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States Passed Important New Protections in 2019 for Consumers Who Buy Motor Vehicle Protection Products

TALLAHASSEE, Fla., Oct. 17, 2019 (GLOBE NEWSWIRE) -- States across the nation passed additional protections in 2019 for consumers who purchase motor vehicle protection products ranging from key fob replacement to windshield repair—legislation spearheaded by the Motor Vehicle Protection Products Association (MVPPA).

“It was a good year for consumer protection,” said Tim Meenan, MVPPA executive director. “Many states brought various motor vehicle protection products under a thoughtful regulatory framework, which will ensure that consumers who invest in these products are properly protected.”

Among the protections passed in 2019 are these:

  • Hawaii codified the state’s treatment of service contracts, effective July 1, 2020 expressly authorizing coverage for paintless dent repair, replacement of a lost, stolen, or inoperable vehicle key fob, windshield repair or replacement, and tire/wheel repair or replacement under service contracts.
  • Mississippi expanded the definition of service contracts, effective July 1, to include contracts to repair or replace tires, wheels, and windshields for damage from road hazards, and covering contracts for paintless dent repair or replacement of lost or stolen key fobs.
  • New York passed a law, effective September 6, that expressly permits service contracts providing for the replacement of a vehicle key fob that was lost, stolen, or became inoperable.
  • Ohio passed a statutory definition of “motor vehicle service contracts,” effective March 20, and clarified that these contracts are exempt from regulation, and further clarified that contracts providing for the replacement of lost, stolen, or inoperable vehicle key fobs may be offered under the existing ancillary protection product framework. 
  • Rhode Island defined the coverage that a service contract may provide to include mechanical breakdown, accidental damage from handling, paintless dent repair, replacement of a lost, stolen, or inoperable vehicle key fob, windshield repair or replacement, and tire/wheel repair or replacement, effective January 1. 
  • Virginia addressed state regulators’ ability to examine and penalize violators of the statute regulating service contracts, effective July 1.

MEDIA CONTACT:
Kiana Montgomery
(850) 222-1996