A non-renewal in insurance policy occurs when the insurance company decides to not renew the policy at the end of its term.
A non-renewal in insurance policy occurs when the insurance company decides to not renew the policy at the end of its term. This can happen for various reasons, such as the insured client becoming too high of a risk to insure or the insurance company deciding to discontinue coverage in a certain market.
For example, let's say a homeowner's insurance policy is set to expire on December 31. The insurance company may choose not to renew the policy if the homeowner has made multiple claims in the past year, making them a higher risk to insure.
Overall, a non-renewal in an insurance policy can happen at the end of its term and is typically based on the insurance company's assessment of risk and profitability.