A borrower credit transaction involving a high-cost mortgage may not include:

1. (1) the offer or sale of any insurance policy, on a single premium or single fee basis, that insures, guarantees, or indemnifies the repayment of the outstanding balance of the loan against:

   1. (a) death;
   2. (b) illness;
   3. (c) accident;
   4. (d) disability; or
   5. (e) unemployment of the borrower; or
2. (2) debt cancellation or a debt suspension agreement.

Enacted by Chapter 252, 2004 General Session