Delaware Code Title 18 Sec. 2053 – Requirements for sale of portable electronics insurance
(a) At every location where portable electronics insurance is offered to customers, brochures or other written materials must be made available to a prospective customer which:
(1) Disclose 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 coverage;
(2) State that the enrollment by the customer in a portable electronics insurance program is not required in order to purchase or lease portable electronics or services;
(3) Summarize the material terms of the insurance coverage, including:
a. The identity of the insurer;
b. The identity of the supervising entity;
c. The amount of any applicable deductible and how it is to be paid;
d. Benefits of the coverage; and
e. Key terms and conditions of coverage such as whether portable electronics may be repaired or replaced with similar make and model reconditioned or nonoriginal manufacturer parts or equipment;
(4) Summarize the process for filing a claim, including a description of how to return portable electronics and the maximum fee applicable in the event the customer fails to comply with any equipment return requirements; and
(5) State that an enrolled customer may cancel enrollment for coverage under a portable electronics insurance policy at any time and the person paying the premium shall receive a refund or credit of any applicable unearned premium.
Terms Used In Delaware Code Title 18 Sec. 2053
- Customer: means a person who purchases portable electronics or services. See Delaware Code Title 18 Sec. 2051
- Enrolled customer: means a customer who elects coverage under a portable electronics insurance policy issued to a vendor of portable electronics. See Delaware Code Title 18 Sec. 2051
- Lease: A contract transferring the use of property or occupancy of land, space, structures, or equipment in consideration of a payment (e.g., rent). Source: OCC
- Location: means any physical location in the State or any website, call center site or similar location directed to residents of the State. See Delaware Code Title 18 Sec. 2051
- Portable electronics: means electronic devices that are portable in nature, their accessories and services related to the use of the device. See Delaware Code Title 18 Sec. 2051
- Portable electronics insurance: means insurance providing coverage for the repair or replacement of portable electronics which may provide coverage for portable electronics against any 1 or more of the following: loss, theft, inoperability due to mechanical failure, malfunction, damage, or other similar cause of need for repair or replacement. See Delaware Code Title 18 Sec. 2051
- State: means the State of Delaware; and when applied to different parts of the United States, it includes the District of Columbia and the several territories and possessions of the United States. See Delaware Code Title 1 Sec. 302
- Supervising entity: means a business entity that is a licensed insurer or insurance producer that is appointed by an insurer to supervise the administration of a portable electronics insurance program. See Delaware Code Title 18 Sec. 2051
- Vendor: means a person in the business of engaging in portable electronics transactions directly or indirectly. See Delaware Code Title 18 Sec. 2051
(b) Portable electronics insurance may be offered on a month-to-month or other periodic basis as a group or master commercial inland marine policy issued to a vendor of portable electronics for its enrolled customers.
(c) Eligibility and underwriting standards for customers electing to enroll in coverage shall be established for each portable electronics insurance program.