2009 Iowa Code
Title 13 - Commerce
Subtitle 1 - Insurance and Related Regulation
CHAPTER 523C - RESIDENTIAL SERVICE CONTRACTS
523C.17 - LENDING INSTITUTIONS, SERVICE COMPANIES, AND INSURANCE COMPANIES.

        523C.17  LENDING INSTITUTIONS, SERVICE COMPANIES, AND
      INSURANCE COMPANIES.
         A bank, savings and loan association, insurance company, or other
      lending institution shall not require the purchase of a residential
      service contract as a condition of a loan.  A service company or an
      insurer, either directly or indirectly, as a part of any real
      property transaction in which a residential service contract will be
      issued, purchased, or acquired, shall not require that a residential
      service contract be issued, purchased, or acquired in conjunction
      with or as a condition precedent to the issuance, purchase, or
      acquisition, by any person, of a policy of insurance.  A lending
      institution shall not sell a residential service contract to a
      borrower unless the borrower signs an affidavit acknowledging that
      the purchase is not required.  Violation of this section is
      punishable as provided in section 523C.13.  

         83 Acts, ch 87, § 18; 93 Acts, ch 60, §10