N.J. Admin. Code § 11:2-2.1

Current through Register Vol. 56, No. 24, December 18, 2024

Section 11:2-2.1 - Return of unearned premiums

(a)N.J.S.A. 17:16D-14(a) requires that whenever a financial insurance contract is cancelled, the insurer on notice of such financing shall return whatever gross unearned premiums are due under the insurance contract to the premium finance company for the account of the insured or insureds.

(b) Upon the effective date of this regulation, such unearned premiums shall be remitted by insurers to finance companies not later than 60 days after the effective date of cancellation, or 60 days after the completion of any payroll audit necessary to determine the amount of premium earned while the policy was in force. Such audit shall be performed within 30 days after the effective date of cancellation. Insurers also shall remit unearned premium in accordance with the requirements set forth in N.J.S.A. 17:16D-14.

As amended, R.1972 d.167, effective 8/25/1972.
See: 4 New Jersey Register 103(d), 4 New Jersey Register 221(a).
Amended by R.2005 d.350, effective 10/17/2005.
See: 37 New Jersey Register 2285(a), 37 New Jersey Register 4026(a).
In (b), added the last sentence.