GAPA, MVPPA Successfully Promote Fair Regulation of GAP Waivers, Auto Protection Products Across 6 States

TALLAHASSEE, Fla., Oct. 18, 2018 /PRNewswire/ -- As part of its mission to promote fair regulation and consumer protections for the GAP and auto protection product industries, the Guaranteed Asset Protection Alliance (GAPA) and Motor Vehicle Protection Products Association (MVPPA) have attained success by effectively working with state legislatures across the United States during 2018.

"We are proud of the results we've produced across six states with new laws that borrow language from our Model Act to ensure equitable regulation and ethical sale of vehicle protection products and GAP waivers," said Tim Meenan, executive director of GAPA and MVPPA. "These laws ensure that consumers are better protected and the playing field is level for all providers."

The result staking effect in 2018 include:

• Wisconsin Assembly Bill 663 defined terms of GAP waivers, effective Sept. 1, including a free-look period and the presentation of disclosures detailing costs, terms and procedures, and notice that GAP waivers are optional.
• Minnesota House File 3418 redefined "service contract" to include vehicle protection products such as tire and wheel, paintless dent repair, windshield and key/key fob repair/replacement, effective Aug. 1.
• Idaho House Bill 521 redefined "service contract" to include tire and wheel, paintless dent repair, windshield and key/key fob repair/replacement, effective July 2.
• Mississippi Senate Bill 2929 adopted a 30-day free-look period for GAP waivers, effective July 1, allowing consumers to cancel GAP waivers for a full refund within this window and requiring notice that GAP waivers are optional.
• West Virginia House Bill 4186 implemented similar changes as Mississippi SB 2929, effective June 8, while also clarifying that GAP waivers are not insurance.
• Utah House Bill 39 amended vehicle protection product warranties, effective May 8, to include a requirement to disclose how an incidental cost was calculated or provide a fixed-amount benefit and when it will be paid, among other revisions.

ABOUT GAPA & MVPPA: The Guaranteed Asset Protection Alliance (GAPA) consists of companies that offer quality GAP products throughout the country. The association promotes fair and equitable regulation of its members and their products while providing the highest level of service to the consumer. The Motor Vehicle Protection Products Association (MVPPA) is a trade association for providers, sellers, and underwriters of motor vehicle protection products and advocates for legislation that authorizes the sale of standalone vehicle protection products throughout the U.S.

SOURCE GAPA & MVPPA