(a) (1) Subject to paragraph (3) of this subsection, each individual policy or group certificate shall provide that any refund of the amount paid by the debtor for credit life insurance, credit health insurance, or credit involuntary unemployment benefit insurance will be paid or credited promptly to the person entitled to it if the insurance is terminated before the scheduled maturity date of the indebtedness.
(2) The formula to be used in computing a refund shall be filed with and approved by the Commissioner.
(3) The Commissioner shall establish a minimum refund, below which an insurer need not make a refund.
(b) If a creditor requires a debtor to make a payment for credit life insurance, credit health insurance, or credit involuntary unemployment benefit insurance and an individual policy or group certificate is not issued, the creditor immediately shall give written notice to the debtor and promptly shall make an appropriate credit to the debtor’s account.
Structure Maryland Statutes
Title 13 - Credit Life, Health, and Involuntary Unemployment Benefit Insurance
Section 13-102 - Purpose and Construction of Title
Section 13-103 - Scope of Title
Section 13-104 - Issuance of Policies
Section 13-105 - Forms of Insurance
Section 13-106 - Amounts of Insurance
Section 13-107 - Term of Insurance
Section 13-108 - Individual Policies and Group Certificates
Section 13-109 - Delivery of Policy or Certificate to Debtor
Section 13-111 - Premium Rates
Section 13-114 - Option of Debtor to Provide Insurance
Section 13-115 - Insurance of Husband and Wife