(a) No person shall willfully collect any sum as premium or charge for insurance which insurance is not then provided or is not in due course to be provided, subject to acceptance of the risk by the insurer, by an insurance policy issued by an insurer as permitted by this title.
(b) No person shall willfully collect as premium or charge for insurance any sum in excess of the premium or charge applicable to the insurance and as specified in the policy in accordance with the applicable classifications and rates as filed with, and approved by, the commissioner or, in cases where classifications, premiums, or rates are not required by this title to be so filed and approved, the premiums and charges shall not be in excess of those specified in the policy and as fixed by the insurer. This section shall not be deemed to prohibit the charging and collection by surplus line brokers licensed under Chapter 10 of this title of the amount of applicable state and federal taxes in addition to the premium required by the insurer; nor shall it be deemed to prohibit the charging and collection by a life insurer of amounts actually to be expended for medical examination of an applicant for life insurance or for reinstatement of a life insurance policy; nor shall it be deemed to prohibit an Alabama licensed producer from charging a collection fee of up to one and one-half percent per month on unpaid balances for insurance premiums; nor shall it be deemed to prohibit the charging of administrative fees by an Alabama licensed producer to process property and casualty insurance applications when the fees have been approved by the commissioner.
(c) Each violation of this section shall be punishable under Section 27-1-12.
Structure Code of Alabama
Chapter 12 - Trade Practices Law.
Section 27-12-1 - Purpose of Chapter; Short Title.
Section 27-12-2 - General Prohibition Against Unfair Competition, Etc.
Section 27-12-7 - False Statements and Entries.
Section 27-12-8 - Boycotts, Coercion, and Intimidation.
Section 27-12-9 - Malicious Statements on Financial Condition.
Section 27-12-10 - Financial Inducements to Purchase Insurance.
Section 27-12-11 - Life, Annuity, and Disability Insurance - Unfair Discrimination in Rates, Etc.
Section 27-12-14 - Inducements as to Property, Casualty, or Surety Insurance.
Section 27-12-15 - Purchase of Insurance as Condition Precedent to Sale or Loan on Property.
Section 27-12-16 - Common Ownership, Management, and Directorships.
Section 27-12-18 - Statement of Charges; Hearing, Order, and Review Thereon.
Section 27-12-19 - Service of Statements, Notices, Orders, and Other Processes.
Section 27-12-20 - Review of Commissioner's Cease and Desist Orders.
Section 27-12-21 - Proceedings on Unfair Competition, etc., Not Defined Under Chapter - Generally.
Section 27-12-23 - False Statements, etc., in Insurance Application.
Section 27-12-24 - Refusal of Insurer to Pay or Settle Claims.