SB355 Alabama 2013 Session

Summary

Primary Sponsor

Rodger SmithermanSenator

Democrat

Session

Regular Session 2013

Title

Insurance, Title 27, certain sections, repealed

Summary

SB355 would repeal sections of Alabama's Insurance Code (Title 27) that govern foreign insurers' ability to operate in Alabama and related capital, naming, and eligibility rules.

What This Bill Does

If enacted, the bill repeals Sections 27-3-3 through 27-3-7 of Title 27, removing rules about foreign insurers transacting in Alabama, how they obtain authority, naming requirements, capital and surplus standards, and related provisions. The repeal would take effect immediately after passage and governor approval, and the remaining parts of Title 27 would stay in force. After repeal, those specific protections and requirements would no longer apply to foreign insurers in Alabama (though other laws in Title 27 may still govern insurers).

Who It Affects

• Foreign insurers that want to transact insurance in Alabama (the repeal removes the detailed authorization, reserve and capitalization rules that apply under these sections).
• Alabama residents and the broader insurance market (consumers and competitors) who may see changes in how foreign insurers can operate and compete in the state.

Key Provisions

• Repeal of 27-3-3: foreign insurers may transact business without certificate of authority for real estate investments, as per Amendment 154, and not subject to other Title 27 provisions.
• Repeal of 27-3-4: rules on qualifying for authority to transact insurance, including entity type and various conditions (reserves, status after short domiciliary period, and authorization criteria).
• Repeal of 27-3-5: naming restrictions and brand conflicts for insurers (including potential name amendments to avoid confusion).
• Repeal of 27-3-6: capital and surplus requirements for certain kinds of insurance and restrictions on life insurance for reciprocal/Lloyd's plans and title insurers.
• Repeal of 27-3-7: minimum capital or surplus requirements to transact specified kinds of insurance and related ongoing authorization 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