AL SB509

Insurers are prohibited from unilaterally changing deductibles in property or casualty insurance policies for individuals without providing written notice to the named insured.

Written notice must be given at least 60 days before the policy expiration date.

If an insurer fails to provide required notice, the existing deductible remains in effect until notice is provided or until replacement coverage becomes effective, whichever occurs first.

Deductible changes can only occur at the time of policy renewal and become effective the day following the prior policy's expiration if the insured accepts the change.

The act becomes effective on the first day of the third month following its passage and approval by the Governor.