Rhode Island Code of Regulations › Title 230 - Department of Business Regulation › Chapter 20 - Insurance › Subchapter 05 - Personal Lines - Automobile and Homeowners Insurance › Part 11 - Basic Property Insurance Inspection and Placement Program (230-RICR-20-05-11) › Section 230-RICR-20-05-11.12 - Cancellation and Nonrenewal

Current through June 14, 2024
A. All Insurers
				  participating in this Program and the Association on their own business shall
				  give thirty (30) days notice prior to cancellation or non-renewal of any risk
				  eligible under this Program except in the following cases:
1. Owner or occupant incendiarism;
2. Material misrepresentation;
3. Non-payment of premium;
4. At least sixty-five percent (65%) of the
				  rental units in the building are unoccupied, and the insured has not obtained
				  prior approval from the participating Insurer or the Association of a
				  rehabilitation plan which necessitates a high degree of unoccupancy;
5. Loss or damage exists and the insured has
				  stated or such time has elapsed as clearly indicates that the damage will not
				  be repaired;
6. Following a loss,
				  permanent repairs following satisfactory adjustment of loss have not commenced
				  within sixty (60) days;
7. Property
				  has been abandoned or there has been removal of undamaged salvageable items
				  from the building and the insured can give no reasonable explanation for such
				  removal;
8. Utilities such as
				  electric, gas, or water services have been disconnected and the insured has
				  failed to pay his account for such services within one hundred twenty (120)
				  days, or real estate taxes have not been paid for a two (2) year period after
				  the taxes have become delinquent (real estate taxes shall not be deemed to be
				  delinquent for this purpose even if they are due and constitute a lien, so long
				  as a grace period remains under local law during which such taxes may be paid
				  without penalty).
9. Where reliable
				  information that good cause exists to believe that the building will be burned
				  for the purpose of collecting the insurance on the property;
10. Conviction or unresolved indictment of a
				  named insured or loss payee or any other person having a financial interest in
				  the property of the crime of arson or crime involving a purpose to defraud an
				  insurance company;
11. Where the
				  building has been subject to more than two (2) fires, each loss amounting to at
				  least one percent (1%) of the insurance in force in any twelve (12) month
				  period; or more than three (3) such fires in any twenty four (24) month period,
				  provided that the cause of such fires is due to conditions which are the
				  responsibility of the owner-named insured;
12. Any reason which would have been grounds
				  for declination of the risk under this regulation if such reason had been known
				  or had been present at the time of acceptance and becomes known or present
				  during the policy period.
13. Any
				  reason which renders a residential rental property owner ineligible for lead
				  liability coverage under §
											20-05-9.10   of this Title shall be grounds to
				  cancel or non-renew a policy which provides lead liability coverage, as
				  follows:
a. A residential rental property
				  owner who fails to remediate lead violations which occur after June 30, 2004 on
				  any property within ninety (90) days of the issuance of a notice of
				  violation.
b. A residential rental
				  property owner who owns only one (1) property and has more than one (1)
				  unremediated dwelling unit at which a child was poisoned prior to July 1,
				  2004.
c. A residential rental
				  property owner who owns two (2) or more properties and has more than two (2)
				  unremediated dwelling units at which a child was poisoned prior to July 1,
				  2004.