16a-4-104.   (UCCC) Creditor's provision of and charge for insurance;excess amount of charge.(1) Except as otherwise provided in this article and subject to theprovisions on additional charges (section 16a-2-501) and maximum financecharges (parts 2 and 4 of article 2), a creditor may agree to provideinsurance, and may contract for and receive a charge for insurance separatefrom and in addition to other charges. A creditor need not make a separatecharge for insurance provided or required by him. This act does notauthorize the issuance of any insurance prohibited under any statute, orrule thereunder, governing the business of insurance.

      (2)   The excess amount of a charge for insurance provided for inagreements in violation of this article is an excess charge for thepurposes of the provisions of the article on remedies and penalties(article 5) as to effect of violations on rights of parties (section16a-5-201) and of the provisions of the article on administration (article6) as to civil actions by the administrator (section 16a-6-113).

      History:   L. 1973, ch. 85, § 64; Jan. 1, 1974.