No insurer shall, without just cause, refuse to pay or settle claims arising under coverages provided by its policies in this state and with such frequency as to indicate a general business practice in this state, which general business practice is evidenced by:
(1) A substantial increase in the number of complaints against the insurer received by the Insurance Department;
(2) A substantial increase in the number of lawsuits against the insurer or its insureds by claimants; and
(3) Other relevant evidence.
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.