State Codes and Statutes

Statutes > New-york > Bnk > Article-1 > 6-j

§ 6-j.  Proof  of  insurance. 1. No exempt organization, as defined in  section five hundred ninety of this chapter, or licensed mortgage banker  which originates mortgage loans shall, at the time of title closing  for  a loan secured by a one to four family residential real property, refuse  to  accept  a  binder,  issued  by  an  insurer,  or  a  duly authorized  representative of an insurer, licensed to do business in this state,  as  evidence  that  hazard  insurance  has  been  procured for the mortgaged  premises. Nothing herein is intended to prohibit the mortgage banker  or  exempt  organization  from  requiring  the  borrower  to  also furnish a  receipt indicating that  the  annual  or  installment  premium  on  such  insurance policy has been paid.    2.  As  used  in  this  section, "binder" means a written document (a)  which includes the name and address of the insured  and  any  additional  named  insureds,  mortgagees,  or  lienholders;  a  description  of  the  property insured; a description of the nature  and  amount  of  coverage  which  shall  be  deemed  to  include  the  terms  of  the standard fire  insurance policy except  as  conspicuously  noted  on  the  binder;  the  identity  of  the insurer and of the authorized representative executing  the binder; the effective date of coverage; the  binder  number  or  the  policy  number  where  applicable  to  a policy extension, and (b) which  temporarily obligates the insurer to  provide  that  insurance  coverage  pending  issuance  of  the  insurance policy. The cancellation of such a  binder shall be governed  at  the  minimum  by  the  provisions  of  the  standard  fire  insurance policy and the provisions of the insurance law  applicable thereto.

State Codes and Statutes

Statutes > New-york > Bnk > Article-1 > 6-j

§ 6-j.  Proof  of  insurance. 1. No exempt organization, as defined in  section five hundred ninety of this chapter, or licensed mortgage banker  which originates mortgage loans shall, at the time of title closing  for  a loan secured by a one to four family residential real property, refuse  to  accept  a  binder,  issued  by  an  insurer,  or  a  duly authorized  representative of an insurer, licensed to do business in this state,  as  evidence  that  hazard  insurance  has  been  procured for the mortgaged  premises. Nothing herein is intended to prohibit the mortgage banker  or  exempt  organization  from  requiring  the  borrower  to  also furnish a  receipt indicating that  the  annual  or  installment  premium  on  such  insurance policy has been paid.    2.  As  used  in  this  section, "binder" means a written document (a)  which includes the name and address of the insured  and  any  additional  named  insureds,  mortgagees,  or  lienholders;  a  description  of  the  property insured; a description of the nature  and  amount  of  coverage  which  shall  be  deemed  to  include  the  terms  of  the standard fire  insurance policy except  as  conspicuously  noted  on  the  binder;  the  identity  of  the insurer and of the authorized representative executing  the binder; the effective date of coverage; the  binder  number  or  the  policy  number  where  applicable  to  a policy extension, and (b) which  temporarily obligates the insurer to  provide  that  insurance  coverage  pending  issuance  of  the  insurance policy. The cancellation of such a  binder shall be governed  at  the  minimum  by  the  provisions  of  the  standard  fire  insurance policy and the provisions of the insurance law  applicable thereto.

State Codes and Statutes

State Codes and Statutes

Statutes > New-york > Bnk > Article-1 > 6-j

§ 6-j.  Proof  of  insurance. 1. No exempt organization, as defined in  section five hundred ninety of this chapter, or licensed mortgage banker  which originates mortgage loans shall, at the time of title closing  for  a loan secured by a one to four family residential real property, refuse  to  accept  a  binder,  issued  by  an  insurer,  or  a  duly authorized  representative of an insurer, licensed to do business in this state,  as  evidence  that  hazard  insurance  has  been  procured for the mortgaged  premises. Nothing herein is intended to prohibit the mortgage banker  or  exempt  organization  from  requiring  the  borrower  to  also furnish a  receipt indicating that  the  annual  or  installment  premium  on  such  insurance policy has been paid.    2.  As  used  in  this  section, "binder" means a written document (a)  which includes the name and address of the insured  and  any  additional  named  insureds,  mortgagees,  or  lienholders;  a  description  of  the  property insured; a description of the nature  and  amount  of  coverage  which  shall  be  deemed  to  include  the  terms  of  the standard fire  insurance policy except  as  conspicuously  noted  on  the  binder;  the  identity  of  the insurer and of the authorized representative executing  the binder; the effective date of coverage; the  binder  number  or  the  policy  number  where  applicable  to  a policy extension, and (b) which  temporarily obligates the insurer to  provide  that  insurance  coverage  pending  issuance  of  the  insurance policy. The cancellation of such a  binder shall be governed  at  the  minimum  by  the  provisions  of  the  standard  fire  insurance policy and the provisions of the insurance law  applicable thereto.