Question

How many days prior to the policy renewal date must an insurer tell the policyholder whether it is prepared to renew the contract?

a) 14 days
b) 30 days
c) 60 days
d) 90 days

Answer 1

Insurers are commonly required to inform policyholders about their policy renewal at least 30 days before the renewal date, giving them adequate time to make informed decisions.

Step-by-step explanation:

The time frame within which an insurer must inform a policyholder about the renewal of a policy can vary depending on the regulations of the jurisdiction in which the policy is issued. However, most commonly, insurers are required to notify policyholders about the renewal terms of their contracts at least 30 days before the policy renewal date. This notification period allows policyholders sufficient time to consider their options, whether that means renewing their current policy, modifying it, or shopping for a new one.