{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/38.2-3718.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/38.2-3718.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/38.2-3718.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/38.2-3718.html"}],"law_id":61942,"edition_id":1,"section_id":61942,"structure_id":15016,"section_number":"38.2-3718","catch_line":"Definitions","history":"1960, c. 67, \u00a7 38.1-482.2; 1982, c. 223, \u00a7 38.2-3701; 1986, c. 562; 1992, c. 586.","full_text":"For the purposes of this chapter:\n\t\t“Commission” means the State Corporation Commission.\n\t\t“Creditor” means 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 other person in any way associated with them.\n\t\t“Credit transaction” means any transaction by the terms of which the repayment of money loaned or loan commitment made, or payment for goods, services or properties sold or leased is to be made at a future date or dates.\n\t\t“Critical period coverage” means a death benefit or an accident and sickness insurance benefit in which the benefit is equal to a specified number of monthly payments or the remaining payments on the loan, whichever is less.\n\t\t“Debtor” means 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.\n\t\t“Form” means any policy, contract, rider, endorsement, amendment, certificate, application, enrollment request, or notice of proposed insurance pertaining to credit life insurance or credit accident and sickness insurance. For the purpose of administering \u00a7\u00a7 38.2-3726, 38.2-3727 and 38.2-3730, (i) the earned premiums and incurred claims of all credit accident and sickness insurance forms issued in this Commonwealth with the same waiting period will be combined to determine the loss ratio in this Commonwealth regardless of differences in the contractual terms of each form and, (ii) the earned premiums and incurred claims of all credit life insurance forms issued in this Commonwealth will be combined to determine the loss ratio in this Commonwealth regardless of differences in the contractual terms or coverage types.\n\t\t“Indebtedness” means the total amount payable by a debtor to a creditor in connection with a loan or other credit transaction.\n\t\t“Open-end credit” means credit extended under an agreement in which:\n\n1\n\nThe creditor reasonably contemplates repeated transactions;2\n\nThe creditor imposes a finance charge from time to time on an outstanding unpaid balance; and3\n\nThe amount of credit that may be extended to the debtor during the term of the agreement (up to any limit set by the creditor) is generally made available to the extent that any outstanding balance is repaid.\n\t\t\t“Truncated coverage” means a credit life insurance benefit or a credit accident and sickness insurance benefit with a term of insurance coverage that is less than the term of the loan.","order_by":null,"text":{"0":{"id":226124,"text":"For the purposes of this chapter:\n\t\t“Commission” means the State Corporation Commission.\n\t\t“Creditor” means 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 other person in any way associated with them.\n\t\t“Credit transaction” means any transaction by the terms of which the repayment of money loaned or loan commitment made, or payment for goods, services or properties sold or leased is to be made at a future date or dates.\n\t\t“Critical period coverage” means a death benefit or an accident and sickness insurance benefit in which the benefit is equal to a specified number of monthly payments or the remaining payments on the loan, whichever is less.\n\t\t“Debtor” means 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.\n\t\t“Form” means any policy, contract, rider, endorsement, amendment, certificate, application, enrollment request, or notice of proposed insurance pertaining to credit life insurance or credit accident and sickness insurance. For the purpose of administering \u00a7\u00a7 38.2-3726, 38.2-3727 and 38.2-3730, (i) the earned premiums and incurred claims of all credit accident and sickness insurance forms issued in this Commonwealth with the same waiting period will be combined to determine the loss ratio in this Commonwealth regardless of differences in the contractual terms of each form and, (ii) the earned premiums and incurred claims of all credit life insurance forms issued in this Commonwealth will be combined to determine the loss ratio in this Commonwealth regardless of differences in the contractual terms or coverage types.\n\t\t“Indebtedness” means the total amount payable by a debtor to a creditor in connection with a loan or other credit transaction.\n\t\t“Open-end credit” means credit extended under an agreement in which:","type":"section","prefixes":[""],"prefix":"","entire_prefix":"","prefix_anchor":"","level":1,"next_prefix":"1"},"1":{"id":226125,"text":"The creditor reasonably contemplates repeated transactions;","type":"section","prefixes":["1"],"prefix":"1","entire_prefix":"1","prefix_anchor":"1","level":1,"prior_prefix":"","next_prefix":"2"},"2":{"id":226126,"text":"The creditor imposes a finance charge from time to time on an outstanding unpaid balance; and","type":"section","prefixes":["2"],"prefix":"2","entire_prefix":"2","prefix_anchor":"2","level":1,"prior_prefix":"1","next_prefix":"3"},"3":{"id":226127,"text":"The amount of credit that may be extended to the debtor during the term of the agreement (up to any limit set by the creditor) is generally made available to the extent that any outstanding balance is repaid.\n\t\t\t“Truncated coverage” means a credit life insurance benefit or a credit accident and sickness insurance benefit with a term of insurance coverage that is less than the term of the loan.","type":"section","prefixes":["3"],"prefix":"3","entire_prefix":"3","prefix_anchor":"3","level":1,"prior_prefix":"2"}},"ancestry":[{"id":15016,"edition_id":1,"name":"Credit Life Insurance and Credit Accident and Sickness Insurance","identifier":"37.1","label":"chapter","depth":2,"order_by":1,"parent_id":12698,"metadata":{},"date_created":"2026-06-26 03:51:32","date_modified":"2026-06-26 03:51:32","permalink":{"id":216059,"object_type":"structure","relational_id":15016,"identifier":"37.1","token":"38.2\/37.1","url":"\/38.2\/37.1\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12698,"edition_id":1,"name":"Insurance","identifier":"38.2","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:49","date_modified":"2026-06-26 03:43:49","permalink":{"id":210661,"object_type":"structure","relational_id":12698,"identifier":"38.2","token":"38.2","url":"\/38.2\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":78738,"structure_id":15016,"section_number":"38.2-3717","catch_line":"Scope","url":"\/38.2-3717\/","token":"38.2\/37.1\/38.2-3717","metadata":false},{"id":61942,"structure_id":15016,"section_number":"38.2-3718","catch_line":"Definitions","url":"\/38.2-3718\/","token":"38.2\/37.1\/38.2-3718","metadata":false},{"id":68352,"structure_id":15016,"section_number":"38.2-3719","catch_line":"Forms of credit life insurance and credit accident and sickness insurance","url":"\/38.2-3719\/","token":"38.2\/37.1\/38.2-3719","metadata":false},{"id":71214,"structure_id":15016,"section_number":"38.2-3720","catch_line":"Amount of credit life insurance and credit accident and sickness insurance","url":"\/38.2-3720\/","token":"38.2\/37.1\/38.2-3720","metadata":false},{"id":83437,"structure_id":15016,"section_number":"38.2-3721","catch_line":"Term of credit life insurance and credit accident and sickness insurance","url":"\/38.2-3721\/","token":"38.2\/37.1\/38.2-3721","metadata":false},{"id":74250,"structure_id":15016,"section_number":"38.2-3722","catch_line":"Variable interest rate indebtedness; amount; disclosure; refunds","url":"\/38.2-3722\/","token":"38.2\/37.1\/38.2-3722","metadata":false},{"id":60031,"structure_id":15016,"section_number":"38.2-3723","catch_line":"Reserves","url":"\/38.2-3723\/","token":"38.2\/37.1\/38.2-3723","metadata":false},{"id":72023,"structure_id":15016,"section_number":"38.2-3724","catch_line":"Policy provisions; disclosure to debtors; delivery of policy or certificate","url":"\/38.2-3724\/","token":"38.2\/37.1\/38.2-3724","metadata":false},{"id":79475,"structure_id":15016,"section_number":"38.2-3725","catch_line":"Policy forms to be filed with Commission; approval or disapproval by Commission","url":"\/38.2-3725\/","token":"38.2\/37.1\/38.2-3725","metadata":false},{"id":81616,"structure_id":15016,"section_number":"38.2-3726","catch_line":"Credit life insurance rates","url":"\/38.2-3726\/","token":"38.2\/37.1\/38.2-3726","metadata":false},{"id":64017,"structure_id":15016,"section_number":"38.2-3727","catch_line":"Credit accident and sickness insurance rates","url":"\/38.2-3727\/","token":"38.2\/37.1\/38.2-3727","metadata":false},{"id":67560,"structure_id":15016,"section_number":"38.2-3728","catch_line":"Use of rates","url":"\/38.2-3728\/","token":"38.2\/37.1\/38.2-3728","metadata":false},{"id":77928,"structure_id":15016,"section_number":"38.2-3729","catch_line":"Refunds","url":"\/38.2-3729\/","token":"38.2\/37.1\/38.2-3729","metadata":false},{"id":76093,"structure_id":15016,"section_number":"38.2-3730","catch_line":"Experience reports and adjustment of prima facie rates","url":"\/38.2-3730\/","token":"38.2\/37.1\/38.2-3730","metadata":false},{"id":63767,"structure_id":15016,"section_number":"38.2-3731","catch_line":"Claims","url":"\/38.2-3731\/","token":"38.2\/37.1\/38.2-3731","metadata":false},{"id":78709,"structure_id":15016,"section_number":"38.2-3732","catch_line":"Insurer delegation of duties","url":"\/38.2-3732\/","token":"38.2\/37.1\/38.2-3732","metadata":false},{"id":76840,"structure_id":15016,"section_number":"38.2-3733","catch_line":"Portion of premium may be allowed to creditor; insurance may be provided and serviced at creditor's place of business","url":"\/38.2-3733\/","token":"38.2\/37.1\/38.2-3733","metadata":false},{"id":63261,"structure_id":15016,"section_number":"38.2-3734","catch_line":"License requirements","url":"\/38.2-3734\/","token":"38.2\/37.1\/38.2-3734","metadata":false},{"id":57264,"structure_id":15016,"section_number":"38.2-3735","catch_line":"Disclosure and readability","url":"\/38.2-3735\/","token":"38.2\/37.1\/38.2-3735","metadata":false},{"id":71653,"structure_id":15016,"section_number":"38.2-3736","catch_line":"Noncontributory coverage","url":"\/38.2-3736\/","token":"38.2\/37.1\/38.2-3736","metadata":false},{"id":69488,"structure_id":15016,"section_number":"38.2-3737","catch_line":"Application","url":"\/38.2-3737\/","token":"38.2\/37.1\/38.2-3737","metadata":false},{"id":70889,"structure_id":15016,"section_number":"38.2-3738","catch_line":"What laws applicable","url":"\/38.2-3738\/","token":"38.2\/37.1\/38.2-3738","metadata":false}],"previous_section":{"id":78738,"structure_id":15016,"section_number":"38.2-3717","catch_line":"Scope","url":"\/38.2-3717\/","token":"38.2\/37.1\/38.2-3717","metadata":false},"next_section":{"id":68352,"structure_id":15016,"section_number":"38.2-3719","catch_line":"Forms of credit life insurance and credit accident and sickness insurance","url":"\/38.2-3719\/","token":"38.2\/37.1\/38.2-3719","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/38.2-3718\/","history_text":"

This law was first created in 1960. The record of its establishment is cataloged in chapter 67 of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year. Unfortunately, the 1960 \u201cActs\u201d aren\u2019t available online. It has been modified 3 times. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. Those modifications are as follows: in 1982, chapter 223; in 1986, chapter 562; in 1992, chapter 586.<\/p>","references":false,"refers_to":[{"id":81616,"section_number":"38.2-3726","catch_line":"Credit life insurance rates","order_by":null,"url":"\/38.2-3726\/"},{"id":64017,"section_number":"38.2-3727","catch_line":"Credit accident and sickness insurance rates","order_by":null,"url":"\/38.2-3727\/"},{"id":76093,"section_number":"38.2-3730","catch_line":"Experience reports and adjustment of prima facie rates","order_by":null,"url":"\/38.2-3730\/"}],"permalink":{"id":216065,"object_type":"law","relational_id":61942,"identifier":"38.2-3718","token":"38.2\/37.1\/38.2-3718","url":"\/38.2-3718\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/38.2-3718\/","token":"38.2\/37.1\/38.2-3718","dublin_core":{"Title":"Definitions","Type":"Text","Format":"text\/html","Identifier":"\u00a7 38.2-3718","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

For the purposes of this chapter:\n\t\t“Commission<\/span>” means the State<\/span> Corporation Commission<\/span>.\n\t\t“Creditor<\/span>” means the lender of money or vendor or lessor of goods, services, or property, rights or privileges<\/span>, for which payment is arranged through a credit transaction<\/span>, 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 other person<\/span> in any way associated with them.\n\t\t“Credit transaction<\/span>” means any transaction by the terms of which the repayment of money loaned or loan commitment made, or payment for goods, services or properties sold or leased is to be made at a future date or dates.\n\t\t“Critical period coverage<\/span>” means a death benefit or an accident and sickness insurance<\/span> benefit in which the benefit is equal to a specified number of monthly payments or the remaining payments on the loan, whichever is less.\n\t\t“Debtor<\/span>” means a borrower of money or a purchaser or lessee of goods, services, property, rights or privileges<\/span> for which payment is arranged through a credit transaction<\/span>.\n\t\t“Form<\/span>” means any policy, contract<\/span>, rider, endorsement, amendment, certificate, application, enrollment request, or notice of proposed insurance<\/span> pertaining to credit life insurance<\/span> or credit accident and sickness insurance<\/span>. For the purpose of administering \u00a7\u00a7 38.2-3726<\/a>, 38.2-3727<\/a> and 38.2-3730<\/a>, (i) the earned premiums and incurred claims of all credit accident and sickness insurance<\/span> forms<\/span> issued in this Commonwealth with the same waiting period will be combined to determine the loss ratio in this Commonwealth regardless of differences in the contractual terms of each form<\/span> and, (ii) the earned premiums and incurred claims of all credit life insurance<\/span> forms<\/span> issued in this Commonwealth will be combined to determine the loss ratio in this Commonwealth regardless of differences in the contractual terms or coverage types.\n\t\t“Indebtedness<\/span>” means the total amount payable by a debtor<\/span> to a creditor<\/span> in connection with a loan or other credit transaction<\/span>.\n\t\t“Open-end credit<\/span>” means credit extended under an agreement in which:<\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> The creditor<\/span> reasonably contemplates repeated transactions; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> The creditor<\/span> imposes a finance charge from time to time on an outstanding unpaid balance; and <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> The amount of credit that may be extended to the debtor<\/span> during the term of the agreement (up to any limit set by the creditor<\/span>) is generally made available to the extent that any outstanding balance is repaid.\n\t\t\t“Truncated coverage<\/span>” means a credit life insurance<\/span> benefit or a credit accident and sickness insurance<\/span> benefit with a term of insurance<\/span> coverage that is less than the term of the loan. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nDEFINITIONS (\u00a7 38.2-3718)\n\nFor the purposes of this chapter:\n\t\t“Commission” means the State Corporation Commission.\n\t\t“Creditor” means the lender of money or vendor or lessor of goods,\nservices, or property, rights or privileges, for which payment is arranged\nthrough a credit transaction, or any successor to the right, title or interest\nof any such lender, vendor, or lessor and an affiliate, associate or subsidiary\nof any of them or any other person in any way associated with them.\n\t\t“Credit transaction” means any transaction by the terms of which\nthe repayment of money loaned or loan commitment made, or payment for goods,\nservices or properties sold or leased is to be made at a future date or dates.\n\t\t“Critical period coverage” means a death benefit or an accident\nand sickness insurance benefit in which the benefit is equal to a specified\nnumber of monthly payments or the remaining payments on the loan, whichever is\nless.\n\t\t“Debtor” means a borrower of money or a purchaser or lessee of\ngoods, services, property, rights or privileges for which payment is arranged\nthrough a credit transaction.\n\t\t“Form” means any policy, contract, rider, endorsement, amendment,\ncertificate, application, enrollment request, or notice of proposed insurance\npertaining to credit life insurance or credit accident and sickness insurance.\nFor the purpose of administering \u00a7\u00a7 38.2-3726, 38.2-3727 and 38.2-3730, (i)\nthe earned premiums and incurred claims of all credit accident and sickness\ninsurance forms issued in this Commonwealth with the same waiting period will be\ncombined to determine the loss ratio in this Commonwealth regardless of\ndifferences in the contractual terms of each form and, (ii) the earned premiums\nand incurred claims of all credit life insurance forms issued in this\nCommonwealth will be combined to determine the loss ratio in this Commonwealth\nregardless of differences in the contractual terms or coverage types.\n\t\t“Indebtedness” means the total amount payable by a debtor to a\ncreditor in connection with a loan or other credit transaction.\n\t\t“Open-end credit” means credit extended under an agreement in\nwhich:\n\n1. The creditor reasonably contemplates repeated transactions;\n\n2. The creditor imposes a finance charge from time to time on an outstanding\nunpaid balance; and\n\n3. The amount of credit that may be extended to the debtor during the term of\nthe agreement (up to any limit set by the creditor) is generally made available\nto the extent that any outstanding balance is repaid.\n\t\t\t“Truncated coverage” means a credit life insurance benefit or a\ncredit accident and sickness insurance benefit with a term of insurance coverage\nthat is less than the term of the loan.\n\nHISTORY: 1960, c. 67, \u00a7 38.1-482.2; 1982, c. 223, \u00a7 38.2-3701; 1986, c. 562;\n1992, c. 586.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}