AL| Alabama Department of Insurance Revised Bulletin 2025-08, effective immediately, applies to all admitted personal and commercial property and automobile insurers (including the Alabama Insurance Underwriting Association) and deems certain actions unlawful trade practices under Ala. Code §§ 27-12-1 et seq., prohibiting insurers from cancelling or non-renewing policies on or after January 1, 2026, and from imposing premium surcharges or moving insureds to higher-priced tiers for new business written on or after March 15, 2026 and renewals on or after May 15, 2026, when such actions are based solely on claims arising from catastrophes, natural disasters, acts of nature, weather-related causes, or losses from events not affecting the line of business in which the policy is placed.

The Bulletin clarifies that prohibited actions now explicitly include losses from events outside the affected line of business, requires non-compliant insurers to file amended rating manuals via SERFF by February 15, 2026, and maintains that insurers may still cancel or non-renew for additional substantial reasons (such as concealment, misrepresentation, or fraud) and may remove claims-free discounts after catastrophe or weather-related claims, while still barring removal of such discounts when the loss involves an event not affecting the line of business.

Click here to see AL Revised Bulletin 2025-08