Bill Text: PA HB1677 | 2009-2010 | Regular Session | Introduced

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Bill Title: Providing for motor vehicle service contracts.

Spectrum: Moderate Partisan Bill (Democrat 33-7)

Status: (Introduced - Dead) 2009-06-12 - Referred to INSURANCE [HB1677 Detail]

Download: Pennsylvania-2009-HB1677-Introduced.html

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PRINTER'S NO. 2118
THE GENERAL ASSEMBLY OF PENNSYLVANIA
HOUSE BILL
No. 1677 Session of2009
INTRODUCED BY DeLUCA, BARBIN, BELFANTI, BRENNAN, BROWN, CALTAGIRONE, CASORIO, COHEN, CONKLIN, D. COSTA, P. COSTA, DEASY, DERMODY, FABRIZIO, FRANKEL, GIBBONS, GRUCELA, HARHAI, HARKINS, HORNAMAN, KORTZ, KOTIK, KULA, MAHONEY, MATZIE, MOUL, MURT, M. O'BRIEN, O'NEILL, PALLONE, PARKER, PASHINSKI, PETRARCA, READSHAW, SAINATO, SAYLOR, J. TAYLOR, VULAKOVICH, YOUNGBLOOD AND YUDICHAK, JUNE 12, 2009
REFERRED TO COMMITTEE ON INSURANCE, JUNE 12, 2009
AN ACT
Amending the act of May 17, 1921 (P.L.682, No.284), entitled "An
act relating to insurance; amending, revising, and
consolidating the law providing for the incorporation of
insurance companies, and the regulation, supervision, and
protection of home and foreign insurance companies, Lloyds
associations, reciprocal and inter-insurance exchanges, and
fire insurance rating bureaus, and the regulation and
supervision of insurance carried by such companies,
associations, and exchanges, including insurance carried by
the State Workmen's Insurance Fund; providing penalties; and
repealing existing laws," providing for motor vehicle service
contracts.
The General Assembly of the Commonwealth of Pennsylvania
hereby enacts as follows:
Section 1. The act of May 17, 1921 (P.L.682, No.284), known
as The Insurance Company Law of 1921, is amended by adding a
section to read:
Section 358. Motor Vehicle Service Contracts.--(a) The
marketing, sale, offering for sale, issuance, making, proposing
to make and administration of a motor vehicle service contract
shall be construed as the business of insurance and shall be
subject to regulation as insurance.
(b) "Motor vehicle service contract" means a contract or an
agreement for a separately stated consideration for a specific
duration to perform the service, repair, replacement or
maintenance of a motor vehicle or indemnification for service,
repair, replacement or maintenance, for the operational or
structural failure due to a defect in materials, 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. The term "motor vehicle service contract" does not
include warranties issued by or from the original manufacturer
of a motor vehicle or a warranty, policy, rider or endorsement
issued by an insurer licensed or admitted to do business in this
Commonwealth.
Section 2. This act shall take effect in 60 days.
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