§ 32-7-35 — Alabama Automobile Insurance Plan; Issuance of Motor Vehicle Liability Policies; Appeals; Reporting; Rulemaking Authority

Alabama § 32-7-35

• Jurisdiction: Alabama
• Title 32: Motor Vehicles and Traffic
• Ch. 7: Motor Vehicle Safety-Responsibility Act

Text

(a) After consultation with insurance companies authorized to issue motor vehicle liability policies in this state, the Commissioner of Insurance shall approve a reasonable plan, to be known as the Alabama Automobile Insurance Plan, for the equitable apportionment of costs among insurance companies for motor vehicle liability policy applicants for motor vehicle liability policies who are unable to procure such policies through ordinary methods. The Alabama Automobile Insurance Plan shall be administered in accordance with the plan by a governing committee, consisting of members approved by the commissioner. Once the commissioner approves the plan, all insurance companies authorized to issue motor vehicle liability policies in this state shall subscribe to the plan.
(b) The governing committee may authorize one or more service providers to issue motor vehicle liability policies in the name of the Alabama Automobile Insurance Plan and provide policyholder and claims services. Any policy issued pursuant to this section shall be recognized as if issued by an insurance company authorized to issue insurance in this state. The policy shall be considered as proof of financial responsibility or insurance pursuant to Chapter 7 and Chapter 7A or any other applicable requirement of state law.
(c) Any applicant for, or any person insured by a policy provided under the Alabama Automobile Insurance Plan, and any insurance company affected by the administration of the plan may appeal to the commissioner from any ruling or decision of the governing committee. Any person aggrieved hereunder by any order or act of the commissioner, within 10 days after notice thereof, may file a petition in the Circuit Court of Montgomery County, Alabama, for a review thereof. The court shall summarily hear the petition and may enter any appropriate order or judgment.
(d) This section shall not revoke any exception granted to the automobile assigned risk plan under any other provision of this code.
(e) Annually, the governing committee shall file an audited financial report with the commissioner.
(f) The commissioner may establish regulations required to implement the purposes of this section.

Legislative History

(Acts 1951, No. 704, p. 1224, §35, Act 2024-38, §1.)