HB522 Alabama 2015 Session

Summary

Primary Sponsor

Jack Williams

Republican

Session

Regular Session 2015

Title

Workers' compensation insurance, corporate officer exempt from, procedures provided for, Sec. 25-5-50 am'd.

Summary

The bill would remove the requirement for corporate officers to notify the Department of Labor to remain exempt from workers' compensation coverage and keep the exemption in place until the officer revokes it under specified procedures.

What This Bill Does

If enacted, corporate officers could elect exemption from workers' compensation without notifying the Department of Labor, and once exempt, they would remain so until they actively revoke it following certain rules. The employer would still be responsible for providing coverage for all other eligible employees. Revocation would require written certification and acceptance by the employer's workers' compensation insurer, and may include an affidavit verifying no injuries or accidents since exemption; the revocation would take effect on the first day of the calendar month after acceptance.

Who It Affects

• Corporate officers of corporations, who would be exempt from workers' compensation coverage unless they choose to revoke the exemption.
• Employers (corporations) and their workers' compensation insurers, who would handle exemptions and revocations and continue to cover other eligible employees.
• Other eligible employees of the corporation, who would continue to be covered by workers' compensation even if a corporate officer elects exemption.

Key Provisions

• Amends Section 25-5-50 to remove the requirement that a corporate officer notify the Department of Labor when electing exemption from workers' compensation coverage.
• An exempt corporate officer remains exempt from coverage until they revoke the exemption in accordance with specified procedures.
• Revocation of exemption requires written certification of the election to reinstate coverage, and the insurer must accept the revocation in writing (potentially with an affidavit proving no work-related incidents since exemption); the revocation becomes effective the first day of the calendar month following acceptance.
• The exemption does not remove the employer's obligation to provide coverage for all other eligible employees.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.

Subjects

Workers' Compensation