SB354 Alabama 2013 Session

Summary

Primary Sponsor

Rodger SmithermanSenator

Democrat

Session

Regular Session 2013

Title

Insurance, Title 27, certain sections, repealed

Summary

SB354 would repeal certain financial requirements in Title 27 of Alabama’s Insurance Code, removing specific surplus, capital, and deposit rules for insurers.

What This Bill Does

The bill repeals sections 27-3-8 through 27-3-11 of the Alabama Insurance Code. It removes minimum surplus and capital requirements for certain insurers, as well as the related definitions and the deposit requirement to obtain a certificate of authority. It removes these rules for both domestic and foreign insurers that were previously subject to them. The repeal takes effect immediately after passage and approval by the Governor.

Who It Affects

• Insurers seeking to operate in Alabama (stock, mutual, and reciprocal) who would no longer be bound by the repealed surplus/capital requirements.
• Policyholders and creditors, since the state’s deposit protections and related safeguards in these sections would no longer apply under the repealed provisions.

Key Provisions

• Repeals Sections 27-3-8 to 27-3-11 of the Code of Alabama 1975.
• Repeals Section 27-3-10, removing defined terms such as Domestic Stock Insurer, Capital Surplus, and Earned Surplus.
• Repeals Section 27-3-11, eliminating the cash or securities deposit requirement to obtain a certificate of authority.
• Section 2 states the act becomes effective immediately following passage and approval by the Governor.

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