Ala. Code
Code of Alabama

Ala. Code § 25-5-251 (2026)

Membership Requirements.

✓ official Alabama Legislature (ALISON) text, current July 2026
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(a) All employers who elect to be self-insurers for workers’ compensation as provided in Article 1, other than self-insurers which are governmental entities, or public utilities, shall be members of the association as a condition of their authority to self-insure. Membership shall be sufficient security for self-insurance.

(b) Membership in the association shall cease when the employer terminates its self-insurance election. However, terminating members shall be and remain liable for the period of time in which they were members of the association and for any subsequent assessments made for that period.

(c) Membership in the association may be terminated for nonpayment of assessments.

(d) The association shall not issue stock and its members shall not, as such, be liable for its obligations.

(Acts 1989, No. 89-533, p. 1092, §2; Acts 1992, No. 92-537, p. 1082, §36.)

Notes of Decisions
Cited in 1 case, 2010–2010 · leading case: Alabama Ins. Guar. Ass'n v. Ass'n of Gen. Contractors Self-Insurer's Fund, 80 So. 3d 188 (Ala. 2010).
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Alabama Ins. Guar. Ass'n v. Ass'n of Gen. Contractors Self-Insurer's Fund, 80 So. 3d 188 (Ala. 2010). · cites it 8× “" Ala.Code 1975, § 25-5-251. The purpose of the Alabama Workmen's Compensation Self-Insurers Guaranty Association is "to create and fund an insolvency fund to assure payment of worker's compensation claims due from self-insuring employers who are members of the association and…”
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