§ 75-17. Lender may not require borrower to deal with particular insurer. - North Carolina Statutes

§75‑17.  Lender may not require borrower to deal with particular insurer.

No person, firm, orcorporation engaged in lending money on the security of real or personalproperty, and no trustee, director, officer, agent, employee, affiliate, orassociate, of any such person, firm, or corporation, shall either directly orindirectly require or impose as a condition precedent

(1)        To financing thepurchase of such property, or

(2)        To lending moneyupon the security of a mortgage, deed of trust, or other security instrument,or

(3)        For the renewal orextension of any such loan, mortgage, or deed of trust, or

(4)        For the performanceof any other act in connection therewith,

that such person, firm orcorporation

a.  For whom such purchase isto be financed, or

b.  To whom the money is to beloaned, or

c.  For whom such extension,renewal, or other act is to be granted,

negotiate, procure, or otherwiseobtain any policy of insurance or renewal, or extension thereof, covering suchproperty, or a security interest therein, by or through a particular insurancecompany, agent, broker, or other person so specified or otherwise designated inany manner by the lenders, or their agents or employees or affiliated orrelated companies. (1969, c. 1032, s. 1.)