A bulletin from the Connecticut Insurance Department prohibits homeowners insurers from cancelling or non-renewing a homeowner's insurance policy because of a crumbling or deteriorating foundation.
According to the bulletin, senior officials in Connecticut are concerned over reports of crumbling foundations in homes built in the late 1980s. The bulletin adds, however, that the department is not aware of any homes that have abruptly collapsed or caved in as a result of a deteriorating foundation.
Insurers are reminded that any non-renewal action be in accordance with filed and approved underwriting guidelines.
AAIS Advisory notices are posted periodically to announce AAIS product developments, and to provide news items that are relevant to our program users. Advisory notices are news summaries that paraphrase documents which should be consulted directly for complete, authoritative information.