AUTO INS./NOTICE TO LIENHOLDER OF TERMINATION.

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View NCGA Bill Details2017-2018 Session
Senate Bill 150 (Public) Filed Tuesday, February 28, 2017
AN ACT TO REQUIRE MOTOR VEHICLE INSURERS TO PROVIDE ADEQUATE NOTICE TO LIENHOLDERS OF RECORD PRIOR TO TERMINATING A MOTOR VEHICLE LIABILITY INSURANCE POLICY.
Intro. by D. Davis.
Status: Ref To Com On Rules and Operations of the Senate (Senate Action) (Mar 1 2017)

Bill History:

S 150

Bill Summaries:

  • Bill S 150 (2017-2018)
    Summary date: Feb 28 2017 - View Summary

    Amends GS 58-36-85, requiring the date of termination of auto insurance for nonpayment of the premium to be at least 15 days from the date the notice of termination is mailed (currently, the 15-day delay is permissive, not required).

    Requires insurers to provide a copy of the required written notice of cancellation to any lienholder, defined as a person who holds a perfected security interest in a motor vehicle at the time a policy is terminated, of record, at least 10 calendar days prior to the effective date of the termination of the policy, by first-class mail to the lienholder's last known address. Failure to comply does not affect the effectiveness of the termination.

    Makes conforming changes.

    Effective October 1, 2017, and applies to terminations on or after that date.

    Business and Commerce, Insurance, Courts/Judiciary, Motor Vehicle, Transportation
    GS 58
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