Indiana Code 27-1-43.2-3. “Incidental cost”

Sec. 3. (a) As used in this chapter, “incidental cost” means an expense that is:

(1) specified in a service contract that applies to a motor vehicle;

Terms Used In Indiana Code 27-1-43.2-3

ancillary protection product: includes the following:
Indiana Code 27-1-43.2-1
Contract: A legal written agreement that becomes binding when signed.
holder: means a person who is entitled to services or indemnification under a service contract. See Indiana Code 27-1-43.2-2
Insurance: means a contract of insurance or an agreement by which one (1) party, for a consideration, promises to pay money or its equivalent or to do an act valuable to the insured upon the destruction, loss or injury of something in which the other party has a pecuniary interest, or in consideration of a price paid, adequate to the risk, becomes security to the other against loss by certain specified risks; to grant indemnity or security against loss for a consideration. See Indiana Code 27-1-2-3
motor vehicle: has the meaning set forth in IC 9-13-2-105(a). See Indiana Code 27-1-43.2-4
service contract: means an agreement:
Indiana Code 27-1-43.2-7

(2) incurred by the holder due to the failure of an ancillary protection product to perform as provided in the service contract sold with the ancillary protection product; and

(3) reimbursed to the holder:

(A) as a fixed amount specified in the service contract; or

(B) by use of a formula that itemizes specific incurred expenses.

(b) “Incidental cost” includes the following:

(1) Insurance policy deductibles.

(2) Rental vehicle charges.

(3) The difference between the actual value of a stolen motor vehicle at the time of theft and the cost of a replacement motor vehicle.

(4) Sales tax.

(5) Registration fees.

(6) Transaction fees.

(7) Mechanical inspection fees.

(8) Expense incurred due to a defective part or mechanical or electrical breakdown.