A Bill to Prohibit Insurers from dropping homes with Chinese Drywall November 18, 2009

On Tuesday, a federal bill was filed that would prohibit insurance companies from canceling policies of homeowners dealing with Chinese drywall in their residence. Unfortunately, many experts have already stepped forward and said that the chances of it passing are slim to none.

The new bill is known as the “Drywall Victim Insurance Protection Act.” The bill’s sponsors, Rep. Charlie Melancon said, “it will give homeowners peace of mind that they won’t lose their insurance while they repair homes affected by Chinese drywall.”

The four page bill states that it would be illegal for insurers to cancel a policy because a homeowner is dealing with Chinese drywall related issues. Along with this, the bill would also prohibit them from increasing premiums or changing the terms of the policy.

For more information on the proposed bill, check out this story: Bill would prohibit insurers from dropping Chinese drywall homes.