; and (B) such state of nonpayment is not caused by application of a deferment or forbearance as described in section 435. (3) Phase-out of default insurance coverage To the extent an eligible lender provides the Secretary with a defaulted eligible loan, the Secretary shall pay to the eligible lender an amount equal to— (A) for a default occurring in the first 5 years from the date of disbursement of the Refinancing Loan made, the Secretary shall insure 97 percent of the unpaid principal and accrued interest and fees; (B) for a default occurring in the second 5 years (years 6 through 10) from the date of disbursement of the Refinancing Loan, the Secretary shall insure 87 percent of the unpaid principal and accrued interest and fees; and (C) for a default occurring at any point after the tenth year after disbursement of the Refinancing Loan, the Secretary shall insure 77 percent of the unpaid principal and accrued interest. (f) Insurance fees paid to the secretary In lieu of any other fees or charges by the Secretary associated with loans under this part, eligible lenders shall pay to the Secretary— (1) a Default Insurance Fee equal to 0.50 percent of the disbursed loan amount