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This proceeding arose upon a request for hearing made by Adrien Doyon (hereinafter the “Insured”) to contest the pending nonrenewal of automobile insurance coverage provided by MMG Insurance Company (hereinafter the “Company.”) On January 13, 2004, the Company mailed a notice of nonrenewal effective March 15, 2004, on policy number AUTO540309, citing Mr. Doyon’s accidents of 07/11/2001 and 12/02/2003 as the grounds for nonrenewal. Pursuant to 24-A M.R.S.A. § 2920, the Insured's hearing request was timely.

A hearing in this matter was held pursuant to 24-A M.R.S.A. § 2920 on February 24, 2004, with Connie Mayette sitting as designated hearing officer. See 24-A M.R.S.A. § 210. The purpose of the hearing was limited to establishing the existence of proof or evidence given by the Company to support its reason for policy nonrenewal. Jim Stout, Marketing Representative for the Company, appeared on behalf of the Company at the hearing. The Insured represented himself at the hearing.

FINDINGS OF FACT
The following facts have been proven by a preponderance of evidence submitted:

1. The Company has insured the Insured’s automobiles since March 15, 2000. The current policy term is September 15, 2003 to March 15, 2004.
2. On July 11, 2001, the Insured hit an oncoming vehicle while making a left turn. The Company paid $834.08 under collision and $5,248.05 under liability for damage to the other vehicle.
3. On December 2, 2003, the Insured rear-ended another vehicle at a red light. Total payment under liability to the other party was $6,943.02. The claim was still open at the time the notice of nonrenewal was issued, and an additional payment was made after that time.

ANALYSIS AND CONCLUSION OF LAW

Title 24-A M.R.S.A. § 2916-A (2) permits nonrenewal “[w]hen a named insured or any other person who operates a motor vehicle insured under the policy is individually or are aggregately involved in 2 or more vehicle accidents while operating a motor vehicle insured under the policy, resulting in either personal injury or property damage in excess of the amount defined as a reportable accident under Title 29-A, section 2251, subsection 1” during the 36-month period preceding the yearly anniversary date of the policy. The amount provided by 29-A M.R.S.A. § 2251(1) is $1,000. Section 2916-A(2) further identifies four circumstances which are not considered accidents.

Mr. Stout testified that the evidence demonstrates that two accidents had occurred which provide grounds for nonrenewal. He submitted documents relating to each of the two claims which establish the date of loss, the driver, the vehicle being operated and the amounts paid by the Company. He also submitted a copy of the original application showing that the yearly anniversary date is March 15, as the coverage first incepted March 15, 2000.

The Insured conceded that the cited accidents did occur, but he argued that three years is not a sufficient review period. He testified that he has only had four accidents since 1974, and the earlier two accidents were not his fault. He stated that his driving record for 20 years has been very good. He also argued that the December 2003 accident should not be considered his fault, as State law permits a vehicle to turn right on a red light after stopping. He noted that the vehicle in front of him had started to turn right and that he expected the vehicle to continue its turn because there was no other traffic. He stated that instead, the driver suddenly stopped and the Insured hit him. He reiterated his belief that insurance companies should be looking at 10 or more years of driving history.

The Superintendent of Insurance has jurisdiction over this matter pursuant to 24-A M.R.S.A. § 2920. The Company bears the burden of proof for establishing that the statutory grounds for policy nonrenewal exist. Based on the evidence presented at the hearing, the Superintendent hereby concludes that the Company has established adequate grounds for policy nonrenewal.

The three-year time period by which to measure the number of qualifying accidents is not provided at the discretion of the insurance company. It is mandated by Maine law. See 24-A M.R.S.A. § 2916-A. The Company has demonstrated that the Insured’s two accidents have occurred within the required time period, that they both involved a motor vehicle insured by the Company, and that the resulting damages met the statutory amount. Accordingly, the accidents meet the requirements of the Maine Automobile Insurance Cancellation Control Act, and the nonrenewal action is permitted.

ORDER AND NOTICE OF APPEAL RIGHTS
The intended termination is hereby approved. MMG Insurance Company is hereby directed to provide coverage pursuant to 24-A M.R.S.A. § 2920 until 12:01 a.m. on May 18, 2004, to provide an opportunity for the policyholder to obtain other coverage.

This Decision and Order is a final agency action within the meaning of the Maine Administrative Procedure Act. It is appealable to the Superior Court in the manner provided in 24-A M.R.S.A. § 236 and M.R. Civ. P. 80C. Any party to the hearing may initiate an appeal within 30 days after receipt of this notice. Any nonparty whose interests are substantially and directly affected may initiate an appeal within 40 days of the effective date of this Decision and Order.

Dated May 3, 2004                                                      Alessandro A. Iuppa
                                                                                    Superintendent of Insurance

                                                                                    ____________________________________
                                                                                    by Connie Mayette, AU
                                                                                    Hearings Examiner
                                                                                    Designated Hearing Officer

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