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1. Purchasers of automobiles under sales finance contracts, when required by a dealer, bank, or other finance agency or company, to furnish insurance on any motor vehicle, in connection with the financing of such motor vehicle, must be furnished by the seller evidence of the insurance protection. Such insurance evidence must be in the form of a regular insurance binder or policy or certificate of insurance. The original policy or certificate of insurance clearly stating the coverage afforded by the policy must be delivered to the purchaser within a reasonable time after execution of the insurance order. The certificate must display the premium charged for each coverage afforded.
2. If the insurance required by any dealer, bank, or other finance agency or company does not provide insurance for bodily injury liability or property damage liability, then the insurance policy or the certificate of insurance, if the policy is filed with the payee, must have imprinted or stamped on the policy or certificate a notice that the policy does not include bodily injury liability or property damage liability insurance. The imprinting or stamping of such notice must be in the manner or form as may be approved by the insurance commissioner.
3. Any person failing to comply with the provisions of this chapter is guilty of a class B misdemeanor.
Cite this article: FindLaw.com - North Dakota Century Code Title 51. Sales and Exchanges § 51-07-12. Automobile sales finance contracts--Information of insurance protection to be given--Warning required--Penalty - last updated January 01, 2020 | https://codes.findlaw.com/nd/title-51-sales-and-exchanges/nd-cent-code-sect-51-07-12.html
FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature or via Westlaw before relying on it for your legal needs.
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