Archives: 2005 | 2006 | 2007 | 2008 | 2009 | 2010 | 2011| 2012

Gary Goldsmith v. National Grange Mutual Insurance Company
Hearing Number 2005-16071

The insured requested a hearing following receipt of a notice of automobile insurance cancellation for nonpayment of premium. The Company sent a sworn statement in lieu of appearance at the hearing, but the statement was not received until after the scheduled time for the hearing to begin.

Held: Default judgment for the insured. The Maine Automobile Insurance Cancellation Control Act requires the company to establish the proof or evidence of its reason for cancellation. Title 24-A M.R.S.A. § 2920 states that the burden of proof of the reason for cancellation of a policy is on the insurer. The Notice of Hearing informed the company that any statement and evidence the parties wished to enter into evidence in lieu of appearance at the hearing was required to be submitted to the Bureau no later than the day before the hearing and that any statement and evidence received after that time would not be admitted unless good cause was shown. Since the company failed to appear at the hearing or submit a timely statement, the cancellation is not permissible.

Return to Cancellation / Nonrenewal Hearing Decisions