HB600 Alabama 2011 Session

Summary

Primary Sponsor

Richard J. Laird

Independent

Session

Regular Session 2011

Title

Workers' compensation insurance, volunteer fire departments and rescue squads, Insurance Department to set rates, based on certain annual payroll per person, Sec. 25-5-50 am'd.

Summary

This bill requires the Alabama Insurance Commissioner to cap the annual payroll used to set workers' compensation rates for volunteer fire departments and rescue squads at $300 per member per year.

What This Bill Does

It amends the workers' compensation law to require regulation of the maximum annual payroll per volunteer firefighter or rescue squad member for rate setting. The cap is fixed at $300 per member each year, which will influence how insurance rates are calculated for volunteer departments. The bill keeps voluntary coverage options for certified volunteer departments and rescue squads, meaning they may purchase insurance but are not required to do so. The act becomes effective immediately after governor approval.

Who It Affects

• Volunteer fire departments, rescue squads, and combination departments in Alabama, whose workers' compensation rates would be calculated using a $300-per-member payroll cap.
• The Alabama Insurance Commissioner/Department, which would regulate and enforce the cap when setting rates for these volunteer organizations.

Key Provisions

• Section 25-5-50(d): establishes a maximum annual payroll of $300 per fire fighter or rescue squad member for the purpose of setting workers' compensation rates.
• The Commissioner of Insurance will regulate and set rates for volunteer departments based on this cap.
• Voluntary coverage remains available to certified volunteer fire departments and legally organized rescue squads, but is not mandatory.
• The act becomes effective immediately following passage and governor approval.

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 Department