Suspension of Acceptance of Applications; Filing and Contents of Notice; Disapproval.

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Sec. 2126.

An insurer may at any time suspend its acceptance of all applications from new automobile or home insurance risks by filing a notice with the commissioner. The notice shall specify the period of the suspension and the method by which the insurer proposes to effect the suspension. A suspension is subject to the disapproval of the commissioner if, after a hearing held pursuant to Act No. 306 of the Public Acts of 1969, as amended, the commissioner finds that the suspension does not have a legitimate business purpose which is consistent with the purposes of this chapter or that the suspension would adversely affect the maintenance of a competitive market.

History: Add. 1979, Act 145, Eff. Jan. 1, 1981
Popular Name: Act 218
Popular Name: Essential Insurance
Popular Name: No-Fault Insurance


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