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Session of 2000
          HOUSE BILL No. 2647           By Committee on Insurance           1-19          

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  9             AN  ACT concerning consumer credit insurance; relating to prohibiting
10             the financing of credit insurance in certain home loans.
11      
12       Be it enacted by the Legislature of the State of Kansas:
13             Section  1. (a) As used in this act, "consumer home loan" shall be
14       defined as a loan in which (1) the consumer is a natural person; (2) the
15       debt is incurred by the consumer primarily for personal, family or house-
16       hold purposes; and (3) the loan is secured by a mortgage or deed of trust
17       upon real estate upon which there is located or there is to be located a
18       structure or structures designed principally for occupancy of from one to
19       four families which is or will be occupied by the consumer as the con-
20       sumer's principal dwelling.
21             (b) It shall be unlawful for any creditor in a consumer home loan to
22       finance, directly or indirectly, any consumer credit insurance premiums,
23       or any other life, health, disability or unemployment insurance premiums.
24       Insurance premiums calculated and paid on a monthly basis shall not be
25       considered financed by the creditor.
26        Sec.  2. This act shall take effect and be in force from and after its
27       publication in the statute book.