§ 40-14-431 — Amount of insurance

(a) Except as provided in subsection (b) of this section:
(i) In the case of consumer credit insurance
providing life coverage, the amount of insurance may not
initially exceed the debt and, if the debt is payable in
installments, may not at any time exceed the greater of the
scheduled or actual amount of the debt; or
(ii) In the case of any other consumer credit
insurance, the total amount of periodic benefits payable may not
exceed the total of scheduled unpaid installments of the debt,
and the amount of any periodic benefit may not exceed the
original amount of debt divided by the number of periodic
installments in which it is payable.
(b) If consumer credit insurance is provided in connection
with a revolving charge account or revolving loan account, the
amounts payable as insurance benefits may be reasonably
commensurate with the amount of debt as it exists from time to
time. If consumer credit insurance is provided in connection
with a commitment to grant credit in the future, the amounts
payable as insurance benefits may be reasonably commensurate
with the total from time to time of the amount of debt and the
amount of the commitment.