60-Day Insurance Moratorium Issued by Indiana Department of Insurance Commissioner

Staff Writer

INDIANAPOLIS—In response to the new Executive Order signed by Gov. Holcomb on March 7, the Indiana Department of Insurance Commissioner Stephen W. Robertson wants Hoosiers in all of the impacted areas to know that the 60-day grace period applies to them.
Commissioner Robertson signed Bulletin 241 on March 2, prior to additional impacted counties being added to the disaster emergency. The Bulletin directs insurance companies to implement a 60-day cancellation moratorium for any policyholder directly affected by the recent weather events. Affected policyholders in impacted counties will be granted an additional 60 days to make their payments without their policies being canceled and without penalties. The grace period is not a waiver; it is an extension of the period in which to pay the premium. After the 60 days, the policyholder will need to resume making premium payments or lose coverage.
“I am confident that insurance companies will follow my directive and do the right thing by working with their policyholders during this disaster recovery period,” said Commissioner Robertson. “Historically, they have been known to provide assistance and relief to Hoosiers impacted by disasters.”
The moratorium went into effect on March 2, the date it was issued, and the Department expects insurers to apply this moratorium retroactively to February 14, the day before the severe storms began. The moratorium ends on May 1, 2018.
In Indiana, 31 counties so far have been declared a disaster emergency, including Benton, Carroll, Clark, Crawford, Dearborn, Elkhart, Floyd, Fulton, Harrison, Jackson, Jasper, Jefferson, Kosciusko, Lake, LaPorte, Marshall, Newton, Noble, Ohio, Perry, Porter, Posey, Pulaski, Spencer, St. Joseph, Starke, Switzerland, Wabash, Warren, Warrick and White. The Bulletin covers ALL counties affected and because of the breadth of the storms, torrential rains and subsequent flooding, the implementation of this moratorium should also be considered on a case-by-case basis in unnamed counties.

Category: