{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2026\/code-json\/38.2-6402.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2026\/code-text\/38.2-6402.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2026\/code-xml\/38.2-6402.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2026\/code-html\/38.2-6402.html"}],"law_id":362953,"edition_id":2,"section_id":362953,"structure_id":51809,"section_number":"38.2-6402","catch_line":"Contractual liability or other insurance policies","history":"2019, cc. 799, 800.","full_text":"A\n\nContractual liability or other insurance policies insuring GAP waivers shall state the obligation of the insurer to reimburse or pay to the creditor any sums the creditor is legally obligated to waive under the GAP waivers issued by the creditor and purchased or held by the borrower.\n\nB\n\nCoverage under a contractual liability or other insurance policy insuring a GAP waiver shall also cover any subsequent assignee upon the assignment, sale, or transfer of the finance agreement.\n\nC\n\nCoverage under a contractual liability or other insurance policy insuring a GAP waiver shall remain in effect unless canceled or terminated in compliance with applicable insurance laws of the Commonwealth.\n\nD\n\nThe cancellation or termination of a contractual liability or other insurance policy shall not reduce the insurer’s responsibility for GAP waivers issued by the creditor prior to the date of cancellation or termination and for which a premium has been received by the insurer.\n\n","order_by":null,"text":{"0":{"id":1352316,"text":"Contractual liability or other insurance policies insuring GAP waivers shall state the obligation of the insurer to reimburse or pay to the creditor any sums the creditor is legally obligated to waive under the GAP waivers issued by the creditor and purchased or held by the borrower.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":1352317,"text":"Coverage under a contractual liability or other insurance policy insuring a GAP waiver shall also cover any subsequent assignee upon the assignment, sale, or transfer of the finance agreement.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A","next_prefix":"C"},"2":{"id":1352318,"text":"Coverage under a contractual liability or other insurance policy insuring a GAP waiver shall remain in effect unless canceled or terminated in compliance with applicable insurance laws of the Commonwealth.","type":"section","prefixes":["C"],"prefix":"C","entire_prefix":"C","prefix_anchor":"C","level":1,"prior_prefix":"B","next_prefix":"D"},"3":{"id":1352319,"text":"The cancellation or termination of a contractual liability or other insurance policy shall not reduce the insurer’s responsibility for GAP waivers issued by the creditor prior to the date of cancellation or termination and for which a premium has been received by the insurer.","type":"section","prefixes":["D"],"prefix":"D","entire_prefix":"D","prefix_anchor":"D","level":1,"prior_prefix":"C"}},"ancestry":[{"id":51809,"edition_id":2,"name":"Guaranteed Asset Protection Waivers","identifier":"64","label":"chapter","depth":2,"order_by":38,"parent_id":51644,"metadata":{"child_laws":8,"child_structures":0},"date_created":"2026-08-02 02:49:13","date_modified":"2026-08-02 12:33:16","permalink":{"id":1445313,"object_type":"structure","relational_id":51809,"identifier":"64","token":"38.2\/64","url":"\/38.2\/64\/","edition_id":2,"permalink":0,"preferred":1}},{"id":51644,"edition_id":2,"name":"Insurance","identifier":"38.2","label":"title","depth":1,"order_by":88,"parent_id":null,"metadata":{"child_laws":1890,"child_structures":173},"date_created":"2026-08-02 02:45:30","date_modified":"2026-08-02 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policies","url":"\/38.2-6402\/","token":"38.2\/64\/38.2-6402","metadata":false},{"id":362954,"structure_id":51809,"section_number":"38.2-6403","catch_line":"Disclosures","url":"\/38.2-6403\/","token":"38.2\/64\/38.2-6403","metadata":false},{"id":362955,"structure_id":51809,"section_number":"38.2-6404","catch_line":"Cancellation","url":"\/38.2-6404\/","token":"38.2\/64\/38.2-6404","metadata":false},{"id":362956,"structure_id":51809,"section_number":"38.2-6405","catch_line":"Commercial transactions","url":"\/38.2-6405\/","token":"38.2\/64\/38.2-6405","metadata":false},{"id":362957,"structure_id":51809,"section_number":"38.2-6406","catch_line":"GAP waivers not insurance","url":"\/38.2-6406\/","token":"38.2\/64\/38.2-6406","metadata":false},{"id":362958,"structure_id":51809,"section_number":"38.2-6407","catch_line":"Exemptions from chapter","url":"\/38.2-6407\/","token":"38.2\/64\/38.2-6407","metadata":false}],"previous_section":{"id":362952,"structure_id":51809,"section_number":"38.2-6401","catch_line":"Requirements for offering guaranteed asset protection waivers","url":"\/38.2-6401\/","token":"38.2\/64\/38.2-6401","metadata":false},"next_section":{"id":362954,"structure_id":51809,"section_number":"38.2-6403","catch_line":"Disclosures","url":"\/38.2-6403\/","token":"38.2\/64\/38.2-6403","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/38.2-6402\/","history_text":"

This law was first created in 2019. The record of its establishment is cataloged in chapters 799<\/a> and 800<\/a> of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year.<\/p>","references":[{"id":362952,"section_number":"38.2-6401","catch_line":"Requirements for offering guaranteed asset protection waivers","order_by":null,"url":"\/38.2-6401\/"}],"refers_to":false,"permalink":{"id":1445323,"object_type":"law","relational_id":362953,"identifier":"38.2-6402","token":"38.2\/64\/38.2-6402","url":"\/38.2-6402\/","edition_id":2,"permalink":0,"preferred":1},"url":"\/38.2-6402\/","token":"38.2\/64\/38.2-6402","dublin_core":{"Title":"Contractual liability or other insurance policies","Type":"Text","Format":"text\/html","Identifier":"\u00a7 38.2-6402","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> Contractual liability or other insurance policies<\/span> insuring GAP waivers<\/span> shall state<\/span> the obligation of the insurer<\/span> to reimburse or pay to the creditor<\/span> any sums the creditor<\/span> is legally obligated to waive<\/span> under the GAP waivers<\/span> issued by the creditor<\/span> and purchased or held by the borrower<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> Coverage under a contractual liability or other insurance policy insuring a GAP waiver<\/span> shall also cover any subsequent assignee upon the assignment, sale, or transfer of the finance agreement<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

C.<\/span> Coverage under a contractual liability or other insurance policy insuring a GAP waiver<\/span> shall remain in effect unless canceled or terminated in compliance with applicable insurance laws<\/span> of the Commonwealth. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

D.<\/span> The cancellation or termination of a contractual liability or other insurance policy shall not reduce the insurer<\/span>’s responsibility for GAP waivers<\/span> issued by the creditor<\/span> prior to the date of cancellation or termination and for which a premium has been received by the insurer<\/span>. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nCONTRACTUAL LIABILITY OR OTHER INSURANCE POLICIES (\u00a7 38.2-6402)\n\nA. Contractual liability or other insurance policies insuring GAP waivers shall\nstate the obligation of the insurer to reimburse or pay to the creditor any sums\nthe creditor is legally obligated to waive under the GAP waivers issued by the\ncreditor and purchased or held by the borrower.\n\nB. Coverage under a contractual liability or other insurance policy insuring a\nGAP waiver shall also cover any subsequent assignee upon the assignment, sale,\nor transfer of the finance agreement.\n\nC. Coverage under a contractual liability or other insurance policy insuring a\nGAP waiver shall remain in effect unless canceled or terminated in compliance\nwith applicable insurance laws of the Commonwealth.\n\nD. The cancellation or termination of a contractual liability or other insurance\npolicy shall not reduce the insurer’s responsibility for GAP waivers\nissued by the creditor prior to the date of cancellation or termination and for\nwhich a premium has been received by the insurer.\n\nHISTORY: 2019, cc. 799, 800.","edition":{"id":2,"name":"2026","slug":"2026","date_created":"2026-07-16 18:40:23","date_modified":"2026-08-02 15:14:36","current":1,"order_by":2,"last_import":"2026-08-02 12:37:30"}}