40-3508. Limiting coverage net of reinsurance or payment of indebtedness to insured and acquisition of title to security; election.

40-3508

Chapter 40.--INSURANCE
Article 35.--MORTGAGE GUARANTY INSURANCE COMPANIES

      40-3508.   Limiting coverage net of reinsurance or payment of indebtednessto insured and acquisition of title to security; election.A mortgage guaranty insurance company shall limit its coverage net of reinsuranceceded to a reinsurer to a maximum of twenty-five percent (25%) of the entireindebtedness to the insured or in lieu thereof, a mortgage guaranty insurancecompany may elect to pay the entire indebtedness to the insured and acquiretitle to the authorized real estate security.

      History:   L. 1977, ch. 154, § 8; Jan. 1, 1978.