HB127 Alabama 2019 Session

Summary

Primary Sponsor

David FaulknerRepresentative

Republican

Session

Regular Session 2019

Title

Consumer protection, roofing, contracts, cancellation of roofing contract further provided, Sec. 8-36-2 am'd.

Summary

The bill would shorten the cancellation period for residential roofing contracts paid from an insurance claim from 10 business days to five days after the insurer says the claim is not covered or not enough to cover the contract.

What This Bill Does

If passed, it allows a homeowner to cancel a roofing contract within five days after receiving written notice from the insurer that all or part of the claim is not a covered loss or not sufficient to cover the contract. It requires the contractor to provide specific cancellation disclosures and a detachable cancellation form at signing, and outlines how cancellation is officially communicated. It also restricts payments during the cancellation period (with an emergency work exception) and prohibits contractors from representing homeowners in insurance claims for roof work. The act would take effect on the first day of the third month after passage and governor approval.

Who It Affects

• Homeowners/insured: gain a five-day window to cancel a residential roofing contract after insurer notice that the claim is not covered or not enough to cover the contract.
• Residential roofing contractors: must provide cancellation disclosures and a notice form, must not collect payment during the cancellation period (except for emergency services), and are barred from representing or negotiating insurance claims for the homeowner.

Key Provisions

• Reduces the cancellation period from 10 business days to five days after the insurer notifies that the claim or contract is not a covered loss or will not cover the contract.
• Requires the contractor to give the insured a boldfaced statement of cancellation rights and a detachable NOTICE OF CANCELLATION form at contract signing.
• Defines how cancellation is effected by written notice and when such notice is considered received (mail or electronic mail).
• Prevents a contractor from collecting payments before the cancellation period ends, with an exception for emergency services performed with written acknowledgment.
• Restricts contractors from representing or negotiating on behalf of the owner in connection with insurance claims for roof repairs.

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

Subjects

Consumers and Consumer Protection