Notice to New Jersey Policyholders

90-Day Grace Period for Insurance Premium Payments due During COVID-19 Pandemic

In accordance with the Executive Order No. 123 that was issued by Governor Phil Murphy and Bulletin No. 20-15 of the New Jersey Department of Banking and Insurance (DOBI), we are directed to refrain from cancelling any policy or contract for nonpayment for a period of time as directed by the DOBI.

Pursuant to the Bulletin, the DOBI is directing all licensed property and casualty insurers to provide their insureds who may be experiencing a financial hardship due to COVID-19 with at least a 90-day grace period to pay insurance premiums so that insurance policies are not cancelled for nonpayment of premium during the COVID-19 pandemic. An insured may elect this 90-day emergency grace period to begin retroactively on April 1, 2020 or opt for the grace period to begin on May 1, 2020. During this extended grace period, we shall not cancel any insurance policy for nonpayment.

In addition, Berkshire Hathaway Homestate Companies will adhere to the Bulletin’s following directives which require that we:

• Waive late payment fees otherwise due, and not report late payments to credit rating agencies, during the 90-day period;
• Allow premiums due but not paid during the 90-day period to be paid over the remainder of the current policy term or up to 12 months in up to 12 equal installments, whichever is longer, and
• Ensure that late payments during the 90-day period are not considered in any future premium calculations at any time.

Furthermore, this grace period is intended to be applied to all installment payments, including renewal down payments, provided you provide notice to us that you wish to continue coverage. Please note that this grace period is not intended to change the terms of the issued policy or be considered a forgiveness of the premium. Rather, we are extending a grace period for the payment of premium due without penalty or interest.

If we do not hear from you, the grace period will begin on April 1, 2020.

Please contact your agent to discuss your grace period selection. In addition, if you have additional questions you may contact us at clientservices@bhhc.com.