Montana § 33-15-1103 Midterm Cancellation

Montana Statutes

§ 33-15-1103 — Midterm Cancellation

Montana § 33-15-1103

Title 33INSURANCE AND INSURANCE COMPANIES

Ch. 15THE INSURANCE CONTRACT

Part 11Property or Casualty Insurance -- Premium Changes, Cancellation, and Claim Information

This text of Montana § 33-15-1103 (Midterm Cancellation) is published on Counsel Stack Legal Research, covering Montana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Mont. Code Ann. § 33-15-1103 (2026).

Text

33-15-1103 . Midterm cancellation.

(1)An insurer may not cancel an insurance policy before either the expiration of the agreed term or 1 year from the effective date of the policy or renewal date, whichever is less, except:

(a)for reasons specifically allowed by statute;

(b)for failure to pay a premium when due; or

(c)on grounds stated in the policy which pertain to the following:

(i)material misrepresentation;

(ii)substantial change in the risk assumed, except to the extent that the insurer should reasonably have foreseen the change or contemplated the risk when the contract was written;

(iii)substantial breaches of contractual duties, conditions, or warranties;

(iv)determination by the commissioner that continuation of the policy would place the insurer in violation of this code;

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33-15-1103 . Midterm cancellation. (1) An insurer may not cancel an insurance policy before either the expiration of the agreed term or 1 year from the effective date of the policy or renewal date, whichever is less, except:
(a) for reasons specifically allowed by statute;
(b) for failure to pay a premium when due; or
(c) on grounds stated in the policy which pertain to the following:
(i) material misrepresentation;
(ii) substantial change in the risk assumed, except to the extent that the insurer should reasonably have foreseen the change or contemplated the risk when the contract was written;
(iii) substantial breaches of contractual duties, conditions, or warranties;
(iv) determination by the commissioner that continuation of the policy would place the insurer in violation of this code;
(v) financial impairment of the insurer; or
(vi) any other reason approved by the commissioner.
(2) Except as provided in 33-23-401 , cancellation under subsection (1) is not effective until 10 days after a notice of cancellation is either delivered or mailed to the insured.
(3) Subsections (1) and (2) do not apply to a newly issued insurance policy if the policy has been in effect less than 60 days at the time the notice of cancellation is mailed or delivered. A cancellation under this subsection is not effective until 10 days after the notice is delivered or mailed to the insured.
(4) If a policy has been issued for a term longer than 1 year and if either the premium is prepaid or an agreed term is guaranteed for additional premium consideration, the insurer may not cancel the policy except:
(a) for reasons specifically allowed by statute;
(b) for failure to pay a premium when due; or
(c) on grounds stated in the policy which pertain to those grounds listed in subsection (1)(c).