Alabama Administrative Code

The purpose of this chapter is to set forth rules and procedural requirements the Commissioner deems necessary to carry out the provisions of Sections 27-10-1, et seq., Code of Ala. 1975. The actions and information required by this chapter are hereby declared to be necessary and…

(1) (a) Individual residents of this state who are licensed as insurance producers as to property and casualty insurance as defined in Section 27-7-14.1 may be licensed as surplus line brokers to place in non-admitted carriers only those coverages authorized by their license as a…

(1) Beginning January 1, 2025, each surplus line broker shall file a quarterly report detailing surplus-lines transactions occurring in this state in the previous calendar quarter. The filing schedule shall be as follows: 1st Quarter (January 1 - March 31): filing due May 30; 2nd…

(1) At appropriate times this Department will under the authority of Section 27-10-26 publish lists of certain unauthorized insurers which are known by this Department to be ineligible either as to financial requirements or as to claim practices. No inference should be drawn that…

Sections 27-10-2 and 27-10-35(g) prohibit an adjuster from entering into the adjustment or investigation of any loss arising under a contract of insurance issued by an unauthorized insurer unless such insurance contract be lawfully issued as provided under the law. In order to as…

If a court holds any paragraph or portion of a paragraph of this chapter or the applicability thereof to any person or circumstance invalid, the remainder of the chapter shall not be affected thereby Notes Ala. Admin. Code r. 482-1-036-.07 New Rule: August 12, 2008; effective Aug…

This chapter shall become effective upon its approval by the Commissioner of Insurance and upon its having been on file as a public document in the office of the Secretary of State for ten days. Notes Ala. Admin. Code r. 482-1-036-.08 New Rule: August 12, 2008; effective August 2…

(1) Effective January 1, 1964, insurance of the following described property when owned and used for pleasure and not for business, hire or other commercial use, shall be classified as Inland Marine insurance in this State: (a) Outboard motors, including their equipment and appur…

The purpose of this chapter is to define and eliminate certain unfair practices arising from insurance transactions. Notes Ala. Admin. Code r. 482-1-040-.01 New Rule: May 8, 1964; effective September 17, 1964. Revised: May 7, 2008; effective May 20, 2008. Filed with LRS May 9, 20…

The authority for the promulgation of this chapter is under the provisions of Section 27-2-17 Code of Ala. 1975. Notes Ala. Admin. Code r. 482-1-040-.02 New Rule: May 8, 1964; effective September 17, 1964. Revised: May 7, 2008; effective May 20, 2008. Filed with LRS May 9, 2008. …

Except as otherwise expressly provided by law, insurers are prohibited from knowingly permitting or offering to make or making any contract of insurance or agreement as to such contract other than as plainly expressed in the contract issued thereon; or paying or allowing, or givi…

If a court holds any paragraph or portion of a paragraph of this chapter or the applicability thereof to any person or circumstance invalid, the remainder of the chapter shall not be affected thereby. Notes Ala. Admin. Code r. 482-1-040-.04 New Rule: May 8, 1964; effective Septem…

This chapter shall become effective May 20, 2008, upon its approval by the Commissioner of Insurance and upon its having been on file as a public document in the office of the Secretary of State for ten (10) days. Notes Ala. Admin. Code r. 482-1-040-.05 New Rule: May 8, 1964; eff…

The Authority for promulgation of this chapter is found under the provisions of Sections 27-2-7, 27-2-17, 27-29-8 and other applicable provisions of Title 27, Code of Ala. 1975. Author: Commissioner of Insurance Notes Ala. Admin. Code r. 482-1-042-.01 New Rule: October 5, 1969; e…

The purpose of this chapter is to establish requirements as to solicitation of proxies, consents and authorizations by a domestic insurer as required by this chapter and to furnish instructions as to disclosure requirements for stockholders. Author: Commissioner of Insurance Note…

(1) No domestic stock insurer which has any class of equity securities held of record by three hundred or more persons, or any director, officer, or employee of such insurer, or any other person, shall solicit, or permit the use of his name to solicit, by mail or otherwise, any p…

The following definitions apply unless the context otherwise requires: (a) Affiliate. An affiliate of, or a person affiliated with a specified person is a person that directly, or indirectly through one or more intermediaries, controls, or is controlled by, or is under common con…

Rule 482-1-042-.12 of this chapter shall apply to every solicitation that is subject to Rule 482-1-042-.03. Rules 482-1-042-.04 through 482-1-042-.11 and Rule 482-1-042-.13 of this chapter shall apply to every solicitation that is subject to Rule 482-1-042-.03 except the followin…

(1) No solicitation subject to this chapter shall be made unless each person solicited is concurrently furnished or has previously been furnished with a written proxy statement containing the information specified in Schedule A. (2) If the solicitation is made on behalf of the is…

(1) The form of proxy (a) shall indicate in bold face type whether or not the proxy is solicited on behalf of the insurers board of directors, and, if not, by whom it is solicited, (b) shall provide a specifically designated blank space for dating the proxy and (c) shall identify…

(1) The information included in the proxy statement shall be clearly presented and the statements made shall be divided into groups according to subject matter and the various groups of statements shall be preceded by appropriate headings. (2) All proxy statements shall disclose,…

(1) Two preliminary copies of the proxy statement and form of proxy and any other soliciting material to be furnished to security holders concurrently therewith (or the information statement pursuant to Schedule C) shall be filed with the Commissioner at least 10 days prior to th…

If the management of the issuer has made or intends to make any solicitation subject to this chapter, the issuer shall perform such of the following acts as may be duly requested in writing with respect to the same subject matter or meeting by any security holder who is, or secur…

(1) If any holder or holders of the securities of an issuer (hereafter referred to as the "proponent") notifies the issuer in writing not less than 90 days before the issuer's annual meeting of his intention to present a lawful proposal for action at a forthcoming meeting of the …

No proxy statement, form of proxy, notice of meeting, information statement, or other communication, written or oral, subject to this chapter shall contain any statement which, at the time and in the light of the circumstances under which it is made, is false or misleading with r…

No person making a solicitation which is subject to this chapter shall solicit any undated or postdated proxy or any proxy which provides that it shall be deemed to be dated as of any date subsequent to the date on which it is signed by the security holder. Author: Commissioner o…

(1) Solicitations to Which This Rule Applies. This rule applies to any solicitation subject to this chapter by any person or group for the purpose of opposing a solicitation subject to this chapter by any other person or group with respect to the election or removal of directors …

Notwithstanding the foregoing rules, the Commissioner may permit the solicitation of proxies, consents, or authorizations, provided that the manner of solicitation and the form of proxy, proxy statement and other documents used in such solicitation comply with the National Associ…

This chapter shall be effective on or after June 1, 1981, and will supersede Departmental Regulation No. 42, effective October 15, 1969. Author: Commissioner of Insurance Notes Ala. Admin. Code r. 482-1-042-.16 New Rule: October 5, 1969; effective October 15, 1969. Revised: Febru…

This chapter is promulgated by the Commissioner of Insurance pursuant to Section 27-2-17, Code of Ala. 1975. Author: Commissioner of Insurance Notes Ala. Admin. Code r. 482-1-043-.01 New Rule: January 12, 1976; effective January 22, 1976. Revised: Filed December 19, 2007; effecti…

The purpose of this chapter is to govern the writing of mortgage guaranty insurance in this State. Author: Commissioner of Insurance Notes Ala. Admin. Code r. 482-1-043-.02 New Rule: January 12, 1976; effective January 22, 1976. Revised: Filed December 19, 2007; effective January…

Mortgage guaranty insurance is insurance for the protection of mortgage lenders against loss by reason of non-payment of mortgage indebtedness by the borrower. This class of insurance may be transacted by an insurer holding a subsisting Certificate of Authority for the transactio…

In addition to laws or regulations otherwise applicable, mortgage guaranty insurers shall be subject to the following limitations: (a) No insurer shall retain risk as to any one subject of insurance in any amount exceeding ten (10) percent of its surplus as to regards policyholde…

In addition to the customary unearned premium reserve required of casualty insurers pursuant to Section 27-36-3, Code of Ala. 1975, each mortgage guaranty insurer shall establish a contingency reserve which shall be maintained for ten (10) years for the purpose of protecting agai…

Mortgage guaranty insurance shall be subject to the rate filing requirements of Section 27-13-1, et seq., Code of Ala. 1975. Author: Commissioner of Insurance Notes Ala. Admin. Code r. 482-1-043-.06 New Rule: January 12, 1976; effective January 22, 1976. Revised: Filed December 1…

All policy forms and endorsements shall be filed with and be subject to the approval of the Commissioner pursuant to Section 27-14-8, Code of Ala. 1975. With respect to owner-occupied single family dwellings, the mortgage insurance policy shall provide that the borrower shall not…

Producers of mortgage guaranty insurers shall be licensed, pursuant to Section 27-7-1 et seq., Code of Ala. 1975, and be subject to the same qualifications and requirements as apply to producers of general casualty insurance. Author: Commissioner of Insurance Notes Ala. Admin. Co…

If a court holds any paragraph or portion of a paragraph of this chapter or the applicability thereof to any person or circumstance invalid, the remainder of the chapter shall not be affected thereby. Author: Commissioner of Insurance Notes Ala. Admin. Code r. 482-1-043-.09 New R…

This chapter shall be effective upon its approval by the Commissioner of Insurance, and upon its having been on file as a public document in the office of the Secretary of State for ten days. Author: Commissioner of Insurance Notes Ala. Admin. Code r. 482-1-043-.10 New Rule: Janu…

Notes Ala. Admin. Code r. 482-1-052-.01 Revised: January 22, 1996; effective February 5, 1996. Filed for codification in the Alabama Administrative Code by the Department of Insurance on November 14, 2005, pursuant to the Code of Ala. 1975, § 27-7-43. Repealed by Alabama Administ…

Notes Ala. Admin. Code r. 482-1-052-.02 Revised: January 22, 1996; effective February 5, 1996. Filed for codification in the Alabama Administrative Code by the Department of Insurance on November 14, 2005, pursuant to the Code of Ala. 1975, § 27-7-43. Repealed by Alabama Administ…

Notes Ala. Admin. Code r. 482-1-052-.03 Revised: January 22, 1996; effective February 5, 1996. Filed for codification in the Alabama Administrative Code by the Department of Insurance on November 14, 2005, pursuant to the Code of Ala. 1975, § 27-7-43. Repealed by Alabama Administ…

This chapter is promulgated by the Commissioner of Insurance pursuant to Section 27-2-17, Code of Ala. 1975. Author: Commissioner of Insurance Notes Ala. Admin. Code r. 482-1-054-.01 New Rule: September 22, 2000, Effective October 2, 2000. Revised: April 21, 2003, Effective May 1…

The following definitions shall apply for purposes of this chapter: (a) Breach of trust. A wrongful act, use, misappropriation or omission with respect to any property or fund which has been committed to a person in a fiduciary or official capacity, or the misuse of one's officia…

(1) The Commissioner of Insurance shall be notified within thirty days of the happening of any one or more of the following: (a) The suspension or revocation of a licensee's license, certificate of authority, or right to transact business in another state. (b) The receipt by a li…

The information to be filed in accordance with this chapter is considered to be part of an investigation and examination of the licensee in accordance with Sections 27-2-19, et seq., Code of Ala. 1975. In accordance with Chapter 482-1-104, this information will be considered conf…

The provisions of this chapter shall become effective upon its approval by the Commissioner of Insurance and upon its having been on file as a public document in the office of the Secretary of State for ten (10) days. Author: Commissioner of Insurance Notes Ala. Admin. Code r. 48…

This chapter is promulgated by the Commissioner of Insurance pursuant to Alabama Code Sections 27-2-17 and 27-29-8, Code of Ala. 1975. Author: Commissioner of Insurance Notes Ala. Admin. Code r. 482-1-055-.01 Revised: July 5, 1994; effective July 15, 1994. Filed for codification …

The purpose of this chapter is to set forth rules and procedural requirements which the Commissioner deems necessary to carry out the provisions of the Alabama Insurance Holding Company System Regulatory Act, Sections 27-29-1, et seq., Code of Ala. 1975, hereinafter referred to a…

If any provision of this chapter, or the application thereof to any person or circumstance, is held invalid, such determination shall not affect other provisions or applications of this chapter which can be given effect without the invalid provision or application, and to that en…