§ 7006 — Form of insurance premium finance agreement

(a) An insurance premium finance agreement shall:
(1) be dated and signed by or on behalf of the insured, and the printed portion thereof shall be in at least eight-point type;
(2) contain the name and place of business of the insurance agent or broker negotiating the related insurance contract, the name and residence or the place of business of the insured as specified by the insured, the name and place of business of the insurance premium finance company to which payments are to be made, a brief description of the insurance contracts involved, and the amount of premiums under the insurance contracts; and
(3) set forth the following items where applicable:
(A) the total amount of the premiums;
(B) the amount of the down payment;
(C) the principal balance (the difference between subdivisions (A) and (B) of this subdivision (3));
(D) the amount of the interest;
(E) the balance payable by the insured (total of items listed in subdivisions (C) and (D) of this subdivision (3));
(F) the number of installments required, the amount of each installment expressed in dollars, and the due date or period thereof; and
(G) the annual percentage rate of interest charged under the agreement.
(b) The items set out in subdivision (a)(3) of this section need not be stated in the sequence or order in which they appear in such subdivision (a)(3), and additional items may be included only to explain the computations made in determining the amount to be paid by the insured. (Added 1983, No. 77, § 1; amended 2021, No. 105 (Adj. Sess.), § 248, eff. July 1, 2022.)