US Laws, Codes, Statutes & Cases

      Sec. 36a-746f. Purchase of insurance by buyer. (a) Commencing January 1, 2002, any lender that makes a high cost home loan to a borrower and offers such borrower the option to purchase an individual or group credit life, accident, health, disability or unemployment insurance product on a prepaid single premium basis shall also offer such borrower the option of purchasing such insurance product on a monthly premium basis.

      (b) If a borrower purchases from a lender an individual or group credit life, accident, health, disability or unemployment insurance product, such borrower shall have the right to cancel such insurance product at any time and receive a refund of any unearned premiums paid. Commencing October 1, 2003, the notice of the right to cancel shall be in not less than twelve-point type and sent separately by mail to such borrower by the lender no earlier than ten days and no later than thirty days after consummation. Such notice shall also disclose the type of insurance product purchased, the cost of such product and the procedure for canceling such product.

      (P.A. 01-34, S. 8; P.A. 03-61, S. 8.)

      History: P.A. 03-61 amended Subsec. (b) to require, commencing October 1, 2003, notice of right to cancel to be in not less than twelve-point type and sent separately.