§476-8  Insurance provisions.  (a)  The
amount, if any, charged for insurance shall not exceed the premiums chargeable
in accordance with rate filings made with the state insurance commissioner
under chapter 431 for similar insurance.



The seller or holder, if dual interest
insurance on the goods is included in a credit sale contract and a separate
charge is made therefor, shall within thirty days after execution of the credit
sale contract send or cause to be sent to the buyer a policy or policies or certificate
of insurance, written by an insurance company authorized to do business in this
State, clearly setting forth the amount of the premium, the kind or kinds of
insurance, and the scope of the coverage and all the terms, exceptions,
limitations, restrictions, and conditions of the contract or contracts of
insurance.



The buyer of goods under a credit sale contract
may purchase any required insurance from an insurance producer of the buyer's
own selection, and in an insurance company of the buyer's own selection
authorized to do business in this State; provided that the seller or holder
shall have the right for reasonable cause to disapprove of the insurance
company selected by the buyer to underwrite the insurance.



(b)  In any credit sale contract for the sale
of a motor vehicle where insurance is contracted for as a part of the sale, and
the insurance does not include public liability insurance for bodily injury and
property damage, the contract shall contain, on the same page as the
disclosures therein concerning insurance, a notice substantially similar to the
following:



"THIS
DOES NOT INCLUDE INSURANCE ON YOUR LIABILITY FOR BODILY INJURY OR PROPERTY
DAMAGE.  IT DOES NOT MEET THE REQUIREMENTS FOR PROOF OF FINANCIAL
RESPONSIBILITY UNDER HAWAII LAW."



(c)  If any insurance policy or certificate is
canceled, the unearned insurance premium refund received by the holder of the
contract shall at the option of the holder either be credited to the final
maturing installments of the credit sale contract or be paid to the buyer,
except to the extent applied toward payment for similar insurance protecting
the interests of the buyer and holder of the contract or either of them. [L
1961, c 102, pt of §1; Supp, §201A-5; am L 1967, c 285, §3; HRS §476-6; am and
ren L 1984, c 86, pt of §1; gen ch 1985; am L 2003, c 212, §129; am L 2008, c
19, §2]



 



Cross References



 



  Proof of financial responsibility, see chapter 287.