# AL Insurance Bulletin issued 2000-07-17: Installment Fee Plan Filing Requirements > Alabama · Agency guidance · In force URL: https://www.frixlaw.com/law-library/statutes/AL_INS_UB_Bulletins2000_InstallFee ## Section - **Citation:** AL Insurance Bulletin issued 2000-07-17 - **Heading:** Installment Fee Plan Filing Requirements - **Jurisdiction:** Alabama - **Kind:** Agency guidance - **Status:** In force - **Text as of:** August 14, 2026 - **Source:** Compiled text - **Location:** Alabama Department of Insurance Bulletins / Installment Fee Plan Filing Requirements ## Text DATE: July 17, 2000 RE: Installment Fee Plan Filing Requirements In accordance with the authority set forth in Chapter 13 of Title 27, Code of Alabama 1975, property, casualty and surety insurers are required to file with this Department a copy of any and all insurance rules and rate manuals, etc., prior to using them in this state. These filings are deemed approved as filed if not disapproved by this Department within thirty (30) days of our receipt of the filing. The Department has regulatory jurisdiction and authority to promulgate regulations and bulletins regarding premium installment fee plans. Until now, the Department has never issued any such regulations or bulletins. Historically, the Department has reviewed premium installment plans submitted by insurers, but the Department has informed insurers only on a case-by-case basis of its position regarding the review of filings for installment payment fees. This bulletin shall serve as official notice to all property, casualty and surety insurers that the filing requirement set forth in Chapter 13 also includes premium installment fee plans insurers may offer their policyholders as an alternative to the advance payment of the entire annual or semi-annual premium. These fees are to be considered premium for purposes of premium tax and rate making. Installment fees should be disclosed in rate submissions for the same number of years as premium, loss and expense data. Additionally, this Department requires the disclosure of the minimum premium to which the installment fee option may be applicable e fees are to be considered premium for purposes of premium tax and rate making. Installment fees should be disclosed in rate submissions for the same number of years as premium, loss and expense data. Additionally, this Department requires the disclosure of the minimum premium to which the installment fee option may be applicable. In reviewing these rate filings for reasonableness, the Department applies the same standard applicable to premium finance companies under Section 27-40-9, Code of Alabama 1975. Thus, the installment fee can be a maximum of $9.00 per $100.00 per annum plus an additional charge not to exceed $15.00 per policy. The formulas that may be used to determine the minimum premium after downpayment for this purpose are as follows: In the case of an annual policy: ((Installment fee x # of installments) - $15.00) / 0.09 = minimum premium after downpayment In the case of a semi-annual policy: ((Installment fee x # of installments) - $15.00) / 0.045 = minimum premium after downpayment Please make sure when filing your installment fee schedule that all the following components are indicated in the final printed manual: number of installments, installment fee amount, policy term, and minimum premium after downpayment allowed under your plan. Installment fee plans currently in use, which have not been approved, must be submitted for approval within thirty (30) days. ## Nearby sections - [AL Insurance Bulletin issued 1985-08-30 Unfair Trade Practices (REPLACED by Bulletin No. 2016-04, dated 6/8/2016)](https://www.frixlaw.com/law-library/statutes/AL_INS_UB_UnFairTradePracticesBulletin.md) - [AL Insurance Bulletin issued 1998-03-05 Approval of Arbitration Agreements Departmental Guidelines and Requirements](https://www.frixlaw.com/law-library/statutes/AL_INS_UB_Bulletins1998_Arbitration.md) - [AL Insurance Bulletin issued 1998-10-26 Accidental Death Policy Limitation on Payment](https://www.frixlaw.com/law-library/statutes/AL_INS_UB_1998_10_26_AccidentalDeathPolicyLimitationOnPayment.md) - [AL Insurance Bulletin issued 2000-06-23 Federal Health Insurance Requirements](https://www.frixlaw.com/law-library/statutes/AL_INS_UB_Bulletins2000_HealthInsurance.md) - [AL Insurance Bulletin issued 2000-06-28 Rate Manual Filing Requirements](https://www.frixlaw.com/law-library/statutes/AL_INS_UB_Bulletins2000_RateFiling.md) - [AL Insurance Bulletin issued 2000-06-30 Address Designations](https://www.frixlaw.com/law-library/statutes/AL_INS_UB_Bulletins2000_Designations.md) - [AL Insurance Bulletin issued 2000-07-03 Sales of Unregistered Securities](https://www.frixlaw.com/law-library/statutes/AL_INS_UB_Bulletins2000_UnregisterSecurities.md) - [AL Insurance Bulletin issued 2000-07-17 Installment Fee Plan Filing Requirements](https://www.frixlaw.com/law-library/statutes/AL_INS_UB_Bulletins2000_InstallFee.md) - [AL Insurance Bulletin issued 2000-07-25 Alabama Long-Term Care Insurance Minimum Standards Act - Revisions to Alabama Insurance Regulation No. 91](https://www.frixlaw.com/law-library/statutes/AL_INS_UB_Bulletins2000_Regulation91.md) - [AL Insurance Bulletin issued 2000-09-21 Surcharges for Accidents Caused by Defective Tires](https://www.frixlaw.com/law-library/statutes/AL_INS_UB_Bulletins2000_Surcharges.md) - [AL Insurance Bulletin issued 2000-10-06 HIPAA/AHIP: Notice to Employees of Cancellation](https://www.frixlaw.com/law-library/statutes/AL_INS_UB_Bulletins2000_HIPAA.md) - [AL Insurance Bulletin issued 2001-03-30 Rate Manual Filing Requirements](https://www.frixlaw.com/law-library/statutes/AL_INS_UB_Bulletins2001_RateManual.md) - [AL Insurance Bulletin issued 2001-06-29 Mental Health Parity Cost Report](https://www.frixlaw.com/law-library/statutes/AL_INS_UB_Bulletins2001_MentalHealth.md) - [AL Insurance Bulletin issued 2001-07-05 Privacy Compliance Survey](https://www.frixlaw.com/law-library/statutes/AL_INS_UB_Bulletins2001_PrivacyCompliance.md) --- Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/AL_INS_UB_Bulletins2000_InstallFee. Check the current official text before relying on it. Not legal advice.