Utah Code 70C-6-301. Property insurance
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(1) A creditor may not contract for or receive a separate charge for insurance against loss of or damage to property related to the credit transaction unless:
Terms Used In Utah Code 70C-6-301
- Creditor: means :(4)(a)(i) a party:(4)(a)(i)(A) who regularly extends consumer credit that is subject to a finance charge or is payable by written agreement in more than four installments, not including a down payment; and(4)(a)(i)(B) to whom the obligation is initially payable, either on the face of the note or contract, or by agreement when there is no note or contract;(4)(a)(ii) an issuer of a credit card that extends either open-end credit or credit that:(4)(a)(ii)(A) is not subject to a finance charge; and(4)(a)(ii)(B) is not payable by written agreement in more than four installments; and(4)(a)(iii) an issuer of a credit card that extends closed-end credit that:(4)(a)(iii)(A) is subject to a finance charge; or(4)(a)(iii)(B) is payable by written agreement in more than four installments. See Utah Code 70C-1-302
- Property: includes both real and personal property. See Utah Code 68-3-12.5
(1)(a) the insurance covers a significant risk of loss of or damage to the property;(1)(b) the amount, terms, and conditions of the insurance are reasonable in relation to the character and value of the property insured or to be insured; and(1)(c) the term of the insurance is reasonable in relation to the terms of credit.(2) The term of insurance is reasonable if it is customary and does not extend substantially beyond a scheduled maturity.