Effective - 01 Jan 2009
385.418. Warranty requirements. — 1. Every vehicle protection product warranty shall be written in clear, understandable language and shall be printed or typed in an easy-to-read point size and font and shall not be issued, sold, or offered for sale in the state unless the warranty:
(1) States that the obligations of the warrantor to the warranty holder are guaranteed under a warranty reimbursement insurance policy if the warrantor elects to meet its financial responsibility obligations under subdivision (1) of section 385.412, or states the obligations of the warrantor under this warranty are backed by the full faith and credit of the warrantor if the warrantor elects to meet its financial responsibility under subdivision (2) of section 385.412;
(2) States that in the event a warranty holder must make a claim against a party other than the warrantor, the warranty holder is entitled to make a direct claim against the warranty reimbursement insurer upon the failure of the warrantor to pay any claim or meet any obligation under the terms of the warranty within sixty days after proof of loss has been filed with the warrantor, if the warrantor elects to meet its financial responsibility obligations under subdivision (1) of section 385.412;
(3) States the name and address of the insurer of the warranty reimbursement insurance policy, and this information need not be preprinted on the warranty form but may be stamped on the warranty, if the warrantor elects to meet its financial responsibility obligations under subdivision (1) of section 385.412;
(4) Identifies the warrantor, the seller, and the warranty holder;
(5) Sets forth the total purchase price of the vehicle protection product warranty and the terms under which it is to be paid; however, the purchase price is not required to be preprinted on the vehicle protection product warranty and may be negotiated with the consumer at the time of sale;
(6) Sets forth the procedure for making a claim, including a telephone number;
(7) States the existence of a deductible amount, if any;
(8) Specifies the payments or performance to be provided under the warranty including payments for incidental costs, the manner of calculation or determination of payments or performance, and any limitations, exceptions, or exclusions;
(9) Sets forth all of the obligations and duties of the warranty holder such as the duty to protect against further damage to the vehicle, the obligation to notify the warrantor in advance of any repair, or other similar requirements, if any;
(10) Sets forth any terms, restrictions, or conditions governing transferability of the warranty, if any; and
(11) Contains a disclosure that reads substantially as follows: "This agreement is a product warranty and is not insurance.".
2. At the time of sale, the seller or warrantor shall provide to the purchaser:
(1) A copy of the vehicle protection product warranty; or
(2) A receipt or other written evidence of the purchase of the vehicle protection product and a copy of the warranty within thirty days of the date of purchase.
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(L. 2008 S.B. 930 & 947)
Effective 1-01-09
Structure Missouri Revised Statutes
Title XXIV - Business and Financial Institutions
Chapter 385 - Credit Insurance and Service Contracts
Section 385.010 - Purpose clause.
Section 385.015 - Scope of law.
Section 385.020 - Definitions.
Section 385.025 - Credit life and accident insurance, form in which it shall be issued.
Section 385.030 - Amount of insurance permitted — payments, amount of, limited.
Section 385.035 - Term of policy, prepayment of debt, effect of.
Section 385.055 - Who may issue credit life insurance.
Section 385.060 - Reporting and settlement of claims — who may adjust claims.
Section 385.075 - Regulatory powers of director.
Section 385.200 - Definitions.
Section 385.204 - Reimbursement insurance policies, requirements.
Section 385.208 - Deceptive practices.
Section 385.210 - Record-keeping requirements.
Section 385.212 - Termination, notice required.
Section 385.214 - Providers considered agents of insurer, when — indemnification and subrogation.
Section 385.216 - Investigations, administrative orders.
Section 385.218 - Rulemaking authority.
Section 385.220 - Inapplicability.
Section 385.300 - Definitions.
Section 385.302 - Registration required, fee — administrator authorized — provider requirements.
Section 385.304 - Reimbursement insurance policy requirements.
Section 385.306 - Contract requirements, contents.
Section 385.308 - Deceptive practices.
Section 385.310 - Record-keeping requirements.
Section 385.312 - Termination, notice required.
Section 385.314 - Providers considered agents of insurer, when — indemnification and subrogation.
Section 385.316 - Investigations, administrative orders.
Section 385.318 - Rulemaking authority.
Section 385.320 - Inapplicability.
Section 385.321 - Effective date for certain sections.
Section 385.400 - Citation of law.
Section 385.403 - Definitions.
Section 385.406 - Applicability, exceptions.
Section 385.409 - Registration required — records, content — fee — notice for failure to register.
Section 385.415 - Warranty reimbursement insurance policy requirements.
Section 385.418 - Warranty requirements.
Section 385.424 - Prohibited use of names and terms.
Section 385.427 - Record-keeping requirements.
Section 385.430 - Enforcement authority — administrative orders permitted.
Section 385.433 - Rulemaking authority.
Section 385.436 - Admissibility of failure to comply evidence.