N.M. Admin. Code § 13.18.3.9

Current through Register Vol. 35, No. 21, November 5, 2024

Section 13.18.3.9 - POLICY TERM

A.Effective date: Creditor-placed insurance shall become effective on the latest of the following dates:

(1) the date of the credit transaction;

(2) the date prior coverage, including prior creditor-placed insurance coverage, lapsed;

(3) for personal property, one year before the date on which the charge for creditor-placed insurance is made to the debtor's account; or

(4) a later date provided for in the agreement between the creditor and insurer.

B.Termination date: Creditor-placed insurance shall terminate on the earliest of the following dates:

(1) the date other acceptable insurance becomes effective, subject to the debtor providing acceptable evidence of the other insurance to the creditor;

(2) the date the collateralized property is repossessed, unless the property is returned to the debtor within 10 days of the repossession;

(3) the date the collateralized property is damaged beyond repair;

(4) the date the debt is completely extinguished; or

(5) an earlier date specified in the individual policy or certificate of insurance.

C.Policy term: The term of a creditor-placed insurance certificate shall not exceed 12 months.

N.M. Admin. Code § 13.18.3.9

1/1/99; Recompiled 11/30/01, Adopted by New Mexico Register, Volume XXIX, Issue 14, July 24, 2018, eff. 7/24/2018