The Office of General Counsel issued the following opinion on May 12, 2003 representing the position of the New York State Insurance Department.
Re: Cancellation of Premium Financed Policies
The courts decision in Crump v. Unigard Insurance Company, 2003 WL 1562199 (Ct. of App. 2003) is consistent with the Departments long standing opinion that the date of cancellation of a policy, including one that is financed, cannot be earlier than the date that the notice of cancellation is received by the insurer. See Office of General Counsel Opinions dated may 8, 1990, December 31, 1982, November 24, 1982 and January 5, 1982 and Circular Letter 1981-19.
For further information you may contact Supervising Attorney Joan Siegel at the New York City Office.