How long does the replacing insurer have to send the notice to the existing insurer?

The correct answer is three working days because state regulations require that when a new insurer is replacing an existing policy, they must notify the existing insurer of the replacement. This notice must be sent within three working days after the application is received. This timeframe is designed to ensure a smooth transition and to maintain accurate records between the two insurers, allowing for better tracking and oversight of policy replacements. It helps prevent lapses in coverage and ensures that the policyholder is informed of their options. Keeping this timeline helps protect the interests of the policyholder by ensuring they are fully aware of their coverage status during the transition process.