Oklahoma § 24-13 - Insurance on life of debtor - Conditions

§ 24-13. Insurance on life of debtor - Conditions

A. Whenever a credit life insurance policy or other insurance

policy is obtained on the life of a debtor under or pursuant to the

terms of a contract for the sale of a motor vehicle, merchandise or

other property, the person, firm, company or corporation obtaining

or receiving the policy shall furnish a copy of the policy, or a

certificate or statement of insurance in the case of a group policy,

to the insured not later than thirty (30) days after receipt

thereof. Such policy shall be on a form approved by the State

Insurance Commissioner, and the principal amount payable thereunder

shall not be in excess of the total amount the debtor agrees to pay

when he enters into such contract, provided, however, that where the

indebtedness is repayable in installments, the amount of the

insurance shall not exceed the approximate unpaid balance of the

loan. If all amounts payable under such contract are paid before

the same become due, such policy shall be cancelled at the request

of the insured who shall be paid any refund for unearned premium on

the policy within fifteen (15) days after such cancellation.

B. Whenever a credit life insurance policy or other insurance

policy obtained pursuant to this section is denied or cancelled

prior to the satisfaction of the debt by the insurer, notice shall

Oklahoma Statutes - Title 24. Debtor and Creditor

be given by the insurer to the debtor by certified mail with return

receipt requested within sixty (60) days of the denial or

cancellation.

Laws 1957, p. 215, § 1; Laws 1992, c. 18, § 1, eff. Sept. 1, 1992.