Oklahoma § 36-6754 - Service contracts - Content

§ 36-6754. Service contracts - Content

A. Service contracts marketed, sold, offered for sale, issued,

made, proposed to be made, or administered in this state shall be

written, printed, or typed in clear, understandable language that is

easy to read, and shall disclose the requirements set forth in this

section, as applicable. Each service contract provider shall, upon

initial registration and at renewal of its registration, file a copy

of each of its current contracts issued in this state for

informational purposes. The provider shall update a filing any time

a change is made to the service contract that materially affects the

rights or obligations of a contract holder or upon written request

by the Department.

B. Service contracts insured under an insurance policy pursuant

to paragraph 3 of subsection C of Section 6753 of this title shall

contain a statement in substantially the following form:

"Obligations of the provider under this service contract are insured

under a service contract reimbursement insurance policy." The

service contract shall also state the name and address of the

insurer.

C. Service contracts not insured under an insurance policy

pursuant to paragraph 3 of subsection C of Section 6753 of this

title shall contain a statement in substantially the following form:

"Obligations of the provider under this service contract are backed

by the full faith and credit of the provider."

D. Service contracts shall state the name and address of the

provider, and shall identify any administrator if different from the

provider, the service contract seller, and the service contract

holder to the extent that the name of the service contract holder

Oklahoma Statutes - Title 36. Insurance

has been furnished by the service contract holder. The identities

of such parties are not required to be preprinted on the service

contract and may be added to the service contract at the time of

sale.

E. Service contracts shall state the total purchase price and

the terms under which service contract is sold. The purchase price

is not required to be preprinted on the service contract and may be

negotiated at the time of sale with the service contract holder.

F. Service contracts shall state the existence of any trade

service fee, if applicable.

G. Service contracts shall specify the merchandise and services

to be provided and any limitations, exceptions, or exclusions.

H. Service contracts shall state any restrictions governing the

transferability of the service contract, if applicable.

I. Service contracts shall state the terms, restrictions or

conditions governing cancellation of the service contract.

J. Service contracts shall set forth all of the obligations and

duties of the service contract holder, such as the duty to protect

against any further damage and any requirement to follow the owner's

manual.

K. Service contracts shall state whether or not the service

contract provides for or excludes consequential damages or

preexisting conditions, if applicable. Service contracts may, but

are not required to, cover damage resulting from rust, corrosion or

damage caused by a noncovered part or system.

L. If prior approval of repair work is required, a service

contract shall state the procedure for obtaining prior approval and

for making a claim, including a toll-free telephone number for claim

service and a procedure for obtaining emergency repairs performed

outside of normal business hours.

Added by Laws 2011, c. 224, § 5, eff. Nov. 1, 2011. Amended by Laws

2019, c. 294, § 12, eff. Nov. 1, 2019.