58-19-1      Purpose of chapter.
58-19-2      Definition of terms.
58-19-3      Life and health insurance connected with credit transactions subject to chapter--Exceptions.
58-19-4      Forms of credit life insurance and credit health insurance.
58-19-5      Existing insurance--Choice of insurer.
58-19-5.1      Credit insurance not to be required for lease.
58-19-6      Maximum amount of credit life insurance.
58-19-7      Agricultural credit transaction commitments--Amount of insurance.
58-19-8      Indemnity payable by credit health insurance--Maximum amount.
58-19-9      Term of insurance--Commencement.
58-19-10      Commencement of insurance when evidence of insurability required.
58-19-11      Duration of term of insurance--Extension--Renewal or refinancing.
58-19-12      Revision of premium schedule--Filing.
58-19-13      Premium rate not to exceed scheduled rate--Misdemeanor.
58-19-14      Amount charged debtor not to exceed premium charged by insurer--Misdemeanor.
58-19-15      Termination of insurance prior to maturity date--Refund of amount paid by debtor.
58-19-16      Creditor requiring debtor to pay for insurance--Notice to debtor--Credit to account.
58-19-17      Issuance of policies.
58-19-18      Individual policy or group certificate delivered to debtor.
58-19-19      Contents of individual policy or group certificate.
58-19-20      Time of delivery of individual policy or group certificate.
58-19-21      Application or notice delivered to debtor in lieu of policy or certificate.
58-19-22      Delivery to debtor of policy or certificate after acceptance of insurance.
58-19-23      Policy received by debtor on nonacceptance of risk by named insurer--Description of substitute insurance.
58-19-24      Forms--Filing with director.
58-19-25      Prior policies--Group certificate and notice of proposed insurance, filing and approval by director--Schedules of premium rates.
58-19-26      Disapproval of filed forms by director.
58-19-27      Use of disapproved forms unlawful--Reason stated in notice--Hearing on request--Use of forms pending approval.
58-19-28      Withdrawal of approval of form--Notice and hearing.
58-19-29      Use of forms unlawful after withdrawal.
58-19-30      Judicial review of order or final determination of director as to forms.
58-19-31      Claims--Reporting to insurer--Settlement.
58-19-32      Settlement or adjustment of claims by person other than insurer prohibited--Creditor not claim representative--Payment by group policyholder.
58-19-33      Manner of payment of claims.
58-19-34      Promulgation of rules by director--Purpose and scope.
58-19-35      Order for compliance issued by director--Notice and hearing.
58-19-36      Revocation or suspension of license or certificate for violation--Notice and hearing--Judicial review.
58-19-37      Civil forfeiture for violations of orders of director.
58-19-38      Citation of chapter.

58-19-1. Purpose of chapter.

The purpose of this chapter is to promote the public welfare by regulating credit life insurance, credit health insurance, credit unemployment insurance, and credit property including group personal property coverages authorized through credit cards. Nothing in this chapter is intended to prohibit or discourage reasonable competition. The provisions of this chapter shall be liberally construed.

Source: SL 1966, ch 111, ch 27, § 1; SL 1987, ch 380, § 9; SL 2001, ch 281, § 1.

58-19-2. Definition of terms.

Terms used in this chapter mean:

(1)    "Credit health insurance," insurance on a debtor to provide indemnity for payments becoming due on a specific loan, lease, or other credit transaction while the debtor is disabled as defined in the policy;

(2)    "Credit life insurance," insurance on the life of a debtor pursuant to or in connection with a specific loan, lease, or other credit transaction;

(3)    "Creditor," the lender of money or vendor or lessor of goods, services, or property, rights or privileges, for which payment is arranged through a credit transaction, or any successor to the right, title, or interest of any such lender, vendor, or lessor, and an affiliate, associate, or subsidiary of any of them or any director, officer, or employee of any of them or any other person in any way associated with any of them;

(4)    "Debtor," a borrower of money or a purchaser or lessee of goods, services, property, rights, or privileges for which payment is arranged through a credit transaction;

(5)    "Indebtedness," the total amount payable by a debtor to a creditor in connection with a loan, lease, or other credit transaction;

(6)    "Group property insurance authorized by credit card," forms of property insurance issued on a group basis covering:

(a)    Loss of or damage to personal property, other than loss of use or loss resulting from a defect in materials or workmanship, where such personal property is purchased using a credit card;

(b)    Loss of, damage to or loss of use of personal property resulting from a defect in materials or workmanship, where the personal property is purchased using a credit card and is under warranty;

(c)    Loss of or damage to a lease or rented motor vehicle, that is intended to be rented or leased for a period of ninety consecutive days or less, where the lease or rental fee is paid using a credit card;

(d)    Loss of, or damage to or loss of use of baggage and its contents while in transit, where the cost of travel or accommodations is paid using a credit card;

(e)    Loss of damage to or loss of use of personal property occurring in connection with use of a leased or rented motor vehicle, which motor vehicle is intended to be rented or leased for a period of ninety consecutive days or less, where the lease or rental fee is paid using a credit card;

(f)    Loss incurred in connection with the unauthorized use of a credit card; or

(g)    Such other forms of property insurance that are authorized by the director of the Division of Insurance by rule promulgated pursuant to chapter 1-26 and determined to be appropriate for issuance on a group basis.

Source: SL 1966, ch 111, ch 27, § 2 (3); SL 1998, ch 295, § 1; SL 2001, ch 281, § 2.

58-19-3. Life and health insurance connected with credit transactions subject to chapter--Exceptions.

All life insurance and all health insurance in connection with loans or other credit transactions shall be subject to the provisions of this chapter, except such insurance in connection with a loan or other credit transaction of more than ten years' duration; nor shall insurance be subject to the provisions of this chapter where the issuance of such insurance is an isolated transaction on the part of the insurer not related to an agreement or a plan for insuring debtors of the creditor.

Source: SL 1966, ch 111, ch 27, § 2 (2); SL 1970, ch 271.

58-19-4. Forms of credit life insurance and credit health insurance.

Credit life insurance and credit health insurance shall be issued only in the following forms:

(1)    Individual policies of life insurance issued to debtors on the term plan;

(2)    Individual policies of health insurance issued to debtors on a term plan or disability benefit provisions in individual policies of credit life insurance;

(3)    Group policies of life insurance issued to creditors providing insurance upon the lives of debtors on the term plan;

(4)    Group policies of health insurance issued to creditors on a term plan insuring debtors or disability benefit provisions in group credit life insurance policies to provide such coverage.

Source: SL 1966, ch 111, ch 27, § 3.

58-19-5. Existing insurance--Choice of insurer.

When credit life insurance or credit health insurance is required as additional security for any indebtedness, the debtor shall, upon request to the creditor, have the option of furnishing the required amount of insurance through existing policies of insurance owned or controlled by him or of procuring and furnishing the required coverage through any insurer authorized to transact an insurance business within this state.

Source: SL 1966, ch 111, ch 27, § 11.

58-19-5.1. Credit insurance not to be required for lease.

No lessor may require a lessee to purchase credit insurance as a term or condition of the lease.

Source: SL 1998, ch 295, § 2.

58-19-6. Maximum amount of credit life insurance.

The initial amount of credit life insurance shall not exceed the total amount repayable under the contract of indebtedness and, where an indebtedness is repayable in substantially equal installments, the amount of insurance shall at no time exceed the scheduled or actual amount of unpaid indebtedness, whichever is greater.

Source: SL 1966, ch 111, ch 27, § 4 (1).

58-19-7. Agricultural credit transaction commitments--Amount of insurance.

Notwithstanding the provisions of § 58-19-6, insurance on agricultural credit transaction commitments may be written for the amount of the portion of such commitment that has not been advanced by the creditor.

Source: SL 1966, ch 111, ch 27, § 4 (2).

58-19-8. Indemnity payable by credit health insurance--Maximum amount.

The total amount of periodic indemnity payable by credit health insurance in the event of disability, as defined in the policy, shall not exceed the aggregate of the periodic scheduled unpaid installments of the indebtedness; and the amount of each periodic indemnity payment shall not exceed the original indebtedness divided by the number of periodic installments.

Source: SL 1966, ch 111, ch 27, § 4 (3).

58-19-9. Term of insurance--Commencement.

The term of any credit life insurance or credit health insurance shall, subject to acceptance by the insurer, commence on the date when the debtor becomes obligated to the creditor, except that, where a group policy provides coverage with respect to existing obligations, the insurance on a debtor with respect to such indebtedness shall commence on the effective date of the policy.

Source: SL 1966, ch 111, ch 27, § 5.

58-19-10. Commencement of insurance when evidence of insurability required.

Where evidence of insurability is required and such evidence is furnished more than thirty days after the date when the debtor becomes obligated to the creditor, the term of credit life insurance or credit health insurance may commence on the date on which the insurance company determines the evidence to be satisfactory, and in such event there shall be an appropriate refund or adjustment of any charge to the debtor for insurance.

Source: SL 1966, ch 111, ch 27, § 5.

58-19-11. Duration of term of insurance--Extension--Renewal or refinancing.

The term of credit life insurance or credit health insurance shall not extend more than fifteen days beyond the scheduled maturity date of the indebtedness except when extended without additional cost to the debtor. If the indebtedness is discharged due to renewal or refinancing prior to the scheduled maturity date, the insurance in force shall be terminated before any new insurance may be issued in connection with the renewed or refinanced indebtedness. In all cases of termination prior to scheduled maturity, a refund shall be paid or credited as provided in § 58-19-15.

Source: SL 1966, ch 111, ch 27, § 5.

58-19-12. Revision of premium schedule--Filing.

Any insurer may revise its schedules of premium rates from time to time, and shall file such revised schedules with the director.

Source: SL 1966, ch 111, ch 27, § 8 (1).

58-19-13. Premium rate not to exceed scheduled rate--Misdemeanor.

No insurer shall issue any credit life insurance policy or credit health insurance policy for which the premium rate exceeds that determined by the schedules of such insurer as then on file with the director. Violation of this section is a Class 2 misdemeanor.

Source: SL 1966, ch 111, ch 27, § 8 (1); SL 1978, ch 359, § 2.

58-19-14. Amount charged debtor not to exceed premium charged by insurer--Misdemeanor.

The amount charged to a debtor for any credit life or credit health insurance shall not exceed the premiums charged by the insurer, as computed at the time the charge to the debtor is determined. Violation of this section is a Class 2 misdemeanor.

Source: SL 1966, ch 111, ch 27, § 8 (4); SL 1978, ch 359, § 2.

58-19-15. Termination of insurance prior to maturity date--Refund of amount paid by debtor.

Each individual policy, or group certificate shall provide that in the event of termination of the insurance prior to the scheduled maturity date of the indebtedness, any refund of an amount paid by the debtor for insurance shall be paid or credited promptly to the person entitled thereto; provided, however, that the director shall prescribe a minimum refund and no refund which would be less than such minimum need be made. The formula to be used in computing such refund shall be promulgated in a rule by the director.

Source: SL 1966, ch 111, ch 27, § 8 (2); SL 1986, ch 22, § 30.

58-19-16. Creditor requiring debtor to pay for insurance--Notice to debtor--Credit to account.

If a creditor requires a debtor to make any payment for credit life insurance or credit health insurance and an individual policy or group certificate of insurance is not issued, the creditor shall immediately give written notice to such debtor and shall promptly make an appropriate credit to the account.

Source: SL 1966, ch 111, ch 27, § 8 (3).

58-19-17. Issuance of policies.

All policies of credit life insurance and credit health insurance shall be delivered or issued for delivery in this state only by an insurer authorized to do an insurance business therein, and shall be issued only through holders of licenses or authorizations issued by the director.

Source: SL 1966, ch 111, ch 27, § 9.

58-19-18. Individual policy or group certificate delivered to debtor.

All credit life insurance and credit health insurance sold shall be evidenced by an individual policy, or in the case of group insurance by a certificate of insurance, which individual policy, or group certificate of insurance shall be delivered to the debtor.

Source: SL 1966, ch 111, ch 27, § 6 (1).

58-19-19. Contents of individual policy or group certificate.

Each individual policy or group certificate of credit life insurance, or credit health insurance shall, in addition to other requirements of law, set forth the name and home office address of the insurer, the name or names of the debtor or in the case of a certificate under a group policy, the identity by name or otherwise of the debtor, the premium or amount of payment, if any, by the debtor separately for credit life insurance and credit health insurance, a description of the coverage including the amount and term thereof, and any exceptions, limitations and restrictions, and shall state that the benefits shall be paid to the creditor to reduce or extinguish the unpaid indebtedness and, wherever the amount of insurance may exceed the unpaid indebtedness, that any such excess shall be payable to a beneficiary, other than the creditor, named by the debtor or to his estate.

Source: SL 1966, ch 111, ch 27, § 6 (2).

58-19-20. Time of delivery of individual policy or group certificate.

Each individual policy or group certificate of credit life insurance or credit health insurance shall be delivered to the insured debtor at the time the indebtedness is incurred except as provided in §§ 58-19-21 to 58-19-23, inclusive.

Source: SL 1966, ch 111, ch 27, § 6 (3).

58-19-21. Application or notice delivered to debtor in lieu of policy or certificate.

If said individual policy or group certificate of insurance is not delivered to the debtor at the time the indebtedness is incurred, a copy of the application for such policy or a notice of proposed insurance, signed by the debtor and setting forth the name and home office address of the insurer, the name of the debtor, the premium or amount of payment by the debtor, if any, separately for credit life insurance and credit health insurance, the amount, term and a brief description of the coverage provided, shall be delivered to the debtor at the time such indebtedness is incurred. Said application or notice of proposed insurance shall state that upon acceptance by the insurer, the insurance shall become effective as provided in §§ 58-19-9 and 58-19-10. The copy of the application for, or notice of proposed insurance, shall also refer exclusively to insurance coverage, and shall be separate and apart from the loan, sale, or other credit statement of account, instrument, or agreement, unless the information required by this section is prominently set forth therein.

Source: SL 1966, ch 111, ch 27, § 6 (4).

58-19-22. Delivery to debtor of policy or certificate after acceptance of insurance.

Upon acceptance of the insurance by the insurer and within thirty days of the date upon which the indebtedness is incurred, the insurer shall cause the individual policy or group certificate of insurance to be delivered to the debtor.

Source: SL 1966, ch 111, ch 27, § 6 (4).

58-19-23. Policy received by debtor on nonacceptance of risk by named insurer--Description of substitute insurance.

If the named insurer does not accept the risk, then and in such event the debtor shall receive a policy or certificate of insurance setting forth the name and home office address of the substituted insurer and the amount of the premium to be charged, and if the amount of premium is less than that set forth in the notice of proposed insurance an appropriate refund shall be made.

Source: SL 1966, ch 111, ch 27, § 6 (5).

58-19-24. Forms--Filing with director.

All policies, certificates of insurance, notices of proposed insurance, applications for insurance, endorsements, and riders delivered or issued for delivery in this state and the schedules of premium rates pertaining thereto shall be filed with the director.

Source: SL 1966, ch 111, ch 27, § 7 (1).

58-19-25. Prior policies--Group certificate and notice of proposed insurance, filing and approval by director--Schedules of premium rates.

If a group policy of credit life insurance or credit health insurance has been delivered in this state before July 1, 1966, or has been or is delivered in another state before or after said date, the insurer shall be required to file only the group certificate and notice of proposed insurance delivered or issued for delivery in this state as specified in §§ 58-19-19, 58-19-21, and 58-19-22, and such forms shall be approved by the director if they conform with the requirements specified in said sections and if the schedules of premium rates applicable to the insurance evidenced by such certificate or notice are not in excess of the insurer's schedules of premium rates filed with the director.

Source: SL 1966, ch 111, ch 27, § 7 (6).

58-19-26. Disapproval of filed forms by director.

The director shall within thirty days after the filing of any such policies, certificates of insurance, notices of proposed insurance, applications for insurance, endorsements, and riders, disapprove any such form if the premium rates charged or to be charged are excessive in relation to benefits, or if it contains provisions which are unjust, unfair, inequitable, misleading, deceptive, or encourage misrepresentation of the coverage, or are contrary to any provision of this title or of any rule or regulation promulgated thereunder.

Source: SL 1966, ch 111, ch 27, § 7 (2).

58-19-27. Use of disapproved forms unlawful--Reason stated in notice--Hearing on request--Use of forms pending approval.

If the director notifies the insurer that the form is disapproved, it is unlawful thereafter for such insurer to issue or use such form. In such notice, the director shall specify the reason for his disapproval and state that a hearing will be granted within twenty days after request in writing by the insurer. No such policy, certificate of insurance, notice of proposed insurance, nor any application, endorsement, or rider, shall be issued or used until the expiration of thirty days after it has been so filed, unless the director shall give his prior written approval thereto.

Source: SL 1966, ch 111, ch 27, § 7 (3).

58-19-28. Withdrawal of approval of form--Notice and hearing.

The director may, at any time after a hearing held not less than twenty days after written notice to the insurer, withdraw his approval of any such form on any ground set forth in § 58-19-26. The written notice of such hearing shall state the reason for the proposed withdrawal.

Source: SL 1966, ch 111, ch 27, § 7 (4).

58-19-29. Use of forms unlawful after withdrawal.

It is not lawful for the insurer to issue such forms or use them after the effective date of such withdrawal.

Source: SL 1966, ch 111, ch 27, § 7 (5).

58-19-30. Judicial review of order or final determination of director as to forms.

Any order or final determination of the director under the provisions of §§ 58-19-24 to 58-19-29, inclusive, shall be subject to judicial review.

Source: SL 1966, ch 111, ch 27, § 7 (7).

58-19-31. Claims--Reporting to insurer--Settlement.

All claims shall be promptly reported to the insurer or its designated claim representative, and the insurer shall maintain adequate claim files. All claims shall be settled as soon as possible and in accordance with the terms of the insurance contract.

Source: SL 1966, ch 111, ch 27, § 10 (1).

58-19-32. Settlement or adjustment of claims by person other than insurer prohibited--Creditor not claim representative--Payment by group policyholder.

No plan or arrangement shall be used whereby any person, firm or corporation other than the insurer or its designated claim representative shall be authorized to settle or adjust claims. The creditor shall not be designated as claim representative for the insurer in adjusting claims; provided, that a group policyholder may, by arrangement with the group insurer, draw drafts or checks in payment of claims due to the group policyholder subject to audit and review by the insurer.

Source: SL 1966, ch 111, ch 27, § 10 (3).

58-19-33. Manner of payment of claims.

All claims shall be paid either by draft drawn upon the insurer or by check of the insurer to the order of the claimant to whom payment of the claim is due pursuant to the policy provisions, or upon direction of such claimant to one specified.

Source: SL 1966, ch 111, ch 27, § 10 (2).

58-19-34. Promulgation of rules by director--Purpose and scope.

The director may promulgate rules pursuant to chapter 1-26 as deemed appropriate for the supervision of this chapter. The rules may cover any type of credit insurance including credit life, credit health, credit unemployment, and credit property insurance, including guaranteed automobile protection. The rules shall be designed to protect the insurance buying public from discriminatory rating and underwriting and claims practices, from being charged excessive rates, and from requirements to purchase credit insurance when purchasing goods and services. The rules may cover the following areas:

(1)    Definition of terms;

(2)    Filing requirements;

(3)    The setting of loss ratios and prima facie rates;

(4)    Underwriting criteria;

(5)    Sales and marketing practices;

(6)    Minimum benefit standards;

(7)    Permissible exclusions;

(8)    Claims practices; and

(9)    Disclosure requirements.

Source: SL 1966, ch 111, ch 27, § 12; SL 1986, ch 22, § 31; SL 2001, ch 282, § 1.

58-19-35. Order for compliance issued by director--Notice and hearing.

Whenever the director finds that there has been a violation of this chapter or any rules or regulations issued pursuant thereto, and after written notice thereof and hearing given to the insurer or other person authorized or licensed by the director, he shall set forth the details of his findings together with an order for compliance by a specified date. Such order shall be binding on the insurer and other person authorized or licensed by the director on the date specified unless sooner withdrawn by the director or a stay thereof has been ordered by a court of competent jurisdiction.

Source: SL 1966, ch 111, ch 27, § 12.

58-19-36. Revocation or suspension of license or certificate for violation--Notice and hearing--Judicial review.

The director may revoke or suspend the license or certificate of authority of the person, firm, or corporation guilty of violation of an order of the commissioner after it has become final, and while such order is in effect. Such order for suspension or revocation shall be upon notice and hearing, and shall be subject to judicial review as provided in chapter 1-26.

Source: SL 1966, ch 111, ch 27, § 13; SL 1978, ch 359, § 15.

58-19-37. Civil forfeiture for violations of orders of director.

In addition to any other penalty provided by law, any person, firm, or corporation which violates an order of the director after it has become final, and while such order is in effect, shall, upon proof thereof to the satisfaction of the court, forfeit and pay to the State of South Dakota a sum not to exceed two hundred fifty dollars which may be recovered in a civil action, except that if such violation is found to be willful, the amount of such penalty shall be a sum not to exceed one thousand dollars.

Source: SL 1966, ch 111, ch 27, § 13.

58-19-38. Citation of chapter.

This chapter may be cited as "The Model Act for the Regulation of Credit Life Insurance and Credit Health Insurance."

Source: SL 1966, ch 111, ch 27, § 2 (1).

58-19-39. Credit unemployment insurance sold in connection with loans subject to chapter.

Any credit unemployment insurance sold in connection with loans or other credit transactions is subject to the provisions of this chapter to the extent such provisions are not inconsistent with the specific provisions of §§ 58-19-40 to 58-19-46, inclusive.

Source: SL 1987, ch 380, § 1.

58-19-40. Credit unemployment insurance not required by lender in consumer transactions.

Credit unemployment insurance may be offered but in no event may be required by the lender in consumer transactions. This shall be clearly and conspicuously disclosed to the consumer in the loan agreement.

Source: SL 1987, ch 380, § 2.

58-19-41. Coverage of credit unemployment insurance to begin first day of unemployment.

Credit unemployment insurance shall provide coverage beginning with the first day of unemployment. However, the policy may include a waiting period before the consumer may file a claim.

Source: SL 1987, ch 380, § 3.

58-19-42. Credit unemployment insurance separately sold and priced--Exception--Not to be required for credit card issuance or renewal.

Credit unemployment insurance shall be sold separately and shall be separately priced from any other insurance offered or sold at the same time unless credit unemployment insurance is included as part of an insurance offering by a credit card issuer. However, credit unemployment insurance may not be required as a condition for the issuance or renewal of a credit card.

Source: SL 1987, ch 380, § 4; SL 1988, ch 403.

58-19-43. Filing of credit unemployment insurance policies, certificates, notices, applications, endorsements, and riders, and premium rate schedules.

All credit unemployment insurance policies, certificates of insurance, notices of proposed insurance, applications for insurance, endorsements, and riders delivered or issued for delivery in this state and the schedules of premium rates pertaining thereto shall be filed with the director.

Source: SL 1987, ch 380, § 5.

58-19-44. Disapproval by director if premium rates excessive or provisions unjust.

Within thirty days after the filing of any credit unemployment insurance policy, certificate of insurance, notice of proposed insurance, application for insurance, endorsement, or rider, the director shall disapprove any such form if the premium rates charged or to be charged are excessive in relation to benefits, or if such form contains provisions which are unjust, unfair, inequitable, misleading, deceptive, or encourage misrepresentation of the coverage, or are contrary to any provision of this title.

Source: SL 1987, ch 380, § 6.

58-19-45. Test of reasonableness of benefits to premium charged--Prima facie evidence--Restriction on commissions.

With regard to credit unemployment insurance, the basic test of the reasonableness of the relation of benefits to the premium charged shall be the development of an anticipated loss ratio of claims incurred to premiums earned of at least fifty percent. If the total current expected expenses, including acquisition expenses, exceed fifty percent of the premium dollar, this shall be considered prima facie evidence that a company intends to write credit business at a loss ratio which is not in compliance with this rule. Commissions, including retrospective premium refunds, bonuses, or acquisition expenses, may not exceed forty percent. If any company is not in compliance with this rule, it shall show just cause why the premium rates as filed should not be disapproved.

Source: SL 1987, ch 380, § 7.

58-19-46. Review of insurance company's actuarial data--Reimbursement of cost.

In approving or establishing the premium rates for credit unemployment insurance, the division shall review the insurance company's actuarial data to assure that the rates are fair and reasonable. The insurance director may hire or contract with a qualified actuary to review the data. The insurance division shall obtain reimbursement from the insurance company for the cost of the actuarial review of rates.

Source: SL 1987, ch 380, § 8; SL 2002, ch 238, § 1.

58-19-47. Group property insurance authorized by credit card subject to chapter.

Any group property insurance authorized by credit card is subject to the provisions of this chapter to the extent such provisions are not inconsistent with the specific provisions of §§ 58-19-48 to 58-19-50, inclusive.

Source: SL 2001, ch 281, § 3.

58-19-48. Group property insurance to be sold and priced separately--Exceptions--Insurance not to be condition for issuance or renewal of credit card.

Group property insurance authorized by credit card shall be sold separately and shall be separately priced from any other insurance offered or sold at the same time unless it is included as part of an insurance offering provided to the debtor through the use of a credit card purchase of goods or services. Group property insurance authorized by credit card may not be required as a condition for the issuance or renewal of a credit card.

Source: SL 2001, ch 281, § 4.

58-19-49. All group property insurance policies, certificates, and documentation to be filed with the director.

All group property insurance authorized by credit card insurance policies, certificates of insurance, notices of proposed insurance, applications for insurance, endorsements and riders delivered or issued for delivery in this state and the schedules of premium rates pertaining thereto shall be filed with the director.

Source: SL 2001, ch 281, § 5.

58-19-50. Disapproval of group property insurance by director--Grounds--Time limit.

Within thirty days after the filing of any group property insurance authorized by credit card insurance policy, certificate of insurance, notice of proposed insurance, application for insurance, endorsement or rider, the director shall disapprove any such form if the premium rates charged or to be charged are excessive in relation to benefits, or if such form contains provisions which are unjust, unfair, inequitable, misleading, deceptive, or encourage misrepresentation of the insurance, or are contrary to any provision of this title. If such filing is not disapproved by the director within this thirty-day period, it shall be deemed approved.

Source: SL 2001, ch 281, § 6.