled maturity
date of the indebtedness except when extended without additional cost to the
debtor. If the indebtedness is an open-end transaction, in lieu of the
termination date, the conditions of termination must be set forth;
(6) a description of the coverage;
(7) any and all exceptions, limitations, and
restrictions to the coverage;
(8) a
statement that the benefits, to the extent necessary to extinguish the unpaid
amount of the indebtedness, will be paid to the creditor as first beneficiary,
and will be applied by the creditor to reduce or extinguish such indebtedness;
and a statement that wherever the insurance benefits may exceed the amount
necessary to extinguish the indebtedness, any such excess must be paid by
separate check or draft of the insurer to the insured debtor, if then living;
otherwise, to a second beneficiary named by the debtor, or a second insured
debtor or, in the absence of such designation, to the surviving spouse or to
the debtor's estate;
(9) a
statement indicating that upon discharge of the indebtedness, the insurance
will be terminated, but without prejudice to any claim originating prior to
such termination, and that in all cases of termination prior to scheduled
maturity, a refund of any unearned amount of premium paid by or charged to the
debtor for insurance will be made in accordance with the appropriate formula
set forth in §
3.5901 of this title (relating to
Refund of Unearned Premiums) and §
3.5906 of this title (relating to
Treatment of Partial Months). Such refund must be paid or credited to the
account of the debtor, or paid to the second beneficiary, if the debtor is not
living. No such refund is required if the total amount thereof is less than
$3.00. (For insurance coverage subject to Finance Code Chapters 341, 342, and
345 - 348, a refund must be made, except that no cash refund will be required
if the amount thereof is less than $1.00.)
Notes
State regulations are updated quarterly; we currently have two versions available. Below is a comparison between our most recent version and the prior quarterly release. More comparison features will be added as we have more versions to compare.
No prior version found.