After coverage has been in effect for more than 60 days or after the effective date of a renewal policy a notice of cancellation shall not be issued unless it is based upon at least 1 of the following reasons:
(1) Nonpayment of premium;
(2) Discovery of fraud or material misrepresentation made by or with the knowledge of the named insured in obtaining the policy, continuing the policy or in presenting a claim under the policy;
(3) Discovery of wilful or reckless acts or omissions on the part of the named insured which increase any hazard insured against;
(4) The occurrence of a change in the risk which substantially increases any hazard insured against after insurance coverage has been issued or renewed;
(5) A violation of any local fire, health, safety, building or construction regulation or ordinance with respect to any insured property or the occupancy thereof which substantially increases any hazard insured against;
(6) A determination of the Insurance Commissioner that the continuation of the policy would place the insurer in violation of the insurance laws of this State;
(7) Real property taxes owing on the insured property have been delinquent for 2 or more years and continue delinquent at the time notice of cancellation is issued.
65 Del. Laws, c. 199, § 1.
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