§ 56-59-107. Lease or Sale Associated With a Commercial Transaction — Applicability of Specified Sections
Sections 56-59-103(c), 56-59-105 and 56-59-108 are not applicable to a GAP waiver offered in connection with a lease or sale associated with a commercial transaction. For purposes of subsection (a), “commercial transaction” means a transaction involving the sale or lease of a motor vehicle that is intended or will be used primarily for a purpose […]
§ 56-59-108. Powers and Duties of Commissioner — Violations and Penalties
The commissioner may take action that is necessary or appropriate to enforce this chapter and to protect GAP waiver holders in this state. After proper notice and opportunity for hearing the commissioner may: Order the creditor, administrator or any other person not in compliance with this section to cease and desist from further GAP waiver […]
§ 56-59-109. Insurance Laws — Exemptions
The general assembly finds that GAP waivers are not insurance. The general assembly also finds that GAP waivers complying with this chapter are exempt from the insurance laws of this state.
§ 56-59-104. Coverage Under Contractual Liability or Other Insurance Policy — Cancellation
Contractual liability or other insurance policies insuring GAP waivers must state the obligations of the insurer to reimburse or pay to the creditor any sums the creditor is legally obligated to waive under the GAP waivers issued by the creditor and purchased or held by the borrower. Coverage under a contractual liability or other insurance […]
§ 56-59-105. Disclosure of Guaranteed Asset Protection Waiver
GAP waivers must disclose, as applicable, in writing and in clear, understandable language that is easy to read, the following: The name and address of the initial creditor and the borrower at the time of sale, and the identity of any administrator if different from the creditor; The purchase price and the terms of the […]
§ 56-59-106. Cancellation or Termination of Gap Waiver or Finance Agreement — Free Look Period
GAP waiver agreements may be cancelable or noncancelable after the free look period. GAP waivers must provide that if a borrower cancels a waiver within the free look period, the borrower will be entitled to a full refund of the purchase price; provided, that no claims have been made or no benefits have been paid, […]
§ 56-59-101. Short Title — Purpose — Applicability
This chapter shall be known and may be cited as the “Guaranteed Asset Protection Waiver Act of 2008.” The purpose of this chapter is to provide a framework within which guaranteed asset protection (GAP) waivers are defined and may be offered within the state. GAP waivers governed under this chapter are not insurance and are […]
§ 56-59-102. Chapter Definitions
The following definitions are for purposes of this chapter and are not intended to provide actual terms required in GAP waivers: “Administrator” means a person, other than an insurer or creditor, that performs administrative or operational functions pursuant to the GAP waiver program; “Borrower” means a debtor, retail buyer or lessee under a finance agreement; […]
§ 56-59-103. Gap Waiver — Insurance Policy
GAP waivers may be offered, sold, or provided to borrowers in this state in compliance with this chapter. GAP waivers may, at the option of the creditor, be sold for a single payment or may be offered with a monthly or periodic payment option. Notwithstanding any other law, any cost to the borrower for a […]