SB228 Alabama 2016 Session

Summary

Primary Sponsor

Mark Slade Blackwell

Republican

Session

Regular Session 2016

Title

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

Summary

SB228 changes how corporate officers can be exempt from workers' compensation by removing the annual notice requirement and making the exemption ongoing until it is revoked.

What This Bill Does

It removes the requirement that corporate officers notify the Department of Labor when electing to be exempt from workers' compensation coverage. Once exempt, a corporate officer would remain exempt unless they revoke the exemption under specified procedures. Revocation requires written certification to the Department and the employer's workers' compensation insurer, becomes effective the first day of the calendar month after acceptance, and the insurer may require an affidavit that no injuries occurred since the exemption. The exemption does not relieve the employer from providing workers' compensation coverage for all other eligible employees.

Who It Affects

• Corporate officers of corporations: may elect and maintain exemption from workers' compensation coverage without annual Department of Labor notification; exemption continues until revoked.
• Employers and their workers' compensation insurers: must continue coverage for all other eligible employees; handle revocation process with written certifications and possible affidavits.

Key Provisions

• Amends Section 25-5-50 to remove the requirement that corporate officers notify the Department of Labor when electing exemption from workers' compensation coverage.
• Exemption for corporate officers remains effective across years unless the officer revokes it under specified procedures.
• Revocation requires written certification of the election to reinstate coverage to the Department and the employer's workers' compensation insurer, with the exemption becoming effective the first day of the calendar month after acceptance.
• The insurer may require an affidavit confirming that the officer has not suffered any employment accident or injury during the exemption period.
• The officer's exemption does not relieve the employer from continuing 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