2005 Idaho Code - 41-2507 — CANCELLATION OF POLICIES -- GROUNDS

                                  TITLE  41
                                  INSURANCE
                                  CHAPTER 25
                         CASUALTY INSURANCE CONTRACTS
    41-2507.  CANCELLATION OF POLICIES -- GROUNDS. No notice of cancellation
of a policy shall be effective and the insurer shall not refuse renewal of a
policy, unless based on one or more of the following reasons:
    (1)  Nonpayment of premium; or
    (2)  The policy was obtained through a material misrepresentation; or
    (3)  Any insured violated any of the terms and conditions of the policy;
or
    (4)  The named insured failed to disclose fully his motor vehicle
accidents and moving traffic violations, or his losses covered under any
automobile physical damage or comprehensive coverage, for the preceding
thirty-six (36) months if called for in the application; or
    (5)  As to renewal of the policy, if the insured at any time while the
policy was in force failed to disclose fully to the insurer, upon request
therefor, facts relative to accidents and losses incurred material to
underwriting of the risk; or
    (6)  Any insured made a false or fraudulent claim or knowingly aided or
abetted another in the presentation of such a claim; or
    (7)  The named insured or any other operator who either resides in the
same household or customarily operates an automobile insured under such
policy:
    (a)  Has, within the thirty-six (36) months prior to the notice of
    cancellation or nonrenewal, had his driver's license under suspension or
    revocation; or
    (b)  Has a history of and is subject to epilepsy or heart attacks, and
    such individual cannot produce a certificate from a physician testifying
    to his unqualified ability to operate a motor vehicle safely; or
    (c)  Has an accident record, conviction record (criminal or traffic),
    physical, mental, or other condition which is such that his operation of
    an automobile might endanger the public safety; or
    (d)  Has, while the policy is in force, engaged in a prearranged
    competitive speed contest while operating or riding in an automobile
    insured under the policy; or
    (e)  Has, within the thirty-six (36) months prior to the notice of
    cancellation or nonrenewal been addicted to the use of narcotics or other
    drugs; or
    (f)  Uses alcoholic beverages to excess; or
    (g)  Has been convicted, or forfeited bail, during the thirty-six (36)
    months immediately preceding the notice of cancellation or nonrenewal; for
    (i)   Any felony; or
    (ii)  Criminal negligence resulting in death, homicide, or assault arising
         out of the operation of a motor vehicle; or
    (iii) Operating a motor vehicle while in an intoxicated condition or while
         under the influence of drugs; or
    (iv)  Leaving the scene of an accident without stopping to report; or
    (v)   Theft or unlawful taking of a motor vehicle; or
    (vi)  Making fraudulent statements in an application for a driver's
         license; or
    (h)  Has been convicted of, has had a judgment entered against, or
    forfeited bail for, three (3) or more violations within the thirty-six
    (36) months immediately preceding the notice of cancellation or
    nonrenewal, of any law, ordinance, or regulation of any state for which a
    violation point is assessed by the Idaho transportation department under
    the provisions of section 49-326, Idaho Code, whether or not the
    violations were repetitions of the same offense or different offenses.
    (8)  The insured automobile is:
    (a)  So mechanically defective that its operation might endanger public
    safety; or
    (b)  Used in carrying passengers for hire or compensation, except that the
    use of an automobile for a car pool shall not be considered use of an
    automobile for hire or compensation; or
    (c)  Used in the business of transportation of flammables or explosives;
    or
    (d)  An authorized emergency vehicle; or
    (e)  Modified or changed in condition during the policy period so as to
    increase the risk substantially; or
    (f)  Subject to an inspection law and has not been inspected or, if
    inspected, has failed to qualify.