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November 08, 2024 Clouds | 58°F
The 193rd General Court of the Commonwealth of Massachusetts

Section 12: Rebates; prohibition; effect of filing of premium finance agreement

Section 12. No premium finance agency, and no employee of such an agency shall pay, allow or offer to pay or allow in any manner whatsoever to an insurance agent or broker or any employee of an insurance agent or broker, or to any other person, any rebate whatsoever, either from the charge for financing specified in the premium finance agreement or otherwise, or shall give or offer to give any valuable consideration or inducement of any kind directly or indirectly, other than an article of merchandise not exceeding one dollar in value which shall have thereon the advertisement of the premium finance agency; and

A filing of a premium finance agreement shall not be necessary to perfect the validity of such an agreement as a secured transaction as against creditors, subsequent purchasers, pledgees, incumbrancers, successors or assigns of the insured.