Nevada Revised Statutes Section 690A.060 - Insurance

Term.

1. Except as otherwise provided in subsections 2 and 3, the term of any credit insurance must, subject to acceptance by the insurer, begin on the date the debtor becomes obligated to the creditor, or the date the debtor applies for the insurance, whichever is later.

2. If a group policy provides coverage with respect to existing obligations, the insurance on a debtor with respect to the indebtedness begins on the effective date of the policy or the effective date of the coverage, whichever is later.

3. If evidence of insurability is required and the evidence is furnished more than 30 days after the date the debtor becomes obligated to the creditor, the term of the insurance may begin on the date the insurer determines the evidence to be satisfactory, in which case there must be an appropriate refund or adjustment of any charge to the debtor for insurance.

4. The term of the insurance must not extend more than 15 days beyond the scheduled maturity date of the indebtedness except when extended without additional cost to the debtor, but may be less than the term of the credit transaction to provide modified or partial coverage. If the indebtedness is discharged by renewal or refinancing before the date it would have been repaid if payments had been made as scheduled, the insurance in force must be terminated before any new insurance may be issued in connection with the renewed or refinanced indebtedness.

5. To the extent a dispute arises between insurers as to the liability of the insurers for a specific claim, the original insurer is obligated to honor the claim pending a resolution of the dispute.

Last modified: February 27, 2006