When an insured is informed that their insurance company will not provide coverage after the current policy expires, this is referred to as?

The situation described occurs when an insurance company decides not to renew a policy once it reaches its expiration date. This is known as nonrenewal. Nonrenewal indicates that the existing coverage will not continue beyond the specified end date, and the insured will need to seek a new policy if they wish to have insurance coverage. This can happen for various reasons, such as changes in underwriting guidelines, claims history, or even business decisions made by the insurance provider.

In contrast, cancellation typically refers to an insurance policy being terminated before its expiration date, often due to non-payment of premiums or other breaches of the contract by the insured. Termination is a more general term that could imply ending a policy under various circumstances, not exclusively related to renewal scenarios. Revocation is not commonly used in this context and generally refers to a situation where a license or privilege is taken away, rather than the non-renewal of an insurance policy.

Thus, choosing nonrenewal accurately describes the insurer's action of not providing coverage after the current policy period ends, which is a key aspect of managing insurance contracts.