---
kind: "section"
citation: "25 C.F.R. § 103.13"
title: "25"
number: "103.13"
heading: "How does a lender apply for loan insurance coverage?"
url: "https://uscodex.org/cfr/25/103.13"
---

# §103.13. How does a lender apply for loan insurance coverage?


BIA-approved lenders can make loans insured under the Program in two ways, depending on the size of the loan:

- (a) For loans in an original principal amount of up to $100,000 per borrower, the lender can make each loan in accordance with the lender's loan insurance agreement, without specific prior approval from BIA.
- (b) For loans in an original principal amount of over $100,000, the lender must seek BIA's specific prior approval in each case. The lender must submit a loan insurance coverage application request form, together with the same information required for a loan guaranty under [§ 103.12](/cfr/25/103.12.md), except for the information required by [§ 103.12(a)](/cfr/25/103.12.md?p=a).
- (c) The lender must submit a loan insurance application package even for a loan of less than $100,000 if:
  - (1) The total outstanding balance of all insured loans the lender is extending to the borrower under the Program exceeds $100,000; or
  - (2) the lender makes a request for interest subsidy, pursuant to [§ 103.21](/cfr/25/103.21.md).

## Notes

### Authority

Authority: 25 U.S.C. 1498, 1511.

### Source

Source: 66 FR 3867, Jan. 17, 2001, unless otherwise noted.