PRINTER'S NO. 2130

THE GENERAL ASSEMBLY OF PENNSYLVANIA


HOUSE BILL

No. 1784 Session of 1991


        INTRODUCED BY FREIND, CESSAR, FARGO, GEIST, NICKOL, KOSINSKI,
           FAIRCHILD, PITTS, MELIO, ROBINSON, HAGARTY, GERLACH, OLASZ,
           RAYMOND, BELARDI, CAWLEY, HERSHEY, NAHILL, TIGUE, CLYMER,
           TRELLO, MARKOSEK, S. H. SMITH, DEMPSEY, STISH, M. N. WRIGHT,
           STABACK, REINARD, THOMAS, PESCI, ARMSTRONG, TOMLINSON,
           KASUNIC, COLAFELLA, J. TAYLOR, E. Z. TAYLOR, MAIALE,
           LaGROTTA, LEH, KRUSZEWSKI, NOYE, ITKIN, ADOLPH AND KENNEY,
           JUNE 25, 1991

        REFERRED TO COMMITTEE ON INSURANCE, JUNE 25, 1991

                                     AN ACT

     1  Amending the act of June 5, 1968 (P.L.140, No.78), entitled "An
     2     act regulating the writing, cancellation of or refusal to
     3     renew policies of automobile insurance; and imposing powers
     4     and duties on the Insurance Commissioner therefor," further
     5     providing for renewal of policies.

     6     The General Assembly of the Commonwealth of Pennsylvania
     7  hereby enacts as follows:
     8     Section 1.  Section 6 of the act of June 5, 1968 (P.L.140,
     9  No.78), entitled "An act regulating the writing, cancellation of
    10  or refusal to renew policies of automobile insurance; and
    11  imposing powers and duties on the Insurance Commissioner
    12  therefor," amended October 5, 1978 (P.L.1060, No.248), is
    13  amended to read:
    14     Section 6.  Nothing in this act shall apply:
    15     [(1)  If the insurer has manifested its willingness to renew
    16  by issuing or offering to issue a renewal policy, certificate or


     1  other evidence of renewal, or has manifested such intention by
     2  any other means;]
     3     (1)  If an insurer effects a renewal by sending a renewal
     4  premium notice to the insured and this renewal premium notice
     5  includes the following language:
     6                      NOTICE TO NAMED INSUREDS
     7         Your automobile insurance policy will not be renewed, if
     8         you fail to pay (amount of premium) by (date). If the
     9         renewal premium is not paid by (date), your automobile
    10         policy will no longer be in force on (date);
    11     (2)  If the named insured has demonstrated by some overt
    12  action to the insurer or its agent that he wishes the policy to
    13  be cancelled or that he does not wish the policy to be renewed;
    14     (3)  To any policy of automobile insurance which has been in
    15  effect less than sixty days, unless it is a renewal policy,
    16  except that no insurer shall decline to continue in force such a
    17  policy of automobile insurance on the basis of the grounds set
    18  forth in subsection (a) of section 3 hereof and except that if
    19  an insurer cancels a policy of automobile insurance in the first
    20  sixty days, the insurer shall supply the insured with a written
    21  statement of the reason for cancellation.
    22     Section 2.  This act shall take effect in 60 days.






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