(1) A warranty reimbursement insurance policy shall state that the warranty reimbursement insurance company will reimburse or pay on behalf of the vehicle protection product warrantor all covered sums that the warrantor is legally obligated to pay, or will provide the service that the warrantor is legally obligated to perform, according to the warrantor's contractual obligations under the vehicle protection product warranty.
(2) A warranty reimbursement insurance policy shall state that, if the payment due under the terms of the warranty is not provided by the warrantor within sixty days after proof of loss has been filed according to the terms of the warranty by the warranty holder, the warranty holder may file directly with the warranty reimbursement insurance company for reimbursement.
Source: L. 2004: Entire article added, p. 747, § 1, effective July 1.