When might a non-renewal notice be required from an insurer?

A non-renewal notice from an insurer is required when the insurer decides to refuse to renew a policy. This situation often occurs for several reasons, including changes in underwriting guidelines, a rise in risk, or policyholder behavior that may not align with the insurer's standards. The purpose of the non-renewal notice is to inform the policyholder of the decision well in advance of the policy's expiration so they can seek alternative coverage without experiencing a lapse in insurance.

This requirement is particularly significant in Connecticut and many other states, as it upholds consumer protection laws that ensure policyholders are given adequate notice and time to arrange for new coverage. This helps to promote transparency in the insurance market and allows consumers to make informed decisions regarding their insurance needs.