17:9A-53.10 - Credit life and health insurance; authorization to provide - New Jersey Statutes

17:9A-53.10.  Credit life and health insurance;  authorization to provide
    When a person liable for the payment of an educational loan consents in writing thereto, the banking institution may obtain or provide either or both credit life insurance and credit health insurance on such person, pursuant to chapter 29 of subtitle 3 of Title 17B of the New Jersey Statutes, and may deduct and retain from the proceeds of such loan an amount equal to the premium  lawfully charged by the insurer issuing such insurance.  If there is more than  one person who is liable for the payment of such loan, insurance may be  obtained as herein authorized only upon one of such persons.  Nothing in any  law of this State shall prohibit a banking institution or an employee thereof  from collecting the premium or identifiable charge for such insurance, or  prevent a banking institution from receiving or retaining any dividend or other  gain or advantage resulting from such insurance.

     L.1975, c. 287, s. 9, eff. Jan. 12, 1976.