Department of Banking and Insurance Bulletin No. 20-15

The record

Jurisdiction

New Jersey

Level

Sector regulator

Authority

Executive Order No. 123 (Apr. 9, 2020); N.J.S.A. 17:1-8.1, 17:1-15

Issued

2020-04-10 Apr. 10, 2020

Effective

grace period electable retroactively from Apr. 1, 2020 or from May 1, 2020 (read as 2020-04-01)

End

grace periods ran their 90-day terms (to June 30 or July 30, 2020); EO 123 remained in effect to Jan. 1, 2022 under P.L. 2021, c. 103 (read as 2020-07-30)

In force

Apr. 1, 2020 to July 30, 2020

Quarters

2020 Q22020 Q3

2020 Q22020 Q32020 Q42021 Q12021 Q22021 Q3

Limitation types

Other

Addressees

• all insurers transacting property and casualty insurance in New Jersey
• licensed insurance producers

Functions reached

• IN (premium collection, cancellation, billing and credit reporting rewritten by order)
• CB

Collection

Financial Services SEC-13

Operative words

the Department is directing all licensed property and casualty insurance carriers to provide their insureds who may be experiencing a financial hardship due to COVID-19 with at least a 90-day grace period to pay insurance premiums so that insurance policies are not cancelled for nonpayment of premium... During this extended grace period, insurers shall not cancel any insurance policy for nonpayment. Insurers are also directed to: Waive late payment fees otherwise due, and not report late payments to credit rating agencies, during the 90-day period; Allow premiums due but not paid during the 90-day period to be paid over the remainder of the current policy term or up to 12 months in up to 12 equal installments

Enforcement

Notes