What it does
IL 02 46 replaces the cancellation provisions of IL 00 17 and adds nonrenewal and premium-increase notice rules for Pennsylvania.
Key provisions (09 07 edition)
- The insurer may cancel only for the reasons listed in the endorsement. The listed reasons include material failure to comply with policy terms, conditions or contractual duties, and other reasons the Insurance Commissioner approves, each requiring at least 60 days' notice. The policy may also be cancelled from inception if it was obtained through fraudulent statements, omissions or concealment material to the risk.
- Notices go to the first Named Insured's last known address and must state the specific reasons. Mailed notice must be by registered or first-class mail.
- Refunds: insurer cancellations are pro rata, returned within 10 business days after the cancellation date. Insured cancellations may be less than pro rata, returned within 30 days.
- Nonrenewal: written notice stating the specific reasons at least 60 days before expiration.
- Increase of premium: written notice of intent to increase the renewal premium at least 30 days before the increase takes effect.
