reglab/statecodes huggingface dataset:
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 13. Viatical Settlements › 33-20-1311. Disclosure of information to policyholder

33-20-1311. Disclosure of information to policyholder.
A viatical settlement provider shall disclose the information specified in this section to the policyholder or certificate holder entering the viatical settlement contract prior to the date on which the viatical settlement contract is signed by all parties. The disclosure must be in the form approved by the commissioner. The information must include the following:
(1) possible alternatives to viatical settlement contracts for persons with terminal illnesses or conditions, including but not limited to accelerated benefits offered by the issuer of the life insurance policy;
(2) the fact that some or all of the proceeds of the viatical settlement may be taxable and that assistance should be sought from a personal tax adviser. Viatical settlement brokers, viatical settlement providers, or their respective employees or agents may not act as personal tax advisers for purposes of this disclosure requirement.
(3) the fact that the viatical settlement could be subject to the claims of creditors;
(4) the fact that receipt of a viatical settlement may adversely affect the recipient's eligibility for medicaid or other government benefits or entitlement and that advice should be obtained from the appropriate agencies;
(5) the right of a policyholder or certificate holder to rescind a viatical settlement contract as provided in 33-20-1308. The disclosure must state the deadlines for rescission and the return of proceeds received.
(6) the date by which the funds will be available to the policyholder or certificate holder and the source of the funds; and
(7) the fact that the viatical settlement contract is void if the viatical settlement provider or viatical settlement broker fails to tender payment of the proceeds as provided in the viatical settlement contract.
History: En. Sec. 11, Ch. 298, L. 1997; amd. Sec. 3, Ch. 295, L. 2001.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 13. Viatical Settlements › 33-20-1312. Conditions precedent to entering into viatical settlement contract

33-20-1312. Conditions precedent to entering into viatical settlement contract.
(1) Before a viatical settlement provider enters into a viatical settlement contract with a policyholder or certificate holder who has a terminal illness or condition, the viatical settlement provider shall first obtain the following:
(a) a written statement from an attending physician that the policyholder or certificate holder is of sound mind and not under constraint or undue influence; and
(b) a witnessed document in which the policyholder or certificate holder:
(i) consents to the viatical settlement contract;
(ii) acknowledges that the illness or condition is terminal;
(iii) represents that the policyholder or certificate holder has a full and complete understanding of the viatical settlement contract;
(iv) confirms that the policyholder or certificate holder has a full and complete understanding of the benefits of the life insurance policy;
(v) releases the medical records of the policyholder or certificate holder relating to the terminal illness or condition; and
(vi) acknowledges that the policyholder or certificate holder has entered into the viatical settlement contract freely and voluntarily.
(2) A viatical settlement provider may enter a viatical settlement contract only after the individual whose life would be the subject of the viatical settlement contract is determined to have a terminal illness or condition, as follows:
(a) if the individual is the policyholder or certificate holder, an attending physician of the policyholder or certificate holder shall make the determination; or
(b) if the individual is a person other than the policyholder or certificate holder, an attending physician of the individual or of the policyholder or certificate holder shall make the determination.
(3) For purposes of this section, "attending physician" means a medical doctor, a doctor of osteopathy, or a naturopathic physician licensed in this state, who is primarily responsible for the treatment or a portion of treatment of the individual whose life would be the subject of the viatical settlement contract.
History: En. Sec. 12, Ch. 298, L. 1997.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 13. Viatical Settlements › 33-20-1314. Payment to escrow or trust account -- lump-sum payment

33-20-1314. Payment to escrow or trust account -- lump-sum payment.
(1) Within 3 business days after receipt of documents from the policyholder or certificate holder effecting the transfer of the insurance policy or certificate, the viatical settlement provider shall pay the proceeds of the settlement to an escrow or trust account managed by a trustee or escrow agent in a bank approved by the commissioner, pending acknowledgment of the transfer by the issuer of the life insurance policy. The trustee or escrow agent shall transfer the proceeds due to the policyholder or certificate holder immediately upon receipt of acknowledgment of the transfer from the insurer.
(2) A viatical settlement provider shall make payment of the proceeds of a viatical settlement contract in a lump sum except as provided in this subsection. A viatical settlement provider may not retain any portion of the proceeds. A viatical settlement provider may make installment payments only if the viatical settlement provider has purchased an annuity issued by an authorized insurer or a similar financial instrument issued by a financial institution authorized to engage in the business of a financial institution in this state.
(3) Failure by the viatical settlement provider to tender the viatical settlement by the date disclosed to the policyholder or certificate holder renders the contract void.
History: En. Sec. 14, Ch. 298, L. 1997; amd. Sec. 6, Ch. 272, L. 2009.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 13. Viatical Settlements › 33-20-1315. Rules -- standards -- bond

33-20-1315. Rules -- standards -- bond.
The commissioner may, in accordance with the provisions of 33-1-313, adopt rules for the purpose of carrying out this part. In addition, the commissioner:
(1) may establish standards for evaluating reasonableness of payments under viatical settlement contracts for insured individuals who are terminally ill or chronically ill. The authority includes but is not limited to regulation of discount rates used to determine the amount paid in exchange for assignment, transfer, sale, devise, or bequest of a benefit under a life insurance policy. For the purpose of the standards, the commissioner shall consider payments made in regional and national viatical settlement markets to the extent that this information is available, as well as model standards developed by the national association of insurance commissioners. When the insured is not terminally ill or chronically ill, the commissioner may not establish standards for evaluating the reasonableness of payments, except that a viatical settlement provider shall pay an amount greater than the greater of the cash surrender value or the accelerated death benefit then available.
(2) shall require a bond or other mechanism for financial accountability of viatical settlement providers and viatical settlement brokers; and
(3) shall adopt rules to establish:
(a) trade practice standards for the purpose of regulating advertising and solicitation of viatical settlement contracts;
(b) fees that are commensurate with fees charged pursuant to 33-2-708; and
(c) the continuing education program provided for in 33-20-1303(5).
History: En. Sec. 15, Ch. 298, L. 1997; amd. Sec. 8, Ch. 493, L. 2003; amd. Sec. 4, Ch. 552, L. 2005; amd. Sec. 37, Ch. 44, L. 2007; amd. Sec. 12, Ch. 399, L. 2007.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 13. Viatical Settlements › 33-20-1316. Service of process

33-20-1316. Service of process.
(1) For viatical settlement providers, the provisions of Title 33, chapter 1, part 6, apply.
(2) For viatical settlement brokers, service of process must be made pursuant to 35-7-113 or in any other manner permitted by law.
History: En. Sec. 6, Ch. 227, L. 2001; amd. Sec. 21, Ch. 157, L. 2023.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 13. Viatical Settlements › 33-20-1318. Conflict of laws

33-20-1318. Conflict of laws.
(1) If there is more than one owner on a single life insurance policy and the owners are residents of different states, the viatical settlement contract is governed by the law of the state in which the owner having the largest percentage ownership resides or, if the owners hold equal ownership, the state of residence of one owner agreed upon in writing by all of the owners. The law of the state of the insured governs if equal owners fail to agree in writing upon a state of residence for jurisdictional purposes.
(2) (a) A viatical settlement provider from this state who enters into a viatical settlement contract with a viator who is a resident of another state that has enacted statutes or adopted regulations governing viatical settlement contracts is governed in the effectuation of that viatical settlement contract by the statutes and regulations of the viator's state of residence.
(b) A viatical settlement provider from this state who enters into a viatical settlement contract with a viator who is a resident of another state that has not enacted statutes or adopted regulations governing viatical settlement contracts is governed in the effectuation of that viatical settlement contract by the laws of this state. The viatical settlement provider shall give the viator notice that this state regulates the transaction into which the viator is entering. The viatical settlement provider shall maintain all records required by this state and use forms approved in this state.
(3) If there is a conflict in the laws that apply to a viator and a viatical settlement purchaser in any individual transaction, the laws of the state that apply to the viator take precedence and the viatical settlement provider shall comply with those laws.
History: En. Sec. 7, Ch. 272, L. 2009.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 14. Structured Settlement Protection › 33-20-1403. Disclosure to payee

33-20-1403. Disclosure to payee.
No less than 3 days prior to the date on which a payee signs a transfer agreement, the transferee shall provide to the payee a written disclosure statement separate from the transfer agreement that sets forth in bold type no smaller than 14 points:
(1) the amounts and the due dates of the structured settlement payment to be transferred;
(2) the aggregate amount of the amounts in subsection (1);
(3) the discounted present value of the payments to be transferred, which must be identified as:
(a) the calculation of the present value of the transferred structured settlement payment under federal standards for valuing annuities; and
(b) the amount of the applicable federal rate used in calculating the discounted present value;
(4) the gross advance amount;
(5) an itemized list of all applicable transfer expenses, other than attorney fees and related disbursements, based on the transferee's best estimate of the amount of fees and disbursements payable in connection with the transferee's application for approval of the transfer;
(6) the net advance amount;
(7) the amount of any penalty or liquidated damages payable by the payee in the event of a breach of the transfer agreement by the payee; and
(8) a statement that the payee has the right to cancel the transfer agreement without penalty or further obligation no later than the third business day after the date on which the payee signs the agreement.
History: En. Sec. 3, Ch. 351, L. 2005.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 14. Structured Settlement Protection › 33-20-1404. Transfer of structured settlement payment right -- conditions

33-20-1404. Transfer of structured settlement payment right -- conditions.
A direct or indirect transfer of a structured settlement payment right is not effective and a structured settlement obligor or annuity issuer is not required to make a payment directly or indirectly to a transferee of a structured settlement payment right unless a final court order or order of a responsible administrative authority has approved the transfer in advance based on written findings by the court or responsible administrative authority that:
(1) the transfer is in the best interest of the payee, taking into account the welfare and support of the payee's dependents, if any;
(2) the payee has been advised in writing by the transferee to seek independent professional advice regarding the transfer and either has received independent professional advice or knowingly waived independent professional advice in writing; and
(3) the transfer does not contravene any applicable statute or the order of any court or other government authority.
History: En. Sec. 4, Ch. 351, L. 2005.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 14. Structured Settlement Protection › 33-20-1405. Obligations after transfer

33-20-1405. Obligations after transfer.
After the transfer of a structured settlement payment right pursuant to this part:
(1) the structured settlement obligor and the annuity issuer are discharged and released from liability for the transferred payments to all parties except to the transferee;
(2) the transferee is liable to the structured settlement obligor and the annuity issuer:
(a) if the transfer contravenes the terms of the structured settlement for any tax incurred by the structured settlement obligor or annuity issuer as a consequence of the transfer; and
(b) for any other liability or cost, including reasonable costs and attorney fees, arising:
(i) from compliance by the structured settlement obligor and annuity issuer with the order of the court or responsible administrative authority; or
(ii) as a consequence of the transferee's failure to comply with this part; and
(3) neither the structured settlement obligor nor the annuity issuer may be required to divide a periodic payment between a payee and a transferee or assignee or between two or more transferees or assignees.
History: En. Sec. 5, Ch. 351, L. 2005.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 14. Structured Settlement Protection › 33-20-1406. Additional transfers

33-20-1406. Additional transfers.
After the transfer of a structured settlement payment right pursuant to this part, any further transfer by the payee is subject to all of the requirements of this part.
History: En. Sec. 6, Ch. 351, L. 2005.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 14. Structured Settlement Protection › 33-20-1407. Jurisdiction -- notice

33-20-1407. Jurisdiction -- notice.
(1) A transferee may apply under this part for approval of a transfer of a structured settlement payment right:
(a) in the county in which the payee resides;
(b) in the county in which the structured settlement obligor or the annuity issuer maintains a principal place of business; or
(c) in any court or before any responsible administrative authority that approved the structured settlement agreement.
(2) Not less than 20 days prior to a scheduled hearing on an application for approval of a transfer of a structured settlement payment right under 33-20-1404, the transferee shall file with the court or responsible administrative authority and serve on all interested parties a notice of the proposed transfer and the application for an authorized transfer. The notice must include the following:
(a) a copy of the transferee's application;
(b) a copy of the transfer agreement;
(c) a copy of the disclosure statement required under 33-20-1403;
(d) a listing of each of the payee's dependents, if any, together with the age of each dependent;
(e) notification that any interested party is entitled to support, oppose, or otherwise respond to the transferee's application either in person or by counsel by submitting written comments to the court or responsible administrative authority or by participating in the hearing; and
(f) notification of the time and the place of the hearing and notification of the manner in which and the time by which written responses to the application must be filed. The filing deadline may not be less than 15 days after the transferee's notice has been served.
History: En. Sec. 7, Ch. 351, L. 2005.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 14. Structured Settlement Protection › 33-20-1409. Disputes -- entry of judgment

33-20-1409. Disputes -- entry of judgment.
(1) A transfer agreement entered into on or after October 1, 2005, by a payee who resides in this state must provide that disputes under the transfer agreement, including a claim that the payee has breached the agreement, must be determined in this state under the laws of this state.
(2) A transfer agreement may not authorize the transferee or any other party to confess judgment or consent to entry of judgment against the payee.
History: En. Sec. 9, Ch. 351, L. 2005.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 14. Structured Settlement Protection › 33-20-1410. Contingent payment conditions

33-20-1410. Contingent payment conditions.
A transfer of a structured settlement payment right may not extend to a payment that is contingent upon the life of a payee unless prior to the date on which the payee signs the transfer agreement the transferee has established and agreed to maintain procedures reasonably satisfactory to the annuity issuer and the structured settlement obligor for:
(1) periodically confirming the payee's survival; and
(2) giving the annuity issuer and the structured settlement obligor prompt written notice upon the payee's death.
History: En. Sec. 10, Ch. 351, L. 2005.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 14. Structured Settlement Protection › 33-20-1411. Responsibility for compliance -- liability

33-20-1411. Responsibility for compliance -- liability.
(1) Compliance with the requirements in 33-20-1403 and fulfillment of the conditions in 33-20-1404 are the sole responsibility of the transferee in any transfer of a structured settlement payment right. Neither the structured settlement obligor nor the annuity issuer bears responsibility for or liability arising from noncompliance with 33-20-1403 or failure to fulfill the conditions of 33-20-1404.
(2) A payee who proposes to make a transfer of a structured settlement payment right may not incur a penalty, forfeit an application fee or other payment, or otherwise incur any liability to the proposed transferee or any assignee based on a failure of a transfer agreement to satisfy the conditions of this part.
History: En. Sec. 11, Ch. 351, L. 2005.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 14. Structured Settlement Protection › 33-20-1412. Construction

33-20-1412. Construction.
This part may not be construed to authorize a transfer of a structured settlement payment right in contravention of any law or to imply that any transfer under a transfer agreement entered into prior to October 1, 2005, is valid or invalid.
History: En. Sec. 12, Ch. 351, L. 2005.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 15. Funeral Insurance › 33-20-1502. Excess funeral insurance proceeds

33-20-1502. Excess funeral insurance proceeds.
Funeral insurance proceeds that exceed the cost of the funeral goods and services provided must be paid in accordance with the beneficiary designation in the insurance policy or certificate.
History: En. Sec. 2, Ch. 507, L. 2007.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 15. Funeral Insurance › 33-20-1503. Rules

33-20-1503. Rules.
The commissioner may adopt rules to regulate funeral insurance, including but not limited to rules regarding licensure of producers, form review, and consumer protection.
History: En. Sec. 3, Ch. 507, L. 2007.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 16. Unclaimed Life Insurance Benefits Act › 33-20-1602. Purpose

33-20-1602. Purpose.
The purposes of this part are to require recognition of the escheat or unclaimed property statutes of Montana and to require complete and proper disclosure, transparency, and accountability relating to any method of payment for life insurance death benefits regulated by the commissioner.
History: En. Sec. 2, Ch. 119, L. 2013.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 16. Unclaimed Life Insurance Benefits Act › 33-20-1603. Application of part

33-20-1603. Application of part.
(1) This part applies to life insurance policies, annuity contracts, certificates under a life insurance policy or annuity contract, or certificates issued to a fraternal benefit society under which benefits are payable upon the death of the insured.
(2) This part may not be construed to limit any agreement by the commissioner with an insurer regarding unclaimed life insurance benefits.
(3) For the purposes of this part, the term "annuity contract" does not include an annuity used to fund an employment-based retirement plan or program when the insurer is not committed by terms of the annuity contract to pay death benefits to the beneficiaries of specific plan participants.
History: En. Sec. 3, Ch. 119, L. 2013; amd. Sec. 16, Ch. 63, L. 2015.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 16. Unclaimed Life Insurance Benefits Act › 33-20-1604. Definitions

33-20-1604. Definitions.
As used in this part, the following definitions apply:
(1) (a) "Certificate under a life insurance policy" means a certificate of life insurance that provides a death benefit.
(b) The term does not include a certificate of life insurance that provides a death benefit under:
(i) an employee benefit plan that is subject to the Employee Retirement Income Security Act of 1974, 29 U.S.C. 1001, et seq.;
(ii) any federal employee benefit program;
(iii) a policy or certificate used to fund a preneed funeral contract or prearrangement; or
(iv) a policy or certificate of credit life insurance or accidental death insurance.
(2) "Death master file" means the social security administration's death master file or any other database or service at least as comprehensive as the social security administration's death master file used for determining that a person has reportedly died.
(3) "Match" means a search of the death master file that results in a match of the social security number or the name and date of birth of an insured, annuitant, or retained asset account owner.
(4) "Policy" means a policy that provides a death benefit. The term does not include a policy that provides a death benefit under:
(a) an employee benefit plan that is subject to the Employee Retirement Income Security Act of 1974, 29 U.S.C. 1001, et seq.;
(b) any federal employee benefit program;
(c) a policy or certificate of insurance used to fund a preneed funeral contract or prearrangement;
(d) a policy or certificate of credit life insurance or accidental death insurance; or
(e) a policy issued to a group master policyholder for which the insurer does not provide recordkeeping services.
History: En. Sec. 4, Ch. 119, L. 2013.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 16. Unclaimed Life Insurance Benefits Act › 33-20-1605. Insurer conduct

33-20-1605. Insurer conduct.
(1) An insurer shall perform a comparison of life insurance policies, annuity contracts, and retained asset accounts that are in force for its insureds against a death master file on at least a semiannual basis to identify potential matches of its insureds. For any potential matches, the insurer shall within 90 days:
(a) make a reasonable effort, documented by the insurer, to confirm the death of the insured, annuity contract holder, or retained asset account holder; and
(b) determine whether benefits are due in accordance with the applicable policy or contract.
(2) If benefits are due in accordance with the applicable policy or contract, the insurer shall:
(a) use reasonable efforts, documented by the insurer, to locate the beneficiary; and
(b) provide the appropriate claims forms or instructions to the beneficiary to make a claim, including the requirement to provide an official death certificate, if applicable under the policy or contract.
(3) With respect to group life insurance, an insurer is required to confirm the possible death of an insured when the insurer maintains at least the following information with regard to those covered under a policy or contract:
(a) social security number or name and date of birth;
(b) beneficiary designation information;
(c) coverage eligibility;
(d) benefit amount; and
(e) premium payment status.
(4) To the extent permitted by law, an insurer may disclose minimum necessary personal information about an insured or beneficiary to a person the insurer reasonably believes may be able to assist the insurer in locating the beneficiary or a person otherwise entitled to payment of claim proceeds.
(5) An insurer or its service provider may not charge insureds, account holders, or beneficiaries for any fees or costs associated with a search or verification conducted pursuant to this section.
(6) The benefits from a life insurance policy, an annuity contract, or a retained asset account, plus any applicable accrued interest, must be first payable to the designated beneficiary. In the event the beneficiary cannot be found, the benefits escheat to the state as unclaimed property pursuant to Title 70, chapter 9, part 8.
(7) If claim proceeds are presumed abandoned pursuant to 70-9-803, the insurer shall notify the department of revenue that:
(a) the beneficiary of a life insurance policy, annuity contract, or retained asset account has not submitted a claim with the insurer; and
(b) the insurer has been unable, after reasonable efforts documented by the insurer, to contact the beneficiary.
(8) In addition to giving notice to the department of revenue, the insurer shall immediately submit the unclaimed life insurance or annuity contract benefits or the unclaimed retained asset accounts, plus any applicable accrued interest, to the department of revenue.
History: En. Sec. 5, Ch. 119, L. 2013.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 20. Life Insurance › Part 16. Unclaimed Life Insurance Benefits Act › 33-20-1606. Unfair trade practices

33-20-1606. Unfair trade practices.
A violation of the provisions of 33-20-1605 by an insurer constitutes an unfair method of competition or a deceptive act or practice in the business of insurance as provided in Title 33, chapter 18, part 2.
History: En. Sec. 6, Ch. 119, L. 2013.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 21. Credit Life and Disability Insurance › Part 1. General Provisions › 33-21-101. Short title

33-21-101. Short title.
This chapter may be cited as "The Model Act for the Regulation of Credit Life Insurance and Credit Disability Insurance".
History: En. Sec. 393, Ch. 286, L. 1959; R.C.M. 1947, 40-4202.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 21. Credit Life and Disability Insurance › Part 1. General Provisions › 33-21-102. Purpose and scope

33-21-102. Purpose and scope.
(1) The purpose of this chapter is to promote the public welfare by regulating credit life insurance and credit disability insurance. Nothing in this chapter is intended to prohibit or discourage reasonable competition. The provisions of this chapter shall be liberally construed.
(2) Except as provided in subsection (3), this chapter applies to each policy, certificate of insurance, notice of proposed insurance, binder, endorsement, and rider of life insurance and disability insurance delivered or issued for delivery in Montana in connection with loans or other credit transactions for personal, family, or household purposes.
(3) This chapter does not apply to life insurance or disability insurance delivered or issued for delivery in connection with:
(a) a loan or other credit transaction of more than 15 years' duration;
(b) a credit transaction that is:
(i) secured by a first mortgage or deed of trust; and
(ii) made to finance the purchase of real property or the construction of a dwelling thereon or to refinance a prior credit transaction made for that purpose; or
(c) a credit transaction that is an isolated transaction on the part of the insurer and that is not related to an agreement or a plan for insuring debtors of the creditor.
History: (1)En. Sec. 392, Ch. 286, L. 1959; Sec. 40-4201, R.C.M. 1947; (2)En. Sec. 394, Ch. 286, L. 1959; amd. Sec. 1, Ch. 31, L. 1969; amd. Sec. 1, Ch. 323, L. 1974; Sec. 40-4203, R.C.M. 1947; R.C.M. 1947, 40-4201, 40-4203; amd. Sec. 2, Ch. 617, L. 1985; amd. Sec. 2, Ch. 156, L. 1989.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 21. Credit Life and Disability Insurance › Part 1. General Provisions › 33-21-103. Definitions

33-21-103. Definitions.
As used in this chapter, the following definitions apply:
(1) "Credit disability insurance" means insurance on a debtor or joint debtors to provide indemnity for payments becoming due on a specific loan or other credit transaction while the debtor or either of the joint debtors is disabled as defined in the policy.
(2) "Credit life insurance" means insurance on the life of a debtor or the lives of joint debtors pursuant to or in connection with a specific loan or other credit transaction.
(3) "Credit transaction" means a transaction by the terms of which, at a future date:
(a) repayment of money loaned is made;
(b) a loan commitment is made; or
(c) payment for goods, services, or property sold or leased is made.
(4) "Creditor" means:
(a) a lender of money or vendor or lessor of goods, services, property, rights, or privileges, for which payment is arranged through a credit transaction;
(b) any successor to the right, title, or interest of a lender, vendor, or lessor;
(c) an affiliate, associate, or subsidiary of a lender, vendor, or lessor;
(d) a director, officer, or employee of a lender, vendor, or lessor; or
(e) any other person in any way associated with a lender, vendor, or lessor.
(5) "Debtor" means a borrower of money or a purchaser or lessee of goods, services, property, rights, or privileges for which payment is arranged through a credit transaction.
(6) "Indebtedness" means the total amount payable by a debtor to a creditor in connection with a loan or other credit transaction.
(7) "Open-end credit" means credit extended by a creditor under an agreement in which:
(a) the creditor reasonably contemplates repeated transactions;
(b) the creditor imposes a finance charge from time to time on an outstanding unpaid balance; and
(c) the amount of credit that may be extended to the debtor during the term of the agreement (up to any limit set by the creditor) is generally made available to the extent that any outstanding balance is repaid.
History: En. Sec. 395, Ch. 286, L. 1959; R.C.M. 1947, 40-4204; amd. Sec. 3, Ch. 156, L. 1989; amd. Sec. 1, Ch. 179, L. 1993.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 21. Credit Life and Disability Insurance › Part 1. General Provisions › 33-21-104. Existing insurance -- choice of insurer

33-21-104. Existing insurance -- choice of insurer.
When credit life insurance or credit disability insurance is required as additional security for an indebtedness, the debtor, upon request to the creditor, has the option of furnishing the required amount of insurance through existing policies of insurance owned or controlled by the debtor or of procuring and furnishing the required coverage through an insurer authorized to transact insurance within Montana.
History: En. Sec. 405, Ch. 286, L. 1959; R.C.M. 1947, 40-4214; amd. Sec. 4, Ch. 156, L. 1989; amd. Sec. 1216, Ch. 56, L. 2009.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 21. Credit Life and Disability Insurance › Part 1. General Provisions › 33-21-105. Claims

33-21-105. Claims.
(1) A claim must be promptly reported to the insurer or its designated claim representative, and the insurer shall maintain adequate claim files. A claim must be settled as soon as possible and in accordance with the terms of the insurance contract.
(2) A claim must be paid either by draft drawn upon the insurer or by check of the insurer to the order of the claimant to whom payment of the claim is due pursuant to the policy provisions or upon direction of the claimant to one specified.
(3) No plan or arrangement may be used whereby a person, partnership, or corporation other than the insurer or its designated claim representative is authorized to settle or adjust claims. The creditor may not be designated as claim representative for the insurer in adjusting claims, except that a group policyholder may, by arrangement with the group insurer, draw drafts or checks in payment of claims due to the group policyholder subject to audit and review by the insurer.
History: En. Sec. 404, Ch. 286, L. 1959; R.C.M. 1947, 40-4213; amd. Sec. 5, Ch. 156, L. 1989.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 21. Credit Life and Disability Insurance › Part 1. General Provisions › 33-21-111. Rules -- enforcement of chapter

33-21-111. Rules -- enforcement of chapter.
The commissioner may, after notice and hearing, adopt rules that the commissioner considers appropriate for the supervision of this chapter. Whenever the commissioner finds that there has been a violation of this chapter or any rules adopted pursuant to this chapter and after written notice and hearing given to the insurer or other person authorized or licensed by the commissioner, the commissioner shall set forth the details of the commissioner's findings together with an order for compliance by a specified date. The order is binding on the insurer and other person authorized or licensed by the commissioner on the date specified unless withdrawn by the commissioner or unless a stay has been ordered by a court of competent jurisdiction.
History: En. Sec. 406, Ch. 286, L. 1959; R.C.M. 1947, 40-4215; amd. Sec. 1217, Ch. 56, L. 2009.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 21. Credit Life and Disability Insurance › Part 1. General Provisions › 33-21-112. Judicial review

33-21-112. Judicial review.
Any party to the proceeding affected by an order of the commissioner shall be entitled to judicial review by following the procedure set forth in 33-1-711.
History: En. Sec. 407, Ch. 286, L. 1959; R.C.M. 1947, 40-4216.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 21. Credit Life and Disability Insurance › Part 1. General Provisions › 33-21-113. Penalties

33-21-113. Penalties.
In addition to any penalty provided by law, a person or business entity who violates an order of the commissioner after it has become final and while the order is in effect shall, upon proof of the violation to the satisfaction of a court, pay to the state of Montana a sum not to exceed $250 if the violation is found to be not willful. The sum may be recovered in a civil action. If the violation is found to be willful, the amount of the penalty may be in an amount not to exceed $1,000. The commissioner may revoke or suspend the license or certificate of authority of the person or business entity guilty of the violation. The order for suspension or revocation is subject to judicial review as provided in 33-1-711.
History: En. Sec. 408, Ch. 286, L. 1959; R.C.M. 1947, 40-4217; amd. Sec. 6, Ch. 156, L. 1989; amd. Sec. 1218, Ch. 56, L. 2009; amd. Sec. 22, Ch. 271, L. 2009.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 21. Credit Life and Disability Insurance › Part 2. Policy Requirements › 33-21-201. Form of issuance

33-21-201. Form of issuance.
An insurer may deliver or issue for delivery credit life insurance and credit disability insurance only in the following forms:
(1) individual policies of life insurance issued to debtors on a term plan;
(2) individual policies of disability insurance issued to debtors on a term plan or disability benefit provisions in individual policies of credit life insurance;
(3) group policies of life insurance issued to creditors providing insurance on the lives of debtors on a term plan;
(4) group policies of disability insurance issued to creditors on a term plan insuring debtors or disability provisions in group credit life insurance policies to provide disability coverage;
(5) joint policies of life insurance issued to debtors providing insurance jointly on the lives of joint debtors on a term plan; or
(6) joint policies of disability insurance issued to debtors on a term plan insuring joint debtors or disability provisions in joint credit life insurance policies to provide disability coverage.
History: En. Sec. 396, Ch. 286, L. 1959; R.C.M. 1947, 40-4205; amd. Sec. 7, Ch. 156, L. 1989; amd. Sec. 2, Ch. 179, L. 1993.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 21. Credit Life and Disability Insurance › Part 2. Policy Requirements › 33-21-202. Amount

33-21-202. Amount.
(1) The initial amount of credit life insurance may not exceed the total amount repayable under the contract of indebtedness. If an indebtedness is repayable in substantially equal installments, the amount of credit life insurance may not exceed the scheduled or actual amount of unpaid indebtedness on the date of death, whichever is greater. The amount of credit life insurance written in connection with:
(a) a credit transaction repayable over a term in excess of 63 months or, at the option of the insurer, for a shorter term may not exceed the actual amount of unpaid indebtedness on the date of death, excluding any:
(i) unearned interest or finance charges; and
(ii) delinquency or extension exceeding 4 months;
(b) an open-end credit agreement having a credit limit exceeding $10,000 may not exceed the plan's credit limit;
(c) an agricultural loan commitment not exceeding 1 year may not exceed the amount of the loan commitment on a nondecreasing or level term plan; and
(d) an education loan commitment may be for the amount of the portion of the commitment that has not been advanced by the creditor.
(2) The amount of periodic indemnity payable by credit disability insurance in the event of disability, as defined in the policy, may not exceed:
(a) the aggregate of the periodic scheduled unpaid installments of indebtedness; and
(b) the original indebtedness divided by the number of periodic installments.
(3) A group or individual credit disability insurance policy or a certificate that provides coverage for credit card indebtedness must provide a disability benefit during each credit card billing cycle throughout the term of coverage that, subject to any specified dollar amount limit defined in the policy or certificate, may not be less than the sum of the following amounts payable in the billing cycle and based on the insured balance on the date that an insured disability commences:
(a) the greater of:
(i) the minimum payment required by the creditor for the billing cycle, less any past-due payments and accelerated payments required for the overlimit usage of the credit card; or
(ii) the finance charge calculated pursuant to the credit card contract;
(b) all premiums charged for credit disability insurance coverage; and
(c) all other charges related to the insured balance as of the date the insured disability commences that are incurred in the billing cycle as a result of the insurer's delay in processing a claim payment.
History: En. Sec. 397, Ch. 286, L. 1959; amd. Sec. 2, Ch. 323, L. 1974; R.C.M. 1947, 40-4206; amd. Sec. 8, Ch. 156, L. 1989; amd. Sec. 1, Ch. 530, L. 1997.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 21. Credit Life and Disability Insurance › Part 2. Policy Requirements › 33-21-203. Term

33-21-203. Term.
(1) The term of any credit life insurance or credit disability insurance commences, subject to acceptance by the insurer, on the date on which the debtor becomes obligated to the creditor. However, if a group policy provides coverage with respect to existing obligations, the insurance on a debtor with respect to the indebtedness commences on the effective date of the policy.
(2) When evidence of insurability is required and the evidence is furnished more than 30 days after the date on which the debtor becomes obligated to the creditor, the term of the insurance may commence on the date the insurer determines the evidence is satisfactory. In that event, the insurer shall make an appropriate refund or adjustment of any charge to the debtor for insurance.
(3) The term of the insurance may not extend more than 15 days beyond the scheduled maturity date of the indebtedness except when extended without additional cost to the debtor, but the term of the insurance may be less than the term of the credit transaction to provide modified or partial coverage or extend beyond the maturity date to provide coverage consistent with 33-21-202(1)(a).
(4) If the indebtedness is discharged due to renewal or refinancing prior to the scheduled maturity date, the insurance in force must be terminated before any new insurance may be issued in connection with the renewed or refinanced indebtedness. In all cases of termination prior to scheduled maturity, a refund must be paid or credited as provided in 33-21-206.
History: En. Sec. 398, Ch. 286, L. 1959; R.C.M. 1947, 40-4207; amd. Sec. 9, Ch. 156, L. 1989.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 21. Credit Life and Disability Insurance › Part 2. Policy Requirements › 33-21-205. Filing, approval, and withdrawal of forms and rates -- disapproval

33-21-205. Filing, approval, and withdrawal of forms and rates -- disapproval.
(1) With respect to credit life insurance or credit disability insurance:
(a) a policy, certificate of insurance, notice of proposed insurance, application for insurance, binder, endorsement, or rider may not be delivered or issued for delivery in Montana unless it has been filed with and approved by the commissioner, in accordance with 33-1-501, and the regulatory official of the state in which it is issued; and
(b) a schedule of premium rates pertaining to a policy, certificate of insurance, notice of proposed insurance, application for insurance, binder, endorsement, or rider may not be used in Montana unless it has been filed with the commissioner.
(2) With respect to credit life insurance or credit disability insurance and in accordance with 33-1-501, the commissioner may disapprove a policy, certificate of insurance, notice of proposed insurance, application for insurance, binder, endorsement, or rider:
(a) for a reason listed in 33-1-502;
(b) if the table of premium rates charged or to be charged appears by reasonable assumptions to be excessive in relation to benefits; or
(c) if it contains provisions that are unjust, unfair, inequitable, misleading, deceptive, or encourage misrepresentation of the insurance.
(3) If the commissioner notifies the insurer that a form is disapproved, it is unlawful for the insurer to issue or use the form.
(4) An insurer may not issue or use a form after the commissioner withdraws approval of the form pursuant to 33-1-501. An order or final determination of the commissioner under this section is subject to judicial review.
History: En. Sec. 401, Ch. 286, L. 1959; R.C.M. 1947, 40-4210; amd. Sec. 11, Ch. 156, L. 1989.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 21. Credit Life and Disability Insurance › Part 2. Policy Requirements › 33-21-206. Premiums and refunds

33-21-206. Premiums and refunds.
(1) Each insurer issuing credit life insurance or credit disability insurance shall file with the commissioner its schedules of premium rates for use in connection with such insurance. Any insurer may revise the schedules from time to time and shall file the revised schedules with the commissioner. No insurer may issue any credit life insurance policy or credit disability insurance policy for which the premium rate exceeds that determined by the schedules of such insurer as then on file with the commissioner. The commissioner may require the filing of the schedule of premium rates for use in connection with and as a part of the specific policy filings as provided by 33-21-205.
(2) Each individual policy, group certificate of insurance, or notice of proposed insurance of credit life insurance and credit disability insurance must provide that, if the insurance is terminated before the scheduled maturity date of the indebtedness, any refund of premium or amount paid by the debtor for insurance must be paid or credited promptly to the person entitled thereto; provided, however, that the commissioner shall prescribe a minimum refund and no refund which would be less than such minimum need be made. The formula to be used in computing refunds must be filed with and approved by the commissioner.
(3) If a creditor requires a debtor to make a payment in connection with credit life insurance or credit disability insurance and an individual policy or group certificate of insurance is not issued, the creditor shall immediately give written notice to the debtor and shall promptly make an appropriate credit to the account.
(4) The amount charged to a debtor for any credit life insurance or credit disability insurance may not exceed the premiums charged by the insurer, as computed at the time the charge to the debtor is determined.
(5) Nothing in this chapter may be construed to authorize any payments for insurance prohibited under a statute, or rule thereunder, governing credit transactions.
History: En. Sec. 402, Ch. 286, L. 1959; amd. Sec. 1, Ch. 113, L. 1967; R.C.M. 1947, 40-4211; amd. Sec. 12, Ch. 156, L. 1989.
2023 Montana Code Annotated › Title 33. Insurance and Insurance Companies › Chapter 21. Credit Life and Disability Insurance › Part 2. Policy Requirements › 33-21-207. Issuance of policies

33-21-207. Issuance of policies.
Each policy, certificate of insurance, or notice of proposed insurance of credit life insurance and credit disability insurance must be delivered or issued for delivery in Montana only by an insurer authorized to transact insurance in Montana and must, except as provided in 33-17-103, be issued only through a licensed insurance producer.
History: En. Sec. 403, Ch. 286, L. 1959; R.C.M. 1947, 40-4212; amd. Sec. 13, Ch. 156, L. 1989; amd. Sec. 37, Ch. 16, L. 1991.