The national guide covers the ISO homeowners forms (HO-2, HO-3, HO-4, HO-5, HO-6, HO-8), Coverages A through F, special limits and conditions. Connecticut adds rules on cancellation, claims-based underwriting, hurricane deductibles and matching, mostly in Conn. Gen. Stat. 38a-316a to 38a-316g and 38a-323.

Forms in brief

• HO-6 covers a condominium unit owner's personal property, unit improvements and liability. HO-4 is for tenants. HO-3 and HO-8 are for owner-occupied homes.
• A condominium association's required master policy may not exclude fire or other insured perils caused by terrorism (38a-307a).

Cancellation and nonrenewal

• New policies (in force under 60 days): at least 10 days' notice for nonpayment and 30 days for any other reason (38a-316g(a)(1)).
• After 60 days, or on a renewal: cancellation is allowed only for:
  • nonpayment
  • fraud or material misrepresentation in obtaining the coverage
  • a physical change that materially increases a hazard (38a-316g(a)(2))
• A nonpayment notice gives at least 10 days and must say that paying the premium will stop the cancellation.
• Nonrenewal requires at least 60 days' notice with the reason (38a-323). Renewing on worse terms requires a conditional renewal notice on the same schedule.
• Any insured may name a third party to receive cancellation and nonrenewal notices (38a-323a).

Claims-based underwriting limits (38a-316d)

• No declination, cancellation or nonrenewal based solely on losses from a catastrophe declared by a nationally recognized catastrophe index provider.
• No cancellation, nonrenewal or premium increase based solely on an inquiry, or on a claim that paid less than $500 or nothing. There is an exception for multiple claims.
• No declination, nonrenewal or surcharge based solely on a prior owner's claim, unless the cause of that loss hasn't been fixed.

Hurricanes and coastal property

• Hurricane deductibles apply only when a hurricane produces sustained winds of 74 mph or more somewhere in Connecticut (38a-316a(b)).
  • The deductible period ends 24 hours after the last hurricane warning ends or the storm is downgraded, whichever is earlier.
• No refusal to issue or renew solely because the insured didn't install storm shutters (38a-316a(a)).
• The coastal market assistance program is made up of insurers and producers who participate voluntarily, under the Commissioner, to help coastal homeowners find coverage (38a-316c).
• The Connecticut FAIR Plan is the residual market for basic property coverage. See the other personal lines guide.

Claims settlement

• Matching: when replacing damaged items, the insurer must use material of like kind and quality so the repaired area has a reasonably uniform appearance, inside and outside (38a-316e).
• Private flood: homeowners insurers may offer flood coverage, and may choose to offer it in only part of the state (38a-316f).

Exam traps

• Notice for a new policy is 10 days (nonpayment) or 30 days (other reasons). After 60 days, only three grounds for cancellation remain.
• Nonrenewal takes 60 days. A claim under $500 can't be the sole reason for nonrenewal.
• The hurricane deductible is triggered at 74 mph and ends after 24 hours.