HB270 Alabama 2011 Session

Summary

Primary Sponsor

James E. Buskey

Democrat

Co-Sponsors

Randy DavisJoe FaustAlan BakerSteve McMillan

Session

Regular Session 2011

Title

Homeowners insurance, carriers required to disclose actual costs of each item of coverage in annual renewal policy package, both as cost per $1,000 coverage and actual cost of each item of coverage, Homeowner's Insurance Cost Transparency Act

Summary

HB270 would require homeowners' insurers to disclose, in each annual renewal package, the actual costs of each coverage type, shown per $1,000 of coverage and in total.

What This Bill Does

If enacted, insurers must attach a clear written disclosure of the costs for every coverage item in the renewal package. Costs must be shown as both the rate per $1,000 of coverage and the actual total cost for each item. The Insurance Commissioner may adopt a standard form for these disclosures, and the act applies to various types of residential dwellings; it takes effect on the first day of the third month after passage and governor approval.

Who It Affects

• Homeowners with homeowner's policies, who would receive renewal disclosures detailing the cost of each coverage type.
• Insurance carriers that issue homeowner policies, which must prepare and include the disclosures in renewal packages and may use a standard form.

Key Provisions

• Requires renewal packages to include a clear written disclosure of the actual costs for each item of coverage, shown as the cost per $1,000 and the actual total cost.
• Disclosures must cover each coverage type in the policy (e.g., wind, fire, theft, liability) and show both per-thousand rates and total costs.
• The act defines 'homeowner's policy' to include traditional single or multi-family dwellings, mobile homes, and manufactured homes.
• The Insurance Commissioner may adopt a standard form for these disclosures.
• Effective date: the first day of the third month after passage and governor approval.
• The requirement is in addition to any other renewal materials or disclosures currently required.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Insurance