Section 40.803 - Insurance Which May Not be Required, but May be Sold(a) The following types of insurance may not be required, but may be sold at the borrower's request: (1) The types of insurance described in Subdivisions (a) and (b) of section 40.802 of this Chapter, notwithstanding the limitations and requirements contained therein.(2) Property damage, public liability, uninsured motorist, towing and labor, medical payments, and other types of insurance on motor vehicles (including motorcycles, mobile homes and other vehicles licensed by the Department of Motor Vehicles), boats, and aircraft.(3) Theft, flood damage, and other types of insurance on household goods, business equipment, and other types of tangible personal property.(4) Homeowner liability insurance.(b) The sale of any insurance under subsection (a) of this section shall be supported by a statement signed by at least one borrower to the effect that the insurance was purchased at the request of the borrower and was not a prerequisite to obtaining the loan.(c) A loss payable interest shall not be taken in connection with the sale of any insurance under subsection (a).(d) The Commissioner may disapprove the sale of an y type of policy of insurance which in the Commissioner's opinion does not provide adequate coverage or is not good business practice. Any type of insurance or policy of insurance so disapproved may not be offered or sold by any industrial loan company.Cal. Code Regs. Tit. 10, § 40.803
1. Change without regulatory effect renumbering and amending former section 1189 to new section 40.803 filed 8-19-97 pursuant to section 100, title 1, California Code of Regulations (Register 97, No. 34). Note: Authority cited: Section 18347, Financial Code. Reference: Section 18294, Financial Code.
1. Change without regulatory effect renumbering and amending former section 1189 to new section 40.803 filed 8-19-97 pursuant to section 100, title 1, California Code of Regulations (Register 97, No. 34).