North Dakota Resources

In 2001, NHSCA members worked with SCIC to pass our model definition  language in North Dakota to exempt most all service contracts from insurance code treatment. SB 2318 became law with Insurance Department support to clearly and broadly exempt home service contracts

For a direct link to the North Dakota law, CLICK HERE.

Title 9. Contracts and Obligations

Chapter 9-01. General Provisions

9-01-21 Property service contracts – Exemption.

1.   The marketing, selling, offering for sale, issuing, making, providing, or proposing to make and the administering of a property service contract is not subject to the provisions of title 26.1.

2. A property service contract is a contract or agreement for a separately stated consideration, for a specific duration, to provide for the repair, replacement, or maintenance or for the indemnification for the repair, replacement, or maintenance of new or used property if an operational or structural failure is due to a defect in materials, manufacturing, or normal wear and tear. Property covered under a property service contract may include  motor vehicles; residential appliances; residential systems, including plumbing, electrical, heating, cooling, and ventilation; and other residential property. The contract may provide coverage for:

a. Damage to property resulting from power surges;

b. Accidental damage to property resulting from handling; and

c. Payment of indemnity for incidental damages, such as food spoilage, towing, and rental and emergency road service.

Source: S.L. 2001, ch. 107, §  1.

None at this time

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