Currently, insurers are allowed great flexibility in deciding whether to renew policies. Since insurers are often collecting premiums far in advance of expected payout, such decisions could become a serious consumer protection problem. Most policies are guaranteed renewable. For those that are not, it is technically and legally possible to collect premiums, put them in reserve, and then cancel all the policies in a state. The NAIC model act allows policies to be conditionally renewable instead of guaranteed renewable. Specifically, renewal can be declined by class, by geographic area, or for other reasons except age or deterioration of the insured's mental or physical health. The model act would prohibit any policy from being optionally renewable, that is, that an insurance company could cancel a policy arbitrarily.