What is Lemon law cost reimbursement?

Lemon laws vary from state to state, but the general principle works like this:

If you buy a new car (lemon laws don't apply to used cars) and you have the same problem over and over again within the first two years or the first 30,000 miles or so, the seller must either (a) fix the problem, or (b) replace the car with an equal vehicle in terms of make, model, optional extras, etc. If the seller fixes the car a certain number of times and it still has the same problem, you can demand replacement.

Cost reimbursement is an option in some states where you would receive what you paid for the car instead of a replacement car. This is good for people who buy a car, have nothing but trouble with it, and decide they want something else.

Best way to find out what the laws are in your state is to Google "Lemon law Pennsylvania" or "California Lemon Law" -- you get the idea.

Each state writes their own lemon laws, so you'll need STATE SPECIFIC information. And, it's completely NOT related to insurance.