Your Custom Text Here
This bill provides that if any lender, either a bank or mortgage company, fails to pay insurance premiums from escrowed funds that were available, then the lender is liable for uncovered or potential loss up to the limits on the expired policy; and the lender must pay the increased cost of a similar policy for three years; if any Lender is late in paying the insurance premium, the Lender must pay the late fee charged by the insurance company.
This legislation allows for a “continuous affidavit” for any insurance policy renewed, continued or extended by the same insurance company procured by a special insurance broker for which the broker has previously completed an affidavit. This affidavit shall remain on file with the special insurance broker and be available to the Division of Insurance for examination at all reasonable times.
This legislation prohibits insurance companies from cancelling the motor vehicle insurance of an individual member of a group plan based upon the company’s underwriting standards for non-group members.