- 82nd Session (2023)
Senate Bill No. 436–Committee on Commerce and Labor
CHAPTER..........
AN ACT relating to insurance; requiring the Commissioner of
Insurance to submit to the Joint Interim Standing Committee
on Commerce and Labor a report concerning the service
contract provider industry in this State; and providing other
matters properly relating thereto.
Legislative Counsel’s Digest:
Existing law provides for the regulation of providers of service contracts by the
Commissioner of Insurance. (Chapter 690C of NRS) Existing law defines a service
contract as a contract pursuant to which a provider, in exchange for separately
stated consideration, is obligated for a specified period to a holder to repair, replace
or perform maintenance on, or indemnify or reimburse the holder for the costs of
repairing, replacing or performing maintenance on, goods that are described in the
service contract and which have an operational or structural failure as a result of a
defect in materials, workmanship or normal wear and tear. Types of service
contracts include contracts that: (1) pay reimbursement for towing, rental and
emergency road service; and (2) provide for the repair, replacement or maintenance
of goods for damages that result from power surges or accidental damage from
handling. (NRS 690C.080) Existing law authorizes the Commissioner to assess a
civil penalty against a provider who fails to comply with existing law or who
violates an order or regulation of the Commissioner. (NRS 690C.330)
This bill requires the Commissioner of Insurance to submit to the Joint Interim
Standing Committee on Commerce and Labor an annual report that provides certain
information concerning the service contract industry in this State.
EXPLANATION – Matter in bolded italics is new; matter between brackets [omitted material] is material to be omitted.
THE PEOPLE OF THE STATE OF NEVADA, REPRESENTED IN
SENATE AND ASSEMBLY, DO ENACT AS FOLLOWS:
Section 1. Chapter 690C of NRS is hereby amended by adding
thereto the provisions set forth as sections 1.5 and 2 of this act.
Sec. 1.5. (Deleted by amendment.)
Sec. 2. 1. On or before March 31, 2024, and on or before
March 31 of each year thereafter, the Commissioner shall submit
a report to the Joint Interim Standing Committee on Commerce
and Labor concerning the service contract industry in this State.
2. The report must include, without limitation:
(a) For each report other than the initial report, the number of
service contracts sold by providers, by county, during the calendar
year for which the report is made;
(b) The number of providers doing business in this State;
(c) The number of providers, by the type of service contract
provided;
– 2 –
- 82nd Session (2023)
(d) The number of complaints concerning providers received
by the Division, by type of complaint and information concerning
the resolution of such complaints; and
(e) Any other matter relating to the service contract industry in
this State that the Commissioner deems appropriate.
3. To the extent reasonably practicable, the information
specified in paragraph (a) of subsection 2 must be disaggregated
in the report.
4. As used in this section:
(a) “Provider” has the meaning ascribed to it in
NRS 690C.070.
(b) “Service contract” has the meaning ascribed to it in
NRS 690C.080.
Sec. 3. The provisions of subsection 1 of NRS 218D.380 do
not apply to any provision of this act which adds or revises a
requirement to submit a report to the Legislature.
20 ~~~~~ 23