211 CMR, § 97.03 - Policy Cancellation

(1) Cancellation Initiated by the Insurer. An Insurer may cancel a Motor Vehicle Insurance Policy, other than a Motor Vehicle Insurance Policy issued to a Policyholder who is an individual member of a group insured pursuant to a group marketing plan under M.G.L. c. 175, § 193R, at any time during the policy effective period only for the following reasons:

1. Non-payment of premium;

2. Fraud or material misrepresentation in the application for or renewal of the policy;

3. Suspension or revocation during the policy period of the operator's license or motor vehicle registration of the named insured or any other person residing in the same household as the named insured and who usually operates a motor vehicle insured under the policy;

4. Removal of certain coverage(s) of the Motor Vehicle Insurance Policy pursuant to the provisions of M.G.L. c. 175, § 113H(A)(7); or

5. Failure by the Policyholder to comply with the Insurer's request for a vehicle inspection under M.G.L. c. 90, § 34O.

(b) An Insurer may cancel a Motor Vehicle Insurance Policy up to 90 days after the policy's renewal effective date for either of the following reasons:

1. The Insurer is making a general reduction in the volume of motor vehicle insurance it writes in the Commonwealth in accordance with M.G.L. c. 175, § 22E; or

2. The applicant for insurance has failed to complete a renewal application and return it to the Insurer at least 30 days before the expiration date of the previous Motor Vehicle Insurance Policy.

(c) An Insurer may cancel a Motor Vehicle Insurance Policy issued to an individual member of a group insured pursuant to a group marketing plan under M.G.L. c. 175, § 193R only for the following reasons:

1. Non-payment of premium;

2. Fraud;

3. The individual member of the group insured pursuant to the group marketing plan has lost his or her motor vehicle registration or operator's license for a period of one year or more; or

4. Motor vehicle insurance coverage for the entire group insured pursuant to the group marketing plan has been cancelled.

(2) Cancellation Initiated by the Policyholder. A Policyholder may cancel a Motor Vehicle Insurance Policy, or any of its coverage parts, at any time.

Notes

211 CMR, § 97.03