(a)As used in this article:
(i)"Administrator" means the person who is
responsible for the administration of the service contracts or
the service contracts plans or who is responsible for any
filings required by this article;
(ii)"Consumer" means a natural person 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;
(iii)"Maintenance agreement" means a contract of
limited duration that provides for scheduled maintenance only;
(iv)"Nonoriginal manufacturer’s parts" means
replacement parts not made for or by the original manufacturer
of the property, commonly referred to as "after market parts";
(v)"Premium" means the consid
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(a) As used in this article:
(i) "Administrator" means the person who is
responsible for the administration of the service contracts or
the service contracts plans or who is responsible for any
filings required by this article;
(ii) "Consumer" means a natural person 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;
(iii) "Maintenance agreement" means a contract of
limited duration that provides for scheduled maintenance only;
(iv) "Nonoriginal manufacturer’s parts" means
replacement parts not made for or by the original manufacturer
of the property, commonly referred to as "after market parts";
(v) "Premium" means the consideration paid to an
insurer for a reimbursement insurance policy;
(vi) "Provider" means a person who is contractually
obligated to the service contract holder under the terms of the
service contract;
(vii) "Provider fee" means the consideration paid for
a service contract;
(viii) "Reimbursement insurance policy" means a
policy of insurance that is issued to a provider to provide
reimbursement to the provider or to pay 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;
(ix) "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
indemnification for repair, replacement or maintenance, for the
operational or structural failure due to a defect in materials
or workmanship or normal wear and tear, with or without
additional provision for incidental payment or indemnity under
limited circumstances, including, but not limited to, towing,
rental and emergency road service. Service contracts may provide
for the repair, replacement or maintenance of property for
damage resulting from power surges and accidental damage from
handling. "Service contract" also includes a contract or
agreement for one (1) or more of the following:
(A) The removal of dents, dings or creases that
can be repaired using the process of paintless dent removal
without affecting the existing paint finish and without
replacing vehicle body panels or sanding, bonding or painting;
(B) The repair or replacement of tires or wheels
damaged as a result of coming into contact with ordinary road
hazards. A contract or agreement meeting the definition set
forth in this subparagraph in which the party obligated to
perform is either a tire or wheel manufacturer or a motor
vehicle manufacturer is exempt from the requirements of this
chapter;
(C) The repair of small windshield chips or
cracks in or the replacement of the entire windshield as a
result of damage caused by road hazards;
(D) The repair of damage to the interior
components of a motor vehicle caused by wear and tear but which
expressly excludes the replacement of any part or component of a
motor vehicle's interior;
(E) The replacement of a motor vehicle key or
key fob in the event that the key or key fob becomes inoperable,
lost or stolen;
(F) In conjunction with a motor vehicle leased
for use, the repair, replacement or maintenance of property or
indemnification for repair, replacement or maintenance due to
excess wear and use, damage to items such as tires, paint cracks
or chips, interior stains, rips or scratches, exterior dents or
scratches, windshield cracks or chips, missing interior or
exterior parts or excess mileage that result in a lease-end
charge, or any other charge for damage that is deemed as excess
wear and use by a lessor under a motor vehicle lease, provided
that any repair, replacement, maintenance or indemnification
shall not exceed the purchase price of the vehicle.
(x) "Service contract holder" or "contract holder"
means a person who is the purchaser or holder of a service
contract;
(xi) "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,
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;
(xii) "Incidental theft protection program payment"
means expenses specified in a theft protection program warranty
that are incurred by the warranty holder due to the failure of
the warranty holder's theft protection program to perform as
provided in the theft protection program warranty. Incidental
theft protection program payments may include insurance policy
deductibles, rental vehicle charges, the difference between the
actual value of the stolen vehicle at the time of theft and the
cost of a replacement vehicle, sales taxes, registration fees,
transaction fees and mechanical inspection fees. Incidental
theft protection program payments may be reimbursements in
either a fixed amount specified in the theft protection program
warranty or by use of a formula itemizing specific incidental
theft protection program payments that may be due to the
warranty holder;
(xiii) "Road hazard" means a hazard that is
encountered while driving a motor vehicle and that may include,
but is not limited to, potholes, rocks, wood debris, metal
parts, glass, plastic, curbs or composite scraps;
(xiv) "Theft protection program" means a device or
system that:
(A) Is installed on or applied to a motor
vehicle and designed to prevent the theft of the vehicle or, if
the vehicle is stolen, aid in the recovery of the vehicle;
(B) Includes a theft protection program
warranty;
(C) May include but is not limited to:
(I) An alarm system;
(II) A body part marking product;
(III) A steering lock;
(IV) A window etch product;
(V) A pedal or ignition lock;
(VI) A fuel or ignition kill switch;
(VII) An electronic, radio or satellite
tracking device.
(xv) "Theft protection program warranty" means a
written agreement by a warrantor that provides if the theft
protection program fails to prevent loss or damage to a motor
vehicle from theft, the warrantor will pay to or on behalf of
the warranty holder specified incidental theft protection
program payments as a result of the failure of the theft
protection program to perform pursuant to the terms of the theft
protection program warranty.