SB123 Alabama 2014 Session

Updated Feb 27, 2026

Notable

Summary

Primary Sponsor: Mark Slade Blackwell
Republican
Co-Sponsor: Arthur Orr
Session: Regular Session 2014
Title: Insurance, health, Alabama Health Insurance Plan, authorized to cease operation, transfer of funds to State General Fund, Sec. 27-52-1 am'd.
Summary: The bill allows the Alabama Health Insurance Plan to shut down under certain federal reforms, directs unused funds to the General Fund, and requires reestablishment if guaranteed-issue coverage becomes mandatory again.
What This Bill Does
It amends Section 27-52-1 to establish the Alabama Health Insurance Plan as a high-risk pool. It lets the plan cease operations if federal market reform provisions satisfy HIPAA’s guaranteed-issue requirements, provided there is enough time for current participants to transition. After the plan ends and all liabilities are satisfied, any unspent and unencumbered funds would be transferred to the State General Fund. If a future federal mandate requires guaranteed-issue health coverage, the plan would be reestablished to meet that requirement.

Who It Affects
Current participants in the Alabama Health Insurance Plan, who would be given time to transition out if the plan ceases operations.
The State General Fund, which would receive any unspent and unencumbered funds from the plan after it ends.

Key Provisions
The Alabama Health Insurance Plan is defined as a high-risk pool that provides health insurance as an alternative to guaranteed-issue requirements under HIPAA.
The plan may cease operations if federal market reform provisions satisfy HIPAA's guaranteed-issue requirements, with a sufficient transition period for current participants.
Upon cessation and satisfaction of all liabilities, unspent and unencumbered funds of the plan transfer to the State General Fund.
If a federal mandate requires guaranteed-issue coverage in Alabama, the plan shall be reestablished to meet that mandate.

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