Section 40.805 - Term of Insurance: Limitation(a) The sale of insurance on motor vehicles (including motorcycles, mobile homes, and other vehicles licensed by the Department of Motor Vehicles), boats and aircraft for periods of more than one year, or for periods of less than one year unless the premium is a pro rata portion of the annual premium, will ordinarily be considered unreasonable.(b) Insurance on real property, household goods, business equipment, and other types of tangible personal property shall not be required or sold if the term would exceed either the period for which such insurance is customarily sold or the term of the loan. For the purposes of this subsection, a loan term involving a fractional part of a year may be considered as extending through a full year.Cal. Code Regs. Tit. 10, § 40.805
1. Change without regulatory effect renumbering former section 1190.1 to new section 40.805 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 former section 1190.1 to new section 40.805 filed 8-19-97 pursuant to section 100, title 1, California Code of Regulations (Register 97, No. 34).