(215 ILCS 5/155.54) (from Ch. 73, par. 767.54)
Sec. 155.54.
Amount of credit life insurance and credit accident and health
insurance.) (a) Credit Life Insurance
The amount of credit life insurance shall not exceed the initial indebtedness.
Where an indebtedness is repayable in substantially equal installments,
the amount of insurance shall at no time exceed the scheduled or actual
amount of unpaid indebtedness, whichever is greater.
(b) Credit Accident and Health Insurance
The total amount of indemnity payable by credit accident and health insurance
in the event of disability, as defined in the policy, shall not exceed the
aggregate of the periodic scheduled unpaid installments of the indebtedness
and the amount of each periodic indemnity payment shall not exceed the original
indebtedness divided by the number of periodic installments.
(Source: P.A. 79-930.)
|