Alabama § 27-31-20 - Liability of Subscribers - Generally.
Full text of Alabama Code of Alabama § 27-31-20 — Liability of Subscribers - Generally., with citation guidance and answers to common questions.
§ 27-31-20. Liability of Subscribers - Generally.
(a) The liability of each subscriber, other than as to a nonassessable policy, for the obligations of the reciprocal insurer shall be an individual, several and proportionate liability and not joint.
(b) Except as to a nonassessable policy, each subscriber shall have a contingent assessment liability, in the amount provided for in the power of attorney or in the subscribers’ agreement, for payment of actual losses and expenses incurred while his policy was in force. Such contingent liability may be at the rate of not less than one nor more than 10 times the premium or premium deposit stated in the policy, and the maximum aggregate thereof shall be computed in the manner set forth in Section 27-31-24.
(c) Each assessable policy issued by the insurer shall contain a statement of the contingent liability.
Source: official Alabama text · Last verified 2026-08-27
Frequently Asked Questions About Alabama § 27-31-20
What does Code of Alabama § 27-31-20 cover?
Section 27-31-20 ("Liability of Subscribers - Generally.") is part of the Code of Alabama, the codified statutory law of Alabama. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite Alabama § 27-31-20?
A common citation format is "Code of Alabama § 27-31-20" (Alabama). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of Alabama law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the Alabama official source linked on this page or consult a licensed Alabama attorney.
How does Alabama § 27-31-20 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in Alabama can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in Alabama.