AN ACT RELATING TO INSURANCE-CASUALTY INSURANCE GENERALLY-LIMITATIONS ON POLICY CANCELLATIONS AND RENEWALS (Requires homeowner’s insurance providers to provide two months’ notice before increasing any policy renewal premium more than 20% and a violation constitutes a deceptive trade practice punishable by a fine not to exceed $1,000.)

S2011

2026 -- S 2011
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LC003429
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STATE OF RHODE ISLAND
IN GENERAL ASSEMBLY
JANUARY SESSION, A.D. 2026
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A N A C T
RELATING TO INSURANCE-CASUALTY INSURANCE GENERALLY-LIMITATIONS ON
POLICY CANCELLATIONS AND RENEWALS

Introduced By:
Senators Gu, Britto, Gallo, Bell, DiMario, Burke, Sosnowski, Kallman,
Mack, and Bissaillon

Date Introduced:
January 09, 2026

Referred To:
Senate Commerce
It is enacted by the General Assembly as follows:
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SECTION 1. Section 27-8-11 of the General Laws in Chapter 27-8 entitled "Casualty
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Insurance Generally" is hereby amended to read as follows:
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27-8-11. Regulations on cancellation and renewal.
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(a) In addition to, and not in lieu of, any other power the commissioner has to issue rules
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and regulations, the commissioner of insurance may promulgate, in accordance with the procedure
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established in chapter 35 of title 42, reasonable rules and regulations concerning cancellation and
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renewal of liability and property damage insurance for automobiles rated as private passenger
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automobiles, homeowners insurance, residential fire insurance, or any components thereof. Those
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regulations may require that the insurer shall furnish to the named insured the reason, or reasons,
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for cancellation or nonrenewal. Those regulations shall also require that the insurer furnish, at least
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thirty (30) days prior to renewal, written notice of any coverage reductions, elimination, or
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increased deductibles not made at the request of the insured. The notice shall itemize and describe
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the policy coverage reductions, elimination, or increased deductibles and shall be captioned
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“NOTICE OF REDUCTION IN COVERAGE”. The policyholder shall be notified that the policy
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renewal contains the “NOTICE OF REDUCTION IN COVERAGE” by one of the following
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manners:
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(1) By mailing the “NOTICE OF REDUCTION IN COVERAGE” separate from the
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renewal policy package mailing; or

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(2) By printing “NOTICE OF REDUCTION IN COVERAGE ENCLOSED” on the
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renewal policy package envelope and including said reductions in the first few pages of the renewal
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policy package; or
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(3) By printing “NOTICE OF REDUCTION IN COVERAGE ENCLOSED” on the first
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page of the renewal policy package; or
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(4) If the renewal policy package is made available by email, the email notifying the
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policyholder of the renewal shall contain a statement that the policy contains a “NOTICE OF
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REDUCTION IN COVERAGE” and said reductions shall be in the first few pages of the renewal
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policy package.
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These coverage changes must be approved by the insurance division with respect to those
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types of insurance defined in § 27-8-1(1) — (8), issued to non-business insureds and bodily injury
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and property damage liability coverage issued to non-business insureds. There shall be no liability
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on the part of, and no cause of action of any nature shall arise against, the commissioner of
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insurance or any insurer, their authorized representatives, agents, or employees, or any firm, person,
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or corporation furnishing to the insurer or commissioner information as to the reasons for
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cancellation or nonrenewal; for any statement made by any of them in any written notice of
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cancellation or nonrenewal; or in any other communication, oral or written, specifying the reasons
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for cancellation or nonrenewal; or for the providing of information pertaining to the cancellation
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or nonrenewal; or for statements made, or evidence submitted, at any hearing conducted in
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connection with the cancellation or nonrenewal.
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(b) The commissioner shall promulgate regulations with respect to personal motor vehicle
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insurance, homeowners insurance, and residential fire insurance, or any components of that
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insurance requiring notification to policyholders upon renewal of any coverage reductions,
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elimination, or increased deductibles not at the request of the insured.
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(c) Notwithstanding any law to the contrary, on and after September 1, 2026, any increase
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of more than twenty percent (20%) in the cost of renewal of homeowner’s insurance shall require
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two (2) months’ advance notice be provided by the insurer to the policyholder. If an insurer is
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failing to renew a homeowner’s policy, the notice of non-renewal shall be delivered to the
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policyholder no less than two (2) months in advance of the policy expiration.
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(d) Any violation of the provisions of this section shall constitute a deceptive trade practice
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in violation of chapter 13.1 of title 6, and each violation shall be punishable by a fine not to exceed
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one thousand dollars ($1,000).

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SECTION 2. This act shall take effect upon passage.
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EXPLANATION
BY THE LEGISLATIVE COUNCIL
OF
A N A C T
RELATING TO INSURANCE-CASUALTY INSURANCE GENERALLY-LIMITATIONS ON
POLICY CANCELLATIONS AND RENEWALS
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This act would require homeowner’s insurance providers to provide two months’ notice
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before increasing any policy renewal premium more than 20%. A violation would constitute a
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deceptive trade practice punishable by a fine not to exceed one thousand dollars ($1,000).
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This act would take effect upon passage.
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