NY Ins L § 7902 (2021)
2021 New York Laws ISC - Insurance Article 79 - Service Contracts 7902 - Definitions.

§ 7902. Definitions. As used in this article:  (a)  "Appliances"  may  include  but  are not limited to electrical or mechanical appliances sold separately  or  included  with  the  sale  of residential  real property such as refrigerators, stoves, ovens, clothes washers and dryers and dishwashers.  (b) "Administrator" means any person designated by a  provider  to  be responsible   for   administration   of   service  contracts,  including servicing, claims management  and  processing,  recordkeeping,  customer service and collection of fees.  (c)  "Incidental  damages" has the meaning as set forth in subdivision one of section 2-715 of the uniform commercial code, as such  definition may be amended from time to time.  (d)  "Maintenance agreement" means a contract of limited duration that provides for scheduled maintenance of  property,  other  than  contracts providing for the repair or replacement of such property due to a defect in materials or workmanship or wear and tear.  (e)  "Non-original  manufacturers'  parts" means replacement parts not made for or by the  original  manufacturer  of  the  property,  commonly referred to as "after market parts".  (f)   "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.  (g) "Premium" means the consideration paid to an insurer for a service contract reimbursement insurance policy.  (h) "Provider" means a person who markets,  sells,  offers  for  sale, issues, makes or proposes to make or administers a service contract, and who  is  contractually  obligated  to  provide  service  under a service contract.  (i) "Provider fee" means the total  purchase  price  or  consideration paid for a service contract.  (j)  "Qualified  United  States financial institution" has the meaning set forth in the regulations as promulgated from time  to  time  by  the superintendent.  (k)  "Service  contract" means a contract or agreement, for a separate or additional consideration, for a  specific  duration  to  perform  the repair,  replacement  or maintenance of property, or indemnification for repair, replacement or maintenance, due to  a  defect  in  materials  or workmanship  or  wear and tear, with or without additional provision for indemnity payments for incidental damages, provided any  such  indemnity payment per incident shall not exceed the purchase price of the property serviced.    Service  contracts may include towing, rental and emergency road service, and may  also  provide  for  the  repair,  replacement  or maintenance  of  property  for  damage  resulting  from power surges and accidental damage from handling.  Service  contracts  may  also  include contracts  to  repair,  replace  or  maintain residential appliances and systems. Such term shall also mean a contract or agreement made  (1)  by or  for the manufacturer or seller of a motor vehicle tire for repair or replacement of the tire or wheel as the result of damage arising from  a road  hazard,  (2)  by  or  for  the supplier or seller of a service for repair of chips or  cracks  in  a  motor  vehicle  windshield,  but  not including   services   that   involve  the  replacement  of  the  entire windshield, (3) by or for the supplier or seller of a service for repair or removal of dents, dings or  creases  from  a  motor  vehicle  without affecting   the  existing  paint  finish  using  paintless  dent  repair techniques, but not including services that involve the  replacement  of vehicle  body panels, or sanding, bonding or painting; and (4) by or for the supplier or seller of a service for repair or replacement of a motor  vehicle key or key fob in the event that the  key  or  key  fob  becomes inoperable,  lost  or stolen. In conjunction with a motor vehicle leased for personal use, such term shall also mean a contract  to  perform  the repair,   replacement   or   maintenance  of  property,  or  to  provide indemnification for repair, replacement or maintenance,  due  to  excess wear and use or damage for interior stains, rips or scratches or missing interior  parts  that result in a lease-end charge not otherwise covered by a service agreement or warranty, provided any such payment shall  not exceed the purchase price of the vehicle.  (l)   "Systems"   means   plumbing,   electrical,   heating,  cooling, ventilation, and  other  systems  used  in  residential  real  property, including without limitation:  (A)  plumbing  systems  which  include  gas supply lines and fittings, water supply, waste and vent pipes and their fittings, septic tanks  and their  drain  fields,  water,  gas  and  sewer service piping, and their extensions to the tie-in of a public utility connection, or on-site well and sewage disposal system;  (B) electrical systems which include  all  wiring,  electrical  boxes, switches,  outlets, and connections up to the public utility connection; and  (C) heating, cooling and ventilation systems which  include  all  duct work,   steam,  water  and  refrigerant  lines,  registers,  convectors, radiation elements and dampers.  (m) "Service contract holder" or "contract holder" means a person  who is the purchaser or holder of a service contract.  (n)  "Service  contract reimbursement insurance policy" means a policy of service contract reimbursement insurance.