{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2026\/code-json\/38.2-6400.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2026\/code-text\/38.2-6400.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2026\/code-xml\/38.2-6400.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2026\/code-html\/38.2-6400.html"}],"law_id":362951,"edition_id":2,"section_id":362951,"structure_id":51809,"section_number":"38.2-6400","catch_line":"Definitions","history":"2019, cc. 799, 800.","full_text":"As used in this chapter, unless the context requires another meaning:\n\n\t\t“Administrator” means a person, other than an insurer or creditor, that performs administrative or operational functions pursuant to a guaranteed asset protection waiver program.\n\n\t\t“Borrower” means a debtor, retail buyer, or lessee, under a finance agreement.\n\n\t\t“Commercial transaction” means a transaction entered into primarily for a purpose other than personal, family, or household purposes.\n\n\t\t“Creditor” means:\n\n1\n\nThe lender in a loan or credit transaction;\n\n2\n\nThe lessor in a lease transaction;\n\n3\n\nThe seller in a commercial retail installment transaction; or\n\n4\n\nThe assignees of any person described in subdivision 1, 2, or 3 to whom the credit obligation is payable.\n\t\t\t“Finance agreement” means (i) a loan secured by a lien on a motor vehicle or (ii) a lease or retail installment sales contract for the lease or purchase of a motor vehicle.\n\n\t\t\t“Free look period” means the period of time from the effective date of the guaranteed asset protection waiver until the date the borrower may cancel the borrower’s finance agreement without penalty, fees, or costs to the borrower. This period of time shall not be shorter than 30 days.\n\n\t\t\t“Guaranteed asset protection waiver” or “GAP waiver” means a contractual agreement wherein a creditor agrees for a separate charge to cancel or waive all or part of amounts due on a borrower’s finance agreement in the event of a total physical damage loss or unrecovered theft of a motor vehicle, which agreement is part of, or a separate addendum to, the finance agreement.\n\n\t\t\t“Insurer” means an insurance company licensed, registered, or otherwise authorized to do business under the laws of the Commonwealth.\n\n\t\t\t“Motor vehicle” means any self-propelled or towed vehicle designed for personal or commercial use, including any automobile, truck, motorcycle, off-road vehicle, all-terrain vehicle, recreational vehicle, snowmobile, camper, boat, personal watercraft, and motorcycle, boat, camper, or personal watercraft trailer.\n\n\t\t\t“Retail buyer” means a person who buys motor vehicles not principally for the purpose of resale.\n\n\t\t\t“Retail seller” means person that is regularly engaged in the selling of motor vehicles to retail buyers and that holds any necessary license to sell a motor vehicle to a retail buyer.\n\n","order_by":null,"text":{"0":{"id":1352303,"text":"As used in this chapter, unless the context requires another meaning:\t\t“Administrator” means a person, other than an insurer or creditor, that performs administrative or operational functions pursuant to a guaranteed asset protection waiver program.\t\t“Borrower” means a debtor, retail buyer, or lessee, under a finance agreement.\t\t“Commercial transaction” means a transaction entered into primarily for a purpose other than personal, family, or household purposes.\t\t“Creditor” means:","type":"section","prefixes":[""],"prefix":"","entire_prefix":"","prefix_anchor":"","level":1,"next_prefix":"1"},"1":{"id":1352304,"text":"The lender in a loan or credit transaction;","type":"section","prefixes":["1"],"prefix":"1","entire_prefix":"1","prefix_anchor":"1","level":1,"prior_prefix":"","next_prefix":"2"},"2":{"id":1352305,"text":"The lessor in a lease transaction;","type":"section","prefixes":["2"],"prefix":"2","entire_prefix":"2","prefix_anchor":"2","level":1,"prior_prefix":"1","next_prefix":"3"},"3":{"id":1352306,"text":"The seller in a commercial retail installment transaction; or","type":"section","prefixes":["3"],"prefix":"3","entire_prefix":"3","prefix_anchor":"3","level":1,"prior_prefix":"2","next_prefix":"4"},"4":{"id":1352307,"text":"The assignees of any person described in subdivision 1, 2, or 3 to whom the credit obligation is payable.\n\t\t\t“Finance agreement” means (i) a loan secured by a lien on a motor vehicle or (ii) a lease or retail installment sales contract for the lease or purchase of a motor vehicle.\t\t\t“Free look period” means the period of time from the effective date of the guaranteed asset protection waiver until the date the borrower may cancel the borrower’s finance agreement without penalty, fees, or costs to the borrower. This period of time shall not be shorter than 30 days.\t\t\t“Guaranteed asset protection waiver” or “GAP waiver” means a contractual agreement wherein a creditor agrees for a separate charge to cancel or waive all or part of amounts due on a borrower’s finance agreement in the event of a total physical damage loss or unrecovered theft of a motor vehicle, which agreement is part of, or a separate addendum to, the finance agreement.\t\t\t“Insurer” means an insurance company licensed, registered, or otherwise authorized to do business under the laws of the Commonwealth.\t\t\t“Motor vehicle” means any self-propelled or towed vehicle designed for personal or commercial use, including any automobile, truck, motorcycle, off-road vehicle, all-terrain vehicle, recreational vehicle, snowmobile, camper, boat, personal watercraft, and motorcycle, boat, camper, or personal watercraft trailer.\t\t\t“Retail buyer” means a person who buys motor vehicles not principally for the purpose of resale.\t\t\t“Retail seller” means person that is regularly engaged in the selling of motor vehicles to retail buyers and that holds any necessary license to sell a motor vehicle to a retail buyer.","type":"section","prefixes":["4"],"prefix":"4","entire_prefix":"4","prefix_anchor":"4","level":1,"prior_prefix":"3"}},"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 12:32:55","permalink":{"id":1437663,"object_type":"structure","relational_id":51644,"identifier":"38.2","token":"38.2","url":"\/38.2\/","edition_id":2,"permalink":0,"preferred":1}}],"structure_contents":[{"id":362951,"structure_id":51809,"section_number":"38.2-6400","catch_line":"Definitions","url":"\/38.2-6400\/","token":"38.2\/64\/38.2-6400","metadata":false},{"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},{"id":362953,"structure_id":51809,"section_number":"38.2-6402","catch_line":"Contractual liability or other insurance 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}],"next_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},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/38.2-6400\/","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":false,"refers_to":false,"permalink":{"id":1445315,"object_type":"law","relational_id":362951,"identifier":"38.2-6400","token":"38.2\/64\/38.2-6400","url":"\/38.2-6400\/","edition_id":2,"permalink":0,"preferred":1},"url":"\/38.2-6400\/","token":"38.2\/64\/38.2-6400","dublin_core":{"Title":"Definitions","Type":"Text","Format":"text\/html","Identifier":"\u00a7 38.2-6400","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

As used in this chapter, unless the context requires another meaning:

\t\t“Administrator<\/span>” means a person<\/span>, other than an insurer<\/span> or creditor<\/span>, that performs administrative or operational functions pursuant to a guaranteed asset protection waiver<\/span> program.

\t\t“Borrower<\/span>” means a debtor, retail buyer<\/span>, or lessee, under a finance agreement<\/span>.

\t\t“Commercial transaction<\/span>” means a transaction entered into primarily for a purpose other than personal, family, or household purposes.

\t\t“Creditor<\/span>” means:<\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> The lender in a loan or credit transaction; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> The lessor in a lease transaction; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> The seller in a commercial retail installment transaction; or <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

4.<\/span> The assignees of any person<\/span> described in subdivision 1, 2, or 3 to whom the credit obligation is payable.\n\t\t\t“Finance agreement<\/span>” means (i) a loan secured by a lien<\/span> on a motor vehicle<\/span> or (ii) a lease or retail installment sales contract<\/span> for the lease or purchase of a motor vehicle<\/span>.

\t\t\t“Free look period<\/span>” means the period of time from the effective date of the guaranteed asset protection waiver<\/span> until the date the borrower<\/span> may cancel the borrower<\/span>’s finance agreement<\/span> without penalty<\/span>, fees, or costs to the borrower<\/span>. This period of time shall not be shorter than 30 days.

\t\t\t“Guaranteed asset protection waiver<\/span>” or “GAP waiver<\/span>” means a contractual agreement wherein a creditor<\/span> agrees for a separate charge to cancel or waive<\/span> all or part of amounts due on a borrower<\/span>’s finance agreement<\/span> in the event of a total physical damage loss or unrecovered theft of a motor vehicle<\/span>, which agreement is part of, or a separate addendum<\/span> to, the finance agreement<\/span>.

\t\t\t“Insurer<\/span>” means an insurance company<\/span> licensed, registered, or otherwise authorized to do business under the laws<\/span> of the Commonwealth.

\t\t\t“Motor vehicle<\/span>” means any self-propelled or towed vehicle designed for personal or commercial use, including any automobile, truck, motorcycle, off-road vehicle, all-terrain vehicle, recreational vehicle, snowmobile, camper, boat, personal watercraft, and motorcycle, boat, camper, or personal watercraft trailer.

\t\t\t“Retail buyer<\/span>” means a person<\/span> who buys motor vehicles<\/span> not principally for the purpose of resale.

\t\t\t“Retail seller<\/span>” means person<\/span> that is regularly engaged in the selling of motor vehicles<\/span> to retail buyers<\/span> and that holds any necessary license to sell a motor vehicle<\/span> to a retail buyer<\/span>. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nDEFINITIONS (\u00a7 38.2-6400)\n\nAs used in this chapter, unless the context requires another\nmeaning:\t\t“Administrator” means a person, other than an insurer or\ncreditor, that performs administrative or operational functions pursuant to a\nguaranteed asset protection waiver program.\t\t“Borrower” means a\ndebtor, retail buyer, or lessee, under a finance agreement.\t\t“Commercial\ntransaction” means a transaction entered into primarily for a purpose\nother than personal, family, or household purposes.\t\t“Creditor”\nmeans:\n\n1. The lender in a loan or credit transaction;\n\n2. The lessor in a lease transaction;\n\n3. The seller in a commercial retail installment transaction; or\n\n4. The assignees of any person described in subdivision 1, 2, or 3 to whom the\ncredit obligation is payable.\n\t\t\t“Finance agreement” means (i) a loan secured by a lien on a motor\nvehicle or (ii) a lease or retail installment sales contract for the lease or\npurchase of a motor vehicle.\t\t\t“Free look period” means the period\nof time from the effective date of the guaranteed asset protection waiver until\nthe date the borrower may cancel the borrower’s finance agreement without\npenalty, fees, or costs to the borrower. This period of time shall not be\nshorter than 30 days.\t\t\t“Guaranteed asset protection waiver” or\n“GAP waiver” means a contractual agreement wherein a creditor agrees\nfor a separate charge to cancel or waive all or part of amounts due on a\nborrower’s finance agreement in the event of a total physical damage loss\nor unrecovered theft of a motor vehicle, which agreement is part of, or a\nseparate addendum to, the finance agreement.\t\t\t“Insurer” means an\ninsurance company licensed, registered, or otherwise authorized to do business\nunder the laws of the Commonwealth.\t\t\t“Motor vehicle” means any\nself-propelled or towed vehicle designed for personal or commercial use,\nincluding any automobile, truck, motorcycle, off-road vehicle, all-terrain\nvehicle, recreational vehicle, snowmobile, camper, boat, personal watercraft,\nand motorcycle, boat, camper, or personal watercraft trailer.\t\t\t“Retail\nbuyer” means a person who buys motor vehicles not principally for the\npurpose of resale.\t\t\t“Retail seller” means person that is regularly\nengaged in the selling of motor vehicles to retail buyers and that holds any\nnecessary license to sell a motor vehicle to a retail buyer.\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"}}