Sec. 14. The following apply to charges for self-storage insurance:

(1) The charges may be billed and collected by the self-storage facility.

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Terms Used In Indiana Code 27-1-16.1-14

  • customer: means a person that obtains the use of storage space from a self-storage facility under the terms of a self-storage rental agreement. See Indiana Code 27-1-16.1-2
  • Dependent: A person dependent for support upon another.
  • Fiduciary: A trustee, executor, or administrator.
  • Insurance: means a contract of insurance or an agreement by which one (1) party, for a consideration, promises to pay money or its equivalent or to do an act valuable to the insured upon the destruction, loss or injury of something in which the other party has a pecuniary interest, or in consideration of a price paid, adequate to the risk, becomes security to the other against loss by certain specified risks; to grant indemnity or security against loss for a consideration. See Indiana Code 27-1-2-3
  • insured customer: means a customer that purchases insurance under a self-storage insurance policy that is sold, solicited, or negotiated by a self-storage facility. See Indiana Code 27-1-16.1-3
  • insurer: means a company, firm, partnership, association, order, society or system making any kind or kinds of insurance and shall include associations operating as Lloyds, reciprocal or inter-insurers, or individual underwriters. See Indiana Code 27-1-2-3
  • self-storage facility: means a person that is engaged in the business of providing rented storage space to the public. See Indiana Code 27-1-16.1-4
  • self-storage insurance: means :

    Indiana Code 27-1-16.1-5

  • self-storage rental agreement: means a written agreement containing the terms and conditions governing the use of storage space provided by a self-storage facility. See Indiana Code 27-1-16.1-6
  • supervising entity: means a business entity that:

    Indiana Code 27-1-16.1-7

(2) If the insurance cost is not included in the cost associated with the self-storage rental agreement, the insurance cost must be separately itemized on the insured customer‘s bill.

(3) If the insurance cost is included in the cost associated with the self-storage rental agreement, the self-storage facility shall clearly and conspicuously disclose to the insured customer that the self-storage insurance cost is included with the cost of the self-storage rental agreement.

(4) A self-storage facility that bills and collects the charges shall maintain collected funds in a segregated account unless the:

(A) insurer that issues the self-storage insurance policy authorizes the self-storage facility to hold the funds in an alternative manner; and

(B) self-storage facility remits the funds to the supervising entity less than sixty (60) days after the self-storage facility receives the funds.

(5) All funds received by the self-storage facility from an insured customer as payment for the purchase of coverage under a self-storage insurance policy are considered to be funds held in trust by the self-storage facility in a fiduciary capacity for the benefit of the insurer.

(6) A self-storage facility may receive from an insurer or a supervising entity compensation for billing and collection services. Compensation described in this subdivision may be dependent on the sale of self-storage insurance.

As added by P.L.81-2013, SEC.3.