# Alabama SB247: Insurance; to allow reorganization of a nonprofit health care service corporation under the control of a nonprofit holding company Alabama SB247, Insurance; to allow reorganization of a nonprofit health care service corporation under the control of a nonprofit holding company, is a 2026 Regular Session Senate bill sponsored by Andrew Jones (Republican); status enacted, last action 2026-03-19 (Enacted) (as of 2026-10-19). - Canonical: https://policyrisk.com/state-bill/AL-SB247-2026rs - As of: 2026-10-19 - Plain-text twin of the page above; the HTML and this file carry the same facts. ## Facts - Bill: Alabama SB247 - State: Alabama - Session: 2026 Regular Session - Title: Insurance; to allow reorganization of a nonprofit health care service corporation under the control of a nonprofit holding company - Status: enacted - Chamber: Senate - Introduced: 2026-02-03 - Last action: 2026-03-19, Enacted - Sponsor: Andrew Jones (Republican) - Cosponsors: 4 - Subjects: Businesses & Financial Institutions - Touches household money: no - Roll calls: 6 (379 yes, 10 no in all) - Economic provisions PRIA read: 6 ## Summary No summary available. ## Bill overview: provisions PRIA read - Health plan members keep existing contracts: benefit, low. Beginning October 1, 2026, subscriber contracts and coverage certificates remain in force when an Alabama health care service corporation reorganizes. The reorganization does not change the corporation’s legal form or state authority to operate. It remains subject to its governing health plan law,… - Health plan insiders face reward limits: benefit, low. Beginning October 1, 2026, health care service corporation directors, officers, and employees cannot receive fees, extra pay, or valuable rewards for helping the reorganization. Every holding-company board member must also be a director of the health care service corporation. Executive officers and… - Public oversight follows health plan restructuring: benefit, low. Beginning October 1, 2026, reorganized health care service corporations must send completion notices to the Alabama Department of Insurance. Notices must include transaction details, amended formation papers and bylaws, holding-company incorporation papers, and projected balance sheets and income s… - Health plan transfers face financial limits: mixed, low. Beginning October 1, 2026, reorganizing health care service corporations can transfer cash, investments, or subsidiary and affiliate ownership interests. These transfers can go to the nonprofit holding company or its subsidiary. Their total value, after liabilities, cannot exceed 25% of admitted as… - Health plans gain limited restructuring options: mixed, low. Beginning October 1, 2026, Alabama health care service corporations, including subsidiaries, can reorganize once under a domestic nonprofit holding company. Their boards can approve the change and amend formation papers and bylaws. The holding company must control all membership interests, directly… - Holding companies face healthcare ownership limits: mixed, low. Beginning October 1, 2026, holding companies and affiliates cannot directly or indirectly own any part of, or control, Alabama hospitals or other direct care providers. They can acquire a foreign entity with an Alabama provider only by agreeing to divest that provider within two years after closing… ## Sponsors and cosponsors - Sponsor: Andrew Jones (Republican), Senate - Cosponsor: J. T. 'Jabo' Waggoner (Republican), Senate - Cosponsor: Robert Stewart (Democratic), Senate - Cosponsor: Rodger M. Smitherman (Democratic), Senate - Cosponsor: Shay Shelnutt (Republican), Senate ## Roll call votes | Date | Chamber | Motion | Result | Yes | No | Other | | --- | --- | --- | --- | --- | --- | --- | | 2026-03-17 | House | Pringle motion to Table - Adopted Roll Call 936 | pass | 96 | 2 | 2 | | 2026-03-17 | House | Motion to Read a Third Time and Pass - Adopted Roll Call 937 | pass | 99 | 4 | 1 | | 2026-03-17 | House | Third Reading in Second House | pass | 89 | 4 | 1 | | 2026-02-17 | Senate | Jones motion to Adopt - Adopted Roll Call 445 | pass | 32 | 0 | 1 | | 2026-02-17 | Senate | Third Reading in House of Origin | pass | 31 | 0 | 1 | | 2026-02-17 | Senate | Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 446 | pass | 32 | 0 | 1 | ## Actions (24) - 2026-03-19: Enacted (Senate) - 2026-03-17: Third Reading in Second House (House) - 2026-03-17: Harrison 1st Amendment Offered (House) - 2026-03-17: Pringle motion to Table - Adopted Roll Call 936 (House) - 2026-03-17: Motion to Read a Third Time and Pass - Adopted Roll Call 937 (House) - 2026-03-17: Ready to Enroll (Senate) - 2026-03-17: Enrolled (Senate) - 2026-03-17: Signature Requested (House) - 2026-03-17: Delivered to Governor (Senate) - 2026-03-05: Read for the Second Time and placed on the Calendar (House) - 2026-03-04: Reported Out of Committee Second House (House) - 2026-02-24: Re-referred to Committee in Second House (House) - 2026-02-19: Read for the first time and referred to the House Committee on Insurance (House) - 2026-02-19: Pending Committee Action in Second House (House) - 2026-02-17: Third Reading in House of Origin (Senate) - 2026-02-17: Carried Over to the Call of the Chair (Senate) - 2026-02-17: Jones 1st Amendment Offered (Senate) - 2026-02-17: Jones motion to Adopt - Adopted Roll Call 445 (Senate) - 2026-02-17: Motion to Read a Third Time and Pass as Amended - Adopted Roll Call 446 (Senate) - 2026-02-17: Engrossed (Senate) - 2026-02-05: Read for the Second Time and placed on the Calendar (Senate) - 2026-02-04: Reported Out of Committee House of Origin (Senate) - 2026-02-03: Read for the first time and referred to the Senate Committee on Banking and Insurance (Senate) - 2026-02-03: Pending Committee Action in House of Origin (Senate) ## Bill text - As Introduced: [PDF](https://alison.legislature.state.al.us/files/pdf/SearchableInstruments/2026RS/SB247-int.pdf) - Engrossed: [PDF](https://alison.legislature.state.al.us/files/pdf/SearchableInstruments/2026RS/SB247-eng.pdf) - Enrolled: [PDF](https://alison.legislature.state.al.us/files/pdf/SearchableInstruments/2026RS/SB247-enr.pdf) ## Related bills - HB67: Voter Information; limit cost of reproducing voter registration list; crime for misuse of personal voter information; created (enacted) - SB154: State employees, cost-of-living increase for fiscal year beginning October 1, 2026 (enacted) - SB165: Elections; municipal elections, to set qualification fee amounts, to require indigent candidates to submit documentation for fee exemption (enacted) - HB317: Firefighter distinctive license plate; fire chaplains included, penalty for violations provided for (enacted) - SB272: Open Records; use of public records relating to schools for certain solicitation purposes prohibited; redaction of certain information relating to financial tr… (enacted) - SB190: Sales Tax; to exempt Precision Ocular (enacted) ## Sources - [As Introduced (PDF)](https://alison.legislature.state.al.us/files/pdf/SearchableInstruments/2026RS/SB247-int.pdf) - [Engrossed (PDF)](https://alison.legislature.state.al.us/files/pdf/SearchableInstruments/2026RS/SB247-eng.pdf) - [Enrolled (PDF)](https://alison.legislature.state.al.us/files/pdf/SearchableInstruments/2026RS/SB247-enr.pdf) ## Related - [HB67: Voter Information; limit cost of reproducing voter registration list; crime for…](https://policyrisk.com/state-bill/AL-HB67-2026rs) - [SB154: State employees, cost-of-living increase for fiscal year beginning October 1, 2…](https://policyrisk.com/state-bill/AL-SB154-2026rs) - [SB165: Elections; municipal elections, to set qualification fee amounts, to require in…](https://policyrisk.com/state-bill/AL-SB165-2026rs) - [HB317: Firefighter distinctive license plate; fire chaplains included, penalty for vio…](https://policyrisk.com/state-bill/AL-HB317-2026rs) - [SB272: Open Records; use of public records relating to schools for certain solicitatio…](https://policyrisk.com/state-bill/AL-SB272-2026rs) - [SB190: Sales Tax; to exempt Precision Ocular](https://policyrisk.com/state-bill/AL-SB190-2026rs) - [Alabama bills](https://policyrisk.com/states/alabama/bills) - [Alabama state hub](https://policyrisk.com/states/alabama) - [All state legislation](https://policyrisk.com/state-bills) Source: PRIA, https://policyrisk.com/state-bill/AL-SB247-2026rs (as of 2026-10-19).