| SB 1086 | Restricts lenders from requiring borrowers to obtain home owners insurance exceeding the property's replacement value |
| Sponsor: | Cauthorn | |||
| LR Number: | 4053S.01T | Fiscal Note: | 4053-01 | |
| Committee: | Small Business, Insurance & Industrial Relations | |||
| Last Action: | 06/25/04 - Signed by Governor | Journal page: | ||
| Title: | ||||
| Effective Date: | August 28, 2004 | |||
SB 1086 - This act restricts lenders from requiring
borrowers to obtain homeowners insurance in an amount
exceeding the replacement value of the improvements and
contents of the real property as a condition of financing a
residential mortgage. A violation of this provision shall not
affect the validity of the loan, note secured by a deed of
trust, mortgage, or deed of trust. This provision can also be
found in HB 1291 (2004).
STEPHEN WITTE