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August 24, 2010
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SCC'S Bureau Of Insurance Advises Consumers Regarding Home Service Contracts

RICHMOND -- Effective July 1, 2006, the State Corporation Commission’s (SCC) Bureau of Insurance will have the authority to license entities as home service contract providers.

A new law adopted by the 2006 General Assembly (House Bill 383) established a regulatory framework for providers of home service contracts which includes licensure. These providers will be able to issue home service contracts that are similar to home protection insurance contracts, which are currently regulated by the SCC.

Both types of contracts are designed to offer consumers some financial protection against certain unforeseen home and appliance repairs and maintenance expenses that may not be covered under standard homeowners insurance policies. These may include failure of a home appliance or major system (such as electrical, plumbing, heating or air conditioning) due to normal wear and tear or mechanical breakdown. In the case of home protection insurance contracts, coverage may also include structural components of a residential dwelling such as roof, foundation, basement, walls, ceiling, or floors.

The SCC’s Bureau of Insurance advises consumers that there are important differences between home protection insurance contracts currently regulated by the Bureau, and home service contracts that become regulated on July 1. Although some features appear to be similar, home service contracts are not insurance.

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Did You Know?    
 
 
To Obtain Damages For A Breach Of Contract A Party May File A Civil Lawsuit
In the U.S., in order to obtain damages for breach of contract, the party may file for a civil lawsuit against, usually breach of contract cases happen within a state court, or petition a private arbitrator to decide the contract issues declared.

 


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Contract Terms

 


Today's Terms

Open-End Contract

Definition:
An agreement by which the buyer may purchase an unspecified amount of goods from a seller over a certain period of time without changes in the price or the contract terms.

Parol Contract

Definition:
A contract that is oral only as distinguished from one that is written.

Escape Clause

Definition:
A provision in a contract or other document permitting parties to avoid liability for nonperformance under certain conditions.

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Topics Related to Contract:

  • Acceptance
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  • Offers
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  • Mutual Assent
  • Consideration

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Kansas Contract Attorney

 
If you live in the following cities and need an Contract attorney you should contact our Contract Attorney as soon as possible:

  • Derby
  • Dodge City
  • Emporia
  • Garden City
  • Hays
  • Hutchinson
  • Junction City
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  • Leavenworth
  • Lenexa
  • Liberal
  • Manhattan
  • Newton
  • Olathe
  • Overland Park
  • Pittsburg
  • Prairie Village
  • Salina
  • Shawnee
  • Topeka
  • Wichita
 


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