16a-4-202.   (UCCC) Amount of insurance.(1) Except as provided in subsection (2),

      (a)   in the case of consumer credit insurance providing life coverage,the amount of insurance may not initially exceed the debt and, if the debtis payable in installments, may not at any time exceed the greater of thescheduled or actual amount of the debt; or

      (b)   in the case of any other consumer credit insurance, the total amountof periodic benefits payable may not exceed the total of scheduled unpaidinstallments of the debt, and the amount of any periodic benefit may notexceed the original amount of debt divided by the number of periodicinstallments in which it is payable.

      (2)   If consumer credit insurance is provided in connection with an openend credit account, the amounts payable as insurance benefits may bereasonably commensurate with the amount of debt as it exists from time totime. If consumer credit insurance is provided in connection with acommitment to grant credit in the future, the amounts payable as insurancebenefits may be reasonably commensurate with the total from time to time ofthe amount of debt and the amount of the commitment.

      History:   L. 1973, ch. 85, § 74;L. 1988, ch. 85, § 9; July 1.