Compliance with Regulation Concerning Emergency Repairs Under a Service Contract

JIM GIBBONS STATE OF NEVADA ALICE A MOLASKY-ARMAN Governor Commissioner of Insurance MENDY ELLIOTT Director DEPARTMENT OF BUSINESS & INDUSTRY DIVISION OF INSURANCE 788 Fairview Drive, Suite 300 Carson City, Nevada 89701-5491 (775) 687-4270 Fax (775) 687-3937 http://doi.state.nv.us Bulletin 08-010 July 15, 2008 COMPLIANCE WITH REGULATION CONCERNING EMERGENCY REPAIRS UNDER A SERVICE CONTRACT On April 17, 2008, Regulation R067-07, adopted by the Commissioner concerning emergency repairs under a service contract, became effective. The regulation sets forth the following requirements a service contract provider must follow if the service contract relates to goods that are essential to the health and safety of the holder and the emergency renders the dwelling unfit to live in because of defects that endanger the health and safety of the occupants: • Repairs must commence within 24 hours after the report of the claim and be completed as soon as reasonably practicable. • If repairs cannot be completed within three calendar days, the provider is required to provide a status report to the holder by verifiable means and include: o A list of required repairs or services; o The reason that causes the repairs or services to extend beyond three calendar days; o The estimated time to complete the repairs or services; and o Contact information for the holder to make inquiries with a commitment by the provider to respond to the inquiry no later than one business day after the inquiry. Due to the serious nature of emergency repairs under a service contract, the Division of Insurance (DOI) requests that all repairs not completed within three calendar days that are subject to the status reporting requirements set forth in Regulation R067-07, be reported to the Division by facsimile at (775) 687-3937 o respond to the inquiry no later than one business day after the inquiry. Due to the serious nature of emergency repairs under a service contract, the Division of Insurance (DOI) requests that all repairs not completed within three calendar days that are subject to the status reporting requirements set forth in Regulation R067-07, be reported to the Division by facsimile at (775) 687-3937. The report to the DOI shall contain the same information as the status report it provided to the holder. ______________________________________ ALICE A. MOLASKY-ARMAN Commissioner of Insurance