Washington CUs Get New Credit LifeRules
OLYMPIA, Wash. - (01/07/05) -- Credit unions and other lenders inWashington will be required to make new disclosures when sellingcredit life, credit accident or other forms of credit unsuranceunder new rules approved Thursday by state Insurance CommissionerMike Kriedler. The new rules will require lenders to disclose toconsumers that the insurance is not required for credit approval,the cost of the insurance plan, explain that it can be canceled in30 days, and inform them they might not need the coverage if theyhave other insurance. The new rules will require that insurers payout at least 60 cents on the dollar of premiums collected. CUNAMutual Group was found to be the only insurer exceeding thatfigure.