NY Banking L § 357 (2021)
2021 New York Laws BNK - Banking Article 9 - Licensed Lenders 357 - Insurance.

§  357. Insurance. 1. The licensee may require a borrower, on loans of   two hundred and fifty dollars or more, excluding insurance premiums  and   precomputed  interest,  to  insure  tangible  personal  property, except   household goods, taken as security for a loan  against  any  substantial   risk  of  loss,  damage  or  destruction for an amount not to exceed the   lesser of the reasonable value of the property insured or the  principal   amount  of  the loan, and for the customary insurance term approximating   the term of the loan contract. The policy may insure the interest of the   borrower as well as the interest of the licensee. A  policy  covering  a   motor  vehicle  securing  the  loan may also insure the borrower against   liability for bodily injury and  property  damage,  but  such  liability   insurance  shall  be  at  the  option  of  the borrower and shall not be   required by the licensee. The premiums for all such insurance shall  not   exceed the premiums chargeable in accordance with rate filings made with   the  superintendent  of  financial  services  for  such insurance by the   insurer. Such insurance shall be written by, or through, a duly licensed   insurance agent or broker, or shall be provided directly  by  a  company   qualified to do business in this state.2. For purposes of this section, the term "household goods" shall mean   clothing,  furniture,  appliances, one radio and one television, linens,   china, crockery, kitchenware, and personal  effects  (including  wedding   rings)  owned  by  the consumer and his or her dependents, but shall not   include works of art, other electronic  entertainment  equipment,  items   acquired as antiques, and other jewelry.3. When a licensee provides credit life insurance, credit accident and   health  insurance,  or credit unemployment insurance, or credit property   insurance pursuant to section two thousand three hundred  forty  of  the   insurance  law,  or  any combination thereof with respect to one or more   borrowers, such licensee may collect from  the  borrower  a  premium  or   identifiable  charge  which  shall  not  exceed  the  premium  rates  or   identifiable charges chargeable in accordance  with  rate  filings  made   with  the superintendent of financial services for such insurance by the   insurer, subject to  a  refund  of  the  insurance  charge  computed  as   provided  in  paragraph (a) of subdivision five of section three hundred   fifty-one of this article, in the event of prepayment  by  cash,  a  new   loan, refinancing or otherwise. Only one such amount may be collected in   connection with any loan contract irrespective of the number of obligors   and only one obligor need be insured.4.  The  insurance  authorized  by this section, with the exception of   insurance provided under group insurance policies, may be written by  or   arranged  through the licensee or an affiliate, associate or employee of   the licensee only if such licensee, affiliate, associate or employee  is   a  duly  licensed  insurance  agent  or  broker,  provided,  however, no   licensee shall decline new or existing insurance which meets or  exceeds   the  standards  set forth in this section, nor prevent any borrower from   obtaining such insurance coverage from other sources.5. If a borrower procures such insurance by or through a licensee, the   statement required by section three hundred fifty-two  of  this  article   shall  disclose  the cost or rate of charge to the borrower and the type   of insurance, and the licensee  shall  cause  to  be  delivered  to  the   borrower  a  copy of the policy, certificate, or other evidence therefor   within a reasonable time.6. The insurance authorized  by  this  section  and  all  benefits  or   returns  therefrom  accruing  to  the  licensee  or  to  any  affiliate,   associate or employee of the licensee shall not  be  prohibited  by  any   other provision of this article.7. No insurance shall be required, requested, sold or offered for sale   in  connection  with  any loan made under this article, except as and to    the extent authorized by this section or as provided in subdivision  six   of section three hundred fifty-one of this article.If  the  borrowers on any loan are husband and wife, joint credit life   insurance and joint credit accident and health insurance may  be  issued   on such loan pursuant to this section.