{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/38.2-3729.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/38.2-3729.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/38.2-3729.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/38.2-3729.html"}],"law_id":77928,"edition_id":1,"section_id":77928,"structure_id":15016,"section_number":"38.2-3729","catch_line":"Refunds","history":"1960, c. 67, \u00a7 38.1-482.8; 1982, c. 223, \u00a7 38.2-3711; 1986, c. 562; 1992, c. 586; 2002, c. 72; 2009, c. 643.","full_text":"A\n\nEach individual policy or group certificate shall provide that, in the event of termination of the insurance prior to the scheduled maturity date of the indebtedness, any refund of an amount paid by the debtor for insurance shall be paid or credited promptly to the debtor or person entitled thereto.B\n\nIf a creditor requires a debtor to make any payment for credit life insurance or credit accident and sickness insurance and an individual policy or group certificate of insurance is not issued, the creditor shall immediately give written notice to such debtor and shall promptly make an appropriate credit to the account.C\n\nRefund formulas which any insurer desires to use for decreasing term credit life insurance with terms of more than sixty-one months must develop refunds which are at least as favorable to the debtor as refunds based on the actuarial method. Refund formulas for decreasing term credit life insurance with terms of sixty-one months or less must develop refunds which are at least as favorable to the debtor as refunds based on the Rule of 78 or the actuarial method, whichever method is consistent with the original method of premium calculation. Refund formulas for credit accident and sickness insurance shall develop refunds that are at least as favorable to the debtor as refunds based on the actuarial method. The actuarial method will result in refunds equal to the premium cost of scheduled benefits subsequent to the date of cancellation or termination, computed at the schedule of premium rates in effect on the date of issue. The refund of premiums for level term credit life insurance shall be no less than the pro rata unearned gross premium. Refund formulas must be filed with and approved by the Commission prior to use.D\n\nThe requirements of subsection C of this section that refund formulas be filed with the Commission shall be considered fulfilled if the refund formulas are set forth in the individual policy or group certificate filed with the Commission.E\n\nRefunds may be computed:1\n\nOn a daily basis; or2\n\nFrom the end of the loan month if sixteen days or more of a loan month have been earned, provided that, if fifteen days or less of a loan month have been earned, the refund is computed from the beginning of the loan month.F\n\nNo refund of five dollars or less need be made.G\n\nVoluntary prepayment of indebtedness. If a debtor prepays the indebtedness other than as a result of death:1\n\nAny credit life insurance covering such indebtedness shall be terminated and an appropriate refund of the credit life insurance premium shall be paid or credited to the person entitled to the refund in accordance with this section; and2\n\nAny credit accident and sickness insurance covering such indebtedness shall be terminated and an appropriate refund of the credit accident and sickness insurance premium shall be paid or credited to the person entitled to the refund in accordance with this section. If a claim under such coverage is in progress at the time of prepayment, the amount of refund may be determined as if the prepayment did not occur until the payment of benefits terminates. No refund need be paid during any period of disability for which credit accident and sickness benefits are payable. A refund shall be computed as if prepayment occurred at the end of the disability period.H\n\nInvoluntary prepayment of indebtedness. If an indebtedness is prepaid by the proceeds of a credit life insurance policy covering the debtor, then it shall be the responsibility of the insurer to see that the following are paid to the insured debtor, if living, or the beneficiary, other than the creditor, named by the debtor or to the debtor’s estate:1\n\nAn appropriate refund of the credit accident and sickness insurance premium in accordance with this section; and2\n\nThe amount of benefits in excess of the amount required to repay the indebtedness after crediting any unearned interest or finance charges.","order_by":null,"text":{"0":{"id":279447,"text":"Each individual policy or group certificate shall provide that, in the event of termination of the insurance prior to the scheduled maturity date of the indebtedness, any refund of an amount paid by the debtor for insurance shall be paid or credited promptly to the debtor or person entitled thereto.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":279448,"text":"If a creditor requires a debtor to make any payment for credit life insurance or credit accident and sickness insurance and an individual policy or group certificate of insurance is not issued, the creditor shall immediately give written notice to such debtor and shall promptly make an appropriate credit to the account.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A","next_prefix":"C"},"2":{"id":279449,"text":"Refund formulas which any insurer desires to use for decreasing term credit life insurance with terms of more than sixty-one months must develop refunds which are at least as favorable to the debtor as refunds based on the actuarial method. Refund formulas for decreasing term credit life insurance with terms of sixty-one months or less must develop refunds which are at least as favorable to the debtor as refunds based on the Rule of 78 or the actuarial method, whichever method is consistent with the original method of premium calculation. Refund formulas for credit accident and sickness insurance shall develop refunds that are at least as favorable to the debtor as refunds based on the actuarial method. The actuarial method will result in refunds equal to the premium cost of scheduled benefits subsequent to the date of cancellation or termination, computed at the schedule of premium rates in effect on the date of issue. The refund of premiums for level term credit life insurance shall be no less than the pro rata unearned gross premium. Refund formulas must be filed with and approved by the Commission prior to use.","type":"section","prefixes":["C"],"prefix":"C","entire_prefix":"C","prefix_anchor":"C","level":1,"prior_prefix":"B","next_prefix":"D"},"3":{"id":279450,"text":"The requirements of subsection C of this section that refund formulas be filed with the Commission shall be considered fulfilled if the refund formulas are set forth in the individual policy or group certificate filed with the Commission.","type":"section","prefixes":["D"],"prefix":"D","entire_prefix":"D","prefix_anchor":"D","level":1,"prior_prefix":"C","next_prefix":"E"},"4":{"id":279451,"text":"Refunds may be computed:","type":"section","prefixes":["E"],"prefix":"E","entire_prefix":"E","prefix_anchor":"E","level":1,"prior_prefix":"D","next_prefix":"E1"},"5":{"id":279452,"text":"On a daily basis; or","type":"section","prefixes":["E","1"],"prefix":"1","entire_prefix":"E1","prefix_anchor":"E1","level":2,"prior_prefix":"E","next_prefix":"E2"},"6":{"id":279453,"text":"From the end of the loan month if sixteen days or more of a loan month have been earned, provided that, if fifteen days or less of a loan month have been earned, the refund is computed from the beginning of the loan month.","type":"section","prefixes":["E","2"],"prefix":"2","entire_prefix":"E2","prefix_anchor":"E2","level":2,"prior_prefix":"E1","next_prefix":"F"},"7":{"id":279454,"text":"No refund of five dollars or less need be made.","type":"section","prefixes":["F"],"prefix":"F","entire_prefix":"F","prefix_anchor":"F","level":1,"prior_prefix":"E2","next_prefix":"G"},"8":{"id":279455,"text":"Voluntary prepayment of indebtedness. If a debtor prepays the indebtedness other than as a result of death:","type":"section","prefixes":["G"],"prefix":"G","entire_prefix":"G","prefix_anchor":"G","level":1,"prior_prefix":"F","next_prefix":"G1"},"9":{"id":279456,"text":"Any credit life insurance covering such indebtedness shall be terminated and an appropriate refund of the credit life insurance premium shall be paid or credited to the person entitled to the refund in accordance with this section; and","type":"section","prefixes":["G","1"],"prefix":"1","entire_prefix":"G1","prefix_anchor":"G1","level":2,"prior_prefix":"G","next_prefix":"G2"},"10":{"id":279457,"text":"Any credit accident and sickness insurance covering such indebtedness shall be terminated and an appropriate refund of the credit accident and sickness insurance premium shall be paid or credited to the person entitled to the refund in accordance with this section. If a claim under such coverage is in progress at the time of prepayment, the amount of refund may be determined as if the prepayment did not occur until the payment of benefits terminates. No refund need be paid during any period of disability for which credit accident and sickness benefits are payable. A refund shall be computed as if prepayment occurred at the end of the disability period.","type":"section","prefixes":["G","2"],"prefix":"2","entire_prefix":"G2","prefix_anchor":"G2","level":2,"prior_prefix":"G1","next_prefix":"H"},"11":{"id":279458,"text":"Involuntary prepayment of indebtedness. If an indebtedness is prepaid by the proceeds of a credit life insurance policy covering the debtor, then it shall be the responsibility of the insurer to see that the following are paid to the insured debtor, if living, or the beneficiary, other than the creditor, named by the debtor or to the debtor’s estate:","type":"section","prefixes":["H"],"prefix":"H","entire_prefix":"H","prefix_anchor":"H","level":1,"prior_prefix":"G2","next_prefix":"H1"},"12":{"id":279459,"text":"An appropriate refund of the credit accident and sickness insurance premium in accordance with this section; and","type":"section","prefixes":["H","1"],"prefix":"1","entire_prefix":"H1","prefix_anchor":"H1","level":2,"prior_prefix":"H","next_prefix":"H2"},"13":{"id":279460,"text":"The amount of benefits in excess of the amount required to repay the indebtedness after crediting any unearned interest or finance charges.","type":"section","prefixes":["H","2"],"prefix":"2","entire_prefix":"H2","prefix_anchor":"H2","level":2,"prior_prefix":"H1"}},"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":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},"next_section":{"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},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/38.2-3729\/","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 5 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; in 2002, chapter 72<\/a>; in 2009, chapter 643<\/a>.<\/p>","references":[{"id":83437,"section_number":"38.2-3721","catch_line":"Term of credit life insurance and credit accident and sickness insurance","order_by":null,"url":"\/38.2-3721\/"},{"id":74250,"section_number":"38.2-3722","catch_line":"Variable interest rate indebtedness; amount; disclosure; refunds","order_by":null,"url":"\/38.2-3722\/"},{"id":60031,"section_number":"38.2-3723","catch_line":"Reserves","order_by":null,"url":"\/38.2-3723\/"}],"refers_to":false,"permalink":{"id":216109,"object_type":"law","relational_id":77928,"identifier":"38.2-3729","token":"38.2\/37.1\/38.2-3729","url":"\/38.2-3729\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/38.2-3729\/","token":"38.2\/37.1\/38.2-3729","dublin_core":{"Title":"Refunds","Type":"Text","Format":"text\/html","Identifier":"\u00a7 38.2-3729","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> Each individual policy or group certificate shall provide that, in the event of termination of the insurance<\/span> prior to the scheduled maturity date of the indebtedness<\/span>, any refund of an amount paid by the debtor<\/span> for insurance<\/span> shall be paid or credited promptly to the debtor<\/span> or person<\/span> entitled thereto. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> If a creditor<\/span> requires a debtor<\/span> to make any payment for credit life insurance<\/span> or credit accident and sickness insurance<\/span> and an individual policy or group certificate of insurance<\/span> is not issued, the creditor<\/span> shall immediately give written notice to such debtor<\/span> and shall promptly make an appropriate credit to the account. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

C.<\/span> Refund formulas which any insurer<\/span> desires to use for decreasing term credit life insurance<\/span> with terms of more than sixty-one months must develop refunds which are at least as favorable to the debtor<\/span> as refunds based on the actuarial method. Refund formulas for decreasing term credit life insurance<\/span> with terms of sixty-one months or less must develop refunds which are at least as favorable to the debtor<\/span> as refunds based on the Rule of 78 or the actuarial method, whichever method is consistent with the original method of premium calculation. Refund formulas for credit accident and sickness insurance<\/span> shall develop refunds that are at least as favorable to the debtor<\/span> as refunds based on the actuarial method. The actuarial method will result in refunds equal to the premium cost of scheduled benefits subsequent to the date of cancellation or termination, computed at the schedule of premium rates<\/span><\/span> in effect on the date of issue<\/span>. The refund of premiums for level term credit life insurance<\/span> shall be no less than the pro rata unearned gross premium. Refund formulas must be filed with and approved by the Commission<\/span> prior to use. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

D.<\/span> The requirements of subsection C of this section that refund formulas be filed with the Commission<\/span> shall be considered fulfilled if the refund formulas are set forth in the individual policy or group certificate filed with the Commission<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

E.<\/span> Refunds may be computed: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> On a daily basis; or <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> From the end of the loan month if sixteen days or more of a loan month have been earned, provided that, if fifteen days or less of a loan month have been earned, the refund is computed from the beginning of the loan month. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

F.<\/span> No refund of five dollars or less need be made. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

G.<\/span> Voluntary prepayment of indebtedness<\/span>. If a debtor<\/span> prepays the indebtedness<\/span> other than as a result of death: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> Any credit life insurance<\/span> covering such indebtedness<\/span> shall be terminated and an appropriate refund of the credit life insurance<\/span> premium shall be paid or credited to the person<\/span> entitled to the refund in accordance with this section; and <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> Any credit accident and sickness insurance<\/span> covering such indebtedness<\/span> shall be terminated and an appropriate refund of the credit accident and sickness insurance<\/span> premium shall be paid or credited to the person<\/span> entitled to the refund in accordance with this section. If a claim under such coverage is in progress at the time of prepayment, the amount of refund may be determined as if the prepayment did not occur until the payment of benefits terminates. No refund need be paid during any period of disability for which credit accident and sickness benefits are payable. A refund shall be computed as if prepayment occurred at the end of the disability period. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

H.<\/span> Involuntary prepayment of indebtedness<\/span>. If an indebtedness<\/span> is prepaid by the proceeds of a credit life insurance<\/span> policy covering the debtor<\/span>, then it shall be the responsibility of the insurer<\/span> to see that the following are paid to the insured debtor<\/span>, if living, or the beneficiary, other than the creditor<\/span>, named by the debtor<\/span> or to the debtor<\/span>’s estate: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> An appropriate refund of the credit accident and sickness insurance<\/span> premium in accordance with this section; and <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> The amount of benefits in excess of the amount required to repay the indebtedness<\/span> after crediting any unearned interest or finance charges. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nREFUNDS (\u00a7 38.2-3729)\n\nA. Each individual policy or group certificate shall provide that, in the event\nof termination of the insurance prior to the scheduled maturity date of the\nindebtedness, any refund of an amount paid by the debtor for insurance shall be\npaid or credited promptly to the debtor or person entitled thereto.\n\nB. If a creditor requires a debtor to make any payment for credit life insurance\nor credit accident and sickness insurance and an individual policy or group\ncertificate of insurance is not issued, the creditor shall immediately give\nwritten notice to such debtor and shall promptly make an appropriate credit to\nthe account.\n\nC. Refund formulas which any insurer desires to use for decreasing term credit\nlife insurance with terms of more than sixty-one months must develop refunds\nwhich are at least as favorable to the debtor as refunds based on the actuarial\nmethod. Refund formulas for decreasing term credit life insurance with terms of\nsixty-one months or less must develop refunds which are at least as favorable to\nthe debtor as refunds based on the Rule of 78 or the actuarial method, whichever\nmethod is consistent with the original method of premium calculation. Refund\nformulas for credit accident and sickness insurance shall develop refunds that\nare at least as favorable to the debtor as refunds based on the actuarial\nmethod. The actuarial method will result in refunds equal to the premium cost of\nscheduled benefits subsequent to the date of cancellation or termination,\ncomputed at the schedule of premium rates in effect on the date of issue. The\nrefund of premiums for level term credit life insurance shall be no less than\nthe pro rata unearned gross premium. Refund formulas must be filed with and\napproved by the Commission prior to use.\n\nD. The requirements of subsection C of this section that refund formulas be\nfiled with the Commission shall be considered fulfilled if the refund formulas\nare set forth in the individual policy or group certificate filed with the\nCommission.\n\nE. Refunds may be computed:\n\n 1. On a daily basis; or\n\n 2. From the end of the loan month if sixteen days or more of a loan month have\n been earned, provided that, if fifteen days or less of a loan month have been\n earned, the refund is computed from the beginning of the loan month.\n\nF. No refund of five dollars or less need be made.\n\nG. Voluntary prepayment of indebtedness. If a debtor prepays the indebtedness\nother than as a result of death:\n\n 1. Any credit life insurance covering such indebtedness shall be terminated\n and an appropriate refund of the credit life insurance premium shall be paid\n or credited to the person entitled to the refund in accordance with this\n section; and\n\n 2. Any credit accident and sickness insurance covering such indebtedness shall\n be terminated and an appropriate refund of the credit accident and sickness\n insurance premium shall be paid or credited to the person entitled to the\n refund in accordance with this section. If a claim under such coverage is in\n progress at the time of prepayment, the amount of refund may be determined as\n if the prepayment did not occur until the payment of benefits terminates. No\n refund need be paid during any period of disability for which credit accident\n and sickness benefits are payable. A refund shall be computed as if prepayment\n occurred at the end of the disability period.\n\nH. Involuntary prepayment of indebtedness. If an indebtedness is prepaid by the\nproceeds of a credit life insurance policy covering the debtor, then it shall be\nthe responsibility of the insurer to see that the following are paid to the\ninsured debtor, if living, or the beneficiary, other than the creditor, named by\nthe debtor or to the debtor’s estate:\n\n 1. An appropriate refund of the credit accident and sickness insurance premium\n in accordance with this section; and\n\n 2. The amount of benefits in excess of the amount required to repay the\n indebtedness after crediting any unearned interest or finance charges.\n\nHISTORY: 1960, c. 67, \u00a7 38.1-482.8; 1982, c. 223, \u00a7 38.2-3711; 1986, c. 562;\n1992, c. 586; 2002, c. 72; 2009, c. 643.","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}}