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House Insurance Committee defers bill that would bar cancellations when homeowners mitigate hazards
Summary
The House Insurance Committee deferred House Bill 408, which would prevent insurers from cancelling residential policies when homeowners complete mitigation steps required in an insurer notice; committee amendments (changing 'nonrenewal' references to 'cancellation' and exempting surplus-lines carriers) were adopted in concept but the bill was postponed to the committee's next meeting.
The House Insurance Committee on April 29 voluntarily deferred House Bill 408, a measure that would prohibit insurers from cancelling homeowners'policies when policyholders timely complete mitigation steps outlined in an insurer'provided notice.
Representative Corrioso, who carried the bill for Representative Jordan, described the proposal and an amendment concept before the committee. "If you ask someone to do that and they do it, don't cancel them," Representative Corrioso said, explaining the bill seeks to prevent an insurer from rescinding coverage for the same mitigation issue after a homeowner complies.
The committee adopted, by unanimous consent, amendments originating in…
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