What is the difference between “cancellation” and “non-renewal” of a policy?
• Ans: Under the Insurance Law, a personal automobile insurance policy must remain in effect for a required one year policy period. If an insurer decides not to renew the policy at the expiration of this period, this is a “non-renewal”. However, if the insurer terminates the policy at any other time (which can only be done under limited circumstances), this is a “cancellation”.
