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§ 4205. Authority of vendors of portable electronics

Purdon's Pennsylvania Statutes and Consolidated StatutesTitle 40 P.S. InsuranceEffective: December 24, 2013

Purdon's Pennsylvania Statutes and Consolidated Statutes
Title 40 P.S. Insurance (Refs & Annos)
Chapter 42. Portable Electronics Insurance Act
Effective: December 24, 2013
40 P.S. § 4205
§ 4205. Authority of vendors of portable electronics
Currentness
(a) Authority and licensure.--The employees and authorized representatives of vendors may sell or offer portable electronics insurance to customers and shall not be subject to licensure as an insurance producer under Article VI-A of the act of May 17, 1921 (P.L. 789, No. 285),1 known as The Insurance Department Act of 1921, if:
(1) The vendor obtains a limited lines license to authorize its employees or authorized representatives to sell or offer portable electronics insurance under this section.
(2) The insurer issuing the portable electronics insurance either directly supervises or authorizes a designated licensee to supervise the administration of the program, including development of a training program for employees and authorized representatives of the vendors. The training required by this paragraph shall comply with the following:
(i) The training shall be delivered to employees and authorized representatives of a vendor who are directly engaged in the activity of selling, soliciting or negotiating portable electronics insurance.
(ii) The training may be provided in electronic form. If conducted in an electronic form, the vendor shall implement a supplemental education program regarding portable electronics insurance that is conducted and overseen by the designated licensee.
(iii) Each employee and authorized representative shall receive basic instruction about the portable electronics insurance offered to customers and the disclosures required under section 4.2
(3) No employee or authorized representative of a vendor of portable electronics shall advertise, represent or otherwise hold himself out as a licensed insurance producer.
(b) Charges.--The charges for portable electronics insurance coverage may be billed and collected by the vendor of portable electronics. A charge to the enrolled customer for coverage 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 enrolled customer's bill. If the portable electronics insurance coverage is included with the purchase or lease of portable electronics or related services, the vendor shall clearly and conspicuously disclose to the enrolled customer that the portable electronics insurance coverage is included with the portable electronics or related services. Vendors billing and collecting the charges shall not be required to maintain the funds in a segregated account provided that the vendor is authorized by the insurer to hold the funds in an alternative manner and remits the amounts to the supervising entity within 60 days of receipt. The funds received by a vendor from an enrolled 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 may receive compensation from the insurer for billing and collection services.

Credits

2012, July 5, P.L. 995, No. 112, § 5, effective in 120 days [Nov. 2, 2012]. Amended 2013, Oct. 25, P.L. 645, No. 76, § 1, effective in 60 days [Dec. 24, 2013].

Footnotes

1
40 P.S. § 310.1 et seq.
2
40 P.S. § 4204.
40 P.S. § 4205, PA ST 40 P.S. § 4205
Current through Act 10 of the 2024 Regular Session. Some statute sections may be more current, see credits for details.
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