MN HF3282

Requires insurers to refund all unearned premiums exceeding one month to policyholders upon policy surrender or cancellation for life insurance, automobile insurance, homeowner's insurance, accident and sickness insurance, and comprehensive health insurance.

Reduces the deadline for returning unearned premiums from 30 days to 5 days following receipt of the insured's cancellation request.

Establishes that refusing to return unearned premiums is an unfair method of competition and an unfair and deceptive act or practice in the insurance business.

Exempts motorcycle insurance and other seasonally rated or limited use vehicle policies where rates are reduced to reflect seasonal or limited use.

Defines unearned premium as the period during which the insurer has not been exposed to risk of loss, calculated by multiplying the premium by the fraction of time remaining until the next scheduled premium is due.