Bulletin 280: Policy Cancellation Moratorium

On August 13, 2026, Governor Braun issued Executive Order 26-21, which declared a statewide disaster emergency due to recent severe weather, derecho, tornadic activity, and flooding events that began August 11, 2026, and continued through August 16, 2026 (Disaster Events), resulting in significant property damage throughout the State of Indiana. Due to the Disaster Events, the Indiana Department of Insurance called on all insurance companies to implement extensions and/or grace periods in administration of all lines of insurance policies: a 60-day moratorium for cancellation of any insurance policy in effect for any policyholder directly affected by the Disaster Events residing within the State of Indiana, and a suspension of any penalty attached to the late payment therein. This moratorium is not a waiver; it is only an extension of the period in which to pay the premium. After the 60 days, the policyholder will have to resume making premium payments. The Department requests insurance companies to work with impacted policyholders by allowing a payment plan or further extension. The Department expects insurers to apply this moratorium retroactively to the day before the disaster occurred. The Department will also modify its own internal policies with a 60-day grace period for renewal and cancellation of all licenses, certificate holders, and registrants, including premium tax and surplus lines, and Continuing Education requirements.