Arkansas Code § 23-47-510 - Casualty Insurance -- Replacement Cost Coverage

(a) A state bank, when making a mortgage loan, may not require, as a condition or term of the mortgage, that the mortgagor purchase casualty insurance on property which is the subject of the mortgage in an amount in excess of the fair market value of the buildings or appurtenances on the mortgaged premises.

(b) This section shall not be construed as limiting the right of the mortgagor to purchase replacement cost coverage on the property which is the subject of the mortgage.

Section: Previous  23-47-502  23-47-503  23-47-504  23-47-505  23-47-506  23-47-507  23-47-508  23-47-509  23-47-510  

Last modified: November 15, 2016