Senate Bill 125 / House Bill 118 (Chapter 63 / Chapter 62, Acts 2020) – Private Passenger Motor Vehicle Insurance – Prohibition on Cancellation Due to Towing or Emergency Roadside Service Claims

LARRY HOGAN Governor BOYD K. RUTHERFORD Lt. Governor BULLETIN 20-33 Date: August 14, 2020 To: All Property & Casualty Insurers Re: Senate Bill 125 / House Bill 118 (Chapter 63 / Chapter 62, Acts 2020) – Private Passenger Motor Vehicle Insurance – Prohibition on Cancellation Due to Towing or Emergency Roadside Service Claims This Bulletin will remind all property and casualty insurers that as a result of amendments to § 27-501 (d) of the Insurance Article, Annotated Code of Maryland, effective October 1, 2020, an insurer that issues a policy of private passenger motor vehicle insurance in the State may not cancel, refuse to renew or otherwise terminate coverage such policy as a result of claims made under the policy’s towing or emergency roadside coverage. Any insurer that presently uses towing or emergency roadside service claims as part of its cancellation / non-renewal guidelines must make a corrective rule filing with the Property & Casualty Rates and Forms Unit to be effective no later than October 1, 2020. Please contact the Associate Commissioner for Property & Casualty, Robert Baron, with any questions concerning this Bulletin (Robert.Baron@Maryland.gov / 410.468.2353). KATHLEEN A. BIRRANE Commissioner Origin By: Signature on original Robert Baron, Associate Commissioner Property & Casualty KATHLEEN A. BIRRANE Commissioner JAY COON Deputy Commissioner 200 St. Paul Place, Suite 2700, Baltimore, Maryland 21202 1-800-492-6116 TTY: 1-800-735-2258 www.insurance.maryland.gov