Alabama HB27 expands catastrophe savings accounts to cover more expenses and sets contribution limits.

Alabama HB27 amends the Code of Alabama to expand the allowable expenses covered by catastrophe savings accounts. These accounts, used by residential property owners to cover uninsured portions of risks from windstorm events, now also cover the annual cost of a FORTIFIED endorsement, mitigation actions, and reroofing costs. The bill sets caps on contributions to these accounts, limiting them to twice the insurance deductible or $15,000, whichever is less, plus additional amounts for other qualified catastrophe expenses up to $15,000.

Alabama HB27 expands catastrophe savings accounts to cover more expenses and sets contribution limits.

Alabama HB27 amends the Code of Alabama to expand the allowable expenses covered by catastrophe savings accounts. These accounts, used by residential property owners to cover uninsured portions of risks from windstorm events, now also cover the annual cost of a FORTIFIED endorsement, mitigation actions, and reroofing costs. The bill sets caps on contributions to these accounts, limiting them to twice the insurance deductible or $15,000, whichever is less, plus additional amounts for other qualified catastrophe expenses up to $15,000.