SB339 Alabama 2013 Session

Summary

Primary Sponsor

Rodger SmithermanSenator

Democrat

Session

Regular Session 2013

Title

Insurance, Title 27, certain sections, repealed

Summary

SB339 would repeal the RBC-based regulatory framework in Title 27 of the Alabama Insurance Code.

What This Bill Does

It repeals Sections 27-2B-6 through 27-2B-9, removing the definitions of authorized and mandatory control level events and the regulator’s actions tied to those events. It eliminates procedures for placing an insurer under regulatory control and the 90-day period to address a mandatory control level event. It also removes insurer hearing rights on RBC determinations and the confidentiality protections for RBC reports and plans. The act becomes effective immediately after passage and Governor's approval.

Who It Affects

• Insurance companies operating in Alabama would be affected because the RBC-based triggers for regulatory action and potential placement under regulatory control would be repealed.
• Policyholders and creditors of insurers (and the general public) would be affected because the specific oversight mechanism tied to insurer capital levels would be removed.

Key Provisions

• Repeals Sections 27-2B-6 through 27-2B-9 of the Alabama Code (the RBC framework).
• Effective immediately upon passage and governor's approval.
• Removes the definitions of authorized control level event and mandatory control level event, the required regulator actions under those events, and the associated hearing and confidentiality provisions.

AI-generated summary using openai/gpt-5-nano on Feb 25, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Insurance