Vermont Statutes
Chapter 128 - Property and Casualty Insurance Rate Regulation
§ 4711. Cancellation of commercial risk insurance

§ 4711. Cancellation of commercial risk insurance
(a) A notice of cancellation of a policy of commercial risk insurance as defined in this chapter but excluding farm risks, issued under this chapter shall be effective only if it is based on:
(1) nonpayment of premium;
(2) fraud or material misrepresentation affecting the policy or in the presentation of a claim under the policy, or violation of any of the terms or conditions of the policy; or
(3) substantial increase in hazard provided that cancellation for this reason shall be effective only after prior approval of the Commissioner.
(b) This section shall not apply to any policy or coverage which 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.
(c) This section shall not apply to nonrenewal. (Added 1985, No. 265 (Adj. Sess.), § 3; amended 2021, No. 105 (Adj. Sess.), § 224, eff. July 1, 2022.)