Cx7225 is required under Fla. Stat. Ann. § 627.679(c) to be provided “before any credit life insurance may be sold in connection with a specific installment loan or home equity line of credit.”
We will be configuring this document to print under the following conditions:
- “Credit Life Insurance” equals “Yes.”
- “Document Package Type” equals “Initial Disclosure.”
- “Lender is a Broker” equals “No.”
- “State Code” equals “Florida.”
In addition, the text of the document will be changed so that when it is signed, the borrower will be acknowledging that he understands the following:
- That he has the option of assigning any other policies he may own or procures and that credit life insurance does not need to be purchased from the lender (the “Creditor Agent”) in order to obtain the loan.
- That credit life coverage may be deferred if, at the time of application, he is unable to engage in employment or unable to perform certain activities, if the insurance policy contains this restriction.
- That the benefits under the policy will terminate when he reaches a certain age and his age is accurately disclosed on his application.
These changes will take effect on March 1, 2014. If you have any questions or concerns about these changes, please contact Client Support at 1.800.497.3584.
February 24, 2014