18A:68-11.6.Ā  Credit life or health insurance
When a person liable for the payment of an educational loan consents in writing thereto, the institution of higher education 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 (N.J.S. 17A:29-1 et seq.), and may deduct and retain from the proceedsĀ  of such loan an amount equal to the premium lawfully charged by the insurerĀ  issuing such insurance.Ā  If there is more than one person who is liable for theĀ  payment of such loan, insurance may be obtained as herein authorized only uponĀ  one of such persons.Ā  Nothing in any law of this State shall prohibit anĀ  institution of higher education or any employee or agent thereof fromĀ  collecting the premium or identifiable charge for such insurance, dividend orĀ  other gain or advantage resulting from such insurance.

L.1977, c. 123, s. 6, eff. June 6, 1977.
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