Cancellation and Refusal to Renew of Personal Residential Property and Personal Property Insurance

What this document is

31 Pa. Code Chapter 59 - Cancellation and Refusal to Renew of Personal Residential Property and Personal Property Insurance (complete chapter, 14 sections, §§ 59.1 through 59.13) is a regulation published by Pennsylvania Legislative Reference Bureau, Pennsylvania Code (pacodeandbulletin.gov). It is one of the Pennsylvania documents that insurance license exam questions are written from, including pennsylvania property & casualty, pennsylvania personal lines practice questions. This page summarizes it and points to the official version, which is the text to rely on.

Sections cited in practice questions

Each practice answer shows the exact passage it comes from. These are sections of this document that questions cite, with a short excerpt from the source text.

• 31 Pa. Code Sec. 59.4 (Separate insurers)

  “Each member of a group of affiliated insurers shall be considered a separate insurer for purposes of the act. Therefore, if one insurer, which is a member of a group of affiliated insurers, cancels or refuses to renew a particular policy but at the time offers to arrange insurance for the applicant...”

• 31 Pa. Code Sec. 59.9(a) (Renewal premium notice; nonpayment)

  “If the insurer has manifested its willingness to renew by mailing a renewal notice or issuing a renewal policy and the insured fails to pay the renewal premium when due, the policy shall terminate in accordance with its terms. No further notice to the insured by the insurer of an intention not to...”

• 31 Pa. Code Sec. 59.8 (Residence)

  “If an insurer determines not to renew a policy of insurance because the insured no longer resides in this Commonwealth, the insurer shall not be required to comply with the requirement of section 5(a)(9) of The Unfair Insurance Practices Act (40 P. S. § 1171.5).”

• 31 Pa. Code Section 59.6(3) (Notice of Cancellation or Refusal to Renew; Requirements)

  “The date, not less than 30 days after the date of delivery or mailing, on which such cancellation or refusal to renew is to become effective shall be clearly indicated.”

• 31 Pa. Code Section 59.13 (Foreign language requirement)

  “In the event the insurer, or its agent, knows or has reason to believe that any policyholder will be unable to read such notice, the insurer shall assure that the notice is communicated to the policyholder by an appropriate foreign language equivalent or oral communication in a language understood by the policyholder.”

• 31 Pa. Code Section 59.4a (Reasons for cancellation of insurance policies)

  “In addition to the statutorily permitted bases for cancellation of a policy of insurance found at section 5(a)(9) of the Unfair Insurance Practices Act (40 P. S. § 1171.5(a)(9)), an insurer may cancel any policy other than a policy insuring farm risks when the property insured would not meet the...”

• 31 Pa. Code Section 59.6(5)-(6) (Notice of cancellation or refusal to renew; requirements)

  “(5) The reasons given for cancellation or refusal to renew shall be clear and complete. If the reason is a material misrepresentation, fraudulent statement, omission or concealment of fact material to the acceptance of the risk, or to the hazard assumed by the company, made by the insured, the...”

• 31 Pa. Code Section 59.7(d) (Appeal procedure)

  “(d) If either insurer or insured desires a formal administrative hearing, such request shall be made at the time written comments are submitted. If so, a hearing will be scheduled as soon as possible. If not, the matter will be decided on the basis of the written comments and investigative report.”

• 31 Pa. Code Section 59.7(c) (Appeal procedure)

  “Upon completion of the investigation, a copy of the investigative report will be supplied to both the insured and the insurer. Within ten days of receipt of the report either party may submit written comments for consideration by the Insurance Commissioner.”

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Questions about this source

More Pennsylvania sources

• 18 Pa.C.S. Chapter 41 - Forgery and Fraudulent Practices (§§ 4101 through 4121, 26 sections), including § 4117 Insurance fraudState statute
• 75 Pa.C.S. Chapter 17 - Financial Responsibility, the Pennsylvania Motor Vehicle Financial Responsibility Law (§§ 1701 through 1799.7, 75 sections)State statute
• The Casualty and Surety Rate Regulatory Act (Act of June 11, 1947, P.L. 538, No. 246), complete act (40 P.S. §§ 1181-1199)State statute
• 31 Pa. Code Chapter 113 - Miscellaneous Provisions, including Subchapter G, Increase in Premium and Midterm Cancellation or Nonrenewal of COMMERCIAL Property and Casualty Policies (complete chapter, §§ 113.51 through 113.88)Regulation
• 31 Pa. Code Chapter 145 - Elimination of Unfair Sex or Marital Status Discrimination in All Insurance Contracts (complete chapter, 5 sections, §§ 145.1 through 145.5)Regulation
• 31 Pa. Code Chapter 51 - Advertising of Insurance, General Provisions (complete chapter, 28 sections, §§ 51.1 through 51.61)Regulation
• Pennsylvania Property and Casualty Insurance - increase in premium, midterm cancellation and nonrenewal of COMMERCIAL policies (Act of July 3, 1986, P.L. 396, No. 86), complete act (40 P.S. §§ 3401-3409)State statute
• The Pennsylvania FAIR Plan Act (Act of July 31, 1968, P.L. 738, No. 233), complete act (40 P.S. §§ 1600.101-1600.103 and following)State statute