Skip Maine state header navigation
Skip All Navigation
|Home | Contact Us | Careers | Calendar|
Maine.gov > PFR Home > Insurance Regulation > Cancellation Hearing Index > Cancellation / Nonrenewal : Docket No. INS-10-2121 Decision
Millmark Products v. Peerless Insurance Company
Held January 6, 2011 - Docket No. INS-10-2121
The named insured requested a hearing to contest the cancellation of a commercial businessowner policy for nonpayment of premium. The company was unable to establish that the cancellation notice was mailed to the named insured’s last known address.
Held: For the insured. 24-A M.R.S.A. § 3007 states that a notice of cancellation is not effective prior to 10 days after receipt by the named insured, and that a postal service certificate of mailing to the named insured’s last known address shall be conclusive proof of receipt on the 3rd calendar day after mailing. The record indicates that the insured did not receive the notice of cancellation until after its effective date. The address on the policy – although in use since policy inception - had an error that the insured had corrected for the agent with his signed application. However, the agent did not pass this information along to the company. As information known to the agent is considered known to the insurer under section 2422, the company did not mail the cancellation to the insured’s last known address.
Last Updated: August 22, 2012
|Copyright © 2006 All rights reserved.|