Colorado Revised Statutes Title 42. Vehicles and Traffic § 42-21-103. Requirements for a provider to cancel a vehicle value protection agreement

(1)(a) To cancel a vehicle value protection agreement, the provider must mail a written notice to the contract holder at the last-known address of the contract holder contained in the records of the provider at least five days prior to cancellation by the provider; except that the cancellation takes effect immediately upon the provider sending the notice to the contract holder if the reason for the cancellation is:

(b) The notice must state the effective date of the cancellation and the reason for the cancellation.

(2)(a) If a vehicle value protection agreement is canceled by the provider for a reason other than nonpayment of the provider fee, the provider shall refund to the contract holder, on a pro rata basis, any unearned provider fee paid by the contract holder; except that the provider may charge a reasonable administrative fee of up to seventy-five dollars.

(b) If coverage under the vehicle value protection agreement continued after a benefit was paid under the agreement, the provider may deduct the amount of the benefit paid from the refund to the contract holder.