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CS/HB 875 — Motor Vehicle Service Agreement Companies

by Insurance and Banking Subcommittee and Reps. Stark, Santiago, and others (CS/SB 1120 by Banking and Insurance Committee and Senator Abruzzo))

This summary is provided for information only and does not represent the opinion of any Senator, Senate Officer, or Senate Office.

Prepared by: Banking and Insurance Committee (BI)

The bill (Chapter 2016-60, L.O.F.) allows motor vehicle service agreements regulated under chapter 634, F.S., to warrant the replacement of tires or wheels damaged as a result of encountering a road hazard, and the replacement of keys or key fobs. The bill defines road hazard as it relates to wheel and tire damage, and also clarifies that an “additive product” does not include a product applied to the exterior or interior surface of a motor vehicle to protect appearances.

These provisions were approved by the Governor and take effect July 1, 2016.

Vote: Senate 38-0; House 117-0