{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/38.2-3726.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/38.2-3726.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/38.2-3726.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/38.2-3726.html"}],"law_id":81616,"edition_id":1,"section_id":81616,"structure_id":15016,"section_number":"38.2-3726","catch_line":"Credit life insurance rates","history":"1992, c. 586.","full_text":"A\n\nThe benefits provided by any credit life insurance form shall be deemed reasonable in relation to the premium charged or to be charged if the rates do not exceed the rates set forth below, except as such rates are modified pursuant to the requirements of \u00a7 38.2-3730:1\n\n$.7519 per month per $1,000 of outstanding insured indebtedness if premiums are payable on a monthly outstanding balance basis.2\n\n$.48 per $100 of initial indebtedness repayable in twelve equal monthly installments. If premiums are payable on a single premium basis and the amount of the insurance decreases in equal monthly amounts, the following formula shall be used to develop single premium rates from the outstanding balance rate:\n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\twhere Sp is the single term premium per $100 of initial insured indebtedness, n is the credit term in months, and Op is the monthly outstanding balance rate per $1,000 of outstanding insured indebtedness.3\n\nIf premiums are payable on a single premium basis when the benefit provided is level term, the following formula shall be used to develop single premium rates from the outstanding balance rate:\n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\twhere Sp is the single term premium per $100 of initial insured indebtedness, n is the credit term in months, and Op is the monthly outstanding balance rate per $1,000 of outstanding insured indebtedness.4\n\nIf the benefits provided are other than those described in the introduction to this subsection, premium rates for such benefits shall be actuarially consistent with the rates provided in the above subdivisions.5\n\nJoint coverage on any of the bases in this subsection shall not exceed 165 percent of the specific rate for that type of coverage.B\n\nThe premium rates in subsection A shall apply to policies providing credit life insurance to be issued with or without evidence of insurability, to be offered to all debtors, and, except as set forth below, containing: (i) no exclusions other than suicide within six months of the incurred indebtedness; and (ii) age restrictions making ineligible for coverage debtors age seventy or over at the time the indebtedness is incurred or debtors having attained age seventy or over on the maturity date of the indebtedness.1\n\nInsurance written in connection with an open-end credit plan may provide for the cessation of insurance or a reduction in the amount of insurance upon attainment of an age not less than seventy.2\n\nOn insurance written in connection with closed-end credit plans and open-end credit plans where the amount of insurance is based on or limited to the outstanding unpaid balance, no provision excluding or denying a claim for death resulting from a preexisting condition except for those conditions for which the insured debtor received medical diagnosis or treatment within six months preceding the effective date of coverage and which caused the death of the insured debtor within six months following the effective date of coverage. The effective date of coverage for each part of the insurance attributable to a different advance or charge to the plan account is the date on which the advance or charge is posted to the plan account.3\n\nAt the option of the insurer and in lieu of a preexisting condition exclusion on insurance written in connection with open-end credit where the amount of insurance is based on or limited to the outstanding unpaid balance, a provision limiting the amount of insurance payable on death due to natural causes to the balance as it existed six months prior to the date of death if there have been one or more increases in the outstanding balance during such six-month period and if evidence of insurability has not been required in the six-month period prior to date of death.","order_by":null,"text":{"0":{"id":292294,"text":"The benefits provided by any credit life insurance form shall be deemed reasonable in relation to the premium charged or to be charged if the rates do not exceed the rates set forth below, except as such rates are modified pursuant to the requirements of \u00a7 38.2-3730:","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"A1"},"1":{"id":292295,"text":"$.7519 per month per $1,000 of outstanding insured indebtedness if premiums are payable on a monthly outstanding balance basis.","type":"section","prefixes":["A","1"],"prefix":"1","entire_prefix":"A1","prefix_anchor":"A1","level":2,"prior_prefix":"A","next_prefix":"A2"},"2":{"id":292296,"text":"$.48 per $100 of initial indebtedness repayable in twelve equal monthly installments. If premiums are payable on a single premium basis and the amount of the insurance decreases in equal monthly amounts, the following formula shall be used to develop single premium rates from the outstanding balance rate:\n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\twhere Sp is the single term premium per $100 of initial insured indebtedness, n is the credit term in months, and Op is the monthly outstanding balance rate per $1,000 of outstanding insured indebtedness.","type":"section","prefixes":["A","2"],"prefix":"2","entire_prefix":"A2","prefix_anchor":"A2","level":2,"prior_prefix":"A1","next_prefix":"A3"},"3":{"id":292297,"text":"If premiums are payable on a single premium basis when the benefit provided is level term, the following formula shall be used to develop single premium rates from the outstanding balance rate:\n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\twhere Sp is the single term premium per $100 of initial insured indebtedness, n is the credit term in months, and Op is the monthly outstanding balance rate per $1,000 of outstanding insured indebtedness.","type":"section","prefixes":["A","3"],"prefix":"3","entire_prefix":"A3","prefix_anchor":"A3","level":2,"prior_prefix":"A2","next_prefix":"A4"},"4":{"id":292298,"text":"If the benefits provided are other than those described in the introduction to this subsection, premium rates for such benefits shall be actuarially consistent with the rates provided in the above subdivisions.","type":"section","prefixes":["A","4"],"prefix":"4","entire_prefix":"A4","prefix_anchor":"A4","level":2,"prior_prefix":"A3","next_prefix":"A5"},"5":{"id":292299,"text":"Joint coverage on any of the bases in this subsection shall not exceed 165 percent of the specific rate for that type of coverage.","type":"section","prefixes":["A","5"],"prefix":"5","entire_prefix":"A5","prefix_anchor":"A5","level":2,"prior_prefix":"A4","next_prefix":"B"},"6":{"id":292300,"text":"The premium rates in subsection A shall apply to policies providing credit life insurance to be issued with or without evidence of insurability, to be offered to all debtors, and, except as set forth below, containing: (i) no exclusions other than suicide within six months of the incurred indebtedness; and (ii) age restrictions making ineligible for coverage debtors age seventy or over at the time the indebtedness is incurred or debtors having attained age seventy or over on the maturity date of the indebtedness.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A5","next_prefix":"B1"},"7":{"id":292301,"text":"Insurance written in connection with an open-end credit plan may provide for the cessation of insurance or a reduction in the amount of insurance upon attainment of an age not less than seventy.","type":"section","prefixes":["B","1"],"prefix":"1","entire_prefix":"B1","prefix_anchor":"B1","level":2,"prior_prefix":"B","next_prefix":"B2"},"8":{"id":292302,"text":"On insurance written in connection with closed-end credit plans and open-end credit plans where the amount of insurance is based on or limited to the outstanding unpaid balance, no provision excluding or denying a claim for death resulting from a preexisting condition except for those conditions for which the insured debtor received medical diagnosis or treatment within six months preceding the effective date of coverage and which caused the death of the insured debtor within six months following the effective date of coverage. The effective date of coverage for each part of the insurance attributable to a different advance or charge to the plan account is the date on which the advance or charge is posted to the plan account.","type":"section","prefixes":["B","2"],"prefix":"2","entire_prefix":"B2","prefix_anchor":"B2","level":2,"prior_prefix":"B1","next_prefix":"B3"},"9":{"id":292303,"text":"At the option of the insurer and in lieu of a preexisting condition exclusion on insurance written in connection with open-end credit where the amount of insurance is based on or limited to the outstanding unpaid balance, a provision limiting the amount of insurance payable on death due to natural causes to the balance as it existed six months prior to the date of death if there have been one or more increases in the outstanding balance during such six-month period and if evidence of insurability has not been required in the six-month period prior to date of death.","type":"section","prefixes":["B","3"],"prefix":"3","entire_prefix":"B3","prefix_anchor":"B3","level":2,"prior_prefix":"B2"}},"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":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},"next_section":{"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},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/38.2-3726\/","history_text":"

This law was first created in 1992. The record of its establishment is cataloged in chapter 586 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 1992 \u201cActs\u201d aren\u2019t available online.<\/p>","references":[{"id":61942,"section_number":"38.2-3718","catch_line":"Definitions","order_by":null,"url":"\/38.2-3718\/"},{"id":79475,"section_number":"38.2-3725","catch_line":"Policy forms to be filed with Commission; approval or disapproval by Commission","order_by":null,"url":"\/38.2-3725\/"},{"id":67560,"section_number":"38.2-3728","catch_line":"Use of rates","order_by":null,"url":"\/38.2-3728\/"},{"id":76093,"section_number":"38.2-3730","catch_line":"Experience reports and adjustment of prima facie rates","order_by":null,"url":"\/38.2-3730\/"}],"refers_to":false,"permalink":{"id":216097,"object_type":"law","relational_id":81616,"identifier":"38.2-3726","token":"38.2\/37.1\/38.2-3726","url":"\/38.2-3726\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/38.2-3726\/","token":"38.2\/37.1\/38.2-3726","dublin_core":{"Title":"Credit life insurance rates","Type":"Text","Format":"text\/html","Identifier":"\u00a7 38.2-3726","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> The benefits provided by any credit life insurance<\/span> form<\/span> shall be deemed reasonable in relation to the premium charged or to be charged if the rates<\/span><\/span> do not exceed the rates<\/span><\/span> set forth below, except as such rates<\/span><\/span> are modified pursuant to the requirements of \u00a7 38.2-3730<\/a>: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> $.7519 per month per $1,000 of outstanding insured indebtedness<\/span> if premiums are payable on a monthly outstanding balance basis. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> $.48 per $100 of initial indebtedness<\/span> repayable in twelve equal monthly installments. If premiums are payable on a single premium basis and the amount of the insurance<\/span> decreases in equal monthly amounts, the following formula shall be used to develop single premium rates<\/span><\/span> from the outstanding balance rate<\/span>:\n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\twhere Sp is the single term premium per $100 of initial insured indebtedness<\/span>, n is the credit term in months, and Op is the monthly outstanding balance rate<\/span> per $1,000 of outstanding insured indebtedness<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> If premiums are payable on a single premium basis when the benefit provided is level term, the following formula shall be used to develop single premium rates<\/span><\/span> from the outstanding balance rate<\/span>:\n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\t \n\t\t\t\twhere Sp is the single term premium per $100 of initial insured indebtedness<\/span>, n is the credit term in months, and Op is the monthly outstanding balance rate<\/span> per $1,000 of outstanding insured indebtedness<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

4.<\/span> If the benefits provided are other than those described in the introduction to this subsection, premium rates<\/span><\/span> for such benefits shall be actuarially consistent with the rates<\/span><\/span> provided in the above subdivisions. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

5.<\/span> Joint coverage on any of the bases in this subsection shall not exceed 165 percent of the specific rate<\/span> for that type of coverage. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> The premium rates<\/span><\/span> in subsection A shall apply to policies providing credit life insurance<\/span> to be issued with or without evidence<\/span> of insurability, to be offered to all debtors<\/span>, and, except as set forth below, containing: (i) no exclusions other than suicide within six months of the incurred indebtedness<\/span>; and (ii) age restrictions making ineligible for coverage debtors<\/span> age seventy or over at the time the indebtedness<\/span> is incurred or debtors<\/span> having attained age seventy or over on the maturity date of the indebtedness<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> Insurance<\/span> written in connection with an open-end credit<\/span> plan may provide for the cessation of insurance<\/span> or a reduction in the amount of insurance<\/span> upon attainment of an age not less than seventy. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> On insurance<\/span> written in connection with closed-end credit plans and open-end credit<\/span> plans where the amount of insurance<\/span> is based on or limited to the outstanding unpaid balance, no provision excluding or denying a claim for death resulting from a preexisting condition except for those conditions for which the insured debtor<\/span> received medical diagnosis or treatment within six months preceding the effective date of coverage and which caused the death of the insured debtor<\/span> within six months following the effective date of coverage. The effective date of coverage for each part of the insurance<\/span> attributable to a different advance or charge to the plan account is the date on which the advance or charge is posted to the plan account. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> At the option of the insurer<\/span> and in lieu of a preexisting condition exclusion on insurance<\/span> written in connection with open-end credit<\/span> where the amount of insurance<\/span> is based on or limited to the outstanding unpaid balance, a provision limiting the amount of insurance<\/span> payable on death due to natural causes to the balance as it existed six months prior to the date of death if there have been one or more increases in the outstanding balance during such six-month period and if evidence<\/span> of insurability has not been required in the six-month period prior to date of death. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nCREDIT LIFE INSURANCE RATES (\u00a7 38.2-3726)\n\nA. The benefits provided by any credit life insurance form shall be deemed\nreasonable in relation to the premium charged or to be charged if the rates do\nnot exceed the rates set forth below, except as such rates are modified pursuant\nto the requirements of \u00a7 38.2-3730:\n\n 1. $.7519 per month per $1,000 of outstanding insured indebtedness if premiums\n are payable on a monthly outstanding balance basis.\n\n 2. $.48 per $100 of initial indebtedness repayable in twelve equal monthly\n installments. If premiums are payable on a single premium basis and the amount\n of the insurance decreases in equal monthly amounts, the following formula\n shall be used to develop single premium rates from the outstanding balance\n rate:\n \t\t\t\t \n \t\t\t\t \n \t\t\t\t \n \t\t\t\t \n \t\t\t\t \n \t\t\t\t \n \t\t\t\t \n \t\t\t\t \n \t\t\t\t \n \t\t\t\t \n \t\t\t\t \n \t\t\t\twhere Sp is the single term premium per $100 of initial insured\n indebtedness, n is the credit term in months, and Op is the monthly\n outstanding balance rate per $1,000 of outstanding insured indebtedness.\n\n 3. If premiums are payable on a single premium basis when the benefit provided\n is level term, the following formula shall be used to develop single premium\n rates from the outstanding balance rate:\n \t\t\t\t \n \t\t\t\t \n \t\t\t\t \n \t\t\t\t \n \t\t\t\t \n \t\t\t\t \n \t\t\t\t \n \t\t\t\t \n \t\t\t\t \n \t\t\t\t \n \t\t\t\t \n \t\t\t\twhere Sp is the single term premium per $100 of initial insured\n indebtedness, n is the credit term in months, and Op is the monthly\n outstanding balance rate per $1,000 of outstanding insured indebtedness.\n\n 4. If the benefits provided are other than those described in the introduction\n to this subsection, premium rates for such benefits shall be actuarially\n consistent with the rates provided in the above subdivisions.\n\n 5. Joint coverage on any of the bases in this subsection shall not exceed 165\n percent of the specific rate for that type of coverage.\n\nB. The premium rates in subsection A shall apply to policies providing credit\nlife insurance to be issued with or without evidence of insurability, to be\noffered to all debtors, and, except as set forth below, containing: (i) no\nexclusions other than suicide within six months of the incurred indebtedness;\nand (ii) age restrictions making ineligible for coverage debtors age seventy or\nover at the time the indebtedness is incurred or debtors having attained age\nseventy or over on the maturity date of the indebtedness.\n\n 1. Insurance written in connection with an open-end credit plan may provide\n for the cessation of insurance or a reduction in the amount of insurance upon\n attainment of an age not less than seventy.\n\n 2. On insurance written in connection with closed-end credit plans and\n open-end credit plans where the amount of insurance is based on or limited to\n the outstanding unpaid balance, no provision excluding or denying a claim for\n death resulting from a preexisting condition except for those conditions for\n which the insured debtor received medical diagnosis or treatment within six\n months preceding the effective date of coverage and which caused the death of\n the insured debtor within six months following the effective date of coverage.\n The effective date of coverage for each part of the insurance attributable to\n a different advance or charge to the plan account is the date on which the\n advance or charge is posted to the plan account.\n\n 3. At the option of the insurer and in lieu of a preexisting condition\n exclusion on insurance written in connection with open-end credit where the\n amount of insurance is based on or limited to the outstanding unpaid balance,\n a provision limiting the amount of insurance payable on death due to natural\n causes to the balance as it existed six months prior to the date of death if\n there have been one or more increases in the outstanding balance during such\n six-month period and if evidence of insurability has not been required in the\n six-month period prior to date of death.\n\nHISTORY: 1992, 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}}