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Paul & Rebecca Badeau v. Metropolitan Property & Casualty Company

Docket No. INS-06-2077, Decision Issued July 26, 2006.

The insured requested a hearing following receipt of a notice of automobile insurance coverage nonrenewal citing three accidents as the reason for nonrenewal. At hearing, the company provided documentation demonstrating the date and circumstance of each accident as well as the amounts paid. The insured questioned the propriety of the company’s action.

Held: For the company. Pursuant to 24-A M.R.S.A. § 2916-A(2), the Maine Automobile Insurance Cancellation Control Act provides grounds for policy nonrenewal when a named insured or any other person who operates a motor vehicle insured under the policy is involved in two or more accidents that result in personal injury or property damage in excess of $1,000. Section 2916-A(2) further identifies four circumstances that are not considered accidents for the purpose of a nonrenewal action.

The evidence presented indicates that the three accidents cited by the company all occurred within the 36 months immediately preceding the yearly anniversary date of the policy. Each accident meets all the statutory elements and none of the exceptions provided in § 2916-A(2) apply. The company has established the requirements to cancel this policy under the Maine Automobile Insurance Cancellation Control Act.