District of Columbia Statutes

§ 31-1109 — Service charges.

District of Columbia·Title 31 Insurance and Securities.·Ch. 11 Insurance Premium Finance Companies.
(a)A premium finance company shall not charge, contract for, receive, or collect a service charge other than as permitted by this chapter.
(b)The service charge is to be computed on the balance of the premiums due (after subtracting the downpayment made by the insured in accordance with the premium finance agreement) from the effective date of the insurance coverage, for which the premiums are being advanced, to and including the date when the final installment of the premium finance agreement is payable.
(c)The service charge shall be a maximum of $10 per $100 per year plus an additional charge of $20 per premium finance contract which need not be refunded upon cancellation or prepayment.

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Legislative History

Oct. 9, 1940, ch. 792, ch. III, § 59; Apr. 18, 1966, 80 Stat. 126, Pub. L. 89-403, § 1; Nov. 15, 1983, D.C. Law 5-40, § 2(a), 30 DCR 4994

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