Prior Notice Necessary When Adding Exclusions to Renewal Policy?

Is the insurance company mandated to provide prior notice when adding an additional exclusion to the policy at renewal time?

New Hampshire Subscriber

When a policy is renewed, it is presumed, unless a contrary intention appears, that the parties intended to adopt in the renewal policy the terms, conditions, and coverage of the former policy. Thus, the insurance company should provide prior notice when adding an additional exclusion to the policy at renewal time.

If the renewal policy contains a provision that is contradictory to a provision in the earlier policy and serves to reduce the scope of coverage, typically the insurance company will be bound by the terms of the earlier policy if the renewal policy was issued without calling the insured's attention to the reduction in coverage.

It is important to keep in mind, however, that notice requirements of each state are subject to the statutes, regulations and case law of that state, so one should be sure to consult an attorney familiar with the laws of the particular jurisdiction when the question arises.