Illinois HB 2338: AUTO DEALERS-WARRANTY DISCLOSE

Status: Senate Floor Amendment No. 1 Pursuant to Senate Rule 3-9(b) / Referred to Assignments (as of 2025-07-02)

State: Illinois · Session: 104th · Bill: HB 2338

Subjects: Consumer Protection, Transportation

Sponsors: Michael W. Halpin, Rita Mayfield, Camille Y. Lilly, Gregg Johnson, Hoan Huynh, Joyce Mason, Tom Weber

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HB2338 EngrossedLRB104 11924 SPS 22016 b

1 AN ACT concerning business.

2 Be it enacted by the People of the State of Illinois, 

3represented in the General Assembly:

4 Section 5. The Motor Vehicle Retail Installment Sales Act 

5is amended by adding Section 9.04 as follows:

6 (815 ILCS 375/9.04 new)

7 Sec. 9.04. Warranty disclosures for third-party motor 

8vehicle warranties.

9 (a) As used in this Section, "third-party motor vehicle 

10warranty" means an additional warranty, extended service 

11contract, or vehicle protection plan provided by an entity 

12that is not the manufacturer of a vehicle.

13 (b) A seller that sells or offers for sale a third-party 

14motor vehicle warranty shall, upon the request of the 

15consumer, provide to the consumer:

16 (1) a copy of the third-party motor vehicle warranty 

17 contract; and

18 (2) a written disclosure provided by the third-party 

19 motor vehicle warranty provider summarizing all costs that 

20 the consumer may be responsible for under the third-party 

21 motor vehicle warranty, including, but not limited to:

22 (A) any deductibles, co-pays, or service fees for 

23 a covered repair;

HB2338 Engrossed- 2 -LRB104 11924 SPS 22016 b

1 (B) any maximum coverage limits or caps on 

2 reimbursements;

3 (C) any costs or services that are not covered 

4 that may result in out-of-pocket expenses; and

5 (D) a statement clarifying that all claim 

6 approvals and coverage determinations are made solely 

7 by the third-par

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