Electronic Payment Agreement

Automated Payment Service Agreement

This agreement is between you and Sterling Insurance Company, Sterling Insurance Cooperative, and / or Sterling Marketing Services (collectively “Sterling”).

You have elected to take advantage of our recurring payment feature to pay your policy.  Your acceptance of the Automated Payment Agreement (“Agreement”) is required because this is the first time you are paying online with us or the Agreement has changed since your last payment.  Your acceptance of the terms in this Agreement applies to all outstanding and future payments due.  You will not be prompted to accept the terms of this agreement again.  If the terms of the Agreement change we will send a notification via email to the address we have on file for you.  For your convenience, the latest version of the Agreement will be available online at our website www.sterlingins.com under the Payment section.  If you have any questions please contact the Billing Department at 1 800 462 4661.

Payment Authorization

You authorize Sterling and the financial institution we designate (our “Bank”) to initiate charges to the account you designate (the “Account”) during the online enrollment process to make payments to us by means of automated clearing house (ACH) payments.  You represent and warrant to us that you are authorized to give us such instructions and to make payments from the Account in the manner described in this agreement.   You agree to be bound by the rules of the National Automated Clearing House Association (NACHA) and warrant to us what we and / or our Bank are deemed to warrant to others under the Rules regarding your electronic payments.

Sterling will initiate charges to your account in accordance with your instructions and the NACHA rules.  You agree that we may initiate adjusting entries to correct any erroneous electronic payments.  We will not be obligated to detect errors by you or others.  You acknowledge that the origination of electronic payments to or from your Account must comply with the provisions of U.S. Law.

Charges will be made for the amount of the premium owed, policy endorsements, other services provided by us, and any service charges / fees due Sterling.

Payment Schedule

Sterling will debit your account on your due date or up to 5 calendar days following your due date to account for weekends or bank holidays.  Sterling will not physically mail a monthly statement.  A payment schedule will be provided with your declarations page, upon renewal of your policy, or upon any changes / endorsements to your policy.  Any payment reminders are provided as a courtesy but are not required to be sent by Sterling.  You are ultimately responsible to assure sufficient funds are available in your account on each scheduled payment due date.  Outstanding invoices at the time of enrollment will be satisfied on its current due date (or immediately, if past due) via the Automated Payment Service.

Failed Transactions

If an attempted electronic payment fails for any reason, we will not attempt to withdraw the funds a second time.  We will notify you of the failure by issuing a Cancellation Notice and you must make your payment to us in another manner (check or one-time online payment via our website).  Once your account is settled (payments are current) your automated electronic payments will resume as scheduled.  If your automated payment continues to fail, your account will be subject to removal from the recurring payment feature.  You acknowledge and accept responsibility for any fees incurred as part of failed electronic payments authorized by this Agreement including, but not limited to, insufficient funds, uncollected funds, blocked EFT, invalid account and closed account.  Please refer to the payment options page at www.sterlingins.com for a schedule of fees and conditions under which they are applied.

Rejected Transactions

We may reject any transaction instruction if it does not conform to the requirements set forth on the website, if we are unable to confirm your identity, or if we have reason to believe an instruction may not be authorized.

Changes in Account Information

It is the policyholder’s responsibility to maintain up-to-date account information.  You must notify us of any bank account or email address changes.  Please visit www.sterlingins.com to update your account information.


You agree to indemnify, defend and hold us and our respective directors, officers, employees and agents, harmless from and against every claim, damage, loss, liability, and cost (including, without limitation, attorney’s fees) of any kind which results directly or indirectly, in whole or in part, from: (a) our actions or omissions, if they are in accordance with your instructions or the terms of this Agreement; (b) the actions or omissions of you, your agents, or employees; and /or (c) any warranty that we are required or deemed to make to a third party in connection with your transactions.  This provision shall survive the termination of this Agreement.

Limited Liability

Neither we nor our Bank will be responsible for any loss, delay, cost or liability to the extent that it arises, directly or indirectly, in whole or in part, from: (a) your actions or omissions, or those of third parties which are not within our immediate and reasonable control; (b) any ambiguity, inaccuracy or omission in any instruction or information provided to us; (c) any error, failure or delay in the transmission or delivery of data due to a breakdown in any third party computer or communications facility; (d) accidents, strikes, labor disputes, civil unrest, fire, flood, water damage (e.g., from fire suppression systems), or acts of God; (e) the lack of available funds in your account to complete a transaction; or (f) our inability to confirm to our satisfaction the authority of any person to act on your behalf.

Notices / Changes to This Agreement

We may add to, delete or change the terms of this agreement by providing advance notice via electronic notification to the email or street address we have on file for you as well as posting the revised agreement to our website at www.sterlingins.com.  If your email address changes, you agree to update the new address via our website at www.sterlingins.com.

Disputed Payments or Charges

Communications concerning disputed withdrawals or charges must be sent to: Sterling Insurance Company, Attention Billing Department, PO Box 9, Cobleskill, New York 12043.


We may terminate this Agreement and our Automated Payment Service at any time, with or without cause, by sending a notice to you.  Your authorization will remain in full force until Sterling receives written notice from you to terminate this agreement.  You may terminate this agreement and your authorization for electronic payments by visiting the payment section at www.sterlingins.com and choosing the “cancel your automated service” option.  We may be unable to prevent collection of scheduled payments already initiated.  Alternatively you may terminate this agreement and your authorization for electronic payments by providing us 7 days advance written notice sent to Sterling Insurance Company, Attention Billing Department, PO Box 9, Cobleskill, New York 12043.  If you terminate this agreement you are responsible for any outstanding and future payments by initiating a one-time EFT withdrawal from your checking / savings account or by credit card through our website at www.sterlingins.com.  You may also mail your payment to our lockbox at Sterling Insurance Company, PO Box 419175, Boston, MA 02241-9175.

Policies issued by either Sterling Insurance Company or Sterling Insurance Cooperative, Inc.