HB574 Alabama 2019 Session

Summary

Primary Sponsor

Andrew SorrellAuditor

Republican

Session

Regular Session 2019

Title

Condominiums and attached housing, property insurance at 150 percent of actual value required and liability insurance covering common areas, required

Summary

HB 574 would require owners of condominiums or attached housing to carry higher property and liability insurance and allow inspections of adjoining buildings for moisture, water damage, or mold.

What This Bill Does

If enacted, the bill requires condo/attached housing owners to maintain property insurance equal to at least 150% of the property's actual cash value and to carry liability insurance for damages related to common elements. It also gives the owner of a building attached to another the right to inspect the adjoining building if water damage, seepage, or mold is found in a shared wall or structure, with rules to prevent unreasonable denial of access.

Who It Affects

• Owners of condominiums or attached housing must meet new insurance requirements (property insurance at 150% of value and liability insurance for common elements).
• Owners of buildings attached to another building (and their insurers/tenants) may be required to permit inspections of the adjoining building to determine the source of moisture or mold.

Key Provisions

• Named as the Judy Berneske Act.
• Section 2(a): property insurance must be at least 150% of the actual cash value and cover all commonly insured risks, after deductibles.
• Section 2(b): liability insurance (including medical payments) covering injuries or damages arising from use, ownership, or maintenance of common elements.
• Section 3: attached-building owners have the right to inspect the adjoining building for water damage, seepage, or mold; the other owner/tenant may not unreasonably deny access; inspections must occur during reasonable hours and be limited to locating the source.
• Section 4: effective date is the first day of the third month after passage and governor 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

Insurance