HB31 Alabama 2021 Session

Under existing law, captive insurance companies are licensed and regulated by the Alabama Department of Insurance

This bill would revise certain definitions relating to captive insurance companies, would authorize insurance to be placed on risks in alien jurisdictions under certain conditions, and would revise certain security requirements for the payment of liabilities attributable to branch operations

This bill would also revise certain requirements relating to an Alabama Coastal Captive Insurance Company, would provide for the issuance of certificates of dormancy for captive insurance companies that meet certain requirements, and would require dormant captive insurance companies to take certain action

Relating to captive insurance companies; to amend Sections 27-31B-2, 27-31B-3, 27-31B-6, and 27-31C-3, Code of Alabama 1975, to revise certain definitions; to authorize insurance to be placed on risks in alien jurisdictions under certain conditions; to revise certain security requirements for the payment of liabilities attributable to branch operations; to revise certain requirements relating to an Alabama Coastal Captive Insurance Company; to provide for the issuance of certificates of dormancy for captive insurance companies that meet certain requirements; to require dormant captive insurance companies to take certain action; to add Section 27-31C-3.1 to the Code of Alabama 1975; and to repeal Section 27-31C-4, Code of Alabama 1975, relating to Alabama Coastal Captive Insurance Companies.