AL
Alabama House Bill HB148

Alabama 2025 Regular Session

Alabama House Bill HB148 Compare Versions

Only one version of the bill is available at this time.
OldNewDifferences
11 HB148INTRODUCED
22 Page 0
33 HB148
44 KXJFAUA-1
55 By Representatives Pettus, Faulkner, Kirkland
66 RFD: Public Safety and Homeland Security
77 First Read: 04-Feb-25
88 1
99 2
1010 3
1111 4
1212 5 KXJFAUA-1 01/29/2025 CMH (L)bm 2025-297
1313 Page 1
1414 First Read: 04-Feb-25
1515 SYNOPSIS:
1616 Under existing law, an operator of a motor
1717 vehicle is required to carry evidence of liability
1818 insurance inside the vehicle.
1919 This bill would provide that the insurance
2020 requirements of the state of registration apply for any
2121 motor vehicle registered in another state.
2222 A BILL
2323 TO BE ENTITLED
2424 AN ACT
2525 Relating to mandatory automobile liability insurance;
2626 to amend Sections 32-7A-4, 32-7A-5, and 32-7A-6, Code of
2727 Alabama 1975, to provide that the insurance requirements of
2828 the state of registration for a motor vehicle apply for
2929 vehicles registered in another state.
3030 BE IT ENACTED BY THE LEGISLATURE OF ALABAMA:
3131 Section 1. Sections 32-7A-4, 32-7A-5, 32-7A-6, Code of
3232 Alabama 1975, are amended to read as follows:
3333 "§32-7A-4
3434 (a) No person shall operate, register, or maintain
3535 registration of, and no owner shall permit another person to
3636 operate, register, or maintain registration of, a motor
3737 1
3838 2
3939 3
4040 4
4141 5
4242 6
4343 7
4444 8
4545 9
4646 10
4747 11
4848 12
4949 13
5050 14
5151 15
5252 16
5353 17
5454 18
5555 19
5656 20
5757 21
5858 22
5959 23
6060 24
6161 25
6262 26
6363 27
6464 28 HB148 INTRODUCED
6565 Page 2
6666 operate, register, or maintain registration of, a motor
6767 vehicle designed to be used on a public highway unless the
6868 motor vehicle is covered by a liability insurance policy, a
6969 commercial automobile liability insurance policy, motor
7070 vehicle liability bond, or deposit of cash.
7171 (b)(1) For motor vehicles registered in this state, all
7272 of the following shall apply:
7373 a. The liability insurance policy or commercial
7474 automobile liability insurance policy shall be issued in
7575 amounts no less than the minimum amounts set for bodily injury
7676 or death and for destruction of property under Section
7777 32-7-6(c).
7878 (2)b. The motor vehicle liability bond shall be in the
7979 amount of not less than the minimum amounts of liability
8080 coverage for bodily injury or death and for destruction of
8181 property under subsection (c) of Section 32-7-6(c). The bond
8282 shall be conditioned on the payment of the amount of any
8383 judgment rendered against the principal in the bond or any
8484 person responsible for the operation of the principal's motor
8585 vehicle with his or her express or implied consent, arising
8686 from injury, death, or damage sustained through the use,
8787 operation, maintenance, or control of the motor vehicle within
8888 the State of Alabama.
8989 (3)c. The deposit of cash with the State Treasurer
9090 shall be in the amount of not less than the minimum amounts
9191 set for bodily injury or death and for destruction of property
9292 under subsection (c) of Section 32-7-6(c).
9393 (2) For motor vehicles registered in another state, the
9494 liability insurance policy, commercial automobile liability
9595 29
9696 30
9797 31
9898 32
9999 33
100100 34
101101 35
102102 36
103103 37
104104 38
105105 39
106106 40
107107 41
108108 42
109109 43
110110 44
111111 45
112112 46
113113 47
114114 48
115115 49
116116 50
117117 51
118118 52
119119 53
120120 54
121121 55
122122 56 HB148 INTRODUCED
123123 Page 3
124124 liability insurance policy, commercial automobile liability
125125 insurance policy, motor vehicle liability bond, or deposit of
126126 cash shall conform to the requirements of the laws of the
127127 state of registration.
128128 (c) Only an insurer authorized to do business in this
129129 state shall issue a policy pursuant to this section for any
130130 vehicle subject to registration under Chapter 12 of Title 40.
131131 Nothing hereinin this section shall deprive an insurer of any
132132 policy defense available at common law.
133133 (d) Notwithstanding the provisions in subsection (c),
134134 any insurance policies issued by non-admitted insurance
135135 companies procured through Alabama licensed surplus lines
136136 insurance brokers, pursuant to the provisions of Section
137137 27-10-20 for the amounts prescribed under subsection (c) of
138138 Section 32-7-6(c), shall be deemed to be in compliance with
139139 this chapter providedif the brokers are licensed with the
140140 Department of Insurance and the brokers transfer all required
141141 insurance information in the manner and frequency as
142142 prescribed by the department."
143143 "§32-7A-5
144144 (a) This chapter shall not apply to any of the
145145 following vehicles or operators:
146146 (1) Trailers as defined in Section 40-12-240,
147147 including, but not limited to, semitrailers, travel trailers,
148148 boat trailers, pole trailers, and utility trailers.
149149 (2) Motor vehicles owned and operated by the United
150150 States or any agency thereof, the State of Alabama, or any
151151 political or governmental subdivision thereof.
152152 (3) Any motor vehicle that is subject to the
153153 57
154154 58
155155 59
156156 60
157157 61
158158 62
159159 63
160160 64
161161 65
162162 66
163163 67
164164 68
165165 69
166166 70
167167 71
168168 72
169169 73
170170 74
171171 75
172172 76
173173 77
174174 78
175175 79
176176 80
177177 81
178178 82
179179 83
180180 84 HB148 INTRODUCED
181181 Page 4
182182 (3) Any motor vehicle that is subject to the
183183 supervision and regulation of the Federal Motor Carrier Safety
184184 Administration or the Alabama Public Service Commission and
185185 for which the owner or operator has filed evidence of
186186 financial responsibility, the liability under which is not
187187 less than that required of the operator of a motor vehicle
188188 under the terms of this chapter.
189189 (4) Motor vehicles covered by a certificate of
190190 self-insurance issued by the director under Section 32-7-34.
191191 (5) Other motor vehicles complying with laws that
192192 require the vehicles to be insured in amounts meeting or
193193 exceeding the minimum amounts required under Section
194194 32-7-6(c).
195195 (6) Implements of husbandry as defined in Section
196196 32-8-2.
197197 (7) Any vehicle moved solely by animal power.
198198 (8) Special mobile equipment, as defined in Section
199199 32-8-2.
200200 (9) Inoperable or stored motor vehicles; provided,
201201 however, that this does not relieve or nullify any affirmative
202202 duty to maintain insurance coverage pursuant to a security
203203 agreement.
204204 (10) Motor vehicles owned by a licensed motor vehicle
205205 dealer, wholesaler, or rebuilder and held in inventory that
206206 are covered by a blanket liability insurance policy or
207207 commercial automobile liability insurance policy.
208208 (11) Vehicles properly registered in another
209209 jurisdiction and not legally required to be registered
210210 pursuant to Chapter 12 of Title 40.
211211 85
212212 86
213213 87
214214 88
215215 89
216216 90
217217 91
218218 92
219219 93
220220 94
221221 95
222222 96
223223 97
224224 98
225225 99
226226 100
227227 101
228228 102
229229 103
230230 104
231231 105
232232 106
233233 107
234234 108
235235 109
236236 110
237237 111
238238 112 HB148 INTRODUCED
239239 Page 5
240240 pursuant to Chapter 12 of Title 40.
241241 (12)(11) Vehicles owned by a bank, a subsidiary or
242242 affiliate of a bank, or finance company, acquired as an
243243 incident to their regular business, that are covered by a
244244 blanket liability insurance policy or commercial automobile
245245 liability insurance policy.
246246 (13)(12) Vehicles as prescribed by the commissioner
247247 that are covered by a blanket liability insurance policy or
248248 commercial automobile liability insurance policy.
249249 (b) An individual on active duty with the United States
250250 Armed Forces whose motor vehicle is registered in this state
251251 but who, as a result of his or her military duty or assignment
252252 is required to reside in another state during the registration
253253 period as defined under Section 32-6-61, may satisfy the
254254 requirements of this chapter by purchasing liability coverage
255255 in the state where residing on active military duty or
256256 assignment equal to or greater than the minimum amount
257257 required by Section 32-7A-4 and providing proof of coverage.
258258 An individual's purchase of liability coverage under this
259259 subsection shall not invalidate his or her license or
260260 registration in this state pursuant to Chapter 6."
261261 "§32-7A-6
262262 (a) Every operator of a motor vehicle subject to the
263263 provisions of Section 32-7A-4 shall carry within the vehicle
264264 evidence of insurance. The evidence shall be legible and
265265 sufficient to demonstrate that the motor vehicle currently is
266266 covered by an Alabama liability insurance policy or an Alabama
267267 commercial automobile liability insurance policy as required
268268 under Section 32-7A-4 , or, if the motor vehicle is registered
269269 113
270270 114
271271 115
272272 116
273273 117
274274 118
275275 119
276276 120
277277 121
278278 122
279279 123
280280 124
281281 125
282282 126
283283 127
284284 128
285285 129
286286 130
287287 131
288288 132
289289 133
290290 134
291291 135
292292 136
293293 137
294294 138
295295 139
296296 140 HB148 INTRODUCED
297297 Page 6
298298 under Section 32-7A-4 , or, if the motor vehicle is registered
299299 in another state, evidence of insurance which conforms to the
300300 requirements of the laws of the state in which the vehicle is
301301 registered. The evidence and may include, but is not limited
302302 to, the following:
303303 (1) An insurance card, or temporary insurance card,
304304 provided by the insurer or an authorized representative under
305305 this section.
306306 (2) The combination of proof of purchase of the motor
307307 vehicle within the previous 20 calendar days and a current and
308308 valid insurance card issued for the motor vehicle replaced by
309309 such purchase.
310310 (3) The current declarations page of an Alabama
311311 liability insurance policy.
312312 (4) An Alabama liability insurance binder, or legible
313313 copy thereof, Alabama certificate of liability insurance, or
314314 legible copy thereof; provided such document contains all
315315 information required in this chapter.
316316 (5) A current motor vehicle rental agreement for the
317317 vehicle, which specifies insurance coverage by the rental
318318 company or the operator in the minimum amounts, provided in
319319 Section 32-7-6(c).
320320 (b) The insurer issuing the Alabama liability insurance
321321 policy or the Alabama commercial automobile liability
322322 insurance policy shall provide an Alabama insurance card for
323323 each motor vehicle insured that shall contain the following
324324 information:
325325 (1) The vehicle year model.
326326 (2) The vehicle make.
327327 141
328328 142
329329 143
330330 144
331331 145
332332 146
333333 147
334334 148
335335 149
336336 150
337337 151
338338 152
339339 153
340340 154
341341 155
342342 156
343343 157
344344 158
345345 159
346346 160
347347 161
348348 162
349349 163
350350 164
351351 165
352352 166
353353 167
354354 168 HB148 INTRODUCED
355355 Page 7
356356 (2) The vehicle make.
357357 (3) The vehicle identification number (VIN).
358358 (4) The name of the insured(s).
359359 (5) The name of the insurance company.
360360 (6) The Alabama policy number, not required on
361361 temporary insurance card.
362362 (7) The effective date and expiration date, which shall
363363 cover a period of time not to exceed 12 months.
364364 (8) Insurance company's NAIC number.
365365 (c) Notwithstanding the foregoing, if the insurance
366366 card is issued for a commercial automobile liability insurance
367367 policy, the card may state "FLEET," "COMMERCIAL," "COMMERCIAL
368368 POLICY," or "COMMERCIAL EXEMPT" in lieu of vehicle years,
369369 makes, and VIN'sVINs if vehicle years, makes, and VIN'sVINs
370370 are not captured by the insurer. If the vehicle years, makes,
371371 and VIN'sVINs are captured by the insurer, then the insurer
372372 may provide such information on the insurance card, but must
373373 state "FLEET," "COMMERCIAL," "COMMERCIAL POLICY," or
374374 "COMMERCIAL EXEMPT" on the insurance card. If the insurance
375375 card is issued for a nonowner policy, the card may state
376376 "NONOWNER POLICY" in lieu of the vehicle year, make, and VIN.
377377 (d) All required information shall appear on the front
378378 of the card. The insurance card may include other information
379379 at the discretion of the insurer. Insurance companies may
380380 allow authorized representatives to issue temporary insurance
381381 cards to satisfy the requirements of this chapter. Temporary
382382 insurance cards are not required to have the policy number but
383383 shall contain all other required information.
384384 (e) No insurer shall issue a card, similar in
385385 169
386386 170
387387 171
388388 172
389389 173
390390 174
391391 175
392392 176
393393 177
394394 178
395395 179
396396 180
397397 181
398398 182
399399 183
400400 184
401401 185
402402 186
403403 187
404404 188
405405 189
406406 190
407407 191
408408 192
409409 193
410410 194
411411 195
412412 196 HB148 INTRODUCED
413413 Page 8
414414 (e) No insurer shall issue a card, similar in
415415 appearance, form, and content to the insurance card required
416416 under this section, in connection with an Alabama insurance
417417 policy that does not provide the liability insurance coverage
418418 required under Section 32-7A-4.
419419 (f) Insurance binders, certificates of liability
420420 insurance, and other evidence of insurance as required under
421421 this section, must meet the following requirements (except
422422 where noted):
423423 (1) Insurance company name.
424424 (2) Alabama Policy number - not required on a binder or
425425 temporary insurance card.
426426 (3) Effective date.
427427 (4) Expiration date.
428428 (5) Name of insured(s).
429429 (6) Vehicle year model - not required if issued for a
430430 commercial automobile liability insurance policy or for a
431431 nonowner policy.
432432 (7) Vehicle make - not required if issued for a
433433 commercial automobile liability insurance policy or for a
434434 nonowner policy.
435435 (8) Vehicle identification number - not required if
436436 issued for a commercial automobile liability insurance policy
437437 or for a nonowner policy.
438438 (9) Signature of authorized representative.
439439 (g) The combination proof of purchase of a motor
440440 vehicle, as provided in subsection (a) above, shall consist of
441441 a legible copy of the legal bill of sale if the motor vehicle
442442 is not subject to the provisions of the Alabama Uniform
443443 197
444444 198
445445 199
446446 200
447447 201
448448 202
449449 203
450450 204
451451 205
452452 206
453453 207
454454 208
455455 209
456456 210
457457 211
458458 212
459459 213
460460 214
461461 215
462462 216
463463 217
464464 218
465465 219
466466 220
467467 221
468468 222
469469 223
470470 224 HB148 INTRODUCED
471471 Page 9
472472 is not subject to the provisions of the Alabama Uniform
473473 Certificate of Title and Antitheft Act, or the owner's copy of
474474 the application for certificate of title for a motor vehicle
475475 subject to the provisions of the Alabama Uniform Certificate
476476 of Title and Antitheft Act, or an Alabama certificate of title
477477 issued in the name of the vehicle owner or operator.
478478 (h) The evidence of insurance shall be presented upon
479479 request made by any law enforcement officer wearing a uniform
480480 or presenting a badge, or both , or other sign of authority.
481481 Any person who fails or refuses to comply with such request is
482482 in violation of Section 32-7A-16 unless evidence of motor
483483 vehicle liability insurance or other evidence of financial
484484 responsibility as provided in this chapter is verified through
485485 the online insurance verification system. Any person who
486486 presents evidence of insurance, knowing there is no valid
487487 liability insurance in effect on the motor vehicle as required
488488 under Section 32-7A-4 or knowing the evidence of insurance is
489489 illegally altered, counterfeit, or otherwise invalid, is in
490490 violation of Section 32-7A-16.
491491 (i) The evidence of insurance may be provided in either
492492 a tangible format or in an electronic format. Acceptable
493493 electronic formats include the display of electronic images on
494494 a cellular phone or other electronic device.
495495 (j) The use of a cellular phone or other electronic
496496 device to display evidence of insurance does not constitute
497497 consent for law enforcement or other governmental employees to
498498 access any other content on the electronic device. Any law
499499 enforcement officer or other governmental employee presented
500500 with an electronic device pursuant to this section shall be
501501 225
502502 226
503503 227
504504 228
505505 229
506506 230
507507 231
508508 232
509509 233
510510 234
511511 235
512512 236
513513 237
514514 238
515515 239
516516 240
517517 241
518518 242
519519 243
520520 244
521521 245
522522 246
523523 247
524524 248
525525 249
526526 250
527527 251
528528 252 HB148 INTRODUCED
529529 Page 10
530530 with an electronic device pursuant to this section shall be
531531 subject to the provisions of Section 36-1-12 for damages to
532532 the electronic device resulting from acts taken when viewing
533533 the device pursuant to this section."
534534 Section 2. This act shall become effective on October
535535 1, 2025.
536536 253
537537 254
538538 255
539539 256
540540 257