Indiana Issues Policy Cancellation Moratorium Following Recent Flooding

Indiana Issues Policy Cancellation Moratorium Following Recent Flooding

On October 17, 2022, the Indiana Department of Insurance (DOI) issued Bulletin 266 following recent flooding in Southern Indiana on September 3-4, 2022 which caused significant property damage in Jefferson, Ohio, and Switzerland counties.

The Bulletin calls on insurers to implement a 60-day moratorium for cancellation of any insurance policy in effect for any policyholder directly affected by this disaster residing within the impacted areas, and a suspension of any penalty attached to the late payment therein.

The DOI may request an extension of this moratorium if deemed appropriate, and the DOI expects insurers to apply this moratorium retroactively to the day before the disaster event occurred in each impacted area. Additionally, because of the breadth of the storms, torrential rains, and subsequent flooding, the implementation of this moratorium should also be considered on a case-by-case basis in unnamed counties.

The Bulletin outlines further details about the moratorium and Department's expectations and actions.

 

Link to Bulletin 266