K.__Service contracts must state whether or not the service contract provides for or excludes consequential damages or preexisting conditions, if applicable.

§7006.__Prohibited acts

1.__Prohibited names.__A provider may not use in its name the words "insurance," "casualty," "surety," "mutual" or any other words descriptive of the insurance, casualty or surety business and may not use a name deceptively similar to the name or description of any insurance or surety corporation or to the name of any other provider.__The word "guaranty" or similar word may be used by a provider.__This section does not apply to a company that was using any of the prohibited language in its name prior to the effective date of this chapter; however, a company using the prohibited language in its name shall include in its service contracts a statement in substantially the following form:__"This agreement is not an insurance contract."

2.__Misleading statements.__A provider or its representative may not in its service contracts or literature make, permit or cause to be made any false or misleading statement or deliberately omit any material statement that would be considered misleading if omitted.

3.__Prohibited conditions of sale.__A person, such as a bank, savings and loan association, lending institution, manufacturer or seller of any product, may not require the purchase of a service contract as a condition of a loan or a condition for the sale of any property.

§7007.__Record-keeping requirements

1.__Books and records.__A provider shall keep books and records in accordance with this section.

A.__The provider shall keep accurate accounts, books and records concerning transactions regulated under this chapter.

B.__The provider's accounts, books and records must include:

(1)__Copies of each type of service contract sold;

(2)__The name and address of each service contract holder, to the extent that the name and address have been furnished by the service contract holder;

(3__A list of the locations where service contracts are marketed, sold or offered for sale; and