Subject 120-2-53 CANCELLATION AND NONRENEWAL REGULATION
This Regulation made and promulgated by the Commissioner of Insurance pursuant to the authority set forth in O.C.G.A. § 33-24-45.
The purpose of this Regulation is to establish the notice requirements an insurer shall include in the notice of cancellation or notice of nonrenewal sent to an insured and to provide for procedures for a review by the Commissioner when an insured believes his or her policy has been canceled or nonrenewed in violation of O.C.G.A. § 33-24-45.
|(1)|| Each notice of
cancellation or nonrenewal shall include the following:
|(2)||No request for a review by the Commissioner shall be valid unless a written request is delivered or mailed with sufficient postage to the Commissioner within fifteen (15) days after receipt by the insured of the notice of cancellation or nonrenewal. A post office receipt of mailing to the named insured, at the insured's last known address according to the policy records, shall be conclusive proof of receipt of notice by the named insured on the fourth calendar day after mailing.|
During this period of review of the cancellation or nonrenewal, the insured shall tender to, and the insurer shall accept, a 30 day pro rata portion of the premiums applicable to the policy at the time the cancellation or nonrenewal is issued. The insured shall submit proof of such tender of premium as a part of the request for review by the Commissioner.
|(1)||If the Commissioner determines the cancellation or nonrenewal is lawful, termination under the policy shall be effective as of the date and time originally set forth under the notice of cancellation or nonrenewal. Termination of the interim coverage provided pursuant to O.C.G.A. § 33-24-45(o)during the pendency of the Commissioner's review shall not be effective less than five (5) days following the date of the Commissioner's decision. The Commissioner's decision shall establish the effective date of the termination of the interim coverage provided during the review of the cancellation or nonrenewal and shall serve as the official notice of termination of coverage referenced in O.C.G.A. § 33-24-45(e)(1).|
|(2)|| In the event that the cancellation or
nonrenewal is upheld by the Commissioner,
|(3)||A penalty may be assessed against the insurer in all cases where the Commissioner has determined that the cancellation or nonrenewal was not lawful. If the Commissioner makes such a determination, the insurer shall reinstate or renew the policy. The Commissioner may also order such other remedies and penalties as he or she deems appropriate and as are authorized by law in the event of an abusive nonrenewal or cancellation or in the event of a determination that the insurer has engaged in a pattern or practice of improper policy nonrenewal or cancellation procedures.|
If any provision of this Regulation, or the application thereof to any person or circumstance, is held invalid by a court of competent jurisdiction, the remainder of the Regulation or the applicability of such provision to other persons or circumstances shall not be affected.