A recently signed act in Ohio says auto glass-specific coverage on leased vehicles is exempt from state insurance laws.
Ohio Governor Mike DeWine signed Ohio House Bill 96 on June 30. The act creates state operating appropriations for the coming fiscal year and includes updates to the Department of Commerce.
One of these updates says that separate coverage for “repair or replacement of glass on a motor vehicle necessitated by wear and tear or damage caused by a road hazard” on a leased vehicle is “motor vehicle ancillary product protection.” According to Ohio state law, that means the product protection doesn’t qualify as insurance and isn’t subject to the state’s insurance requirements or laws.
These product protection contracts must include language clarifying their relationship to traditional car insurance, the act says.
“A motor vehicle ancillary product protection contract that includes repair or replacement of glass … shall conspicuously state: ‘This contract may provide a duplication of coverage already provided by your automobile physical damage insurance policy,’” the act says.
Consumers typically purchase these product protection contracts to protect themselves from any damage-related fees at the end of a lease.
