(a) If a lender fails to provide notice as required by Section 27-22-61 or Section 27-22-62, interest begins to accrue on the date the lender received the insurance proceeds.
(b) If a lender fails to release insurance proceeds as required by Section 27-22-62, interest begins to accrue on the date the lender receives sufficient evidence of the insured's compliance with the requirements specified by the lender under Section 27-22-61 or Section 27-22-62 for release of the proceeds.
(c) Interest stops accruing on the date the lender complies with Section 27-22-61 or Section 27-22-62, as applicable.
Structure Code of Alabama
Chapter 22 - Property Insurance Contracts.
Article 4 - Insurance Payments to Lender.
Section 27-22-60 - Definitions.
Section 27-22-61 - Notice to Insured of Requirements for Release of Insurance Proceeds.
Section 27-22-62 - Duties of Lenders Upon Request of Release.
Section 27-22-63 - Failure to Provide Notice or to Release Insurance Proceeds.