Missouri Revised Statutes
Chapter 379
Insurance Other Than Life
←379.1505
Section 379.1510.1
379.1515→
August 28, 2015
Authorization to sell, vendor responsibilities--eligibility and underwriting standards--supervising business entity to be appointed, purpose--training requirements--collection of charges.
379.1510. 1. A vendor shall have the obligation to ensure that every
location that is authorized to sell, solicit, or negotiate portable
electronics insurance to customers shall have specific brochures available
to prospective customers which:
(1) Disclose that portable electronics insurance may provide a
duplication of coverage already provided by a customer's homeowner's,
renter's, or other source of coverage;
(2) State that the enrollment by the customer in a portable
electronics insurance program is not required in order to purchase or lease
portable electronics or services;
(3) Summarize the material terms of the insurance coverage,
including:
(a) The identity of the insurer;
(b) The identity of the supervising business entity;
(c) The amount of any applicable deductible and how it is to be paid;
(d) Benefits of the coverage; and
(e) Key terms and conditions of coverage, such as whether portable
electronics may be repaired or replaced with similar make and model
reconditioned or nonoriginal manufacturer parts or equipment;
(4) Summarize the process for filing a claim, including any
requirement to return portable electronics and the maximum fee applicable
in the event the customer fails to comply with any equipment return
requirements; and
(5) State that the customer may cancel enrollment for coverage under
a portable electronics insurance policy at any time and receive a refund of
any unearned premium on a pro rata basis.
2. Eligibility and underwriting standards for customers electing to
enroll in coverage shall be established for each portable electronics
insurance program. Each insurer shall maintain all eligibility and
underwriting records for a period of five years. Portable electronics
insurance issued under sections 379.1500 to 379.1550 shall be deemed
primary coverage over any other collateral coverage and any policy or
certificate of coverage issued subsequent to January 1, 2015, shall contain
a disclosure to that effect. A policy or certificate of coverage shall be
made available to prospective customers at the point of sale or delivered
to an enrolled customer within sixty days from the date a customer enrolls
for coverage.
3. Insurers offering portable electronics insurance coverage through
vendors shall appoint a supervising business entity to supervise the
administration of the program. The supervising business entity shall be
responsible for the development of a training program for employees and
authorized representatives of a vendor, and shall include basic instruction
about the portable electronics insurance offered to customers and the
disclosures required under this section.
4. Insurers and applicable supervising business entities offering
portable electronics insurance shall share all complaint, grievance, or
inquiries regarding any conduct that is specific to a vendor and that may
not comply with applicable state laws and regulations.
5. A supervising business entity shall maintain a registry of vendor
locations which are authorized to sell or solicit portable electronics
insurance coverage in this state. Upon request by the director and with
ten days' notice to the supervising business entity, the registry shall be
open to inspection and examination by the director during regular business
hours of the supervising business entity.
6. Within thirty days of a supervising business entity terminating a
vendor location's appointment to sell or solicit portable electronics
insurance, the supervising business entity shall update the registry with
the effective date of termination. If a supervising business entity has
possession of information relating to any cause for discipline under
section 375.141, the supervising business entity shall notify the director
of such information in writing. The privileges and immunities applicable
to insurers under section 375.022 shall apply to supervising business
entities for any information reported under this subsection.
7. The supervising business entity shall not charge a fee for adding
or removing a vendor location from the registry.
8. No employee or authorized representative of a vendor shall
advertise, represent, or otherwise hold himself or herself out as an
insurance producer, unless such employee or authorized representative is
otherwise licensed as an insurance producer.
9. The training required in subsection 3 of this section shall be
delivered to all employees and authorized representatives of the vendors
who are directly engaged in the activity of selling portable electronics
insurance in this state. The training may be provided in electronic form.
However, if conducted in an electronic form, the supervising business
entity shall implement a supplemental education program regarding the
portable electronics insurance product that is conducted and overseen by
licensed employees of the supervising business entity.
10. The charges for portable electronics insurance coverage may be
billed and collected by the vendor. Any charge to the customer that is not
included in the cost associated with the purchase or lease of portable
electronics or related services shall be separately itemized on the
customer's bill. If the portable electronics insurance is included in the
purchase or lease of portable electronics or related services, the vendor
shall clearly and conspicuously disclose to the customer that the portable
electronics insurance coverage is included with the portable electronics or
related services. Vendors billing and collecting such charges shall not be
required to maintain such funds in a segregated account, provided that the
insurer authorized the vendor to hold such funds in an alternative manner
and remits such amounts to the supervising business entity within
forty-five days of receipt. All funds received by a vendor from a customer
for the sale of portable electronics insurance shall be considered funds
held in trust by the vendor in a fiduciary capacity for the benefit of the
insurer. Vendors shall maintain all records related to the purchase of
portable electronics insurance for a period of three years from the date of
purchase.
(L. 2011 S.B. 132, A.L. 2013 H.B. 58)
Effective 6-25-13
2012
2012
379.1510. 1. A vendor shall have the obligation to ensure that every
location that is authorized to sell, solicit, or negotiate portable
electronics insurance to customers shall have specific brochures and actual
policies or certificates of coverage available to prospective customers
which:
(1) Disclose that portable electronics insurance may provide a
duplication of coverage already provided by a customer's homeowner's,
renter's, or other source of coverage, and that the portable electronics
insurance coverage is primary over any other collateral coverage;
(2) State that the enrollment by the customer in a portable
electronics insurance program is not required in order to purchase or lease
portable electronics or services;
(3) Summarize the material terms of the insurance coverage,
including:
(a) The identity of the insurer;
(b) The identity of the supervising business entity;
(c) The amount of any applicable deductible and how it is to be paid;
(d) Benefits of the coverage; and
(e) Key terms and conditions of coverage, such as whether portable
electronics may be repaired or replaced with similar make and model
reconditioned or nonoriginal manufacturer parts or equipment;
(4) Summarize the process for filing a claim, including any
requirement to return portable electronics and the maximum fee applicable
in the event the customer fails to comply with any equipment return
requirements; and
(5) State that the customer may cancel enrollment for coverage under
a portable electronics insurance policy at any time and receive a refund of
any unearned premium on a pro rata basis.
2. Eligibility and underwriting standards for customers electing to
enroll in coverage shall be established for each portable electronics
insurance program. Each insurer shall maintain all eligibility and
underwriting records for a period of five years. Portable electronics
insurance issued under sections 379.1500 to 379.1550 shall be deemed
primary coverage over any other collateral coverage.
3. Insurers offering portable electronics insurance coverage through
vendors shall appoint a supervising business entity to supervise the
administration of the program. The supervising business entity shall be
responsible for the development of a training program for employees and
authorized representatives of a vendor, and shall include basic instruction
about the portable electronics insurance offered to customers and the
disclosures required under this section.
4. Insurers and applicable supervising business entities offering
portable electronics insurance shall share all complaint, grievance, or
inquiries regarding any conduct that is specific to a vendor and that may
not comply with applicable state laws and regulations.
5. A supervising business entity shall maintain a registry of vendor
locations which are authorized to sell or solicit portable electronics
insurance coverage in this state. Upon request by the director and with
ten days' notice to the supervising business entity, the registry shall be
open to inspection and examination by the director during regular business
hours of the supervising business entity.
6. Within thirty days of a supervising business entity terminating a
vendor location's appointment to sell or solicit portable electronics
insurance, the supervising business entity shall update the registry with
the effective date of termination. If a supervising business entity has
possession of information relating to any cause for discipline under
section 375.141, the supervising business entity shall notify the director
of such information in writing. The privileges and immunities applicable
to insurers under section 375.022 shall apply to supervising business
entities for any information reported under this subsection.
7. The supervising business entity shall not charge a fee for adding
or removing a vendor location from the registry.
8. No employee or authorized representative of a vendor shall
advertise, represent, or otherwise hold himself or herself out as an
insurance producer, unless such employee or authorized representative is
otherwise licensed as an insurance producer.
9. The training required in subsection 3 of this section shall be
delivered to all employees and authorized representatives of the vendors
who are directly engaged in the activity of selling portable electronics
insurance in this state. The training may be provided in electronic form.
However, if conducted in an electronic form, the supervising business
entity shall implement a supplemental education program regarding the
portable electronics insurance product that is conducted and overseen by
licensed employees of the supervising business entity.
10. The charges for portable electronics insurance coverage may be
billed and collected by the vendor. Any charge to the customer that is not
included in the cost associated with the purchase or lease of portable
electronics or related services shall be separately itemized on the
customer's bill. If the portable electronics insurance is included in the
purchase or lease of portable electronics or related services, the vendor
shall clearly and conspicuously disclose to the customer that the portable
electronics insurance coverage is included with the portable electronics or
related services. Vendors billing and collecting such charges shall not be
required to maintain such funds in a segregated account, provided that the
insurer authorized the vendor to hold such funds in an alternative manner
and remits such amounts to the supervising business entity within
forty-five days of receipt. All funds received by a vendor from a customer
for the sale of portable electronics insurance shall be considered funds
held in trust by the vendor in a fiduciary capacity for the benefit of the
insurer. Vendors shall maintain all records related to the purchase of
portable electronics insurance for a period of three years from the date of
purchase.
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