SB205 Alabama 2021 Session

Updated Feb 23, 2026

Summary

Primary Sponsor: Gerald H. AllenSenator
Republican
Session: Regular Session 2021
Title: Home inspectors, limitations period or liability, provided, Sec. 34-14B-11 added; Sec. 34-14B-3 am'd.
Summary: SB205 would create a time limit for lawsuits against licensed Alabama home inspectors and strengthen licensure rules with insurance and qualification requirements, while clarifying that insurance rules do not ban liability‑limiting contracts.
What This Bill Does
It would establish a limitation period for civil actions arising from home inspections by licensed inspectors. It would require licensure applicants to carry minimum public liability and property damage insurance and errors and omissions insurance, with specified minimum coverage, and to meet defined professional qualifications. It would also make licensure information public record and set an effective date for the act, while clarifying that insurance requirements are not intended to disfavor liability-limiting contracts.

Who It Affects
Licensed home inspectors in Alabama, who must comply with the new limitation period, carry specified insurance coverages, and meet professional qualification requirements.
Homeowners and others who hire home inspectors, whose ability to sue is governed by the new limitation period and who benefit from standardized insurance requirements and licensure standards.

Key Provisions
Creates a limitation period for civil actions against licensed home inspectors (Sec. 34-14B-11).
States that requiring insurance certificates does not express public policy disfavoring liability-limiting contracts.
Amends Section 34-14B-3 to require licensure applicants to provide proof of public liability and property damage insurance with minimum limits ($20,000 property damage; $50,000 per person; $100,000 for multiple people) or higher as prescribed, plus errors and omissions insurance.
Requires licensure applicants to meet professional qualifications, such as ASHI membership or equivalent, approval/certification by specified federal or national bodies, or other tested criteria (high school diploma plus experience and 100 inspected homes, or existing licensure in related fields).
Requires that licensure information be a matter of public record.
Sets the act to become effective on the first day of the third month after passage.

AI-generated summary using openai/gpt-5-nano on Feb 23, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects: Professions and Businesses