Virginia Law

A. Every insurance premium finance company shall prepare and file with the commission for its approval the following forms:

1. Insurance Premium Finance Contract and any forms amending such contract;

2. Notice of Overdue Payment or Intent to Cancel; and

3. Notice of Cancellation.

B. All forms used by the insurance premium finance company for delivery or mailing to a customer or an insurer shall be printed in 8-point type or greater and shall disclose:

1. The name of the licensee exactly as it appears on the license, provided that a licensee may use a legally filed assumed or fictitious name. The licensee shall provide the Bureau of Insurance with proof that an assumed or fictitious name has been legally filed in the appropriate circuit court before the assumed or fictitious name may be used on an insurance premium finance contract;

2. The address of the licensee, except that forms filed with the commission pursuant to subsection A of this section shall include the street address; and

3. The telephone number of the licensee.

C. Every form filed with the commission shall be filed in duplicate. If the form is approved, the commission shall stamp both copies APPROVED with the date of approval. One copy, so stamped, will be returned to the licensee, and the other copy will be retained for the commission's files.

D. No licensee shall make use of any form required to be filed with the commission that has not been given final approval pursuant to subsection C of this section. In no instance shall tentative approval of a form be deemed to constitute final approval.

E. Under no circumstances shall any insurance premium finance contract provide for:

1. The financing of any additional premium under any insurance contract listed thereon without either the written consent of the insured or payment of the appropriate down payment by the insured, such consent being given or such down payment being made at the time such additional premium is financed;

2. The financing of notary public fees, fees for obtaining records of the Department of Motor Vehicles, motor club membership fees, or any other charges, costs, or fees other than premiums, taxes, or other fees relative to the policies of insurance.

F. No licensee shall accept any form which is signed in blank or is lacking any information required by such form except that if the insurance policy has not been issued at the time the insured signs the agreement, the policy number may be left blank and inserted on a copy of the agreement after the insurance policy has been issued. In all cases, the name of the insurer, broker, or residual market facility must be shown. A legible copy of the insurance premium finance contract shall be delivered to each insured at the time the contract is signed.

G. Any power of attorney authorizing a licensee to cancel an insurance policy shall appear on the face of the insurance premium finance contract.

H. All fees charged in connection with the financing of insurance policies shall be stated in the insurance premium finance contract.