(1) Except as provided in this subchapter, a motor vehicle service contract provider and warrantor are governed by this subchapter and are exempt from the Arkansas Insurance Code.
(2) This subchapter shall not prohibit or affect the giving, free of charge, of the usual warranties or performance guarantees by manufacturers, distributors, or dealers in connection with the sale of new motor vehicles.
(3) This subchapter shall not apply to a motor vehicle service contract or a theft protection program warranty issued by a motor vehicle manufacturer, distributor, importer, or dealer of motor vehicles, nor shall the requirements of this subchapter apply to any nonrenewable motor vehicle service contract or theft protection program warranty issued for a period of less than six (6) months, if the issuer of the motor vehicle service contract or theft protection program warranty is the entity that sold the motor vehicle to which the motor vehicle service contract or theft protection program warranty applies or is an affiliate of the entity.