N.J. Admin. Code § 11:2-3.18

Current through Register Vol. 56, No. 9, May 6, 2024

Section 11:2-3.18 - Joint credit accident and health insurance

(a) Joint credit accident and health insurance covers two insured individuals who are jointly obligated in connection with an indebtedness and pays benefits in the event that either insured becomes disabled. Joint credit accident and health coverage is permitted on either a split basis or a full basis. Split basis and full basis coverage may not be provided under the same policy form.

(b) Split basis joint credit accident and health insurance provides coverage for each insured for a specified percentage of the payment, with the sum of the insured amounts equaling the entire payment. The rates for split basis coverage shall equal the rates for a single insured covered for the entire payment.

(c) Full basis joint credit accident and health insurance provides coverage for each insured for the full payment, provided that only one benefit is payable if both insureds become disabled. The rates for full basis coverage shall be no greater than 185 percent of the rates for a single insured covered for the full payment. Any policy or certificate form providing full basis coverage shall state that only one payment will be made even if both insureds are disabled.

N.J. Admin. Code § 11:2-3.18

New Rule, R.1996 d.206, effective 5/20/1996.
See: 27 New Jersey Register 3676(a), 28 New Jersey Register 2621(a).
Former section, "Existing insurance; choice of insurer", recodified to 11:2-3.24.