2013 New York Consolidated Laws
ISC - Insurance
Article 79 - (7901 - 7913) 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, and (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.

    (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.