Insights

Notice Requesting Carriers Provide 60-day Grace Period for Insurance Premium Payments


On March 18, 2020, the Insurance Department published a notice requesting insurance carriers to provide their insureds with at least a 60-day grace period to pay insurance premiums. The notice is meant to help employers (and others who have any type of insurance policy) so that insurance policies are not cancelled for nonpayment of premium during this challenging time of COVID-19. The notice also encourages all insurance agents, brokers and other licensees who accept payments on behalf of insurance carriers to take steps to ensure that customers have the ability to make prompt insurance payments. This should include allowing alternate methods of payment (such as online payments) to eliminate the need for in-person payment methods.

The notice contains no new requirements for employers. If an employer is in need of additional time to make a premium payment, the employer should reach out to their carrier.

Notice »