Senate Bill No. 630
(By Senators Minard, Deem, Foster, Helmick, Jenkins, Lanham,
Prezioso and Sharpe)
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[Originating in the Committee on Banking and Insurance;
reported February 17, 2006.]
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A BILL to amend the Code of West Virginia, 1931, as amended, by
adding thereto a new section, designated §33-6-37, relating to
the cancellation or nonrenewal of combination insurance
policies.
Be it enacted by the Legislature of West Virginia:
That the Code of West Virginia, 1931, as amended, be amended
by adding thereto a new section, designated §33-6-37, to read as
follows:
ARTICLE 6. THE INSURANCE POLICY.
§33-6-37. Cancellation or nonrenewal of a combination insurance
policy; offer of optional coverage; date of
inception of optional coverage.
Notwithstanding of any provision of this chapter to the
contrary, an insurer may cancel or nonrenew a combination
automobile and homeowners policy of insurance if either the automobile or homeowners insurance in such policy may be cancelled
or nonrenewed pursuant to the cancellation or nonrenewal provisions
of this chapter pertaining to such insurance: Provided, That the
insurer shall offer, on a form approved by the commissioner, to
issue a policy of insurance, effective as of the date of
cancellation of the combination policy, to the insured for the
insurance that was not cancelled or nonrenewed and shall issue such
policy if the offer is accepted by the insured. For the purposes
of cancellation, nonrenewal and termination of policies provided
for in articles six-a and seventeen-a of this chapter, the
inception date of a reissued policy is the inception date of the
combination policy.
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(NOTE: The purpose of this bill is to required insurers who
cancel or nonrenew combination policies to offer to issue the
surviving policy to the insured with an effective date of the
original effective date of the combination policy. This section is
new; therefore, strike-throughs and underscoring have been
omitted.)