What must an insurer do if it does not intend to renew a policy?

If an insurer does not intend to renew a policy, it is required to notify the policyholder at least 30 days before the expiration date of the policy. This policy requirement is crucial for ensuring that the policyholder has adequate time to seek alternative coverage if desired. The advance notice provides an essential opportunity for the insured to assess their options and make informed decisions about their insurance needs without a gap in coverage.

Providing an updated policy, offering a refund, or setting a new premium rate are not necessary actions tied to the non-renewal process. The primary obligation of the insurer in this situation is to communicate with the policyholder about the non-renewal decision in a timely manner, enabling the policyholder to plan accordingly.