Ala. Code § 27-22-62: Duties of Lenders Upon Request of Release.

Not later than 10 days after the date a lender receives from the insured a request for release of all or part of the insurance proceeds held by the lender, the lender shall do either of the following:

(1) If the lender has received sufficient evidence of the insured’s compliance with the requirements specified by the lender under Section 27-22-61 for release of the proceeds, the lender shall release to the insured, as requested, all or part of the proceeds.

(2) Provide notice to the insured that explains specifically both of the following:

a. The reason for the lender’s refusal to release the proceeds to the insured.

b. Each requirement with which the insured must comply for the lender to release the proceeds.