HB 41 Summary

• Clarifies that insurers must renew or reinstate automobile policies if insured pays overdue premiums within 30 days after policy end or cancellation, with coverage effective upon receipt of full payment.

• Changes the appeal process for contesting policy cancellations or nonrenewals from a hearing before the Commissioner to a review on submitted documents, with insureds required to request review at least 20 days before the effective cancellation or nonrenewal date.

• Requires insurers to submit supporting documentation within 5 working days of receiving an appeal, and the Commissioner must issue written findings at least 5 days before the effective cancellation or nonrenewal date.

• Extends military deployment protections to prevent insurers from using coverage lapses as a rating factor if the lapse resulted from deployment inside or outside the U.S., whether by cancellation, nonrenewal, or failure to pay renewal premium, and extends the same protections to spouses accompanying the service member.

• Clarifies that "deployment" does not include permanent changes of station within the United States and allows insurers to require reasonable documentation to verify deployment.