2015 Hawaii Revised Statutes
TITLE 24. INSURANCE
431. Insurance Code
431:31-106 Termination or modification of portable electronics insurance.

[§431:31-106] Termination or modification of portable electronics insurance. (a) An insurer may terminate or otherwise change the terms and conditions of a policy of portable electronics insurance. The vendor and enrolled customers shall be provided at least sixty days' notice before the change becomes effective.

(b) If the insurer changes the terms and conditions of a policy of portable electronics insurance, the insurer shall provide the vendor with a revised policy or endorsement and each enrolled customer with a revised certificate, endorsement, updated brochure, or other evidence indicating that a change in the terms and conditions has occurred, and a summary of material changes.

(c) Notwithstanding subsection (a), an insurer may terminate an enrolled customer's enrollment under a policy of portable electronics insurance upon fifteen days' notice for discovery of fraud or material misrepresentation in obtaining coverage or in the presentation of a claim thereunder.

(d) Notwithstanding subsection (a), an insurer may immediately terminate an enrolled customer's enrollment under a policy of portable electronics insurance:

(1) For nonpayment of an insurance policy premium;

(2) If the enrolled customer ceases to have an active service with the vendor; or

(3) If an enrolled customer exhausts the aggregate limit of liability, if any, under the terms of the policy of portable electronics insurance and the insurer sends notice of termination to the enrolled customer within thirty calendar days after exhaustion of the limit; provided that, if notice is not timely sent, enrollment shall continue notwithstanding the aggregate limit of liability, until the insurer sends notice of termination to the enrolled customer.

(e) If a policy of portable electronics insurance is terminated by a vendor, the vendor shall mail or deliver written notice to the enrolled customer informing the enrolled customer of the termination of the policy and the effective date of termination. The written notice shall be mailed or delivered to the enrolled customer at least thirty days prior to the termination.

(f) Whenever notice or correspondence with respect to a policy of portable electronics insurance is required pursuant to this section, or is otherwise required by law, the notice or correspondence shall be in writing and sent within the notice period, if any, specified within the law requiring the notice or correspondence. Notwithstanding any law to the contrary, notice and correspondence may be sent either by mail or by electronic means as set forth in this subsection. If the notice or correspondence is mailed, it shall be sent to the vendor at the vendor's mailing address specified for such purpose and to its affected enrolled customers' last known mailing addresses on file with the insurer. The insurer or vendor, as applicable, shall maintain proof of mailing in a form authorized or accepted by the United States Postal Service or other commercial mail delivery service. If the notice or correspondence is sent by electronic means, it shall be sent to the vendor at the vendor's electronic-mail address specified for such purpose and to its affected enrolled customers' last known electronic-mail addresses as provided by each enrolled customer to the insurer or vendor, as applicable.

For purposes of this subsection, an enrolled customer's provision of an electronic-mail address to the insurer or vendor, as applicable, shall be deemed consent to receive notices and correspondence by electronic means. The insurer or vendor, as applicable, shall maintain proof that the notice or correspondence was sent.

(g) Notice or correspondence required by this section or otherwise required by law may be sent on behalf of an insurer or vendor, as applicable, by the supervising entity appointed by the insurer. [L 2012, c 321, pt of §1]