California Insurance Code

§ 12740

INS § 12740Div. 2 · Part 7 · Ch. 1

Statute text

The definitions used in this section govern the construction and terms used in this part but shall not affect any other provisions of this code:

(a)“Home protection contract” means a contract or agreement whereby a person, other than a builder, seller, or lessor of the home which is the subject of the contract, undertakes for a specified period of time, for a predetermined fee, to repair or replace all or any part of any component, system or appliance of a home necessitated by wear and tear, deterioration or inherent defect, arising during the effective period of the contract, and, in the event of an inspection conducted pursuant to subdivision (b) of Section 12761, by the failure of that inspection to detect the likelihood of any such loss. Such contract shall provide for a system of service for effectuating such repair or replacement and shall not include protection against consequential damage from the failure of any component, system or appliance.

(b)“Home protection company” means any person licensed pursuant to this part which issues home protection contracts.

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Legislative history

Amended (as amended by Stats. 1981, Ch. 820) by Stats. 1987, Ch. 664, Sec. 5.