§431:10C-111.5  Limit on nonrenewals and
conditional renewals.  (a)  The total number (rounded to the nearest whole
number) of notices of intention not to renew a motor vehicle insurance policy,
and of notices of intention to condition renewal upon reduction of limits of
any coverage, which an insurer may issue, shall be limited for each calendar
year to two per cent of the total number of covered policies of the insurer in
force at last year-end in each of the insurer's rating territories in use in
this State that have completed their required policy periods.  However, the
insurer may non-renew or conditionally renew one policy in any of the insurer's
rating territories in use in this State if the applicable percentage limitation
results in less than one policy.  Cancellations, notices of intention not to
renew, and notice of intention to conditionally renew made pursuant to section
431:10C-111(a)(1) and (a)(2), and section [431:10C-111(d)] shall be independent
of and in addition to those permitted under this subsection.



(b)  For every two new motor vehicle insurance
policies that the insurer voluntarily writes in each rating territory, the
insurer shall be permitted to non-renew or conditionally renew one additional
motor vehicle insurance policy in that territory in excess of the two per cent
limit established in subsection (a), subject to a fair and nondiscriminatory
formula developed by the commissioner that shall consider the number of motor
vehicle insurance policies written less cancellations initiated by the insurer
within the first sixty days of the policy period. [L Sp 1993, c 4, §1; am L
1998, c 275, §8]



 



Revision Note



 



  Subsection (a) reprinted to correct reference in main volume.