(a) An insurer may not exercise its right to cancel a policy of personal automobile insurance except for the following reasons:
(1) nonpayment of premium; or
(2) the driver's license or motor vehicle registration of either the named insured or of an operator who resides in the same household as the named insured or who customarily operates a motor vehicle insured under the policy has been under suspension or revocation during the policy period or, if the policy is a renewal, during its policy period or the 180 days immediately preceding its effective date.
(b) During the policy period, a modification of automobile physical damage coverage, except coverage for loss caused by collision, whereby provision is made for the application of a deductible amount not exceeding $100 is not a cancellation of the coverage or of the policy.
(c) [Repealed, § 47 ch 29 SLA 1987.]
(d) This section does not apply to
(1) the failure to renew a policy, except as to coverage in force for less than 12 months;
(2) a policy that has been in effect less than 60 days at the time notice of cancellation is mailed or delivered by the insurer, unless it is a renewal policy.
(e) [Repealed, § 47 ch 29 SLA 1987.]
(f) An insurer may not exercise its right to cancel a policy of personal insurance other than personal automobile insurance, except for the following reasons:
(1) nonpayment of premiums, including nonpayment of additional premiums, calculated in accordance with the current rating manual of the insurer, justified by a physical change in the insured property or a change in its occupancy or use;
(2) conviction of the insured of a crime having as one of its necessary elements an act increasing a hazard insured against;
(3) discovery of fraud or material misrepresentation made by the insured or a representative of the insured in obtaining the insurance or by the insured in pursuing a claim under the policy;
(4) discovery of a grossly negligent act or omission by the insured that substantially increases the hazards insured against;
(5) physical changes in the insured property that result in the property becoming uninsurable; or
(6) entire abandonment of the property that increases a hazard insured against; if a policy is cancelled under this paragraph, in addition to the notice required under AS 21.36.220, the insurer shall give notice of cancellation of the policy to a lender on file with the insurer at the time of the cancellation; in this paragraph, “entire abandonment” means the property is no longer occupied by the insured as defined by the policy and does not have contents of substantial utility; however, property is not entirely abandoned if the insured or an agent for the insured demonstrates that the property is being reasonably maintained and monitored for a condition that might cause damage to the property.
Structure Alaska Statutes
Chapter 36. Trade Practices and Frauds
Article 2. Cancellations and Renewals.
Sec. 21.36.210. Limits on cancellation.
Sec. 21.36.220. Notice of cancellation.
Sec. 21.36.235. Notice of premium or coverage changes upon renewal.
Sec. 21.36.240. Failure to renew.
Sec. 21.36.250. Cancellation or nonrenewal of automobile insurance.
Sec. 21.36.255. Premium return or credit.
Sec. 21.36.260. Proof and method of mailing notice.
Sec. 21.36.270. Effect of failure to comply.
Sec. 21.36.280. Immunity of insurer, director, and informer.
Sec. 21.36.290. Policy period.
Sec. 21.36.305. Premium increases on personal automobile insurance policies.
Sec. 21.36.307. Effect of overweight vehicle offenses on personal automobile insurance.