632.975(1)(e)2.a.a. A service contract or extended warranty providing coverage limited to the repair, replacement, or maintenance of property for the operational or structural failure of property due to a defect in materials, workmanship, accidental damage from handling, power surges, or normal wear and tear. 632.975(1)(e)2.b.b. A policy of insurance covering a vendor’s or a manufacturer’s obligations under a warranty. 632.975(1)(e)2.c.c. A homeowner’s, renter’s, private passenger automobile, commercial multi-peril, or similar insurance policy. 632.975(1)(f)(f) “Portable electronics insurance program” means the coverage options made available to customers of a vendor who elect to enroll for coverage of a portable electronic device under a policy of portable electronics insurance. 632.975(1)(g)(g) “Portable electronics transaction” means the sale or lease of a portable electronic device to a customer. 632.975(1)(h)(h) “Supervising entity” means a business entity that is a licensed insurer or licensed intermediary that is appointed by an insurer to supervise the administration of a portable electronics insurance program offered by a vendor to its customers. 632.975(1)(i)(i) “Vendor” means a person in the business of engaging in portable electronics transactions directly or indirectly. 632.975(2)(a)(a) Requirements. A vendor or an employee or authorized representative of a vendor may sell or offer portable electronics insurance to customers without holding a certificate of authority under s. 601.04 or a license as an intermediary only if all of the following apply: 632.975(2)(a)1.1. The vendor complies with the requirements of this section. 632.975(2)(a)2.2. The insurer issuing the portable electronics insurance either directly supervises, or appoints a supervising entity to supervise, the administration of the sale of portable electronics insurance, including development of a training program, as described under sub. (4), for employees and authorized representatives of the vendors. 632.975(2)(a)3.3. The supervising entity, if any, maintains a registry of vendor locations at which an employee or authorized representative is authorized to sell or offer portable electronics insurance in this state. Upon request by the commissioner after providing 10 days’ notice to the supervising entity, the supervising entity shall make available the registry for inspection and examination by the commissioner. 632.975(2)(a)4.4. Any employee or authorized representative who intends to sell or offer portable electronics insurance to customers shall complete a training program under sub. (4). 632.975(2)(b)(b) Prohibited representations. No employee or authorized representative of a vendor of portable electronics may advertise, represent, or otherwise hold himself or herself out as a licensed insurance intermediary, if the employee or authorized representative does not hold a license as an intermediary in this state. 632.975(2)(c)(c) Scope. Compliance by a vendor with this section shall authorize any employee or authorized representative of a vendor to sell or offer coverage under a policy of portable electronics insurance to a customer at each location at which the vendor engages in portable electronics transactions. 632.975(2)(d)(d) Applicability of existing law. A vendor selling or offering portable electronics insurance is subject to ss. 601.41, 601.42, 601.61, 601.63, and 601.64, except that any forfeitures or penalties shall be in the amounts specified in sub. (3). Sections 424.301 and 424.401 do not apply to portable electronics insurance. 632.975(3)(3) Penalties. If a vendor of portable electronics or an employee or authorized representative of a vendor violates any provision of this section, the commissioner may do any of the following: 632.975(3)(a)(a) After notice and hearing conducted in accordance with s. 601.62, impose forfeitures not to exceed $500 per violation. 632.975(3)(b)1.1. Suspension of the selling or offering of portable electronics insurance at the specific business location where the violation occurred. 632.975(3)(b)2.2. Suspension of the selling or offering of portable electronics insurance by an employee or authorized representative of a vendor. 632.975(3)(b)3.3. Suspension or revocation of the selling or offering of portable electronics insurance by a vendor in this state. 632.975(4)(4) Training. The insurer or supervising entity shall develop and administer the training program required under sub. (2) (a) 4. that complies with all of the following: 632.975(4)(a)(a) The insurer or supervising entity shall deliver training to employees and authorized representatives of a vendor who are directly engaged in selling or offering portable electronics insurance. 632.975(4)(b)(b) The insurer or supervising entity may provide the training in electronic form. If the training is in electronic form, the insurer or supervising entity shall implement a supplemental education program regarding portable electronics insurance that is conducted and overseen by licensed employees of the insurer or supervising entity. 632.975(4)(c)(c) The insurer or supervising entity shall provide to every employee and authorized representative of a vendor basic instruction about the portable electronics insurance offered to customers and the disclosures required under sub. (6). 632.975(5)(a)(a) A vendor of portable electronics may not compensate an employee or authorized representative based primarily on the number of customers enrolled in portable electronics insurance coverage but the vendor may compensate an employee or authorized representative, in a manner that is incidental to his or her overall compensation, for activities related to the sale or offering of portable electronics insurance. 632.975(5)(b)1.1. A vendor of portable electronics may bill and collect the charges for portable electronics insurance coverage. 632.975(5)(b)2.2. The vendor shall separately itemize on the enrolled customer’s bill any charge to the enrolled customer for coverage that is not included in the cost associated with the purchase or lease of the portable electronics. 632.975(5)(b)3.3. If the portable electronics insurance coverage is included with the purchase or lease of a portable electronic device, the vendor shall clearly and conspicuously disclose to the enrolled customer that the coverage is included with the purchase or lease of the portable electronic device. 632.975(5)(b)4.4. A vendor that bills and collects charges from an enrolled customer is not required to maintain those moneys in a segregated account if the insurer authorizes the vendor to hold those moneys in a manner other than a segregated account and if the vendor remits the moneys to the insurer or supervising entity within 60 days of receiving those moneys. The vendor shall consider all moneys received by that vendor from an enrolled customer for the sale of portable electronics insurance to be held in trust by that vendor in a fiduciary capacity for the benefit of the insurer. 632.975(5)(b)5.5. The insurer or supervising entity may compensate the vendor for billing and collection services. 632.975(6)(6) Disclosures. At every location where portable electronics insurance is offered to customers, a vendor shall make available to prospective customers brochures or other written materials that contain all of the following: 632.975(6)(a)(a) A disclosure that portable electronics insurance may provide a duplication of coverage already provided by a customer’s homeowner’s insurance policy, renter’s insurance policy, or other source of insurance coverage. 632.975(6)(b)(b) A statement that a customer is not required to enroll in portable electronics insurance as a condition of purchasing or leasing a portable electronic device. 632.975(6)(c)(c) A summary of the material terms of the portable electronics insurance coverage including all of the following: 632.975(6)(c)3.3. The amount of any applicable deductible and how to pay that deductible. 632.975(6)(c)5.5. The key terms and conditions of coverage such as whether a portable electronic device covered under the policy may be repaired or replaced with parts or equipment of a similar make and model that are reconditioned or are nonoriginal manufacturer parts or equipment. 632.975(6)(d)(d) A summary of the process for filing a claim, including a description of how to return a portable electronic device and the maximum fee applicable in the event the enrolled customer fails to comply with any equipment return requirement. 632.975(6)(e)(e) A statement that the enrolled customer may cancel enrollment for coverage under a portable electronics insurance policy at any time and that upon cancellation the person paying the premium receives a refund of any applicable unearned premium. 632.975(7)(7) Permitted offering. A vendor may offer portable electronics insurance on a month to month or other periodic basis as a group or master commercial inland marine policy that is issued to a vendor of portable electronics for its enrolled customers. 632.975(8)(8) Underwriting. An insurer shall establish eligibility and underwriting standards for customers electing to enroll in coverage for each portable electronics insurance program offered by a vendor to its customers. 632.975(9)(9) Termination of insurance; changes to policy. 632.975(9)(a)(a) Except as provided in par. (c), an insurer may terminate or otherwise change the terms and conditions of a policy of portable electronics insurance only after providing the policyholder and all enrolled customers at least 30 days’ notice before terminating the coverage or making the change. 632.975(9)(b)(b) If the insurer changes the terms and conditions in accordance with par. (a), the insurer shall provide the vendor policyholder with a revised policy or endorsement and shall provide each enrolled customer a revised certificate, endorsement, updated brochure, or other evidence indicating that a change in the terms and conditions has occurred and a summary of the material changes. 632.975(9)(c)1.1. An insurer may terminate the enrollment of an enrolled customer under a portable electronics insurance policy after providing 15 days’ notice if the insurer discovers that the enrolled customer committed fraud or made a material misrepresentation in obtaining coverage or in the presentation of a claim under the portable electronics insurance policy. 632.975(9)(c)2.2. An insurer may immediately terminate the enrollment of an enrolled customer under a portable electronics insurance policy for any of the following reasons: 632.975(9)(c)2.a.a. The enrolled customer fails to pay the premium for the portable electronics insurance policy. 632.975(9)(c)2.b.b. The enrolled customer ceases to have an active service with the vendor of portable electronics. 632.975(9)(c)3.3. An insurer may terminate the enrollment of an enrolled customer under a portable electronics insurance policy if the enrolled customer exhausts any aggregate limit of liability under the terms of the portable electronics insurance policy and the insurer sends notice of termination to the enrolled customer within 30 days after exhaustion of the limit. If the insurer does not send the notice within 30 days after exhaustion of the limit, the insurer shall continue the coverage notwithstanding the aggregate limit of liability until the insurer sends notice of termination to the enrolled customer. 632.975(9)(d)(d) If a portable electronics insurance policy is terminated by a vendor that owns the policy, the vendor shall mail or deliver, at least 30 days before the termination, written notice to each enrolled customer advising of the termination of the portable electronics insurance policy and the effective date of termination. 632.975(9)(e)(e) Any notice or correspondence with respect to coverage under a policy of portable electronics insurance that is required under this section or is otherwise required by law shall be in writing and may be mailed to the vendor at the mailing address of the vendor and to the enrolled customers at their last known mailing addresses on file with the insurer or delivered by electronic means to the vendor and enrolled customers. If the notice or correspondence is mailed, the insurer, or vendor, that mailed the notice or correspondence, shall maintain proof of mailing in a form authorized or accepted by the U.S. postal service or other commercial mail delivery service. If delivery of the notice or correspondence is by electronic means, the insurer shall use the electronic mail address specified by the vendor for that purpose and the insurer, or vendor, shall use the last known electronic mail address provided by each enrolled customer. An enrolled customer who provides an electronic mail address to the insurer or vendor consents to receive notices and correspondence by electronic means. If delivery is by electronic means, the insurer or vendor, whichever delivers the notice or correspondence, shall maintain proof of delivery. 632.975(9)(f)(f) A supervising entity may send any notice or correspondence required by this section or otherwise required by law. An insurer or vendor is not required to provide the notice or correspondence if it is provided by a supervising entity in a manner that complies with this section. 632.977(1)(a)(a) “Blanket travel insurance” means a policy of travel insurance issued to an eligible group that provides coverage for specific classes of persons defined in the policy, without a separate charge to any individual group member. 632.977(1)(b)(b) “Cancellation fee waiver” means a contractual agreement between a supplier of travel services and a purchaser of the services to waive a nonrefundable cancellation fee provision of the underlying travel contract with or without regard to the reason for the cancellation or form of reimbursement. 632.977(1)(c)(c) “Eligible group” means 2 or more persons who are engaged in a common enterprise or have an economic, educational, or social affinity or relationship, including any of the following: 632.977(1)(c)1.1. An entity engaged in the business of providing travel or travel services if, with regard to a particular travel or type of travel or travelers, all members or customers of the entity have a common exposure to the risk attendant to such travel. For purposes of this subdivision, “entity engaged in the business of providing travel or travel services” includes a tour operator, lodging provider, vacation property owner, hotel, resort, travel club, travel agency, property manager, cultural exchange program, and common carrier or operator, owner, or lessor of a means of transportation of passengers, including an airline, cruise line, railroad, steamship company, and public bus carrier. 632.977(1)(c)2.2. A college, school, or other institution of learning, covering any group of students, teachers, employees, or volunteers. 632.977(1)(c)3.3. An employer covering any group of employees, volunteers, contractors, board of directors, dependents, or guests. 632.977(1)(c)4.4. A sports team, camp, or sponsor of a sports team or camp, covering any group of participants, members, campers, employees, officials, supervisors, or volunteers. 632.977(1)(c)5.5. A religious, charitable, recreational, educational, or civic organization, including a branch of any such organization, covering any group of members, participants, or volunteers. 632.977(1)(c)6.6. A financial institution or financial institution vendor, or a parent holding company, trustee, or agent of or designated by one or more financial institutions or financial institution vendors, including accountholders, credit card holders, debtors, guarantors, or purchasers. 632.977(1)(c)7.7. An incorporated or unincorporated association, including a labor union, that has a common interest, constitution, and bylaws and is organized and maintained in good faith for purposes other than obtaining insurance for its members or participants, covering any group of its members or participants. 632.977(1)(c)8.8. Subject to the commissioner’s permitting the use of a trust, a trust or its trustees if the trust is established, created, or maintained for the benefit of the members, employees, or customers of one or more associations described in subd. 7., covering any group of the members, employees, or customers. 632.977(1)(c)9.9. An entertainment production company covering any group of participants, volunteers, audience members, contestants, or workers. 632.977(1)(c)10.10. A volunteer fire department, ambulance, rescue, police, or court or a first aid, civil defense, or similar volunteer group. 632.977(1)(c)11.11. A preschool, daycare institution for children or adults, or senior citizen club. 632.977(1)(c)12.12. An automobile or truck rental or leasing company covering any group of individuals who may become renters, lessees, or passengers defined by their travel status on the rented or leased vehicles. The common carrier, the operator, owner or lessor of a means of transportation, or the automobile or truck rental or leasing company, is the policyholder under a policy to which this section applies. 632.977(1)(c)13.13. Any other group for which the commissioner has determined that the group’s members are engaged in a common enterprise or have an economic, educational, or social affinity or relationship, and that issuance of a travel insurance policy to the group is not contrary to the public interest. 632.977(1)(d)(d) “Fulfillment materials” means documentation sent to a purchaser of a travel protection plan that confirms the purchase of the plan and provides information about the plan’s coverage and travel assistance services. 632.977(1)(e)(e) “Limited lines travel insurance producer” means a person licensed under sub. (4) (a) to sell, solicit, or negotiate travel insurance. 632.977(1)(f)(f) “Offer and disseminate” means to provide general information, including a description of coverage and price, as well as to process applications, collect premiums, and perform other activities permitted by statute or rule. 632.977(1)(g)(g) “Travel administrator” means a person who directly or indirectly underwrites, collects charges or premiums from, or adjusts or settles claims of residents of this state in connection with travel insurance, but does not include any of the following: 632.977(1)(g)1.1. An individual working for a travel administrator to the extent that the individual’s activities are subject to the supervision and control of the travel administrator. 632.977(1)(g)2.2. An intermediary selling insurance or engaged in administrative and claims related activities within the scope of the intermediary’s license. 632.977(1)(g)4.4. An individual adjusting or settling claims while acting in his or her professional capacity as an attorney. 632.977(1)(g)5.5. A business entity that is affiliated with a licensed insurer while acting as a travel administrator for the direct and assumed insurance business of the affiliated insurer. 632.977(1)(h)1.1. “Travel assistance services” means services that are furnished in connection with planned travel, the provision of which does not result in the transfer or shifting of risk that would constitute the business of insurance, and for which the purchaser is not indemnified based on a fortuitous event.
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Chs. 600-655, Insurance
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