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Home » US Law » 2022 Code of Alabama » Title 27 - Insurance. » Chapter 31C - Alabama Coastal Captive Insurance Act. » Section 27-31C-8 – Application Notice and Acknowledgement.

Section 27-31C-8

Application notice and acknowledgement.

(a) An Alabama Coastal Captive Insurance Company shall include the following notice on each application form for insurance, as well as the declaration page of each policy, in no less than fourteen-point bold type:

“NOTICE

This policy is issued by a captive insurance company which is not subject to all of the insurance laws and regulations of the State of Alabama. Insurance solvency guaranty funds are not available for a captive insurance company.”

(b) An Alabama Coastal Captive Insurance Company shall include the following acknowledgement on each application form for insurance, as well as in each policy, in no less than fourteen-point bold type and directly above the applicant’s or insured’s signature:

“I have read the notice contained in this application (or policy) and understand that State of Alabama insurance insolvency guaranty funds are not available for an Alabama Coastal Captive Insurance Company.”

(Act 2008-391, p. 742, §2.)