|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Ch. 532 2002 LAWS OF MARYLAND '
|
|
|
|
|
|
|
|
|
|
[(b)] (C) Subject to the provisions of this section, the licensee may collect from
the borrower, at the borrower's option, the premiums paid for [accident and] CREDIT
health insurance covering any one borrower obligated on the loan. The insurance may
not provide benefits exceeding the actual period of disability.
[(c)] (D) (1) Subject to the provisions of subsections [(d),] (e), [and] (f), (G),
and (H) of this section, a lender may collect from a borrower, at the option of the
borrower, the premiums paid for CREDIT involuntary unemployment, benefit
insurance covering the borrower.
[(1) "Involuntary unemployment benefit insurance" means any insurance
designed to pay a lender the monthly payment obligation of a borrower who has
suffered an involuntary loss of employment.]
(2) The availability of CREDIT involuntary unemployment benefit
insurance to a borrower may not be made contingent on the purchase of any other
type of insurance permitted under this section.
[(d)] (E) (1) EXCEPT AS PROVIDED IN THIS SUBSECTION, A LENDER MAKING
A COVERED LOAN MAY NOT FINANCE AS A PART OF THE COVERED LOAN
TRANSACTION SINGLE PREMIUM COVERAGE FOR:
(I) CREDIT HEALTH INSURANCE;
(II) CREDIT INVOLUNTARY UNEMPLOYMENT BENEFIT INSURANCE;
OR
(III) CREDIT LIFE INSURANCE.
(2) NOTHING IN THIS SUBSECTION SHALL PROHIBIT THE FINANCING OF
ANY INSURANCE COVERAGE IN CONNECTION WITH A MOBILE HOME OR ITS
PREMISES, AS THOSE TERMS ARE DEFINED IN § 8A-101 OF THE REAL PROPERTY
ARTICLE.
(F) (1) (i) In this paragraph, "property insurance coverage" means
property insurance against losses caused by perils that commonly are covered in
insurance policies described with terms similar to "standard fire" or "standard fire
with extended coverage".
(ii) A lender may not require a borrower, as a condition to receiving
or maintaining a secondary mortgage loan, to provide or purchase property insurance
coverage against risks to any improvements on any real property in an amount
exceeding the replacement value of the improvements on the real property.
(iii) In determining the replacement value of the improvements on
any real property, the lender may:
1. Accept the value placed on the improvements by the
insurer; or
2. Use the value placed on the improvements that is
determined by the lender's appraisal of the real property.
|
|
|
|
|
|
|
|
|
|
- 4012 -
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
 |
