As used in this chapter, unless the context otherwise indicates, the following terms have the following meanings.
1.Administrator.
"Administrator" means the person who is responsible for the administration of a service contract program or who is responsible for any submission required by this chapter.
2.Consumer.
"Consumer" means an individual who buys other than for purposes of resale any tangible personal property that is distributed in commerce and that is normally used for personal, family or household purposes and not for business or research purposes.
3.Maintenance agreement.
"Maintenance agreement" means a contract of limited duration that provides for scheduled maintenance only and does not include repair or replacement.
4.Motor vehicle manufacturer.
"Motor vehicle manufacturer
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As used in this chapter, unless the context otherwise indicates, the following terms have the following meanings.
1.
Administrator.
"Administrator" means the person who is responsible for the administration of a service contract program or who is responsible for any submission required by this chapter.
2.
Consumer.
"Consumer" means an individual who buys other than for purposes of resale any tangible personal property that is distributed in commerce and that is normally used for personal, family or household purposes and not for business or research purposes.
3.
Maintenance agreement.
"Maintenance agreement" means a contract of limited duration that provides for scheduled maintenance only and does not include repair or replacement.
4.
Motor vehicle manufacturer.
"Motor vehicle manufacturer" means a person that:
5.
Nonoriginal manufacturer's parts.
"Nonoriginal manufacturer's parts" means replacement parts not made for or by the original manufacturer of the property, commonly referred to as "aftermarket parts."
6.
Person.
"Person" means an individual, partnership, corporation, incorporated or unincorporated association, joint stock company, reciprocal, syndicate or any similar entity or combination of entities acting in concert.
7.
Premium.
"Premium" means the consideration paid to an insurer for a reimbursement insurance policy.
8.
Provider.
"Provider" means a person who is contractually obligated to a service contract holder under the terms of a service contract.
9.
Provider fee.
"Provider fee" means the consideration paid for a service contract.
10.
Reimbursement insurance policy.
"Reimbursement insurance policy" means a policy of insurance, issued to a provider, that provides reimbursement to the provider under the terms of the insured service contracts issued or sold by the provider or, in the event of the provider's nonperformance, pays to service contract holders on behalf of the provider all covered contractual obligations incurred by the provider under the terms of the insured service contracts issued or sold by the provider.
11.
Service contract.
"Service contract" means a contract or agreement for a separately stated consideration for a specific duration to perform the repair, replacement or maintenance of property or to indemnify for the repair, replacement or maintenance for an operational or structural failure of any motor vehicle or other property due to a defect in materials or workmanship or normal wear and tear, with or without additional provisions for incidental payment of indemnity under limited circumstances, including, but not limited to, towing, rental and emergency road service and road hazard protection. Coverage issued by an authorized insurance company pursuant to a personal automobile insurance policy for payment of towing, rental, emergency road service or automobile mechanical breakdown is not a service contract. Service contracts may provide for the repair, replacement or maintenance of property for damage resulting from power surges or interruption. "Service contract" includes a contract or agreement sold for a separately stated consideration for a specific duration that provides for any of the following:
12.
Service contract holder.
"Service contract holder" means a person who is the purchaser or holder of a service contract.
13.
Superintendent.
"Superintendent" means the Superintendent of Insurance.
14.
Tangible net worth.
"Tangible net worth" means equity less assets that have no physical existence and depend on expected future benefits for their ascribed value.
15.
Warranty.
"Warranty" means a warranty made solely by the manufacturer, importer or seller of property or services without consideration that is not negotiated or separated from the sale of the product and is incidental to the sale of the product and that guarantees indemnity for defective parts, mechanical or electrical breakdown, labor or other remedial measures, such as repair or replacement of the property or repetition of services.