The purposes of this chapter are:

1. (1) To regulate the activities of insurers and producers, with respect to the collection of monies for certain types of insurance coverages;
2. (2) To assure that the prospective policyowner receives adequate proof of payment for insurance purchased;
3. (3) To reduce the opportunity for misrepresentation and/or incomplete disclosures; and
4. (4) To establish penalties for failure to comply with the requirements of this chapter.

Author: Commissioner of Insurance

Statutory Authority: Code of Ala. 1975, §§27-2-17; 27-2-7(4).

History: New Rule: July 7, 1982; effective October 1, 1982. Revised: December 22, 2004; effective January 1, 2005. Filed with LRS December 22, 2004. Rule is not subject to the Alabama Administrative Procedure Act.