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HD 3263

An Act relative to notifying broker prior to termination of coverage

194th Legislature (2025-2026) Introduced by Donnie Berthiaume and 2 co-sponsors

Massachusetts bill requiring insurers to notify brokers before canceling or non-renewing policyholder coverage, protecting consumer access to insurance.

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Bill Summary · HD 3263

Legislative bill overview

HD 3263 requires insurance companies to notify brokers before terminating an insured's coverage. The bill mandates that insurers provide brokers with advance written notice of any coverage cancellation or non-renewal, giving brokers an opportunity to address issues or facilitate alternative coverage before the termination becomes effective.

Why is this important

Insurance brokers often serve as intermediaries who help clients secure and maintain appropriate coverage. Without advance notice to brokers, clients may lose coverage unexpectedly, leaving them uninsured and potentially liable for damages. This bill protects both consumers and brokers by ensuring professional notification protocols that allow time for corrective action.

Potential points of contention

  • Industry burden: Insurers argue additional notification requirements increase administrative costs and complexity, particularly for large insurers managing thousands of policies
  • Broker interest alignment: Critics question whether brokers always act in clients' best interests, as they may have financial incentives to retain policies rather than allow justified terminations
  • Timing and enforceability: Questions exist about appropriate notice periods, whether this applies to all termination types, and what remedies exist for non-compliance

Compiled from official sources — confirm details with the bill’s official record.

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