AL SB84

Authorizes nonprofit agricultural organizations that are exempt from federal income tax under Section 501(c)(5), domiciled in Alabama, in existence prior to 1940, and have members in at least 98 percent of state counties to offer health benefits to members and their families.

Health benefits must be sponsored by the nonprofit agricultural organization or an affiliate and cannot be provided through regulated insurance policies or products.

Requires organizations to provide written notice to applicants that benefits are not provided through insurance and obtain signed acknowledgment before enrollment.

Specifies that nonprofit agricultural organizations offering these benefits are not health insurers and are not engaging in the business of health insurance under Alabama law.

Permits organizations to contract with licensed insurance entities (not under common control) to transfer all or a portion of risks from the health benefits offered.

Becomes effective October 1, 2025.