What is the time frame in which the insurer must notify the department of policy cancellation?

The insurer is required to notify the department no later than 10 days prior to the cancellation of a policy. This requirement ensures that appropriate regulatory oversight is maintained and that the department is aware of the impending cancellation of insurance policies. This notification timeframe allows the department to monitor insurance practices and ensure that consumers remain informed and protected from unexpected gaps in coverage.

In terms of the other options, a requirement of 15 days after cancellation may not align with standard regulatory practices, as it does not provide the necessary advance notice for effective oversight. No notification required is incorrect since regulatory bodies typically mandate notification to ensure transparency in the insurance market. Lastly, notifying within 5 days after the policy has lapsed does not meet the proactive notification requirement that serves to inform both the department and consumers well ahead of any cancellation. This advance notice is crucial for the management and transition of insurance coverage.