Assembly Actions -
Lowercase Senate Actions - UPPERCASE |
|
---|---|
Jan 18, 2011 |
referred to insurance |
Senate Bill S2218
2011-2012 Legislative Session
Sponsored By
(D) Senate District
Archive: Last Bill Status - In Senate Committee Insurance Committee
- Introduced
-
- In Committee Assembly
- In Committee Senate
-
- On Floor Calendar Assembly
- On Floor Calendar Senate
-
- Passed Assembly
- Passed Senate
- Delivered to Governor
- Signed By Governor
Actions
2011-S2218 (ACTIVE) - Details
- Current Committee:
- Senate Insurance
- Law Section:
- Insurance Law
- Laws Affected:
- Add Art 21-A ยงยง2150 - 2153, Ins L
- Versions Introduced in 2009-2010 Legislative Session:
-
S962
2011-S2218 (ACTIVE) - Summary
Prohibits any person from acting as an administrator of warranties on motor vehicles or mechanical or electronic appliances unless such person has been licensed by the insurance department; adds new article to the insurance law entitled "administration of product warranties"; outlines covered requirements, provides penalties for violations and authorizes the insurance department to promulgate necessary rules and regulations.
2011-S2218 (ACTIVE) - Sponsor Memo
BILL NUMBER:S2218 TITLE OF BILL: An act to amend the insurance law, in relation to licensing requirements for persons who offer warranties for motor vehicles and appliances PURPOSE/SUMMARY OF PROVISIONS: This bill requires administrators of product warranty contracts to obtain an administrator's license from the Insurance Department after showing: 1) experience and competence in the business; 2) minimum net worth of $150,000; and 3) a contract liability policy from a New York insurer indemnifying the administrators, the seller and the purchaser of the service contract in the event of loss or depletion of the claims reserve account held by the administrator. This bill adds a new article to the Insurance Law (21-A) entitled "Administration of Product Warranties." The new article defines the covered requirements, provides penalties for violations, and requires the Insurance Department to promulgate regulations to implement the provisions of the article. JUSTIFICATION: At the present time, New York consumers can purchase product warranty coverage against manufacturers' defects. The most common item covered is an automobile, although more recently coverage is available for large appliances like televisions, washing machines, refrigerators,
2011-S2218 (ACTIVE) - Bill Text download pdf
S T A T E O F N E W Y O R K ________________________________________________________________________ 2218 2011-2012 Regular Sessions I N S E N A T E January 18, 2011 ___________ Introduced by Sen. KRUGER -- read twice and ordered printed, and when printed to be committed to the Committee on Insurance AN ACT to amend the insurance law, in relation to licensing requirements for persons who offer warranties for motor vehicles and appliances THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM- BLY, DO ENACT AS FOLLOWS: Section 1. The insurance law is amended by adding a new article 21-A to read as follows: ARTICLE 21-A ADMINISTRATION OF PRODUCT WARRANTIES SECTION 2150. DEFINITIONS. 2151. ADMINISTRATOR'S LICENSE REQUIRED. 2152. PENALTIES. 2153. PROMULGATION OF REGULATIONS. S 2150. DEFINITIONS. FOR PURPOSES OF THIS ARTICLE, THE FOLLOWING TERMS SHALL HAVE THE FOLLOWING MEANINGS: (A) "PERSON" MEANS ANY INDIVIDUAL, FIRM, ASSOCIATION, CORPORATION, PARTNERSHIP, JOINT-STOCK COMPANY, JOINT VENTURE, ANY OTHER ENTITY, OR ANY AGGREGATION OF ANY OF THE FOREGOING. (B) "WARRANTY" MEANS ANY CONTRACT, WARRANTY OR GUARANTY, ANY EXTENDED WARRANTY OR SERVICE CONTRACT, OR ANY AGREEMENT THAT PROMISES REPLACEMENT OR REPAIR OF COVERED PARTS IN THE EVENT OF THE BREAKDOWN OF SUCH PART IN A MOTOR VEHICLE, A MECHANICAL OR ELECTRONIC APPLIANCE, OFFERED TO THE CONSUMER FOR A SEPARATELY STATED CHARGE AS AN INCIDENT TO THE SELLING OR LEASING OF SUCH PRODUCTS. (C) "SELLER" MEANS ANY PERSON WHO SELLS A MOTOR VEHICLE OR MECHANICAL OR ELECTRONIC APPLIANCE TO A CONSUMER. (D) "CONSUMER" MEANS A PERSON WHO PURCHASES A PRODUCT FOR PURPOSES OTHER THAN THE RESALE THEREOF AS PART OF HIS OCCUPATIONAL OR BUSINESS ACTIVITY. EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD07056-01-1
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