HB350 Summary

• Creates the Property Insurance Clarity Act requiring all insurance companies transacting business in Alabama to annually submit to the Department of Insurance direct incurred losses, number of policies written, and direct earned premiums for homeowners and commercial property insurance, disaggregated by county and zip code, with submission deadline of October 1.

• Requires the Department of Insurance to compile submitted data into a statewide database and post aggregate information on its website by January 15, 2013, updated annually, broken down separately for homeowners and commercial property policies by peril type including fire, wind/hail, water, theft, liability, tornado, and wind-driven water.

• Mandates the Department of Insurance post a general description of rate-making methodology that insurance companies may use for establishing homeowner and commercial property rates.

• Requires insurance companies to provide historical data back to January 1, 1990, with the Department compiling and posting aggregate totals by year, county, and zip code.

• Imposes penalties for non-compliance including fines of $2,500 per day for companies that fail to comply after a 90-day extension, and suspension from selling new policies if non-compliance continues more than 30 days after extension; shields the commissioner and department employees from liability for actions taken under this act.