HB91 Alabama 2015 Session

Updated Feb 27, 2026

Notable

Summary

Primary Sponsor: Mike Hill
Republican
Session: Regular Session 2015
Title: Motor vehicle rental companies, selling of insurance by employees and agents authorized under certain conditions, compensation further provided for, Sec. 27-7-5.1 am'd.
Summary: This bill lets licensed motor vehicle rental companies offer and sell certain insurance products to renters and pay compensation to their own staff to sell that insurance, without requiring those staff to have individual insurance licenses.
What This Bill Does
The bill allows rental companies to obtain a limited license to offer or sell insurance in connection with vehicle rentals. It exempts these rental companies from some licensing requirements and sets rules for how employees or authorized representatives may be compensated for selling insurance. It specifies which types of insurance can be offered, requires disclosures to renters, and requires training for employees. It also limits the rental period for coverage to 90 days, requires itemized charges, and prohibits selling insurance outside of a rental transaction.

Who It Affects
Rental car companies (and their employees/authorized representatives) that may offer or sell insurance under a limited license and receive compensation for doing so, with changes to licensing and training requirements.
Renters and customers who rent vehicles and may purchase insurance in connection with the rental, receiving required disclosures and the option to purchase coverage.

Key Provisions
Rental companies may obtain a limited license to offer or sell insurance in connection with vehicle rentals.
Rental companies and their employees/authorized representatives may offer or sell insurance without the individuals being individually licensed; compensation must be incidental and not solely based on the number of purchases.
Exempts licensed rental companies from 40-hour pre-licensing courses, certain exams, and continuing education requirements for traditional insurance licenses.
Allowed insurance categories include personal accident, liability (including uninsured/underinsured), personal effects, roadside assistance and emergency sickness protection, and other travel/auto-related coverages offered by the rental company.
Rental period for the insurance coverage cannot exceed 90 consecutive days; renters must be provided brochures with defined disclosures, including fee summaries, potential coverage duplication with other policies, and that insurance is not required to rent.
Evidence of coverage must be disclosed to renters who elect to purchase the coverage; funds handling is itemized and ancillary to the rental; sales must be tied to a rental transaction and not conducted separately.
A training program must be conducted for employees receiving coverage-related training.
The act provides for a prospective effective date for the section from August 1, 2000, and overall effectiveness on the first day of the third month after lawful passage and approval.

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