§ 51-07-12 — Automobile sales finance contracts - Information of insurance protection to be given - Warning required - Penalty

North Dakota § 51-07-12

• Jurisdiction: North Dakota
• Title 51: Sales and Exchanges
• Ch. 51-07: Miscellaneous Provisions

Text

be given - Warning required - Penalty.
1. Purchasers of automobiles under sales finance contracts, when required by a dealer,
bank, or other finance agency or company, to furnish insurance on any motor vehicle,
in connection with the financing of such motor vehicle, must be furnished by the seller
evidence of the insurance protection. Such insurance evidence must be in the form of
a regular insurance binder or policy or certificate of insurance. The original policy or
certificate of insurance clearly stating the coverage afforded by the policy must be
delivered to the purchaser within a reasonable time after execution of the insurance
order. The certificate must display the premium charged for each coverage afforded.
2. If the insurance required by any dealer, bank, or other finance agency or company
does not provide insurance for bodily injury liability or property damage liability, then
the insurance policy or the certificate of insurance, if the policy is filed with the payee,
must have imprinted or stamped on the policy or certificate a notice that the policy
does not include bodily injury liability or property damage liability insurance. The
imprinting or stamping of such notice must be in the manner or form as may be
approved by the insurance commissioner.
3. Any person failing to comply with the provisions of this chapter is guilty of a class B
misdemeanor.