A. No home protection contract shall be cancelable by the home protection company during the initial term for which it is issued, except for:
1. Nonpayment of premium;
2. Fraud or misrepresentation of facts material to the issuance of the contract; or
3. Contracts providing coverage prior to the time the residential property is purchased, provided that purchase of the property does not occur.
B. Nothing in this section establishes the right of a contract holder to renew any contract.
1981, c. 530, § 38.1-940; 1986, c. 562.