California Codes, Civil Code - CIV, Division 3 — Obligations, Part 4 — Obligations Arising from Particular Transactions, Title 2 — Credit Sales, Chapter 1 — Retail Installment Sales, Article 3 — Provisions of Retail Installment Contracts, Section 1803.5
If the cost of any insurance is included in the contract and a separate charge is made to the buyer for such insurance:
(a) The contract shall state whether the insurance is to be procured by the buyer or the seller.
(b) The amount, included for such insurance, shall not exceed the premiums chargeable in accordance with rate fixed for such insurance by the insurer.
(c) If the insurance is to be procured by the seller or holder, he shall, within 45 days after delivery of the goods or furnishing of the services under the contract, deliver, mail or cause to be mailed to the buyer, at his address as specified in the contract, a notice thereof or a copy of the policy or policies of insurance or a certificate or certificates of the insurance so procured.
(d) The provisions of Insurance Code Section 1668 shall apply to any violation of this section.
Notes
Requires a retail installment contract with separately charged insurance to state whether the buyer or seller will procure it and limits the charge to insurer premiums. If the seller or holder procures insurance, requires notice, policy, or certificate delivered or mailed to the buyer within 45 days after goods delivery or services; the referenced Insurance Code rule applies to violations.
Use as reference
Lexinter.net | California Code, Civil Code - CIV § 1803.5 | https://laws.lexinter.net/codes/california/civil-code/division-3/part-4/title-2/chapter-1/article-3/section-1803-5