Ch. 11

1996 LAWS OF MARYLAND

3.       THE PREMIUM OR AMOUNT OF PAYMENT, IF ANY, PAID
BY THE DEBTOR SHOWN SEPARATELY FOR CREDIT LIFE INSURANCE, CREDIT
HEALTH INSURANCE, AND CREDIT INVOLUNTARY UNEMPLOYMENT BENEFIT
INSURANCE;

4.       A BRIEF DESCRIPTION OF THE COVERAGE, INCLUDING
THE AMOUNT AND TERM OF THE COVERAGE; AND

5.       A STATEMENT THAT THE PROPOSED INSURANCE
BECOMES EFFECTIVE UNDER § 13-107 OF THIS TITLE ON ACCEPTANCE BY THE
INSURER;

(III)   REFER EXCLUSIVELY TO INSURANCE COVERAGE; AND

(IV)   BE SEPARATE FROM THE LOAN, SALE, OR OTHER CREDIT
STATEMENT OF ACCOUNT, INSTRUMENT, OR AGREEMENT, UNLESS THAT
DOCUMENT SETS FORTH PROMINENTLY THE INFORMATION REQUIRED BY THIS
PARAGRAPH.

(3) IF THE INSURER ACCEPTS THE INSURANCE, AND WITHIN 30 DAYS
AFTER THE DATE THE INDEBTEDNESS IS INCURRED, THE INSURER SHALL CAUSE
THE INDIVIDUAL POLICY OR GROUP CERTIFICATE TO BE DELIVERED TO THE
DEBTOR.

(C) SUBSTITUTED INSURER.

IF THE NAMED INSURER DOES NOT ACCEPT THE RISK:

(1)     THE DEBTOR SHALL RECEIVE AN INDIVIDUAL POLICY OR GROUP
CERTIFICATE THAT SETS FORTH THE NAME AND HOME OFFICE ADDRESS OF THE
SUBSTITUTED INSURER, IF ANY, AND THE AMOUNT OF THE PREMIUM TO BE
CHARGED; AND

(2)     AN APPROPRIATE REFUND SHALL BE MADE IF THE AMOUNT OF THE
PREMIUM CHARGED BY THE SUBSTITUTED INSURER IS LESS THAN THE PREMIUM
SET FORTH IN THE NOTICE OF PROPOSED INSURANCE.

REVISOR'S NOTE: This section is new language derived without substantive
change from former Art. 48A, § 436G(c), (d), and (e).

In subsection (b)(2)(iv) of this section, the former word "apart" is deleted as
included in the word "separate".

Defined terms: "Credit health insurance" § 13-101

"Credit involuntary unemployment benefit insurance" § 13-101

"Credit life insurance" § 13-101

"Debtor" § 13-101

"Indebtedness" § 13-101

"Insurance" § 1-101

"Insurer" § 1-101

"Policy" § 1-101

"Premium" § 1-101

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