HF 291

as introduced - 83rd Legislature (2003 - 2004) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to insurance; prohibiting cancellation or 
  1.3             nonrenewal of automobile or homeowner's policies under 
  1.4             certain circumstances; amending Minnesota Statutes 
  1.5             2002, section 72A.20, by adding a subdivision. 
  1.6   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.7      Section 1.  Minnesota Statutes 2002, section 72A.20, is 
  1.8   amended by adding a subdivision to read: 
  1.9      Subd. 37.  [TRANSITION TO COMBINATION POLICIES.] (a) This 
  1.10  subdivision applies to any insurer that develops a new policy 
  1.11  that combines automobile, homeowner's, and perhaps other 
  1.12  coverages into a single policy intended to replace the insurer's 
  1.13  separate automobile and homeowner's policies, which the insurer 
  1.14  will no longer issue or renew. 
  1.15     (b) No insurer may cancel an existing policy prior to its 
  1.16  scheduled renewal date on the grounds that the insurer wishes 
  1.17  the insured to instead be covered by the combined policy 
  1.18  described in paragraph (a). 
  1.19     (c) No insurer may refuse or fail to renew an existing 
  1.20  policy of automobile or homeowner's insurance on the grounds 
  1.21  that the insurer wishes the insured to instead be covered by the 
  1.22  combined policy described in paragraph (a), unless the insurer 
  1.23  has made to the insured a bona fide offer of the combined policy 
  1.24  described in paragraph (a), with an effective date no later than 
  1.25  the renewal date of the insured's existing policy. 
  2.1      Sec. 2. [EFFECTIVE DATE.] 
  2.2      Section 1 is effective the day following final enactment.