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IL Floods December 2015

December 29, 2015

On December 29, 2015, Illinois Governor Bruce Rauner issued Bulletin 2015-13, declaring Calhoun, Cass, Cumberland, Iroquois, Jackson, Jersey, Lawrence, Madison, Marion, Menard, Monroe, Moultrie, Pike, Randolph, Richland, Sangamon, St. Clair and Vermilion counties state disaster areas after significant issues related to flooding impacted the counties.  Effective immediately, Merchants Bonding Company has implemented the following guidelines to govern treatment of all consumers affected by this disaster.    

In compliance with Bulletin 2015-13, Merchants’ commercial bond department will grant to principals in the aforementioned counties a moratorium on cancellations and non-renewal issued on or after December 29, 2015 on any in-force policy issued to an affected policyholder or respecting affected property. All cancellations and non-renewals will be reinstated without lapse in coverage. In addition, new cancellation or non-renewal notices will not be issued to affected policyholders or for affected property until February 29, 2016.   

Merchants will consider exceptions to policy or contract requirements, or to other rating or underwriting rules not otherwise listed herein, when such contractual requirements or rating or underwriting rules are not met as a result of this disaster.   

In compliance with Bulletin 2015-13, Merchants’ claims and accounting departments department Will grant to affected policyholders an extension of any and all policy provisions or other requirements that impose a time limit for an insured or claimant to perform any act, including the submission of a claim or proof of loss, reporting of information, submission of bills, or payment of funds. This extension shall be for a minimum of 60 days from the last date allowed or required under the terms of the contract.   

Consumers shall be advised that they may call the Department’s toll-free complaint hotline at 1-866-445-5364, or file a complaint online at: 

Read Bulletin 2015-13 here.