| LEGAL MATTERS |
60-day notice of nonrenewal
on commercial policies
by will larson, KAIA attorney
U
nder Kansas law, insurance
companies are required to
provide 60-day notice of
nonrenewal on commercial
P&C policies. Here are two
areas recently addressed by KAIA
attorney Will Larson that agents
should be aware of.
are companies complying
with the 60-day law?
Agents have reported two recent
occurrences which bring into question
whether companies are complying
in good faith with the 60 day notice
of nonrenewal requirement for
commercial P&C policies.
K.S.A. 40-2,121 provides: Any
insurance company that denies renewal or
substitution of similar coverage for the same
exposures under any property or casualty
insurance policy which is used primarily for
business or professional needs shall give at
least 60 days’ written notice to the named
insured at such person’s last known address
of the insurance company’s intention not to
renew such policy. The company may satisfy
this obligation by causing such notice to be
given by a licensed agent.
In one occurrence that was reported
the commercial insurance carrier
provided a renewal quote about two
w