Charge for insurance connection with a deferral, refinancing, or consolidation; duplicate charges

Sec. 8. (a) A creditor may not contract for or receive a separate charge for insurance in connection with a deferral (IC 37-2-3-7 or IC 37-2-4-7), a refinancing (IC 37-2-3-8 or IC 37-2-4-8), or a consolidation (IC 37-2-3-9 or IC 37-2-4-9), unless: (1) the debtor agrees at or before the time of the deferral, refinancing, or consolidation that the charge may be made; (2) the debtor is or is to be provided with insurance for an amount or a term, or insurance of a kind, in addition to that to which the debtor would have been entitled had there been no deferral, refinancing, or consolidation; (3) the debtor receives a refund or credit on account of any unexpired term of existing insurance in the amount that would be required if the insurance were terminated under section 6 of this chapter; and (4) the charge does not exceed the amount permitted by section 5 of this chapter. (b) A creditor may not contract for or receive a separate charge for insurance which duplicates insurance with respect to which the creditor has previously contracted for or received a separate charge.