House Bill 361 Alabama 2026 Session

Updated Feb 25, 2026

Notable

Summary

Primary Sponsor: Anthony DanielsRepresentative
Democrat
Session: 2026 Regular Session
Title: Living organ donors; to prohibit discrimination in obtaining insurance coverage, provide paid medical leave for public employees who donate organs and a tax credit to private sector employers that provide similar paid leave to their employees
Summary: HB361 would bar insurers from discriminating against living organ donors in certain coverages, require paid organ-donor leave for public employees, and create a tax credit to encourage private employers to offer similar leave.
What This Bill Does
Insurers may not deny, limit, renew differently, or charge higher premiums for life, disability, or long-term care insurance solely because someone is a living organ donor. State and local governments must provide paid leave to employees who donate organs or bone marrow (up to 30 days for organ donation and 7 days for bone marrow), with leave treated as a separate category and protections against retaliation. For private employers, the bill creates a state income tax credit for providing paid organ-donor leave (credit equal to 25% of wages during the leave, for a period of at least 15 days and up to 30 days, with a $2,000 annual cap), plus rules on documentation, HIPAA verification, and carry-forward; the credit applies to tax years 2027 through 2031 and is subject to Department of Revenue rules.

Who It Affects
Living organ donors, who gain protection from insurer discrimination and eligibility for paid public-sector donor leave.
Insurance providers, which would be restricted from discriminating against living organ donors in coverage terms or pricing.
State and local public employees, who could receive paid donor leave for organ or bone marrow donation (up to 30 days organ, 7 days bone marrow).
Private sector employers, who could qualify for a state income tax credit if they provide paid donor leave to their employees.
Private sector employees, who may take paid donor leave to donate an organ if their employer offers the leave policy.
Alabama Department of Revenue, which would implement the tax credit program and related rules.

Key Provisions
Insurers may not decline, limit, refuse renewal, or discriminate in offering life, disability, or long-term care insurance based solely on an individual's status as a living organ donor.
Public sector leave (state and local government): employees may receive paid living-donor leave for organ or bone marrow donation, up to 30 days for organ donation and 7 days for bone marrow, with leave classified separately from other leave and protections against retaliation.
Private-employer leave program (tax credit): private employers must adopt a written policy allowing paid donor leave for employees, with a minimum leave period of at least 15 days, and leave that does not reduce pay or use of other leave; the leave must be verifiable by medical documentation and compliant with HIPAA, and employees must be W-2 workers.
Tax credit for private employers: a 25% credit of gross wages paid during the donated-leave period (up to 30 days) credited to the employer's state tax liability, with a $2,000 annual cap, and the ability to carry forward unused credits for up to three years; the credit is contingent on specific documentation and eligibility rules set by the Department of Revenue.
Effective dates: general provisions take effect Oct. 1, 2026; the tax-credit provisions become effective Jan. 1, 2027, and apply to tax years 2027 through 2031.

AI-generated summary using openai/gpt-5-nano on Feb 25, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects: Discrimination & Civil Protections