A service contract is different from a car warranty because service contracts do not affirm the quality or workmanship of a vehicle. A service contract is a written instrument in which a warranty administrator agrees to perform, over a fixed period of time or for a specified duration, services relating to the maintenance or repair, or both, of a vehicle. Agreements that meet the statutory definition of service contracts, but are sold and regulated under state law as contracts of insurance, are not be considered service contracts.
