Examinations of service warranty associations.

Checkout our iOS App for a better way to browser and research.

A. Service warranty associations licensed pursuant to the Service Warranty Act are subject to periodic examination by the Insurance Commissioner, in the same manner and subject to the same terms and conditions that apply to insurers.

B. The Commissioner is not required to examine an association that has less than Twenty Thousand Dollars ($20,000.00) in gross written provider fees as reflected in its most recent annual financial statement. The Commissioner may examine such an association if the Commissioner has reason to believe that the association may be in violation of the Service Warranty Act or is otherwise in an unsound financial condition. If the Commissioner examines such an association, the examination fee shall not exceed five percent (5%) of the gross written provider fees of the association.

Added by Laws 2012, c. 150, § 15, eff. Nov. 1, 2012. Amended by Laws 2018, c. 234, § 6, eff. Nov. 1, 2018.


Download our app to see the most-to-date content.