J. MILLARD TAWES, Governor                     1169

379.    Binders.

(a)   Binders or other contracts for temporary insurance may be
made orally or in writing, and shall be deemed to include all the
usual terms of the policy as to which the binder was given together
with such applicable endorsements as are designated in the binder,
except as superseded by the clear and express terms of the binder.

(b)   No binder shall be valid beyond the issuance of the policy
with respect to which it was given.

(c)   This section shall not apply to life or health insurances.

380.    Certificate for Pledged Property.

Any insurer issuing a policy covering any property of a borrower
which has been pledged, mortgaged, or is subject to a conditional
contract of sale and who supplies such policy to the lender must
also issue to the owner or borrower of such property a certificate
setting forth the coverages provided in the policy delivered to the
lender, the exact amount of premium charged for the policy, and the
effective date and the expiration date of such policy.

381.    Payment Discharges Insurer.

Whenever the proceeds of or payments under a life or health insur-
ance policy or annuity contract heretofore or hereafter issued be-
come payable in accordance with the terms of such policy or con-
tract, or the exercise of any right or privilege thereunder, and the
insurer makes payment thereof in accordance with the terms of the
policy or contract or in accordance with any written assignment
thereof, the person then designated in the policy or contract or by
such assignment as being entitled thereto shall be entitled to receive
such proceeds or payments and to give full acquittance therefor, and
such payments shall fully discharge the insurer from all claims under
the policy or contract unless, before payment is made, the insurer
has received at its home office written notice by or on behalf of some
other person that such other person claims to be entitled to such pay-
ment or some interest in the policy or contract.

382.    Payments; Letters of Administration.

Whenever it shall appear that a resident of this State has died
intestate leaving an estate which consists of assets or property,
including life insurance proceeds, in a total amount not exceeding
$1,000.00 the insurer may, at its option, pay such life insurance
proceeds to the surviving spouse, or to a child or children of the
decedent, or to a surviving parent, without the necessity of the
grant of letters of administration, provided such person or persons
shall furnish the insurer with an affidavit to the effect that the entire
estate of the decedent, including such insurance proceeds, is in a
total amount not exceeding $1,000.00 or such person shall furnish a
certificate of administration as provided by the small estate law,
sections 162 and 163 of Article 93. If any such person is a minor, the
insurer may, at its option, make payment of the share of such minor
to any institution, or to any person related to the minor, having
custody of such minor, without requiring such institution or related
person to be appointed the legal guardian of such minor. Payment
by the insurer under the provisions of this section, or under the pro-