Georgia General Assembly Passes SB 385, Allowing Auto Insurers to Include Cancellation Notice In Bill to Insureds Who Pay Monthly
SB 385 was passed by the Georgia General Assembly and signed by the Governor. An unrelated change about cancellations for motorcycle and auto insurance policies was slipped into the last page.
On the last page of SB 385 allows auto insurers to include a notice of policy cancellation in a bill to an insured who is paying on a monthly basis. SB 385 requires that the cancellation notice be mailed at least 10 days prior to the payment due date. This provision is effective July 1, 2012.
To view a copy of SB 385, click here.
Have you heard anything about how the DOI plans to handle this law change? Looks to me like combination invoice/cancellation notices will be permitted by this language but I have heard rumblings that the DOI is going to require that the invoice and cancellation notice will still be separate notices (but that they can be included in the same envelope).
In any case I predict hundreds of thousands of dollars in postage savings for our carriers.
I'm inviting Commissioner Hudgens to attend the SC & GA Insurance Convention and share his thoughts with us on the Friday evening dinner cruise sponsored by United Auto Insurance Company.
"Inquiring Minds want to know"
So how is YOUR COMPANY / AGENCY going to handle this new law?
What do you think will be the "Unintended Consequences"?