Insurers not to penalize soldiers for lapse in coverage

Atlanta (Aug. 9) - Insurance Commissioner John W. Oxendine has issued a directive urging Georgia auto insurance companies to reinstate active duty soldiers who may have let their coverage lapse while they were serving their country. As a result of the War on Terror, many Georgia citizens have been called to active duty, Oxendine said. Often Armed Services personnel are deployed on short notice with little time to address personal business affairs. I strongly encourage insurers writing private passenger automobile coverage in Georgia to support our troops by not penalizing them for a lapse in coverage upon completion of a tour of active duty. Oxendine said the insurers should reinstate any soldiers lapsed policies without penalty, and any new business from soldiers should be treated as if no lapse occurred. The directive, 04-EX-1, further asks insurers to respond to Oxendine's office to describe their procedures for implementing the directive.