AL SB278

Rate filings for private personal automobile insurance with overall statewide increases or decreases of no more than 15 percent may take effect on the date filed, without prior Commissioner approval.

Individual policyholders cannot be subjected to rate increases exceeding 25 percent at renewal, excluding premium changes from symbol updates, policy changes, driver age classification changes, or other unchanged rating factors.

Insurers may file only one rate change per insurance line within any 12-month period under this expedited process, unless combined filings do not exceed the 15 percent aggregate limit.

Rate filings are presumed compliant with state law unless the Commissioner determines they are unreasonably high, inadequate, or unfairly discriminatory within 30 days of filing; orders issued after 30 days apply prospectively only.

Insurers must provide written notice at least 30 days before policy renewal disclosing intent to change rates, with payment of premium constituting consent to the increase.