Arizona Laws 20-1621. Scope of article
A. This article applies to an insurer or producer transacting credit property insurance.
Terms Used In Arizona Laws 20-1621
- Credit property insurance: means a policy of insurance that covers perils to goods purchased through a credit transaction or used as collateral for a credit transaction and that concerns a creditor's interest in the purchased goods or pledged collateral either in whole or in part. See Arizona Laws 20-1621.01
- Credit transaction: means a transaction in which the repayment of money loaned or credit commitment made or payment of goods, services or properties sold or leased is to be made at a future date. See Arizona Laws 20-1621.01
- Creditor: means the lender of money or the vendor or lessor of goods, services, property, rights or privileges for which payment is arranged through a credit transaction, or any successor to the right, title or interest of a lender, vendor or lessor and an affiliate, associate or subsidiary of any of them, any director, officer or employee of any of them or any person in any way associated with any of them. See Arizona Laws 20-1621.01
- Creditor-placed insurance: means insurance that:
(a) A creditor unilaterally purchases after the date of a credit transaction. See Arizona Laws 20-1621.01
- Deed: The legal instrument used to transfer title in real property from one person to another.
- Mortgage: The written agreement pledging property to a creditor as collateral for a loan.
- Nonrecording insurance: means insurance that protects a creditor if the creditor suffers a loss as a result of its failure to perfect its security interest in collateral by failure to file a lien or record a security interest in the collateral as required by law for perfection of a security interest. See Arizona Laws 20-1621.01
- Producer: means a person or entity that receives a commission for insurance written or that, on behalf of an insurer or creditor, solicits, negotiates, effects, procures, delivers, renews, continues or binds credit insurance to which this article applies. See Arizona Laws 20-1621.01
- Property: includes both real and personal property. See Arizona Laws 1-215
B. All credit property insurance written in connection with credit transactions for personal, family or household purposes is subject to this article, except:
1. Insurance resulting from transactions involving extensions of credit primarily for business or commercial purposes.
2. Insurance on mobile homes.
3. Insurance written in connection with a credit transaction that is secured by a real estate mortgage or deed of trust.
4. Creditor-placed insurance.
5. Title insurance.
6. Nonrecording insurance.
7. Insurance purchased by a creditor after repossession or a similar event where the creditor gains possession of the property.
C. All credit property insurance issued or made effective relative to consumer lender loans under Title 6, Chapter 5 is subject to this article.
D. All other provisions of this title not inconsistent with this article apply to transaction of credit property insurance.