California Insurance Code
§ 12640.11
INS § 12640.11Div. 2 · Part 6 · Ch. 2A · Art. 4
Statute text
View on leginfo.ca.gov(a)Nothing in this chapter (commencing with Section 12640.01) shall be construed as limiting the right of any mortgage guaranty insurer to impose reasonable requirements upon the lender with regard to the terms of any note or bond or other evidence of indebtedness secured by a mortgage or deed of trust, such as requiring a stipulated down payment by the borrower.
(b)All statements and descriptions in any application for mortgage guaranty insurance or in negotiations for that insurance, and all documents relating thereto, submitted to the mortgage guaranty insurer shall be deemed to be representations and not warranties. Furthermore, misrepresentations and incorrect or incomplete statements in any such application, negotiations, and all documents relating thereto shall not prevent a recovery under a policy of mortgage guaranty insurance unless:
(1)Fraudulent; or
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Legislative history
Amended by Stats. 1985, Ch. 1476, Sec. 1.