Non-Renewal refers to the decision by an insurance company not to renew an insurance policy once its current term comes to an end. This can occur for various reasons, such as changes in the insurer’s underwriting criteria, the risk profile of the customer, or the insurer’s decision to withdraw from a particular market or line of insurance. When an insurance policy is not renewed, the policyholder is no longer covered by that insurer once the policy’s expiration date passes. It is important for policyholders to be aware of the non-renewal as they will need to secure new coverage to maintain continuous insurance protection. Insurers are typically required to provide policyholders with advance notice of a non-renewal, the length of which may be determined by state regulations, to allow sufficient time for the policyholder to find alternative coverage.
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