§ 15-141.13. Service Warranty Forms.

A.  No service warranty form or related form shall be issued or used in this state unless the form has been filed with and approved by the Insurance Commissioner.

B.  Each filing of a form shall be made not less than thirty (30) days in advance of its issuance or use.  At the expiration of thirty (30) days from date of filing, a form so filed shall be deemed approved unless prior thereto it has been affirmatively disapproved by written order of the Commissioner.

C.  Each service warranty contract shall contain a cancellation provision.  In the event the contract is canceled by the warranty holder, return of the provider fee shall be based upon ninety percent (90%) of the unearned pro rata provider fee less the actual cost of any service provided under the service warranty contract.  In the event the contract is canceled by the association, return of premium shall be based upon one hundred percent (100%) of unearned pro rata provider fee less the actual cost of any service provided under the service warranty contract.

D.  Service contracts shall state the name and address of the provider and shall identify any administrator if different from the provider, the service contract seller and the service contract holder to the extent that the name of the service contract holder has been furnished by the service contract holder.  The identities of the parties are not required to be preprinted on the service contract and may be added to the service contract at the time of sale.

E.  The Commissioner shall disapprove any form filed pursuant to this section if the form:

1.  Violates the Service Warranty Act;

2.  Is misleading in any respect; or

3.  Is reproduced so that any material provision is substantially illegible.

Added by Laws 2012, c. 150, § 13, eff. Nov. 1, 2012.