Florida Statutes 627.985 – Disclosure requirements
Current as of: 2024 | Check for updates
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(1) In conjunction with any offer of new coverage made in any consolidation, the new insurer shall disclose in writing to each prospective insured all of the following:
(a) That the insured debtor may have the right to continue or convert her or his old coverage by paying premiums directly to the old insurer.
Terms Used In Florida Statutes 627.985
- Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Source: OCC
- Consolidation: means any transaction in which a financial institution or servicer makes its premium collection services available to its mortgage debtors in connection with a particular insurer's ("new insurer") offer of mortgage insurance, which offer is made to debtors who, immediately prior to the offer, had mortgage insurance with another insurer ("old insurer") and were paying premiums for that insurance with their monthly mortgage payments. See Florida Statutes 627.982
- new plan: means the mortgage insurance coverage or mortgage insurance plan for which the financial institution collects premiums beginning on the effective date of consolidation. See Florida Statutes 627.982
- old plan: means the mortgage insurance coverage or mortgage insurance plan the insured debtor had or participated in immediately prior to the consolidation. See Florida Statutes 627.982
- writing: includes handwriting, printing, typewriting, and all other methods and means of forming letters and characters upon paper, stone, wood, or other materials. See Florida Statutes 1.01
(b) That the offer of new coverage is not conditioned upon either the termination or replacement of the old coverage.
(c) The name and address of the old insurer and the new insurer.
(d) The effective date of the new coverage.
(e) The beneficiary of the new coverage.
(f) Whether premium rates under the new plan are guaranteed.
(g) Amount of coverage for both the new and old plans. If the amount of coverage for the old plan is not known, a statement that the amount may be scheduled and it may be less than or greater than the amount of the loan and the insured should check the policy schedule for an exact amount of coverage.
(h) Material differences, if any, between the new plan and the old plan.
(i) A statement as to whether the old plan was an individual or group plan and a statement as to whether the new plan is an individual or group plan.
(j) A consumer information phone number to call with questions regarding the consolidation.
(2) Disclosures required under this part may be made on behalf of the new insurer by the financial institution.