Ohio § 1321.79
Full text of Ohio Ohio Revised Code § 1321.79, with citation guidance and answers to common questions.
§ 1321.79.
(A) A premium finance company shall not charge, contract for, receive, or collect a finance
charge other than as permitted by sections 1321.71 to 1321.83 of the Revised Code . (B) The finance charge shall be computed on the balance of the premium due, after subtracting
the down payment made by the insured in accordance with the premium finance agreement,
from the effective date of the insurance coverage, for which the premium is being
advanced, to and including the date when the final installment of the premium finance
agreement is payable, without regard to any requirement for installment payments. (C) The finance charge shall be computed at a maximum rate of twelve dollars per one
hundred dollars per year, plus an acquisition charge of twenty dollars per premium
finance agreement which need not be refunded upon cancellation or prepayment. However, if the insurance policies described in the premium finance agreement are
primarily for other than personal, family, or household purposes, the licensee may
contract for and receive any finance charge agreed to in writing by the licensee and
the insured. (D)(1) Notwithstanding any provision in a premium finance agreement to the contrary, any
insured may prepay his obligation under a premium finance agreement in full at any
time before the final payment is due. In such event any unearned finance charge shall be refunded by the insurance premium
finance company. The amount of any refund shall be calculated in accordance with the rule commonly
known as the “rule of 78” or any other method more beneficial to the insured. A refund calculated in accordance with the “rule of 78” shall represent at least
as great a proportion of the finance charge, if any, as the sum of the periodic balances
at the nearest installment due date to the date on which prepayment is made bears
to the sum of all periodic balances under the original schedule of payments in the
agreement. If the amount of any refund computed under division (D)(1) of this section is less
than three dollars, no refund need be made. (2) With respect to any premium finance agreement that is cancelled, the unearned finance
charge shall be refunded in the same manner as set forth in division (D)(1) of this
section. If the balance due on such an agreement is not paid in full, the licensee may earn
interest at the rate stated in the agreement until paid in full.
Frequently Asked Questions About Ohio § 1321.79
What does Ohio Revised Code § 1321.79 cover?
Section 1321.79 is part of the Ohio Revised Code, the codified statutory law of Ohio. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Ohio § 1321.79?
A common citation format is "Ohio Revised Code § 1321.79" (Ohio). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Ohio law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Ohio official source linked on this page or consult a licensed Ohio attorney.
How does Ohio § 1321.79 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Ohio can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Ohio.