§ 27-7-6-4 — Notice of cancellation; authorized reasons

Indiana § 27-7-6-4

• Jurisdiction: Indiana
• Title 27: INSURANCE
• Art. 7: SPECIAL TYPES OF INSURANCE
• Ch. 6: Cancellation of Automobile Insurance Policies

Text

A notice of cancellation by an insurer of an
automobile insurance policy as defined in this chapter shall be effective
only if such cancellation is for one (1) or more of the following
reasons:
(a) Nonpayment of premium which is defined to mean for the
purposes of this chapter the failure of the named insured to
discharge when due any of his obligations in connection with the
payment of premiums on a policy, or any installment of such
premium whether the premium is payable directly to the insurer
or its agent or indirectly under any premium finance plan or
extension of credit.
(b) The driver's license or motor vehicle registration of the named
insured or of any other operator who either resides in the same
household or customarily operates an automobile insured under
the policy has been denied or has been under suspension or
revocation during the policy period or the existence of one (1) or
more grounds for such denial, suspension, or revocation has
become known.
(c) The named insured or any other operator who either resides in
the same household or customarily operates an automobile
insured under the policy:
(1) is under treatment for epilepsy or heart disease and does not
produce a certificate from a physician testifying to the
operator's unqualified ability to operate a motor vehicle safely;
or
(2) uses drugs or alcoholic beverages to excess.
(d) Fraud, willful misrepresentation, or concealment on the part
of any insured in respect to any material fact or circumstance
relating to the issuance or continuance of the policy or relating to
a loss.
(e) Violation of any terms or conditions of the policy.
(f) The place of residence of the insured or the state of registration
or license of the insured automobile is changed to a state or
country in which the insurer is not licensed.
Provided, however, that a change or substitution in policy form shall
not be deemed to be a cancellation within the intent of this chapter;
provided, further, that nothing in this section shall apply to
nonrenewals. This section shall not apply to any policy or coverage
which has been in effect less than sixty (60) days at the time notice of
cancellation is mailed or delivered by the insurer unless it is a renewal
policy.
Formerly: Acts 1969, c.332, s.4. As amended by P.L.252-1985,
SEC.266.