Bill > S492

This bill requires insurance companies to provide specific written notice to policyholders and their insurance producers (agents or brokers) at least 45 days before a policy's expiration date if there's a premium increase exceeding 15% or if there are any changes like elimination, reduction, or diminution of coverage, or an increased deductible, unless these changes are requested by the insured or result from an audit or increased exposure at the insured's request. The notice for coverage changes must detail the specific modifications and be separate from the renewal policy, and if this notice isn't given, the existing coverage will continue until proper notice is provided or the policyholder secures new coverage. The bill also clarifies that notice to an insurance producer of record is not required if that producer is an employee or an exclusive agent of the insurer, but notice to the policyholder is always mandatory. This legislation aims to ensure policyholders are adequately informed about significant changes to their insurance policies, with exceptions for changes based on the altered nature or extent of the risk being insured.