§ 27-1-31-2 — Grounds for cancellation; notice of cancellation

Indiana § 27-1-31-2

• Jurisdiction: Indiana
• Title 27: INSURANCE
• Art. 1: DEPARTMENT OF INSURANCE
• Ch. 31: Cancellation and Nonrenewal of Commercial Property

Text

(a) An insurer may not cancel a policy of
insurance that the insurer has written that has been in effect more than
ninety (90) days unless:
(1) the insured under the policy has failed to pay the premium;
(2) there is a substantial change in the scale of risk covered by the
policy;
(3) the insured has perpetrated a fraud or material
misrepresentation upon the insurer;
(4) the insured has failed to comply with reasonable safety
recommendations; or
(5) reinsurance of the risk associated with the policy has been
cancelled.
(b) An insurer shall mail a written notice of cancellation to a person
insured under a policy issued by the insurer at least:
(1) forty-five (45) days before cancelling the policy for any reason
set forth in subsection (a)(2), (a)(4), or (a)(5);
(2) twenty (20) days before cancelling the policy for the reason set
forth in subsection (a)(3); or
(3) ten (10) days before cancelling the policy for the reason set
forth in subsection (a)(1).

Legislative History

As added by P.L.271-1987, SEC.4. Amended by P.L.162-1988, SEC.3; P.L.196-2021, SEC.26.