Georgia Insurers to Exercise Leniency

January 20, 2011

Ralph Hudgens, Insurance Commissioner for the state of Georgia, has issued an order directing insurance companies in his state to “exercise lenience” in dealing with individuals and businesses who may be struggling with their premiums due to the heavy winter storms that blanketed the state earlier this month.

Between the dates of January 9th and 11th of this year, Georgia experienced the worst winter storm seen in the state in decades, as much of it was covered by as many as five inches of snow, including three inches in the Atlanta metropolitan area. The result of this weather was that several of the state’s main highways were closed to traffic, and hundreds of flights out of the Atlanta-Hartsfield airport were canceled. In addition, many schools were closed, as were state and federal offices.

On his last day in office, out-going governor Sonny Perdue called for a state of emergency, and directed the Georgia Department of Transportation and Public Safety to take steps to restore power and clear the roads.

Hudgens’ directive calls for insurance companies to exercise leniency when non-renewal or cancellation notices are delivered to policy holders whose premium payments arrive late due to disruptions in mail delivery.

He told the press, “I expect insurance companies to be understanding when so many of their policyholders’ lives have been severely disrupted. This would include premium payments and non-renewal notifications.”