Common use of Additional Agreements of Buyer Clause in Contracts

Additional Agreements of Buyer. Xxxxx agrees to keep said motor vehicle fully insured against loss by fire, theft, collision and any other loss from physical damage risk to the collateral for the entire term of this contract in companies acceptable to Holder. Holder is authorized to purchase all insurance included in this contract. Insurance coverages, other than required insurance, have been voluntarily contracted for by Buyer. Buyer may elect to purchase any required insurance from an insurance company, agent or broker of his own choice. If Buyer so elects, he shall furnish Seller with a policy or binder issued by a company acceptable to Seller on or before taking possession of the motor vehicle, and inclusion of Buyer’s premiums in this contract is optional with Seller. All policies procured by Buyer shall provide that loss, if any, shall be payable to Buyer and to the Holder of this contract, as their respective interests may appear and a clause requiring insurer to give the Holder 10 days’ written notice of cancellation. In the event of the failure of Buyer to insure said motor vehicle or to deliver a fully paid policy to Holder at the times and in the manner herein provided, or in the event of cancellation or expiration of any policy during the term of this contract without replacement by Xxxxx within 10 days, such failure shall constitute an event of default hereunder. Holder shall have the option, but shall not be required, to procure such insurance for Buyer for the term of one year or for the remaining term of this contract, and to advance the premium therefore. UNLESS BUYER PROVIDES HOLDER WITH EVIDENCE OF THE INSURANCE COVERAGE REQUIRED BY THIS AGREEMENT, HOLDER MAY PURCHASE INSURANCE AT BUYER’S EXPENSE TO PROTECT ITS INTEREST IN BUYER’S COLLATERAL. THIS INSURANCE MAY, BUT NEED NOT, PROTECT BUYER’S INTERESTS. THE COVERAGE THAT HOLDER PURCHASES MAY NOT PAY ANY CLAIM THAT BUYER MAKES OR ANY CLAIM THAT IS MADE AGAINST BUYER IN CONNECTION WITH THE COLLATERAL. BUYER MAY LATER CANCEL ANY INSURANCE PURCHASED BY XXXXXX, BUT ONLY AFTER PROVIDING HOLDER WITH EVIDENCE THAT BUYER HAS OBTAINED INSURANCE AS REQUIRED BY THIS AGREEMENT. IF HOLDER PURCHASES INSURANCE FOR THE COLLATERAL, BUYER WILL BE RESPONSIBLE FOR THE COSTS OF THAT INSURANCE, INCLUDING INTEREST AND ANY OTHER CHARGES HOLDER MAY IMPOSE IN CONNECTION WITH THE PLACEMENT OF THE INSURANCE, UNTIL THE EFFECTIVE DATE OF THE CANCELLATION OR EXPIRATION OF THE INSURANCE. THE COSTS OF THE INSURANCE MAY BE ADDED TO BUYER’S TOTAL OUTSTANDING BALANCE OR OBLIGATION. THE COST OF THE INSURANCE MAY BE MORE THAN THE COST OF INSURANCE BUYER MAY BE ABLE TO OBTAIN ON HIS/HER OWN. In the event Holder elects to procure insurance, Xxxxx promises to pay the premiums advanced by Holder together with a Finance Charge thereon (computed at the Annual Percentage Rate per year in this contract) as additional indebtedness due hereunder. Xxxxx agrees to pay such additional indebtedness in equal installments for the remaining term of the contract and this amount shall be added to the Total of Payments. Any unearned insurance premium refund received by the Holder of this contract shall be credited to the final maturing installments of this contract except to the extent applied toward payment for similar insurance protecting the interests of Buyer and the Holder, or either of them. Buyer hereby grants to Holder, on default of Buyer, the sole and exclusive right to cancel all policies of insurance on the motor vehicle and all credit insurance policies for which premiums have been advanced and paid by Holder. Holder is authorized to effect cancellation of such policies, to execute lost policy waivers, to receipt for unearned premiums, to endorse all checks and drafts and to make proofs of loss, and to apply all unearned premiums and loss payments to the unpaid installments of the Total of Payments in inverse order. The cost of insurance placed by Holder includes commissions, mark-ups or rebates which are paid to Holder as additional compensation.