Premium Payments

TIMELY PREMIUM PAYMENTS. CANCELS FOR NON-PAYMENT.

Premium notices are mailed to the customer, the producer, mortgagees listed on the policy, and additional insureds listed on the policy. We cannot bill only one party.

Installment Premiums (payments due during the policy period):

● The premium due should be received in the Plan's office before the due date on the premium notice. If not received, a cancellation notice for non-payment of premium is mailed.

● The policy remains in force if the premium due is received in the Plan's office before the cancellation. If a timely payment is received, a reinstatement notice is mailed indicating the policy remains in force.

● If the premium due is received but is not timely, it is not accepted. The payment is returned. There is no grace period. The policy terminated on the cancellation date.

● If coverage is still needed after termination, a new application is required. We may require the full annual premium be paid as deposit with this new submission if the customer has had repeated late payments.

 

Renewal Premium (first payment due at the beginning of the renewal policy period):

● The premium due should be received in the Plan's office before the due date on the premium notice. This due date is about two weeks prior to the policy renewal date. If not received, a cancellation/policy expiration notice is mailed.

● The policy remains in force if the premium due is received in the Plan's office before the cancellation/policy expiration date.

● If the premium due is received in the Plan's office after the cancellation/policy expiration date, it is not accepted. The payment is returned. The policy terminated on the cancellation/policy expiration date. The policy does not start again.

● If the premium due is never received, the policy terminated on the cancellation/policy expiration date.

● If coverage is still needed after termination, a completely new submission is required. We may require the full annual premium be paid as deposit with this new submission if the customer has had repeated late payments.