§ 24-5-11-10.5 — Prohibited acts; contracts with insured consumers for exterior improvements; right to cancel; services performed; acting as public adjuster prohibited

Indiana § 24-5-11-10.5

• Jurisdiction: Indiana
• Art. 5: CONSUMER SALES
• Ch. 11: Home Improvement Contracts

Text

5. (a) A real property improvement supplier
shall not advertise, offer, or promise to pay or rebate any part of an
insurance deductible to induce a person to enter into a real property
improvement contract or otherwise purchase goods or services from the
real property improvement supplier. Acts prohibited by this subsection
include the following:
(1) Advertising, offering, or promising to grant an allowance or
a discount against the real property improvement contract price
or against other fees or charges.
(2) Advertising, offering, or promising to pay to an insured
consumer, or to any other person, any form of compensation,
including a gift, prize, bonus, coupon, credit, referral fee, or other
item of monetary value for any reason, including the display of a
sign or advertisement on real property.
(b) This subsection applies to a real property improvement contract
that is entered into by a real property improvement supplier and an
insured consumer after June 30, 2012, and before July 1, 2017, and that
includes one (1) or more exterior improvements. An insured consumer
who enters into a real property improvement contract for which the real
property improvement contract price, or charges for other goods and
services under the contract, are to be paid, in whole or in part, from the
proceeds of an insurance policy, may cancel the contract before
midnight on the third business day after the insured consumer has
received written notice from the insurance company that any part of the
claim or contract is not a covered loss under the insurance policy. An
insured consumer who seeks to cancel a real property improvement
contract under this subsection must provide to the real property
improvement supplier, at the address specified in the form provided
under section 10(c)(6)(B) of this chapter, written notice of the insured
consumer's intent not to be bound by the contract. If the notice of
cancellation is sent by mail, the notice is effective upon deposit of the
notice into the United States mail, with postage prepaid and the notice
properly addressed to the real property improvement supplier. Subject
to subsection (c), not later than ten (10) days after a real property
improvement contract is cancelled under this subsection, the real
property improvement supplier shall tender to the insured consumer:
(1) any payment or deposit made by the insured consumer; and
(2) any note or other evidence of indebtedness of the insured
consumer.
(c) If:
(1) an insured consumer cancels a real property improvement
contract under subsection (b); and
(2) the real property improvement supplier has performed
emergency or temporary services that the insured consumer
acknowledged in writing before their performance to be necessary
to prevent damage to the residential property;
the real property improvement supplier is entitled to the reasonable
value of the emergency or temporary services performed.
(d) A real property improvement supplier shall not act as a public
adjuster (as defined in IC 27-1-27-1).

Legislative History

As added by P.L.82-2012, SEC.8. Amended by P.L.170-2017, SEC.19.