Bill > AB646

This bill amends existing law regarding vehicle protection product warranties, specifically focusing on catalytic converter theft protection. The bill expands the definition of a vehicle protection product to include devices or services designed to prevent catalytic converter theft, and clarifies the warranty benefits for such products. Under the new provisions, if a warranty covers only a catalytic converter, the benefits would be limited to the actual cash value and replacement cost of the converter, temporary vehicle rental expenses, and reimbursement for the insurance policy deductible. The bill also requires sellers of body part marking products (which permanently mark catalytic converters) to provide a specific written disclosure to customers, emphasizing that they are not obligated to purchase such a product and that their primary auto insurance may already provide coverage for catalytic converter theft. Additionally, the bill specifies that the warranty benefit becomes payable upon the theft of the catalytic converter from the vehicle, and introduces more detailed requirements for how these warranties must be structured, including maintaining an insurance policy that covers the warrantor's obligations and providing clear disclosures to customers about the nature of the warranty.

Budget and Finance, Business and Industry

https://leginfo.legislature.ca.gov/faces/billStatusClient.xhtml?bill_id=202520260AB646