MCA Chapter 13

in effect

Miss. Code Ann. § 83-13-1 Reinsurance.

Every insurer authorized to issue policies in this state may reinsure in any other insurer any part or all of any risk or risks assumed by it; but such reinsurance, unless effected with an insurer authorized to issue policies in this state and subject to the payment of the tax thereon, shall not operate to permit any reduction of taxes through reinsurance effected with an insurer not authorized to issue policies in this state.

Miss. Code Ann. § 83-13-3 Liabilities and reserves.

To determine the liability upon the contracts of an insurance company, other than life and real estate title insurance, and thence the amount such company shall hold as a reserve for reinsurance, the commissioner shall take the actual unearned portion of the premiums written in its policies.

Miss. Code Ann. § 83-13-5 Amount of insurance.

No insurance company shall knowingly issue any fire insurance policy upon property within this state for an amount which, together with any existing insurance thereon, exceeds a fair value of the property, nor for a longer term than five (5) years. When buildings and structures are insured against loss by fire and, situated within this state, are totally destroyed by fire, the company shall not be permitted to deny that the buildings or structures insured were worth at the time of the issuance of the policy the full value upon which the insurance is calculated, and the measure of damages shall be the amount for which the buildings and structures were insured. No insurance company or agent thereof shall be permitted to attach a three-quarter value clause to insurance of this kind, and any fire insurance company or agent thereof who violates this section shall be guilty of a misdemeanor and shall, upon conviction, be fined not less than Two Hundred Dollars ($200.00) nor more than One Thousand Dollars ($1,000.00) for each offense.

Miss. Code Ann. § 83-13-7 Mortgagees protected in order of priority.

When, by an agreement with the assured or by the terms of a fire insurance policy taken out by a mortgagor, the whole or any part of the loss thereon is payable to the mortgagee or mortgagees of the property for their benefit, the company shall, upon satisfactory proof of the rights and title of the parties, in accordance with such terms and agreement, pay all mortgagees protected by such policy in the order of their priority of claim, as their claims shall appear, not beyond the amount of which the company is liable. Such payments shall be, to the extent thereof, payments and satisfaction of the liabilities of the company under such policy.

Miss. Code Ann. § 83-13-9 Mortgage clause.

Each fire insurance policy on buildings taken out or renewed on or after July 1, 1989, by a mortgagor or grantor in a deed of trust shall have attached or shall contain substantially the following mortgagee clause, viz: Loss or damage, if any, under this policy, shall be payable to (here insert the name of the party), as_______________mortgagee (or trustee), as_______________interest may appear, and this insurance, as to the interest of the mortgagee (or trustee) only therein, shall not be invalidated by any act or neglect of the mortgagor or owner of the within described property, nor by any foreclosure or other proceedings or notice of sale relating to the property, nor by any change in the title or ownership of the property, nor by the occupation of the premises for purposes more hazardous than are permitted by this policy; and in case the mortgagor or owner shall neglect to pay any premium due under this policy, the mortgagee (or trustee) shall, on demand, pay the same. The mortgagee (or trustee) shall notify this company of any change of ownership or occupancy or increase of hazard which shall come to the knowledge of said mortgagee (or trustee) and, unless permitted by this policy, it shall be noted thereon and the mortgagee (or trustee) shall, on demand, pay the premium for such increased hazard for the term of the use thereof; otherwise this policy shall be null and void. This company reserves the right to cancel this policy at any time as provided by its terms, but in such case this policy shall continue in force for the benefit only of the mortgagee (or trustee) for thirty (30) days after notice to the mortgagee (or trustee) of such cancellation and shall then cease, and this company shall have the right on like notice to cancel this agreement. In case of any other insurance upon the within described property, this company shall not be liable under this policy for a greater proportion of any loss or damage sustained than the sum hereby insured bears to the whole amount of insurance on said property issued to or held by any party or parties having an insurable interest therein, whether as owner, mortgagee, or otherwise. Whenever this company shall pay the mortgagee (or trustee) any sum for loss or damage under this policy and shall claim that, as to the mortgagor or owner, no liability therefor existed, this company shall, to the extent of such payment, be thereupon legally subrogated to all the rights of the party to whom such payment shall be made, under all security held as collateral to the mortgage debt, or may, at its option, pay to the mortgagee (or trustee) the whole principal due or to grow due on the mortgage with interest, and shall thereupon receive a full assignment and transfer of the mortgage and of all such other securities; but no subrogation shall impair the right of the mortgagee (or trustee) to recover the full amount of_______________claim. Nothing in the foregoing prescribed form shall be construed to in any manner modify the provisions of Section 83-13-5.

Miss. Code Ann. § 83-13-10 Restrictions on disclosure of expiration date of insurance on mortgaged property.

When a real property deed of trust or mortgage or a lending agreement in connection with a loan on real property provides that a mortgagor or borrower shall furnish insurance upon the mortgaged property, the mortgagee, assignee or creditor shall not disclose expiration dates or other policy information to other persons or parties, directly or indirectly, and such other persons or parties shall not request the disclosure of such information, so as to enable any person or party to solicit said insurance or any renewal thereof, without first obtaining the written consent of the policyholder for such disclosure to be made when the mortgagee, assignee or creditor has been advised in writing by the insurer or its agent that the insurance on the property will be cancelled or will not be renewed. Willful violation of this section by any mortgagee, assignee or creditor, or by other persons or parties who may request the disclosure of such information from such mortgagee, assignee or creditor, shall be punishable by a fine not to exceed Five Hundred Dollars ($500.00) for each violation.

Miss. Code Ann. § 83-13-11 Conditions to be stated in full.

In all insurance against loss by fire the condition of insurance shall be stated in full, and the rules and bylaws of the company shall not be considered as a warranty or a part of the contract except so far as they are incorporated in full into the policy and are not in conflict with this chapter.

Miss. Code Ann. § 83-13-13 Proof of loss.

In case of destruction or damage of property by fire where the same is insured against fire, it shall be the duty of the insurance company or companies liable for such loss, within a reasonable time after receiving notice thereof, to furnish to the insured proper blanks upon which to make the required proof of such loss, with full directions as to what proof is required to secure the payment of the policy. If the insurance company fails to comply with this section, the failure of the insured to make proper proof of loss prior to the suit shall be no defense to a suit upon the policy, and in all cases the insured shall have a reasonable time in which to make such proof after the blanks and directions are received.

Miss. Code Ann. § 83-13-15 Repealed.

Repealed by Laws, 1977, ch. 341, eff from and after passage (approved March 11, 1977). [Codes, 1906, § 2594; Hemingway’s 1917, § 5058; 1930, § 5188; 1942, § 5698; Laws, 1934, ch. 299]

Miss. Code Ann. § 83-13-17 Industrial fire insurance policies.

Industrial fire insurance policies are defined as policies issued by companies which write fire insurance through weekly premium agents operating on the debit agency system and which meet the other requirements of this section. Any such policy with limits in excess of Fifteen Hundred Dollars ($1500.00) may be written by such weekly premium agents operating on a debit system or by any agent qualified and licensed to write fire insurance in the State of Mississippi, and in the case of policies over Fifteen Hundred Dollars ($1500.00) written by agents other than weekly premium agents operating on a debit system, premiums may be collected as much as six (6) months in advance on the basis of filings made and approved by the Commissioner of Insurance as otherwise provided in this title. On all other industrial fire policies in the State of Mississippi, carriers and agents shall not collect premiums for more than four (4) months in advance. The limit of risk of all industrial fire insurance policies issued as such in the State of Mississippi shall not exceed Forty Thousand Dollars ($40,000.00) on any one (1) dwelling risk of fire and allied lines, nor Twenty Thousand Dollars ($20,000.00) on the contents risk of fire and allied lines on any one (1) dwelling, nor Twenty Thousand Dollars ($20,000.00) on the risk of real or personal property loss resulting from burglary or theft. The Commissioner of Insurance shall generally supervise and regulate the operation of industrial fire insurance and allied lines.

Miss. Code Ann. § 83-13-19 Unauthorized companies denied access to courts.

No action shall be maintained by any insurance company in any court in the state upon any policy or contract of fire insurance issued upon any property situated in the state by any company, association, partnership, individual, or individuals that have not been authorized to transact such insurance business in this state.

Miss. Code Ann. § 83-13-21 Information required of insurers in case of fire losses.

The State Chief Deputy Fire Marshal, the Commissioner of Insurance or any other authorized law enforcement authority charged with the responsibility of investigating a fire loss of real or personal property which may have resulted from a fire of incendiary origin may require, in writing, any insurance company insuring the loss under investigation to release any information in its possession which is pertinent to such a loss. The information shall include, but is not limited to: Any insurance policy relevant to a fire loss under investigation and any application for such a policy; Policy premium payment records; History of previous claims made by the insured for fire loss; and Material relating to the investigation of the loss, including statements of any person, proof of loss, and any other relevant information or evidence. In the absence of malice any insurance company or agent thereof who furnishes information on its behalf shall be immune from liability for damages in a civil action arising by virtue of compliance with the provisions of this section. As used in this chapter, “insurance company” shall include the Mississippi Insurance Underwriting Association. Any insurance company providing information to an authorized agency pursuant to subsection (1) of this section, or any owner, insured tenant or resident of property which is the subject of a report, shall have the right to request of such agency relevant information in accordance with Section 45-11-1. Any insurance company that willfully violates the provisions of this section shall be guilty of a misdemeanor and, upon conviction, shall be fined not more than One Thousand Dollars ($1,000.00) and the Commissioner of Insurance may revoke the license of such company to transact the business of insurance in this state.

Miss. Code Ann. § 83-13-23 Insurer required to pay volunteer fire department for protecting property insured by insurer.

Any insurance company shall pay to the responsible volunteer fire department a minimum of One Hundred Dollars ($100.00) for each initial response to save from destruction by fire any structures which are located in areas rated as Class 9 or 10 and which are insured by that insurance company.

Miss. Code Ann. § 83-13-25 Form to be used by fire departments for minimum payments from insurers.

The Commissioner of Insurance shall prepare a uniform form to be used by fire departments for the minimum payments. All insurance companies doing business in the state shall accept the form authorized by the commissioner.