Prohibiting an insurer from taking various actions with respect to property insurance because of claims based on acts of nature

What it would have done

Summary by the Legislative Reference Bureau, the Legislature's nonpartisan drafting office. It's their wording, not ours.

Under current law, an insurer may not cancel an insurance policy before the end of the term except for nonpayment of premiums or on grounds provided in the policy and permitted by statute, including material misrepresentation, a substantial change in the risk assumed, substantial breaches of contractual duties, or attainment of the terminal age for coverage. Also under current law, an insurer must renew an insurance policy at the end of the term unless the insurer provides 60 days' written notice that the policy will not be renewed. The notice must state the reasons for the nonrenewal. In addition, if an insurer renews a policy but on less favorable terms, the new terms take effect on the renewal date if the insurer provides at least 60 days' written notice of the change in the terms, otherwise the new terms take effect 60 days after the notice was sent.

This bill prohibits an insurer from doing any of the following with respect to a fire or other property insurance policy solely because one or more claims have been made under the policy for unpreventable damages caused by the forces of nature, such as a tornado, hail, wind, rain, sleet, frost, or lightning: canceling the policy before the end of the term, refusing to renew the policy, reducing the limits under the policy, or eliminating any type of coverage under the policy.

Who's behind it

11 lawmakers are its authors⁠. All 11 are Democrats.

4 more lawmakers signed on in support⁠.