Ark. Code Ann. § 23-51-134 — AR Code / Title 23 / Chapter 51 / Section 23-51-134
Acquisition of control
Status: in_force

(a) Except as expressly otherwise permitted, a person may not without the prior written approval of the Bank Commissioner directly or indirectly acquire control of a state trust company through a change in a legal or beneficial interest in voting securities of a state trust company or a corporation or other entity owning voting securities of a state trust company. (b) This chapter does not prohibit a person from negotiating to acquire, but not acquiring, control of a state trust company or a person that controls a state trust company. (c) This section does not apply to: (1) The acquisition of securities in connection with the exercise of a security interest or otherwise in full or partial satisfaction of a debt previously contracted for in good faith if the acquiring person files written notice of acquisition with the commissioner before the person votes the securities acquired; (2) The acquisition of voting securities in any class or series by a controlling person who has previously complied with and received approval under this chapter or who was identified as a controlling person in a prior application filed with and approved by the commissioner; (3) An acquisition or transfer by operation of law, will, or intestate succession if the acquiring person files written notice of acquisition with the commissioner before the person votes the securities acquired; (4) A transaction exempted by the commissioner by rule or order because the transaction is not within the purposes of this chapter or the rule of which is not necessary or appropriate to achieve the objectives of this chapter. Amended by Act 2019, No. 315,§ 2589, eff. 7/24/2019. Acts 1997, No. 940, § 34.

(a) Except as expressly otherwise permitted, a person may not without the prior written approval of the Bank Commissioner directly or indirectly acquire control of a state trust company through a change in a legal or beneficial interest in voting securities of a state trust company or a corporation or other entity owning voting securities of a state trust company.

(b) This chapter does not prohibit a person from negotiating to acquire, but not acquiring, control of a state trust company or a person that controls a state trust company.

(c) This section does not apply to: (1) The acquisition of securities in connection with the exercise of a security interest or otherwise in full or partial satisfaction of a debt previously contracted for in good faith if the acquiring person files written notice of acquisition with the commissioner before the person votes the securities acquired; (2) The acquisition of voting securities in any class or series by a controlling person who has previously complied with and received approval under this chapter or who was identified as a controlling person in a prior application filed with and approved by the commissioner; (3) An acquisition or transfer by operation of law, will, or intestate succession if the acquiring person files written notice of acquisition with the commissioner before the person votes the securities acquired; (4) A transaction exempted by the commissioner by rule or order because the transaction is not within the purposes of this chapter or the rule of which is not necessary or appropriate to achieve the objectives of this chapter.

(1) The acquisition of securities in connection with the exercise of a security interest or otherwise in full or partial satisfaction of a debt previously contracted for in good faith if the acquiring person files written notice of acquisition with the commissioner before the person votes the securities acquired;

(2) The acquisition of voting securities in any class or series by a controlling person who has previously complied with and received approval under this chapter or who was identified as a controlling person in a prior application filed with and approved by the commissioner;

(3) An acquisition or transfer by operation of law, will, or intestate succession if the acquiring person files written notice of acquisition with the commissioner before the person votes the securities acquired;

(4) A transaction exempted by the commissioner by rule or order because the transaction is not within the purposes of this chapter or the rule of which is not necessary or appropriate to achieve the objectives of this chapter.

Amended by Act 2019, No. 315,§ 2589, eff. 7/24/2019.

Acts 1997, No. 940, § 34.
Ark. Code Ann. § 23-2-306 — AR Code / Title 23 / Chapter 2 / Subchapter 3 / Section 23-2-306
Systems of accounts
Status: in_force

The commission may establish by order a uniform system of accounts to be kept by any public utility subject to the commission's jurisdiction or may classify the public utilities and establish a system of accounts for each class, and the commission may prescribe the manner in which the accounts shall be kept. Acts 1935, No. 324, § 22; Pope's Dig., § 2085; A.S.A. 1947, § 73-221.

The commission may establish by order a uniform system of accounts to be kept by any public utility subject to the commission's jurisdiction or may classify the public utilities and establish a system of accounts for each class, and the commission may prescribe the manner in which the accounts shall be kept.

Acts 1935, No. 324, § 22; Pope's Dig., § 2085; A.S.A. 1947, § 73-221.
Ark. Code Ann. § 23-81-814 — AR Code / Title 23 / Chapter 81 / Subchapter 8 / Section 23-81-814
Fraud prevention and control
Status: in_force

(a) FRAUDULENT LIFE SETTLEMENT ACT, INTERFERENCE, AND PARTICIPATION OF CONVICTED FELONS PROHIBITED. (1) A person shall not commit a fraudulent life settlement act. (2) A person shall not knowingly and intentionally interfere with the enforcement of this subchapter or investigations of suspected or actual violations of this subchapter. (3) A person in the business of life settlements shall not knowingly or intentionally permit any person convicted of a felony involving dishonesty or breach of trust to participate in the business of life settlements. (b) FRAUD WARNING REQUIRED. (1) Life settlement contracts and applications for life settlement contracts, regardless of the form of transmission, shall contain the following statement or a substantially similar statement: "Any person who knowingly presents false information in an application for insurance or life settlement contract is guilty of a crime and may be subject to fines and confinement in prison." (2) The lack of a statement as required in subdivision (b)(1) of this section does not constitute a defense in any prosecution for a fraudulent life settlement act. (c) MANDATORY REPORTING OF FRAUDULENT LIFE SETTLEMENT ACT. (1) Any person engaged in the business of life settlements having knowledge or a reasonable belief that a fraudulent life settlement act is being, will be, or has been committed shall provide to the Insurance Commissioner the information required by and in a manner prescribed by the commissioner. (2) Any other person having knowledge or a reasonable belief that a fraudulent life settlement act is being, will be, or has been committed may provide to the commissioner the information required by and in a manner prescribed by the commissioner. (d) IMMUNITY FROM LIABILITY. (1) Civil liability shall not be imposed on and a cause of action shall not arise from a person's furnishing information concerning suspected, anticipated, or completed fraudulent life settlement acts or suspected or completed fraudulent insurance acts if the information is provided to or received from: (A) The commissioner or the commissioner's employees, agents, or representatives; (B) Federal, state, or local law enforcement or regulatory officials or their employees, agents, or representatives; (C) A person involved in the prevention and detection of fraudulent life settlement acts or that person's agents, employees, or representatives; (D) Any regulatory body or its employees, agents, or representatives overseeing life insurance, life settlements, securities, or investment fraud; (E) The life insurer that issued the life insurance policy covering the life of the insured; or (F) The licensee and any agents, employees, or representatives of the licensee. (2) (A) Subdivision (d)(1) of this section does not apply to statements made with actual malice. (B) In an action brought against a person for filing a report or furnishing other information concerning a fraudulent life settlement act or a fraudulent insurance act, the party bringing the action shall plead specifically any allegation that subdivision (d)(1) of this section does not apply because the person filing the report or furnishing the information did so with actual malice. (3) (A) A person identified in subdivision (d)(1) of this section shall be entitled to an award of attorney's fees and costs if he or she is the prevailing party in a civil cause of action for libel, slander, or any other relevant tort arising out of activities in carrying out the provisions of this subchapter and the party bringing the action was not substantially justified in doing so. (B) For purposes of this section, a proceeding is "substantially justified" if it had a reasonable basis in law or fact at the time that it was initiated. (4) This section does not abrogate or modify common law or statutory privileges or immunities enjoyed by a person described in subdivision (d)(1) of this section. (e) CONFIDENTIALITY. (1) The documents and evidence provided pursuant to subsection (d) of this section or obtained by the commissioner in an investigation of suspected or actual fraudulent life settlement acts shall be privileged and confidential, shall not be a public record, and shall not be subject to discovery or subpoena in a civil or criminal action. (2) Subdivision (e)(1) of this section does not prohibit release by the commissioner of documents and evidence obtained in an investigation of suspected or actual fraudulent life settlement acts: (A) In administrative or judicial proceedings to enforce laws administered by the commissioner; (B) To federal, state, or local law enforcement or regulatory agencies, to an organization established for the purpose of detecting and preventing fraudulent life settlement acts, or to the National Association of Insurance Commissioners; or (C) At the discretion of the commissioner, to a person in the business of life settlements that is aggrieved by a fraudulent life settlement act. (3) Release of documents and evidence under subdivision (e)(2) of this section does not abrogate or modify the privilege granted in subdivision (e)(1) of this section. (f) OTHER LAW ENFORCEMENT OR REGULATORY AUTHORITY. This subchapter does not: (1) Preempt the authority or relieve the duty of other law enforcement or regulatory agencies to investigate, examine, and prosecute suspected violations of law; (2) Preempt, supersede, or limit any provision of any state securities law or any rule, order, or notice issued under a state securities law; (3) Prevent or prohibit a person from disclosing voluntarily information concerning life settlement fraud to a law enforcement or regulatory agency other than the State Insurance Department; or (4) Limit the powers granted elsewhere by the laws of this state to the commissioner or an insurance fraud unit to investigate and examine possible violations of law and to take appropriate action against wrongdoers. (g) LIFE SETTLEMENT ANTIFRAUD INITIATIVES. (1) Providers and brokers shall have in place antifraud initiatives reasonably calculated to detect, prosecute, and prevent fraudulent life settlement acts. At the discretion of the commissioner, the commissioner may order or a licensee may request and the commissioner may grant such modifications of the following required initiatives as necessary to ensure an effective antifraud program. The modifications may be more or less restrictive than the required initiatives so long as the modifications may reasonably be expected to accomplish the purpose of this section. Antifraud initiatives shall include: (A) Fraud investigators who may be provider or broker employees or independent contractors; and (B) (i) An antifraud plan that shall be submitted to the commissioner. (ii) The antifraud plan shall include without limitation: (a) A description of the procedures for detecting and investigating possible fraudulent life settlement acts and procedures for resolving material inconsistencies between medical records and insurance applications; (b) A description of the procedures for reporting possible fraudulent life settlement acts to the commissioner; (c) A description of the plan for antifraud education and training of underwriters and other personnel; and (d) A description or chart outlining the organizational arrangement of the antifraud personnel who are responsible for the investigation and reporting of possible fraudulent life settlement acts and investigating unresolved material inconsistencies between medical records and insurance applications. (2) Antifraud plans submitted to the commissioner shall be privileged and confidential, shall not be a public record, and shall not be subject to discovery or subpoena in a civil or criminal action. Acts 2009, No. 796, § 1.

(a) FRAUDULENT LIFE SETTLEMENT ACT, INTERFERENCE, AND PARTICIPATION OF CONVICTED FELONS PROHIBITED. (1) A person shall not commit a fraudulent life settlement act. (2) A person shall not knowingly and intentionally interfere with the enforcement of this subchapter or investigations of suspected or actual violations of this subchapter. (3) A person in the business of life settlements shall not knowingly or intentionally permit any person convicted of a felony involving dishonesty or breach of trust to participate in the business of life settlements.

(1) A person shall not commit a fraudulent life settlement act.

(2) A person shall not knowingly and intentionally interfere with the enforcement of this subchapter or investigations of suspected or actual violations of this subchapter.

(3) A person in the business of life settlements shall not knowingly or intentionally permit any person convicted of a felony involving dishonesty or breach of trust to participate in the business of life settlements.

(b) FRAUD WARNING REQUIRED. (1) Life settlement contracts and applications for life settlement contracts, regardless of the form of transmission, shall contain the following statement or a substantially similar statement: "Any person who knowingly presents false information in an application for insurance or life settlement contract is guilty of a crime and may be subject to fines and confinement in prison." (2) The lack of a statement as required in subdivision (b)(1) of this section does not constitute a defense in any prosecution for a fraudulent life settlement act.

(1) Life settlement contracts and applications for life settlement contracts, regardless of the form of transmission, shall contain the following statement or a substantially similar statement: "Any person who knowingly presents false information in an application for insurance or life settlement contract is guilty of a crime and may be subject to fines and confinement in prison."

"Any person who knowingly presents false information in an application for insurance or life settlement contract is guilty of a crime and may be subject to fines and confinement in prison."

(2) The lack of a statement as required in subdivision (b)(1) of this section does not constitute a defense in any prosecution for a fraudulent life settlement act.

(c) MANDATORY REPORTING OF FRAUDULENT LIFE SETTLEMENT ACT. (1) Any person engaged in the business of life settlements having knowledge or a reasonable belief that a fraudulent life settlement act is being, will be, or has been committed shall provide to the Insurance Commissioner the information required by and in a manner prescribed by the commissioner. (2) Any other person having knowledge or a reasonable belief that a fraudulent life settlement act is being, will be, or has been committed may provide to the commissioner the information required by and in a manner prescribed by the commissioner.

(1) Any person engaged in the business of life settlements having knowledge or a reasonable belief that a fraudulent life settlement act is being, will be, or has been committed shall provide to the Insurance Commissioner the information required by and in a manner prescribed by the commissioner.

(2) Any other person having knowledge or a reasonable belief that a fraudulent life settlement act is being, will be, or has been committed may provide to the commissioner the information required by and in a manner prescribed by the commissioner.

(d) IMMUNITY FROM LIABILITY. (1) Civil liability shall not be imposed on and a cause of action shall not arise from a person's furnishing information concerning suspected, anticipated, or completed fraudulent life settlement acts or suspected or completed fraudulent insurance acts if the information is provided to or received from: (A) The commissioner or the commissioner's employees, agents, or representatives; (B) Federal, state, or local law enforcement or regulatory officials or their employees, agents, or representatives; (C) A person involved in the prevention and detection of fraudulent life settlement acts or that person's agents, employees, or representatives; (D) Any regulatory body or its employees, agents, or representatives overseeing life insurance, life settlements, securities, or investment fraud; (E) The life insurer that issued the life insurance policy covering the life of the insured; or (F) The licensee and any agents, employees, or representatives of the licensee. (2) (A) Subdivision (d)(1) of this section does not apply to statements made with actual malice. (B) In an action brought against a person for filing a report or furnishing other information concerning a fraudulent life settlement act or a fraudulent insurance act, the party bringing the action shall plead specifically any allegation that subdivision (d)(1) of this section does not apply because the person filing the report or furnishing the information did so with actual malice. (3) (A) A person identified in subdivision (d)(1) of this section shall be entitled to an award of attorney's fees and costs if he or she is the prevailing party in a civil cause of action for libel, slander, or any other relevant tort arising out of activities in carrying out the provisions of this subchapter and the party bringing the action was not substantially justified in doing so. (B) For purposes of this section, a proceeding is "substantially justified" if it had a reasonable basis in law or fact at the time that it was initiated. (4) This section does not abrogate or modify common law or statutory privileges or immunities enjoyed by a person described in subdivision (d)(1) of this section.

(1) Civil liability shall not be imposed on and a cause of action shall not arise from a person's furnishing information concerning suspected, anticipated, or completed fraudulent life settlement acts or suspected or completed fraudulent insurance acts if the information is provided to or received from: (A) The commissioner or the commissioner's employees, agents, or representatives; (B) Federal, state, or local law enforcement or regulatory officials or their employees, agents, or representatives; (C) A person involved in the prevention and detection of fraudulent life settlement acts or that person's agents, employees, or representatives; (D) Any regulatory body or its employees, agents, or representatives overseeing life insurance, life settlements, securities, or investment fraud; (E) The life insurer that issued the life insurance policy covering the life of the insured; or (F) The licensee and any agents, employees, or representatives of the licensee.

(A) The commissioner or the commissioner's employees, agents, or representatives;

(B) Federal, state, or local law enforcement or regulatory officials or their employees, agents, or representatives;

(C) A person involved in the prevention and detection of fraudulent life settlement acts or that person's agents, employees, or representatives;

(D) Any regulatory body or its employees, agents, or representatives overseeing life insurance, life settlements, securities, or investment fraud;

(E) The life insurer that issued the life insurance policy covering the life of the insured; or

(F) The licensee and any agents, employees, or representatives of the licensee.

(2) (A) Subdivision (d)(1) of this section does not apply to statements made with actual malice. (B) In an action brought against a person for filing a report or furnishing other information concerning a fraudulent life settlement act or a fraudulent insurance act, the party bringing the action shall plead specifically any allegation that subdivision (d)(1) of this section does not apply because the person filing the report or furnishing the information did so with actual malice.

(A) Subdivision (d)(1) of this section does not apply to statements made with actual malice.

(B) In an action brought against a person for filing a report or furnishing other information concerning a fraudulent life settlement act or a fraudulent insurance act, the party bringing the action shall plead specifically any allegation that subdivision (d)(1) of this section does not apply because the person filing the report or furnishing the information did so with actual malice.

(3) (A) A person identified in subdivision (d)(1) of this section shall be entitled to an award of attorney's fees and costs if he or she is the prevailing party in a civil cause of action for libel, slander, or any other relevant tort arising out of activities in carrying out the provisions of this subchapter and the party bringing the action was not substantially justified in doing so. (B) For purposes of this section, a proceeding is "substantially justified" if it had a reasonable basis in law or fact at the time that it was initiated.

(A) A person identified in subdivision (d)(1) of this section shall be entitled to an award of attorney's fees and costs if he or she is the prevailing party in a civil cause of action for libel, slander, or any other relevant tort arising out of activities in carrying out the provisions of this subchapter and the party bringing the action was not substantially justified in doing so.

(B) For purposes of this section, a proceeding is "substantially justified" if it had a reasonable basis in law or fact at the time that it was initiated.

(4) This section does not abrogate or modify common law or statutory privileges or immunities enjoyed by a person described in subdivision (d)(1) of this section.

(e) CONFIDENTIALITY. (1) The documents and evidence provided pursuant to subsection (d) of this section or obtained by the commissioner in an investigation of suspected or actual fraudulent life settlement acts shall be privileged and confidential, shall not be a public record, and shall not be subject to discovery or subpoena in a civil or criminal action. (2) Subdivision (e)(1) of this section does not prohibit release by the commissioner of documents and evidence obtained in an investigation of suspected or actual fraudulent life settlement acts: (A) In administrative or judicial proceedings to enforce laws administered by the commissioner; (B) To federal, state, or local law enforcement or regulatory agencies, to an organization established for the purpose of detecting and preventing fraudulent life settlement acts, or to the National Association of Insurance Commissioners; or (C) At the discretion of the commissioner, to a person in the business of life settlements that is aggrieved by a fraudulent life settlement act. (3) Release of documents and evidence under subdivision (e)(2) of this section does not abrogate or modify the privilege granted in subdivision (e)(1) of this section.

(1) The documents and evidence provided pursuant to subsection (d) of this section or obtained by the commissioner in an investigation of suspected or actual fraudulent life settlement acts shall be privileged and confidential, shall not be a public record, and shall not be subject to discovery or subpoena in a civil or criminal action.

(2) Subdivision (e)(1) of this section does not prohibit release by the commissioner of documents and evidence obtained in an investigation of suspected or actual fraudulent life settlement acts: (A) In administrative or judicial proceedings to enforce laws administered by the commissioner; (B) To federal, state, or local law enforcement or regulatory agencies, to an organization established for the purpose of detecting and preventing fraudulent life settlement acts, or to the National Association of Insurance Commissioners; or (C) At the discretion of the commissioner, to a person in the business of life settlements that is aggrieved by a fraudulent life settlement act.

(A) In administrative or judicial proceedings to enforce laws administered by the commissioner;

(B) To federal, state, or local law enforcement or regulatory agencies, to an organization established for the purpose of detecting and preventing fraudulent life settlement acts, or to the National Association of Insurance Commissioners; or

(C) At the discretion of the commissioner, to a person in the business of life settlements that is aggrieved by a fraudulent life settlement act.

(3) Release of documents and evidence under subdivision (e)(2) of this section does not abrogate or modify the privilege granted in subdivision (e)(1) of this section.

(f) OTHER LAW ENFORCEMENT OR REGULATORY AUTHORITY. This subchapter does not: (1) Preempt the authority or relieve the duty of other law enforcement or regulatory agencies to investigate, examine, and prosecute suspected violations of law; (2) Preempt, supersede, or limit any provision of any state securities law or any rule, order, or notice issued under a state securities law; (3) Prevent or prohibit a person from disclosing voluntarily information concerning life settlement fraud to a law enforcement or regulatory agency other than the State Insurance Department; or (4) Limit the powers granted elsewhere by the laws of this state to the commissioner or an insurance fraud unit to investigate and examine possible violations of law and to take appropriate action against wrongdoers.

This subchapter does not:

(1) Preempt the authority or relieve the duty of other law enforcement or regulatory agencies to investigate, examine, and prosecute suspected violations of law;

(2) Preempt, supersede, or limit any provision of any state securities law or any rule, order, or notice issued under a state securities law;

(3) Prevent or prohibit a person from disclosing voluntarily information concerning life settlement fraud to a law enforcement or regulatory agency other than the State Insurance Department; or

(4) Limit the powers granted elsewhere by the laws of this state to the commissioner or an insurance fraud unit to investigate and examine possible violations of law and to take appropriate action against wrongdoers.

(g) LIFE SETTLEMENT ANTIFRAUD INITIATIVES. (1) Providers and brokers shall have in place antifraud initiatives reasonably calculated to detect, prosecute, and prevent fraudulent life settlement acts. At the discretion of the commissioner, the commissioner may order or a licensee may request and the commissioner may grant such modifications of the following required initiatives as necessary to ensure an effective antifraud program. The modifications may be more or less restrictive than the required initiatives so long as the modifications may reasonably be expected to accomplish the purpose of this section. Antifraud initiatives shall include: (A) Fraud investigators who may be provider or broker employees or independent contractors; and (B) (i) An antifraud plan that shall be submitted to the commissioner. (ii) The antifraud plan shall include without limitation: (a) A description of the procedures for detecting and investigating possible fraudulent life settlement acts and procedures for resolving material inconsistencies between medical records and insurance applications; (b) A description of the procedures for reporting possible fraudulent life settlement acts to the commissioner; (c) A description of the plan for antifraud education and training of underwriters and other personnel; and (d) A description or chart outlining the organizational arrangement of the antifraud personnel who are responsible for the investigation and reporting of possible fraudulent life settlement acts and investigating unresolved material inconsistencies between medical records and insurance applications. (2) Antifraud plans submitted to the commissioner shall be privileged and confidential, shall not be a public record, and shall not be subject to discovery or subpoena in a civil or criminal action.

(1) Providers and brokers shall have in place antifraud initiatives reasonably calculated to detect, prosecute, and prevent fraudulent life settlement acts. At the discretion of the commissioner, the commissioner may order or a licensee may request and the commissioner may grant such modifications of the following required initiatives as necessary to ensure an effective antifraud program. The modifications may be more or less restrictive than the required initiatives so long as the modifications may reasonably be expected to accomplish the purpose of this section. Antifraud initiatives shall include: (A) Fraud investigators who may be provider or broker employees or independent contractors; and (B) (i) An antifraud plan that shall be submitted to the commissioner. (ii) The antifraud plan shall include without limitation: (a) A description of the procedures for detecting and investigating possible fraudulent life settlement acts and procedures for resolving material inconsistencies between medical records and insurance applications; (b) A description of the procedures for reporting possible fraudulent life settlement acts to the commissioner; (c) A description of the plan for antifraud education and training of underwriters and other personnel; and (d) A description or chart outlining the organizational arrangement of the antifraud personnel who are responsible for the investigation and reporting of possible fraudulent life settlement acts and investigating unresolved material inconsistencies between medical records and insurance applications.

(A) Fraud investigators who may be provider or broker employees or independent contractors; and

(B) (i) An antifraud plan that shall be submitted to the commissioner. (ii) The antifraud plan shall include without limitation: (a) A description of the procedures for detecting and investigating possible fraudulent life settlement acts and procedures for resolving material inconsistencies between medical records and insurance applications; (b) A description of the procedures for reporting possible fraudulent life settlement acts to the commissioner; (c) A description of the plan for antifraud education and training of underwriters and other personnel; and (d) A description or chart outlining the organizational arrangement of the antifraud personnel who are responsible for the investigation and reporting of possible fraudulent life settlement acts and investigating unresolved material inconsistencies between medical records and insurance applications.

(i) An antifraud plan that shall be submitted to the commissioner.

(ii) The antifraud plan shall include without limitation: (a) A description of the procedures for detecting and investigating possible fraudulent life settlement acts and procedures for resolving material inconsistencies between medical records and insurance applications; (b) A description of the procedures for reporting possible fraudulent life settlement acts to the commissioner; (c) A description of the plan for antifraud education and training of underwriters and other personnel; and (d) A description or chart outlining the organizational arrangement of the antifraud personnel who are responsible for the investigation and reporting of possible fraudulent life settlement acts and investigating unresolved material inconsistencies between medical records and insurance applications.

(a) A description of the procedures for detecting and investigating possible fraudulent life settlement acts and procedures for resolving material inconsistencies between medical records and insurance applications;

(b) A description of the procedures for reporting possible fraudulent life settlement acts to the commissioner;

(c) A description of the plan for antifraud education and training of underwriters and other personnel; and

(d) A description or chart outlining the organizational arrangement of the antifraud personnel who are responsible for the investigation and reporting of possible fraudulent life settlement acts and investigating unresolved material inconsistencies between medical records and insurance applications.

(2) Antifraud plans submitted to the commissioner shall be privileged and confidential, shall not be a public record, and shall not be subject to discovery or subpoena in a civil or criminal action.

Acts 2009, No. 796, § 1.
Ark. Code Ann. § 23-47-601 — AR Code / Title 23 / Chapter 47 / Subchapter 6 / Section 23-47-601
Operating subsidiaries
Status: in_force

(a) (1) With the prior approval of the Bank Commissioner, and subject to such conditions as may be prescribed by him or her, a state bank may engage in any activities which are a part of the business of banking or incidental thereto by means of an operating subsidiary and other activities permissible for state banks or their subsidiaries under statutory authority or as authorized by rules of the State Banking Board. (2) For purposes of this section, an operating subsidiary in which a state bank may invest includes a corporation, limited liability company, or similar entity if the parent bank owns more than fifty percent (50%) of the voting, or similar type of controlling, interest of the subsidiary; or the parent bank otherwise controls the subsidiary and no other party controls more than fifty percent (50%) of the voting, or similar type of controlling interest, of the subsidiary. (3) Subsidiaries which are not subject to this section are: (A) A subsidiary in which the state bank's investment is made and limited pursuant to specific authorization in a statute or by rule; and (B) A subsidiary, in which the state bank has acquired, in good faith, shares through foreclosure on collateral, by way of compromise of a doubtful claim, or to avoid loss in connection with a debt previously contracted. (b) The total of each state bank's loans and investments in any single operating subsidiary and the total of each state bank's loans and investments in all subsidiaries, and bank service companies, will be considered by the commissioner and may be limited according to the commissioner's discretion, for safety and soundness purposes. Amended by Act 2019, No. 315,§ 2538, eff. 7/24/2019. Acts 1997, No. 89, § 1; 1999, No. 112, § 2.

(a) (1) With the prior approval of the Bank Commissioner, and subject to such conditions as may be prescribed by him or her, a state bank may engage in any activities which are a part of the business of banking or incidental thereto by means of an operating subsidiary and other activities permissible for state banks or their subsidiaries under statutory authority or as authorized by rules of the State Banking Board. (2) For purposes of this section, an operating subsidiary in which a state bank may invest includes a corporation, limited liability company, or similar entity if the parent bank owns more than fifty percent (50%) of the voting, or similar type of controlling, interest of the subsidiary; or the parent bank otherwise controls the subsidiary and no other party controls more than fifty percent (50%) of the voting, or similar type of controlling interest, of the subsidiary. (3) Subsidiaries which are not subject to this section are: (A) A subsidiary in which the state bank's investment is made and limited pursuant to specific authorization in a statute or by rule; and (B) A subsidiary, in which the state bank has acquired, in good faith, shares through foreclosure on collateral, by way of compromise of a doubtful claim, or to avoid loss in connection with a debt previously contracted.

(1) With the prior approval of the Bank Commissioner, and subject to such conditions as may be prescribed by him or her, a state bank may engage in any activities which are a part of the business of banking or incidental thereto by means of an operating subsidiary and other activities permissible for state banks or their subsidiaries under statutory authority or as authorized by rules of the State Banking Board.

(2) For purposes of this section, an operating subsidiary in which a state bank may invest includes a corporation, limited liability company, or similar entity if the parent bank owns more than fifty percent (50%) of the voting, or similar type of controlling, interest of the subsidiary; or the parent bank otherwise controls the subsidiary and no other party controls more than fifty percent (50%) of the voting, or similar type of controlling interest, of the subsidiary.

(3) Subsidiaries which are not subject to this section are: (A) A subsidiary in which the state bank's investment is made and limited pursuant to specific authorization in a statute or by rule; and (B) A subsidiary, in which the state bank has acquired, in good faith, shares through foreclosure on collateral, by way of compromise of a doubtful claim, or to avoid loss in connection with a debt previously contracted.

(A) A subsidiary in which the state bank's investment is made and limited pursuant to specific authorization in a statute or by rule; and

(B) A subsidiary, in which the state bank has acquired, in good faith, shares through foreclosure on collateral, by way of compromise of a doubtful claim, or to avoid loss in connection with a debt previously contracted.

(b) The total of each state bank's loans and investments in any single operating subsidiary and the total of each state bank's loans and investments in all subsidiaries, and bank service companies, will be considered by the commissioner and may be limited according to the commissioner's discretion, for safety and soundness purposes.

Amended by Act 2019, No. 315,§ 2538, eff. 7/24/2019.

Acts 1997, No. 89, § 1; 1999, No. 112, § 2.
Ark. Code Ann. § 23-79-1103 — AR Code / Title 23 / Chapter 79 / Subchapter 11 / Section 23-79-1103
Parity for contraceptives
Status: in_force

(a) Every health benefit policy that is delivered, issued, executed, or renewed in this state or approved for issuance or renewal in this state by the Insurance Commissioner on or after August 12, 2005, that provides coverage for prescription drugs on an outpatient basis shall provide coverage for prescribed drugs or devices approved by the United States Food and Drug Administration for use as a contraceptive. (b) Nothing contained in this subchapter shall be construed to require any insurance company to provide coverage for an abortion, an abortifacient, or any United States Food and Drug Administration-approved emergency contraception. Acts 2005, No. 2217, § 1.

(a) Every health benefit policy that is delivered, issued, executed, or renewed in this state or approved for issuance or renewal in this state by the Insurance Commissioner on or after August 12, 2005, that provides coverage for prescription drugs on an outpatient basis shall provide coverage for prescribed drugs or devices approved by the United States Food and Drug Administration for use as a contraceptive.

(b) Nothing contained in this subchapter shall be construed to require any insurance company to provide coverage for an abortion, an abortifacient, or any United States Food and Drug Administration-approved emergency contraception.

Acts 2005, No. 2217, § 1.
Ark. Code Ann. § 23-12-910 — AR Code / Title 23 / Chapter 12 / Subchapter 9 / Section 23-12-910
Killing or injuring livestock - Prima facie evidence - Burden of proof
Status: in_force

The killing of stock on any railroad track shall be prima facie evidence that it was done by the trains, and the onus to prove the reverse will be on the railroad company. Acts 1961 (1st Ex. Sess.), No. 61, § 8; A.S.A. 1947, § 73-1007.

The killing of stock on any railroad track shall be prima facie evidence that it was done by the trains, and the onus to prove the reverse will be on the railroad company.

Acts 1961 (1st Ex. Sess.), No. 61, § 8; A.S.A. 1947, § 73-1007.
Ark. Code Ann. § 23-51-195 — AR Code / Title 23 / Chapter 51 / Section 23-51-195
Disclosure of potential conflicts of interest
Status: in_force

Any company, proposing to act as a trustee or in any other fiduciary capacity pursuant to a written agreement to be entered into with a prospective client after August 1, 1997, which company has any potential or actual conflict of interest which may reasonably be expected to have an impact on the independence or judgment of the trustee or fiduciary, shall disclose appropriate information concerning the actual or potential conflict of interest prior to entering into any written or oral trust or fiduciary agreement with the client or prospective client. Acts 1997, No. 940, § 95.

Any company, proposing to act as a trustee or in any other fiduciary capacity pursuant to a written agreement to be entered into with a prospective client after August 1, 1997, which company has any potential or actual conflict of interest which may reasonably be expected to have an impact on the independence or judgment of the trustee or fiduciary, shall disclose appropriate information concerning the actual or potential conflict of interest prior to entering into any written or oral trust or fiduciary agreement with the client or prospective client.

Acts 1997, No. 940, § 95.
Ark. Code Ann. § 23-4-620 — AR Code / Title 23 / Chapter 4 / Subchapter 6 / Section 23-4-620
Notice of rate changes
Status: in_force

(a) Unless the Arkansas Department of Transportation otherwise orders, no public utility shall make any change in any rate duly established under this act except after thirty (30) days' notice to the department. This notice shall plainly state the change proposed to be made in the rates then in force and the time when the changed rates will go into effect. (b) The utility shall also give notice of the proposed changes to other interested parties as the department in its discretion may direct. (c) The department, for good cause shown, may allow changes in rates without requiring the thirty (30) days' notice, under such conditions as it may prescribe. All allowed changes shall be immediately indicated upon its schedules by the public utility. Amended by Act 2017, No. 707,§ 119, eff. 8/1/2017. Acts 1935, No. 324, § 18; Pope's Dig., § 2081; Acts 1955, No. 31, § 1; 1975 (Extended Sess., 1976), No. 1181, § 1; A.S.A. 1947, § 73-217; reen. Acts 1987, No. 994, § 1.

(a) Unless the Arkansas Department of Transportation otherwise orders, no public utility shall make any change in any rate duly established under this act except after thirty (30) days' notice to the department. This notice shall plainly state the change proposed to be made in the rates then in force and the time when the changed rates will go into effect.

(b) The utility shall also give notice of the proposed changes to other interested parties as the department in its discretion may direct.

(c) The department, for good cause shown, may allow changes in rates without requiring the thirty (30) days' notice, under such conditions as it may prescribe. All allowed changes shall be immediately indicated upon its schedules by the public utility.

Amended by Act 2017, No. 707,§ 119, eff. 8/1/2017.

Acts 1935, No. 324, § 18; Pope's Dig., § 2081; Acts 1955, No. 31, § 1; 1975 (Extended Sess., 1976), No. 1181, § 1; A.S.A. 1947, § 73-217; reen. Acts 1987, No. 994, § 1.
Ark. Code Ann. § 23-4-901 — AR Code / Title 23 / Chapter 4 / Subchapter 9 / Section 23-4-901
Definitions
Status: in_force

As used in this subchapter, unless the context otherwise requires: (1) "Board" means the board of directors of a rural electric distribution cooperative; (2) "Commission" means the Arkansas Public Service Commission; (3) "Co-op" means a rural electric distribution cooperative formed under § 23-18-101 et seq., and which sells electricity only at retail; and (4) "Member-consumers" means the customers of a rural electric distribution cooperative. Acts 1987, No. 821, § 1.

As used in this subchapter, unless the context otherwise requires:

(1) "Board" means the board of directors of a rural electric distribution cooperative;

(2) "Commission" means the Arkansas Public Service Commission;

(3) "Co-op" means a rural electric distribution cooperative formed under § 23-18-101 et seq., and which sells electricity only at retail; and

(4) "Member-consumers" means the customers of a rural electric distribution cooperative.

Acts 1987, No. 821, § 1.
Ark. Code Ann. § 23-50-102 — AR Code / Title 23 / Chapter 50 / Section 23-50-102
Forfeiture of charter
Status: in_force

(a) (1) If the directors of any institution under the supervision of the State Bank Department shall knowingly violate or knowingly permit any of its officers, agents, or servants to violate any of the laws enacted for the rule of any such institutions or any department rules, all rights, privileges, and franchises of the institution shall be subject to forfeiture. (2) (A) Any violation shall, however, be determined in the first instance by the Bank Commissioner, after notice to the institution of not less than five (5) days, and after hearing thereon, and subject to appeal by the institution to the circuit court of the county wherein the institution has its main office. (B) Any appeal shall be cognizable and subject to hearing by the circuit court, either in term time or in vacation, at chambers, upon five (5) days' notice of the taking of the appeal and of the time and place for the hearing. (b) (1) Upon rendition of any decision adverse to any institution, the commissioner shall be authorized, in his or her discretion, to take charge of the institution and manage and supervise the business thereof, pending any appeal that may be taken from the decision or orders. (2) Upon affirmance by the circuit court of the decision or orders appealed from, the commissioner shall be authorized to continue supervision, or to suspend the charter, of the institution, pending compliance with the decision or orders. (3) If the decision or orders are not complied with in the case of a state bank or subsidiary trust company within a reasonable time to be fixed by the commissioner, the department shall proceed to liquidate the business and assets of the state bank or subsidiary trust company in the same manner as is provided in the case of insolvent state banks. Amended by Act 2019, No. 315,§ 2560, eff. 7/24/2019. Acts 1997, No. 89, § 1.

(a) (1) If the directors of any institution under the supervision of the State Bank Department shall knowingly violate or knowingly permit any of its officers, agents, or servants to violate any of the laws enacted for the rule of any such institutions or any department rules, all rights, privileges, and franchises of the institution shall be subject to forfeiture. (2) (A) Any violation shall, however, be determined in the first instance by the Bank Commissioner, after notice to the institution of not less than five (5) days, and after hearing thereon, and subject to appeal by the institution to the circuit court of the county wherein the institution has its main office. (B) Any appeal shall be cognizable and subject to hearing by the circuit court, either in term time or in vacation, at chambers, upon five (5) days' notice of the taking of the appeal and of the time and place for the hearing.

(1) If the directors of any institution under the supervision of the State Bank Department shall knowingly violate or knowingly permit any of its officers, agents, or servants to violate any of the laws enacted for the rule of any such institutions or any department rules, all rights, privileges, and franchises of the institution shall be subject to forfeiture.

(2) (A) Any violation shall, however, be determined in the first instance by the Bank Commissioner, after notice to the institution of not less than five (5) days, and after hearing thereon, and subject to appeal by the institution to the circuit court of the county wherein the institution has its main office. (B) Any appeal shall be cognizable and subject to hearing by the circuit court, either in term time or in vacation, at chambers, upon five (5) days' notice of the taking of the appeal and of the time and place for the hearing.

(A) Any violation shall, however, be determined in the first instance by the Bank Commissioner, after notice to the institution of not less than five (5) days, and after hearing thereon, and subject to appeal by the institution to the circuit court of the county wherein the institution has its main office.

(B) Any appeal shall be cognizable and subject to hearing by the circuit court, either in term time or in vacation, at chambers, upon five (5) days' notice of the taking of the appeal and of the time and place for the hearing.

(b) (1) Upon rendition of any decision adverse to any institution, the commissioner shall be authorized, in his or her discretion, to take charge of the institution and manage and supervise the business thereof, pending any appeal that may be taken from the decision or orders. (2) Upon affirmance by the circuit court of the decision or orders appealed from, the commissioner shall be authorized to continue supervision, or to suspend the charter, of the institution, pending compliance with the decision or orders. (3) If the decision or orders are not complied with in the case of a state bank or subsidiary trust company within a reasonable time to be fixed by the commissioner, the department shall proceed to liquidate the business and assets of the state bank or subsidiary trust company in the same manner as is provided in the case of insolvent state banks.

(1) Upon rendition of any decision adverse to any institution, the commissioner shall be authorized, in his or her discretion, to take charge of the institution and manage and supervise the business thereof, pending any appeal that may be taken from the decision or orders.

(2) Upon affirmance by the circuit court of the decision or orders appealed from, the commissioner shall be authorized to continue supervision, or to suspend the charter, of the institution, pending compliance with the decision or orders.

(3) If the decision or orders are not complied with in the case of a state bank or subsidiary trust company within a reasonable time to be fixed by the commissioner, the department shall proceed to liquidate the business and assets of the state bank or subsidiary trust company in the same manner as is provided in the case of insolvent state banks.

Amended by Act 2019, No. 315,§ 2560, eff. 7/24/2019.

Acts 1997, No. 89, § 1.
Ark. Code Ann. § 23-64-305 — AR Code / Title 23 / Chapter 64 / Subchapter 3 / Section 23-64-305
Programs of instruction
Status: in_force

(a) Subject to approval of the Insurance Commissioner, the courses or programs of instruction or parts thereof which shall be deemed to meet the commissioner's standards for continuing education required hereunder shall include, but not be limited to, the following: (1) American College Courses (CLU, ChFC); (2) Life Underwriter Training Council Fellow (LUTCF); (3) Certified Insurance Counselor (CIC); (4) Chartered Property Casualty Underwriter (CPCU); (5) Insurance Institute of America (IIA); (6) Certified Health Consultant (CHC); (7) Registered Health Underwriter (RHU); (8) An insurance-related course or program of instruction taught by an accredited college, university, or other educational institution in this state having a comprehensive course of instruction approved and certified by the commissioner; and (9) A course or program of instruction developed or sponsored by any authorized insurer, recognized agents' association, or insurance trade association, including meetings dedicated to the instruction of agents' education concerning matters of insurance or insurance law. (b) A person teaching any approved course or program of instruction shall be allowed credit for the same number of educational hours as would be granted a person taking and successfully completing the course, program, or meeting. (c) For courses, meetings, or programs not personally attended, but taken by correspondence, a proctored written exam shall be required with proof of passing the correspondence course accompanied by an affidavit from the proctor in form and substance as may be prescribed by the commissioner before credit may be considered for educational hours for that correspondence course. (d) Subject to approval by the commissioner, the active annual membership of the licensed agent or broker in local, regional, state, or national professional insurance organizations or associations may be approved for up to two (2) annual hours of instruction. These hours shall be credited upon timely filing with the commissioner or his or her designee appropriate written evidence acceptable to the commissioner of active membership in the organization or association. Acts 1989, No. 445, § 1; 1997, No. 1004, § 1; 1999, No. 657, § 9.

(a) Subject to approval of the Insurance Commissioner, the courses or programs of instruction or parts thereof which shall be deemed to meet the commissioner's standards for continuing education required hereunder shall include, but not be limited to, the following: (1) American College Courses (CLU, ChFC); (2) Life Underwriter Training Council Fellow (LUTCF); (3) Certified Insurance Counselor (CIC); (4) Chartered Property Casualty Underwriter (CPCU); (5) Insurance Institute of America (IIA); (6) Certified Health Consultant (CHC); (7) Registered Health Underwriter (RHU); (8) An insurance-related course or program of instruction taught by an accredited college, university, or other educational institution in this state having a comprehensive course of instruction approved and certified by the commissioner; and (9) A course or program of instruction developed or sponsored by any authorized insurer, recognized agents' association, or insurance trade association, including meetings dedicated to the instruction of agents' education concerning matters of insurance or insurance law.

(1) American College Courses (CLU, ChFC);

(2) Life Underwriter Training Council Fellow (LUTCF);

(3) Certified Insurance Counselor (CIC);

(4) Chartered Property Casualty Underwriter (CPCU);

(5) Insurance Institute of America (IIA);

(6) Certified Health Consultant (CHC);

(7) Registered Health Underwriter (RHU);

(8) An insurance-related course or program of instruction taught by an accredited college, university, or other educational institution in this state having a comprehensive course of instruction approved and certified by the commissioner; and

(9) A course or program of instruction developed or sponsored by any authorized insurer, recognized agents' association, or insurance trade association, including meetings dedicated to the instruction of agents' education concerning matters of insurance or insurance law.

(b) A person teaching any approved course or program of instruction shall be allowed credit for the same number of educational hours as would be granted a person taking and successfully completing the course, program, or meeting.

(c) For courses, meetings, or programs not personally attended, but taken by correspondence, a proctored written exam shall be required with proof of passing the correspondence course accompanied by an affidavit from the proctor in form and substance as may be prescribed by the commissioner before credit may be considered for educational hours for that correspondence course.

(d) Subject to approval by the commissioner, the active annual membership of the licensed agent or broker in local, regional, state, or national professional insurance organizations or associations may be approved for up to two (2) annual hours of instruction. These hours shall be credited upon timely filing with the commissioner or his or her designee appropriate written evidence acceptable to the commissioner of active membership in the organization or association.

Acts 1989, No. 445, § 1; 1997, No. 1004, § 1; 1999, No. 657, § 9.
Ark. Code Ann. § 23-61-1109 — AR Code / Title 23 / Chapter 61 / Subchapter 11 / Section 23-61-1109
Cemeteries and cemetery companies
Status: in_force

(a) The State Board of Embalmers, Funeral Directors, Cemeteries, and Burial Services may: (1) (A) Conduct periodic, special, or other examinations of a cemetery or cemetery company, including without limitation an examination of the physical condition or appearance of the cemetery, the financial condition of the cemetery company and any trust funds maintained by the cemetery company, and other examinations that the board or Insurance Commissioner deems necessary or appropriate in the public interest. (B) An examination under subdivision (a)(1)(A) of this section shall be carried out by: (i) A member or representative of the board; (ii) A certified public accountant or registered public accountant as authorized under § 20-17-1007 ; or (iii) The State Insurance Department; (2) Issue or amend permits to operate a cemetery under this subchapter; (3) Suspend or revoke permits to operate a cemetery when a cemetery fails to comply with this subchapter, rules promulgated under this subchapter, or any order of the board; (4) Make rules and forms to enforce this subchapter; (5) Require cemetery companies to observe minimum accounting principles and practices and make and keep the books and records for a period of time as the board may prescribe by rule; (6) Require a cemetery company to properly care for, maintain, and preserve a cemetery; (7) Require additional contributions to the permanent maintenance fund of the cemetery under this subchapter, including without limitation contributions not to exceed three thousand dollars ($3,000) whenever a cemetery company fails to properly care for and maintain or preserve the cemetery; (8) Apply to Pulaski County Circuit Court or the circuit court of the county in which the cemetery is located for appointment of a receiver or conservator of the cemetery company or its permanent maintenance fund when it appears to the board that a cemetery company is insolvent or that the cemetery company, its officers, directors, agents, or the trustees of its permanent maintenance fund, have violated this subchapter and the rules promulgated under this subchapter or have failed to comply with any board order; (9) Increase by rule the amount of a deposit required under § 20-17-1016 if the board determines that a greater sum is necessary to assure that the permanent maintenance fund will earn sufficient income to provide for the care and maintenance of the cemetery; and (10) (A) Purchase insolvent, licensed perpetual care cemeteries that have been in court-ordered receivership or conservatorship for at least five (5) years. (B) If the taking of legal possession of the cemetery under subdivision (a)(10)(A) of this section requires the payment of consideration, any payment made by the board shall not exceed one thousand dollars ($1,000). (b) A violation of this section is a Class A misdemeanor. Amended by Act 2023, No. 509,§ 3, eff. 8/1/2023. Added by Act 2017, No. 788,§ 3, eff. 7/1/2018.

(a) The State Board of Embalmers, Funeral Directors, Cemeteries, and Burial Services may: (1) (A) Conduct periodic, special, or other examinations of a cemetery or cemetery company, including without limitation an examination of the physical condition or appearance of the cemetery, the financial condition of the cemetery company and any trust funds maintained by the cemetery company, and other examinations that the board or Insurance Commissioner deems necessary or appropriate in the public interest. (B) An examination under subdivision (a)(1)(A) of this section shall be carried out by: (i) A member or representative of the board; (ii) A certified public accountant or registered public accountant as authorized under § 20-17-1007 ; or (iii) The State Insurance Department; (2) Issue or amend permits to operate a cemetery under this subchapter; (3) Suspend or revoke permits to operate a cemetery when a cemetery fails to comply with this subchapter, rules promulgated under this subchapter, or any order of the board; (4) Make rules and forms to enforce this subchapter; (5) Require cemetery companies to observe minimum accounting principles and practices and make and keep the books and records for a period of time as the board may prescribe by rule; (6) Require a cemetery company to properly care for, maintain, and preserve a cemetery; (7) Require additional contributions to the permanent maintenance fund of the cemetery under this subchapter, including without limitation contributions not to exceed three thousand dollars ($3,000) whenever a cemetery company fails to properly care for and maintain or preserve the cemetery; (8) Apply to Pulaski County Circuit Court or the circuit court of the county in which the cemetery is located for appointment of a receiver or conservator of the cemetery company or its permanent maintenance fund when it appears to the board that a cemetery company is insolvent or that the cemetery company, its officers, directors, agents, or the trustees of its permanent maintenance fund, have violated this subchapter and the rules promulgated under this subchapter or have failed to comply with any board order; (9) Increase by rule the amount of a deposit required under § 20-17-1016 if the board determines that a greater sum is necessary to assure that the permanent maintenance fund will earn sufficient income to provide for the care and maintenance of the cemetery; and (10) (A) Purchase insolvent, licensed perpetual care cemeteries that have been in court-ordered receivership or conservatorship for at least five (5) years. (B) If the taking of legal possession of the cemetery under subdivision (a)(10)(A) of this section requires the payment of consideration, any payment made by the board shall not exceed one thousand dollars ($1,000).

(1) (A) Conduct periodic, special, or other examinations of a cemetery or cemetery company, including without limitation an examination of the physical condition or appearance of the cemetery, the financial condition of the cemetery company and any trust funds maintained by the cemetery company, and other examinations that the board or Insurance Commissioner deems necessary or appropriate in the public interest. (B) An examination under subdivision (a)(1)(A) of this section shall be carried out by: (i) A member or representative of the board; (ii) A certified public accountant or registered public accountant as authorized under § 20-17-1007 ; or (iii) The State Insurance Department;

(A) Conduct periodic, special, or other examinations of a cemetery or cemetery company, including without limitation an examination of the physical condition or appearance of the cemetery, the financial condition of the cemetery company and any trust funds maintained by the cemetery company, and other examinations that the board or Insurance Commissioner deems necessary or appropriate in the public interest.

(B) An examination under subdivision (a)(1)(A) of this section shall be carried out by: (i) A member or representative of the board; (ii) A certified public accountant or registered public accountant as authorized under § 20-17-1007 ; or (iii) The State Insurance Department;

(i) A member or representative of the board;

(ii) A certified public accountant or registered public accountant as authorized under § 20-17-1007 ; or

(iii) The State Insurance Department;

(2) Issue or amend permits to operate a cemetery under this subchapter;

(3) Suspend or revoke permits to operate a cemetery when a cemetery fails to comply with this subchapter, rules promulgated under this subchapter, or any order of the board;

(4) Make rules and forms to enforce this subchapter;

(5) Require cemetery companies to observe minimum accounting principles and practices and make and keep the books and records for a period of time as the board may prescribe by rule;

(6) Require a cemetery company to properly care for, maintain, and preserve a cemetery;

(7) Require additional contributions to the permanent maintenance fund of the cemetery under this subchapter, including without limitation contributions not to exceed three thousand dollars ($3,000) whenever a cemetery company fails to properly care for and maintain or preserve the cemetery;

(8) Apply to Pulaski County Circuit Court or the circuit court of the county in which the cemetery is located for appointment of a receiver or conservator of the cemetery company or its permanent maintenance fund when it appears to the board that a cemetery company is insolvent or that the cemetery company, its officers, directors, agents, or the trustees of its permanent maintenance fund, have violated this subchapter and the rules promulgated under this subchapter or have failed to comply with any board order;

(9) Increase by rule the amount of a deposit required under § 20-17-1016 if the board determines that a greater sum is necessary to assure that the permanent maintenance fund will earn sufficient income to provide for the care and maintenance of the cemetery; and

(10) (A) Purchase insolvent, licensed perpetual care cemeteries that have been in court-ordered receivership or conservatorship for at least five (5) years. (B) If the taking of legal possession of the cemetery under subdivision (a)(10)(A) of this section requires the payment of consideration, any payment made by the board shall not exceed one thousand dollars ($1,000).

(A) Purchase insolvent, licensed perpetual care cemeteries that have been in court-ordered receivership or conservatorship for at least five (5) years.

(B) If the taking of legal possession of the cemetery under subdivision (a)(10)(A) of this section requires the payment of consideration, any payment made by the board shall not exceed one thousand dollars ($1,000).

(b) A violation of this section is a Class A misdemeanor.

Amended by Act 2023, No. 509,§ 3, eff. 8/1/2023.

Added by Act 2017, No. 788,§ 3, eff. 7/1/2018.
Ark. Code Ann. § 23-83-112 — AR Code / Title 23 / Chapter 83 / Section 23-83-112
Application attached to policy provision - Statements deemed representations
Status: in_force

The group policy shall contain a provision that a copy of the application, if any, of the policyholder shall be attached to the policy when issued, that all statements made by the policyholder or by the persons insured shall be deemed representations and not warranties, and that no statement made by any person insured shall be used in any contest unless a copy of the instrument containing the statement is or has been furnished to the person or, in the event of death or incapacity of the insured person, to his or her beneficiary or personal representative. Acts 1981, No. 898, § 12; A.S.A. 1947, § 66-3512.

The group policy shall contain a provision that a copy of the application, if any, of the policyholder shall be attached to the policy when issued, that all statements made by the policyholder or by the persons insured shall be deemed representations and not warranties, and that no statement made by any person insured shall be used in any contest unless a copy of the instrument containing the statement is or has been furnished to the person or, in the event of death or incapacity of the insured person, to his or her beneficiary or personal representative.

Acts 1981, No. 898, § 12; A.S.A. 1947, § 66-3512.
Ark. Code Ann. § 23-114-305 — AR Code / Title 23 / Chapter 114 / Subchapter 3 / Section 23-114-305
Denial, suspension, or revocation of licenses
Status: in_force

(a) (1) The Secretary of the Department of Finance and Administration may suspend or revoke a license issued under this chapter if the secretary determines that issuing the license would violate this chapter. (2) The secretary may deny an application for a license or for the renewal of a license under this chapter if the secretary determines that issuing the license would violate this chapter. (b) A license holder or applicant may seek administrative relief from a decision of the secretary under the Arkansas Tax Procedure Act, § 26-18-101 et seq., or under the Independent Tax Appeals Commission Act, § 26-18-1101 et seq. (c) Judicial relief is available to a license holder, an applicant, and the secretary under §§ 26-18-602 and 26-18-1117 . Amended by Act 2021, No. 593,§ 3, eff. 1/1/2023. Acts 2007, No. 388, § 1.

(a) (1) The Secretary of the Department of Finance and Administration may suspend or revoke a license issued under this chapter if the secretary determines that issuing the license would violate this chapter. (2) The secretary may deny an application for a license or for the renewal of a license under this chapter if the secretary determines that issuing the license would violate this chapter.

(1) The Secretary of the Department of Finance and Administration may suspend or revoke a license issued under this chapter if the secretary determines that issuing the license would violate this chapter.

(2) The secretary may deny an application for a license or for the renewal of a license under this chapter if the secretary determines that issuing the license would violate this chapter.

(b) A license holder or applicant may seek administrative relief from a decision of the secretary under the Arkansas Tax Procedure Act, § 26-18-101 et seq., or under the Independent Tax Appeals Commission Act, § 26-18-1101 et seq.

(c) Judicial relief is available to a license holder, an applicant, and the secretary under §§ 26-18-602 and 26-18-1117 .

Amended by Act 2021, No. 593,§ 3, eff. 1/1/2023.

Acts 2007, No. 388, § 1.
Ark. Code Ann. § 23-47-304 — AR Code / Title 23 / Chapter 47 / Subchapter 3 / Section 23-47-304
Designation of agent
Status: in_force

(a) Unless the terms of an agency designation provide that the authority of the agent terminates on disability or incapacity of a party, the agent's authority survives disability and incapacity. The agent may act for a disabled or incapacitated party until the authority of the agent is terminated. (b) Death of the sole party or last surviving party terminates the authority of an agent. (c) An agent in an account with an agency designation has no beneficial right to sums on deposit. Acts 1997, No. 89, § 1.

(a) Unless the terms of an agency designation provide that the authority of the agent terminates on disability or incapacity of a party, the agent's authority survives disability and incapacity. The agent may act for a disabled or incapacitated party until the authority of the agent is terminated.

(b) Death of the sole party or last surviving party terminates the authority of an agent.

(c) An agent in an account with an agency designation has no beneficial right to sums on deposit.

Acts 1997, No. 89, § 1.
Ark. Code Ann. § 23-115-211 — AR Code / Title 23 / Chapter 115 / Subchapter 2 / Section 23-115-211
Certain sections inapplicable
Status: in_force

In addition to any provision of law expressly exempting the Office of the Arkansas Lottery, the following sections shall not apply to the office: (1) Section 19-1-301 et seq.; (2) Section 19-4-1802 ; (3) Section 19-5-206 ; (4) Section 22-9-103 ; (5) Section 22-9-104 ; and (6) Section 25-27-104 . Amended by Act 2015, No. 218,§ 25, eff. 2/26/2015. Acts 2009, No. 605, § 1; 2009, No. 606, § 1; 2009, No. 1405, § 31; 2010, No. 265, § 25; 2010, No. 294, § 25.

In addition to any provision of law expressly exempting the Office of the Arkansas Lottery, the following sections shall not apply to the office:

(1) Section 19-1-301 et seq.;

(2) Section 19-4-1802 ;

(3) Section 19-5-206 ;

(4) Section 22-9-103 ;

(5) Section 22-9-104 ; and

(6) Section 25-27-104 .

Amended by Act 2015, No. 218,§ 25, eff. 2/26/2015.

Acts 2009, No. 605, § 1; 2009, No. 606, § 1; 2009, No. 1405, § 31; 2010, No. 265, § 25; 2010, No. 294, § 25.
Ark. Code Ann. § 23-82-108 — AR Code / Title 23 / Chapter 82 / Section 23-82-108
Misstatement of age provision
Status: in_force

(a) There shall be a provision that if it is found that the age of the individual insured or the age of any other individual considered in determining the premium has been misstated, any amount payable or benefit accruing under the policy shall be such as the premium would have been had it been purchased stating the correct age. (b) As to overstatement of age, the policy may provide, in lieu of the provision required under subsection (a) of this section, that the insurer will refund any excess of premium collected for the amount of insurance or benefit stated in the policy, as based upon the correct age. Acts 1959, No. 148, § 352; A.S.A. 1947, § 66-3407.

(a) There shall be a provision that if it is found that the age of the individual insured or the age of any other individual considered in determining the premium has been misstated, any amount payable or benefit accruing under the policy shall be such as the premium would have been had it been purchased stating the correct age.

(b) As to overstatement of age, the policy may provide, in lieu of the provision required under subsection (a) of this section, that the insurer will refund any excess of premium collected for the amount of insurance or benefit stated in the policy, as based upon the correct age.

Acts 1959, No. 148, § 352; A.S.A. 1947, § 66-3407.
Ark. Code Ann. § 23-79-516 — AR Code / Title 23 / Chapter 79 / Subchapter 5 / Section 23-79-516
Statute of limitations and repose
Status: in_force

Because winding up the operations of the Arkansas Comprehensive Health Insurance Pool requires the expeditious determination of its outstanding liabilities, a cause of action against the pool or the Board of Directors of the Arkansas Comprehensive Health Insurance Pool shall be commenced within the earlier of one (1) year after the cause of action accrues or December 31, 2015. Added by Act 2013, No. 713,§ 2, eff. 4/4/2013.

Because winding up the operations of the Arkansas Comprehensive Health Insurance Pool requires the expeditious determination of its outstanding liabilities, a cause of action against the pool or the Board of Directors of the Arkansas Comprehensive Health Insurance Pool shall be commenced within the earlier of one (1) year after the cause of action accrues or December 31, 2015.

Added by Act 2013, No. 713,§ 2, eff. 4/4/2013.
Ark. Code Ann. § 23-73-114 — AR Code / Title 23 / Chapter 73 / Section 23-73-114
Application - Sections 23-61-201 et seq. and 23-61-301 et seq. applicable
Status: in_force

Section 23-61-201 et seq. and § 23-61-301 et seq. shall be applicable to farmers' mutual aid companies and associations. Acts 1959, No. 148, § 591; A.S.A. 1947, § 66-4613; Acts 1997, No. 774, § 1.

Section 23-61-201 et seq. and § 23-61-301 et seq. shall be applicable to farmers' mutual aid companies and associations.

Acts 1959, No. 148, § 591; A.S.A. 1947, § 66-4613; Acts 1997, No. 774, § 1.
Ark. Code Ann. § 23-90-116 — AR Code / Title 23 / Chapter 90 / Section 23-90-116
Duties of receiver
Status: in_force

(a) (1) Covered claims against an insolvent insurer placed in temporary or permanent receivership under an order of liquidation, rehabilitation, or conservation by a court of competent jurisdiction shall be processed and acted upon by the receiver or ancillary receiver in the same manner as other claims as provided in §§ 23-68-101 - 23-68-113 and 23-68-115 - 23-68-132 and as ordered by the court in which the receivership is pending. (2) However, the funds received from assessments shall be liable only for the difference between the amount of the covered claims approved by the receiver and the amount of the assets marshalled by the receiver for payment to holders of covered claims, and, in ancillary receiverships in this state, funds received from assessments shall be liable only for the difference between the amount of the covered claims approved by the ancillary receiver and the amount of assets marshalled by the receivers in other states for application to payment of covered claims within this state. (3) Funds received from assessments shall not be liable for any amount over and above that approved by the receiver for a covered claim, and any action brought by the holder of the covered claim appealing from the receiver's action shall not increase the liability of the funds, provided that the receiver may review his or her action in approving a covered claim and for just cause modify the approval at any time during the pendency of the receivership. (b) (1) If a receiver is appointed to handle the affairs of an insolvent insurer, the receiver shall determine whether or not covered claims should or can be provided for in whole or in part by reinsurance, assumption, or substitution. (2) (A) Upon determination by the receiver that actual payment of covered claims should be made, the receiver shall give notice of the determination to claimants falling within the class of covered claims. (B) The receiver shall mail the notice to the latest address reflected in the records of the insolvent insurer. (C) If the records of the insolvent insurer do not reflect the address of a claimant, the receiver may give notice by publication in a newspaper of general circulation. (D) This notice shall state the time within which the claimant must file his or her claim with the receiver, which time shall in no event be less than ninety (90) days from the date of the mailing or publication of the notice. (3) The receiver may require, in whole or in part, that sworn claim forms be filed and may require that additional information or evidence be filed as may be reasonably necessary for the receiver to determine the legality or the amount due under a covered claim. (c) (1) Upon determination by the receiver that actual payment of covered claims should be made or upon order of the court to the receiver to give notice for the filing of claims, any person who has a cause of action against an insured of the insolvent insurer under a liability insurance policy issued or assumed by the insurer, if the cause of action meets the definition of covered claim, shall have the right to file a claim with the receiver regardless of the fact that the claim may be contingent, and this claim may be approved as a covered claim if: (A) It may be reasonably inferred from the proof presented upon the claim that the person would be able to obtain a judgment upon the cause of action against the insured; (B) The person furnishes suitable proof that no further valid claims against the insurer arising out of his or her cause of action other than those already presented can be made; and (C) The total liability of the insurer to all claimants arising out of the same act of its insured is no greater than its total liability would be were it not in liquidation, rehabilitation, or conservation. (2) In the proceedings of considering covered claims, no judgment against an insured taken after the date of the commencement of the delinquency proceedings or the appointment of a receiver shall be considered as evidence of liability or of the amount of damages, and no judgment against an insured taken by default or by collusion prior to the commencement of the delinquency proceedings or the appointment of a receiver shall be considered as conclusive evidence either of the liability of the insured to the person upon the cause of action or of the amount of damages to which the person is therein entitled. (d) The acceptance of payment from the receiver by the holder of a covered claim or the acceptance of the benefits of contracts negotiated by the receiver providing for reinsurance or assumption of liabilities or for substitution shall constitute an assignment to the insolvent insurer of any cause of action or right of the holder of the covered claim arising from the occurrence upon which the covered claim is based. The assignment shall be to the extent of the amount accepted or the value of the benefits provided by the contracts of reinsurance or assumption of liabilities or substitution. Acts 1977, No. 871, § 11; A.S.A. 1947, § 66-5511.

(a) (1) Covered claims against an insolvent insurer placed in temporary or permanent receivership under an order of liquidation, rehabilitation, or conservation by a court of competent jurisdiction shall be processed and acted upon by the receiver or ancillary receiver in the same manner as other claims as provided in §§ 23-68-101 - 23-68-113 and 23-68-115 - 23-68-132 and as ordered by the court in which the receivership is pending. (2) However, the funds received from assessments shall be liable only for the difference between the amount of the covered claims approved by the receiver and the amount of the assets marshalled by the receiver for payment to holders of covered claims, and, in ancillary receiverships in this state, funds received from assessments shall be liable only for the difference between the amount of the covered claims approved by the ancillary receiver and the amount of assets marshalled by the receivers in other states for application to payment of covered claims within this state. (3) Funds received from assessments shall not be liable for any amount over and above that approved by the receiver for a covered claim, and any action brought by the holder of the covered claim appealing from the receiver's action shall not increase the liability of the funds, provided that the receiver may review his or her action in approving a covered claim and for just cause modify the approval at any time during the pendency of the receivership.

(1) Covered claims against an insolvent insurer placed in temporary or permanent receivership under an order of liquidation, rehabilitation, or conservation by a court of competent jurisdiction shall be processed and acted upon by the receiver or ancillary receiver in the same manner as other claims as provided in §§ 23-68-101 - 23-68-113 and 23-68-115 - 23-68-132 and as ordered by the court in which the receivership is pending.

(2) However, the funds received from assessments shall be liable only for the difference between the amount of the covered claims approved by the receiver and the amount of the assets marshalled by the receiver for payment to holders of covered claims, and, in ancillary receiverships in this state, funds received from assessments shall be liable only for the difference between the amount of the covered claims approved by the ancillary receiver and the amount of assets marshalled by the receivers in other states for application to payment of covered claims within this state.

(3) Funds received from assessments shall not be liable for any amount over and above that approved by the receiver for a covered claim, and any action brought by the holder of the covered claim appealing from the receiver's action shall not increase the liability of the funds, provided that the receiver may review his or her action in approving a covered claim and for just cause modify the approval at any time during the pendency of the receivership.

(b) (1) If a receiver is appointed to handle the affairs of an insolvent insurer, the receiver shall determine whether or not covered claims should or can be provided for in whole or in part by reinsurance, assumption, or substitution. (2) (A) Upon determination by the receiver that actual payment of covered claims should be made, the receiver shall give notice of the determination to claimants falling within the class of covered claims. (B) The receiver shall mail the notice to the latest address reflected in the records of the insolvent insurer. (C) If the records of the insolvent insurer do not reflect the address of a claimant, the receiver may give notice by publication in a newspaper of general circulation. (D) This notice shall state the time within which the claimant must file his or her claim with the receiver, which time shall in no event be less than ninety (90) days from the date of the mailing or publication of the notice. (3) The receiver may require, in whole or in part, that sworn claim forms be filed and may require that additional information or evidence be filed as may be reasonably necessary for the receiver to determine the legality or the amount due under a covered claim.

(1) If a receiver is appointed to handle the affairs of an insolvent insurer, the receiver shall determine whether or not covered claims should or can be provided for in whole or in part by reinsurance, assumption, or substitution.

(2) (A) Upon determination by the receiver that actual payment of covered claims should be made, the receiver shall give notice of the determination to claimants falling within the class of covered claims. (B) The receiver shall mail the notice to the latest address reflected in the records of the insolvent insurer. (C) If the records of the insolvent insurer do not reflect the address of a claimant, the receiver may give notice by publication in a newspaper of general circulation. (D) This notice shall state the time within which the claimant must file his or her claim with the receiver, which time shall in no event be less than ninety (90) days from the date of the mailing or publication of the notice.

(A) Upon determination by the receiver that actual payment of covered claims should be made, the receiver shall give notice of the determination to claimants falling within the class of covered claims.

(B) The receiver shall mail the notice to the latest address reflected in the records of the insolvent insurer.

(C) If the records of the insolvent insurer do not reflect the address of a claimant, the receiver may give notice by publication in a newspaper of general circulation.

(D) This notice shall state the time within which the claimant must file his or her claim with the receiver, which time shall in no event be less than ninety (90) days from the date of the mailing or publication of the notice.

(3) The receiver may require, in whole or in part, that sworn claim forms be filed and may require that additional information or evidence be filed as may be reasonably necessary for the receiver to determine the legality or the amount due under a covered claim.

(c) (1) Upon determination by the receiver that actual payment of covered claims should be made or upon order of the court to the receiver to give notice for the filing of claims, any person who has a cause of action against an insured of the insolvent insurer under a liability insurance policy issued or assumed by the insurer, if the cause of action meets the definition of covered claim, shall have the right to file a claim with the receiver regardless of the fact that the claim may be contingent, and this claim may be approved as a covered claim if: (A) It may be reasonably inferred from the proof presented upon the claim that the person would be able to obtain a judgment upon the cause of action against the insured; (B) The person furnishes suitable proof that no further valid claims against the insurer arising out of his or her cause of action other than those already presented can be made; and (C) The total liability of the insurer to all claimants arising out of the same act of its insured is no greater than its total liability would be were it not in liquidation, rehabilitation, or conservation. (2) In the proceedings of considering covered claims, no judgment against an insured taken after the date of the commencement of the delinquency proceedings or the appointment of a receiver shall be considered as evidence of liability or of the amount of damages, and no judgment against an insured taken by default or by collusion prior to the commencement of the delinquency proceedings or the appointment of a receiver shall be considered as conclusive evidence either of the liability of the insured to the person upon the cause of action or of the amount of damages to which the person is therein entitled.

(1) Upon determination by the receiver that actual payment of covered claims should be made or upon order of the court to the receiver to give notice for the filing of claims, any person who has a cause of action against an insured of the insolvent insurer under a liability insurance policy issued or assumed by the insurer, if the cause of action meets the definition of covered claim, shall have the right to file a claim with the receiver regardless of the fact that the claim may be contingent, and this claim may be approved as a covered claim if: (A) It may be reasonably inferred from the proof presented upon the claim that the person would be able to obtain a judgment upon the cause of action against the insured; (B) The person furnishes suitable proof that no further valid claims against the insurer arising out of his or her cause of action other than those already presented can be made; and (C) The total liability of the insurer to all claimants arising out of the same act of its insured is no greater than its total liability would be were it not in liquidation, rehabilitation, or conservation.

(A) It may be reasonably inferred from the proof presented upon the claim that the person would be able to obtain a judgment upon the cause of action against the insured;

(B) The person furnishes suitable proof that no further valid claims against the insurer arising out of his or her cause of action other than those already presented can be made; and

(C) The total liability of the insurer to all claimants arising out of the same act of its insured is no greater than its total liability would be were it not in liquidation, rehabilitation, or conservation.

(2) In the proceedings of considering covered claims, no judgment against an insured taken after the date of the commencement of the delinquency proceedings or the appointment of a receiver shall be considered as evidence of liability or of the amount of damages, and no judgment against an insured taken by default or by collusion prior to the commencement of the delinquency proceedings or the appointment of a receiver shall be considered as conclusive evidence either of the liability of the insured to the person upon the cause of action or of the amount of damages to which the person is therein entitled.

(d) The acceptance of payment from the receiver by the holder of a covered claim or the acceptance of the benefits of contracts negotiated by the receiver providing for reinsurance or assumption of liabilities or for substitution shall constitute an assignment to the insolvent insurer of any cause of action or right of the holder of the covered claim arising from the occurrence upon which the covered claim is based. The assignment shall be to the extent of the amount accepted or the value of the benefits provided by the contracts of reinsurance or assumption of liabilities or substitution.

Acts 1977, No. 871, § 11; A.S.A. 1947, § 66-5511.
Ark. Code Ann. § 23-2-402 — AR Code / Title 23 / Chapter 2 / Subchapter 4 / Section 23-2-402
Powers of commission, commissioners, and examiners
Status: in_force

The commission and each of the commissioners and examiners specifically designated to make investigations, for the purposes mentioned in this act, may: (1) Issue subpoenas, subpoenas duces tecum, and all necessary process in proceedings pending before the commission, a commissioner, or an examiner; (2) Administer oaths, examine witnesses, compel the production of records, books, papers, files, documents, contracts, correspondence, agreements, or accounts necessary for any investigation being conducted; and (3) Certify official acts. Acts 1935, No. 324, § 23; Pope's Dig., § 2086; A.S.A. 1947, § 73-222.

The commission and each of the commissioners and examiners specifically designated to make investigations, for the purposes mentioned in this act, may:

(1) Issue subpoenas, subpoenas duces tecum, and all necessary process in proceedings pending before the commission, a commissioner, or an examiner;

(2) Administer oaths, examine witnesses, compel the production of records, books, papers, files, documents, contracts, correspondence, agreements, or accounts necessary for any investigation being conducted; and

(3) Certify official acts.

Acts 1935, No. 324, § 23; Pope's Dig., § 2086; A.S.A. 1947, § 73-222.
Ark. Code Ann. § 23-76-126 — AR Code / Title 23 / Chapter 76 / Section 23-76-126
Administrative proceedings
Status: in_force

(a) (1) If the Insurance Commissioner has cause to believe that grounds for the suspension or revocation of a certificate of authority exist, the commissioner shall: (A) Notify the health maintenance organization in writing of the grounds for suspension or revocation of the certificate of authority; and (B) Schedule a hearing on the matter at least twenty (20) days after giving written notice of the hearing. (2) After the hearing or upon the failure of the health maintenance organization to appear at the hearing, the commissioner shall take appropriate action and mail written findings to the health maintenance organization. (b) (1) The action of the commissioner may be appealed to Pulaski County Circuit Court upon the record of the proceedings, hearing, and findings of the commissioner. (2) The commissioner's decision shall be affirmed if it is supported by the preponderance of the evidence in the record. (c) The Arkansas Administrative Procedure Act, § 25-15-201 et seq., applies to proceedings under this section to the extent it is not in conflict with this section. Amended by Act 2013, No. 1433,§ 9, eff. 8/16/2013. Acts 1975, No. 454, § 22; 1979, No. 942, § 17; 1985, No. 804, § 18; A.S.A. 1947, § 66-5222; Acts 1987, No. 456, § 24.

(a) (1) If the Insurance Commissioner has cause to believe that grounds for the suspension or revocation of a certificate of authority exist, the commissioner shall: (A) Notify the health maintenance organization in writing of the grounds for suspension or revocation of the certificate of authority; and (B) Schedule a hearing on the matter at least twenty (20) days after giving written notice of the hearing. (2) After the hearing or upon the failure of the health maintenance organization to appear at the hearing, the commissioner shall take appropriate action and mail written findings to the health maintenance organization.

(1) If the Insurance Commissioner has cause to believe that grounds for the suspension or revocation of a certificate of authority exist, the commissioner shall: (A) Notify the health maintenance organization in writing of the grounds for suspension or revocation of the certificate of authority; and (B) Schedule a hearing on the matter at least twenty (20) days after giving written notice of the hearing.

(A) Notify the health maintenance organization in writing of the grounds for suspension or revocation of the certificate of authority; and

(B) Schedule a hearing on the matter at least twenty (20) days after giving written notice of the hearing.

(2) After the hearing or upon the failure of the health maintenance organization to appear at the hearing, the commissioner shall take appropriate action and mail written findings to the health maintenance organization.

(b) (1) The action of the commissioner may be appealed to Pulaski County Circuit Court upon the record of the proceedings, hearing, and findings of the commissioner. (2) The commissioner's decision shall be affirmed if it is supported by the preponderance of the evidence in the record.

(1) The action of the commissioner may be appealed to Pulaski County Circuit Court upon the record of the proceedings, hearing, and findings of the commissioner.

(2) The commissioner's decision shall be affirmed if it is supported by the preponderance of the evidence in the record.

(c) The Arkansas Administrative Procedure Act, § 25-15-201 et seq., applies to proceedings under this section to the extent it is not in conflict with this section.

Amended by Act 2013, No. 1433,§ 9, eff. 8/16/2013.

Acts 1975, No. 454, § 22; 1979, No. 942, § 17; 1985, No. 804, § 18; A.S.A. 1947, § 66-5222; Acts 1987, No. 456, § 24.
Ark. Code Ann. § 23-76-119 — AR Code / Title 23 / Chapter 76 / Section 23-76-119
Prohibited practices - Definition
Status: in_force

(a) No health maintenance organization, or representative thereof, may knowingly cause or knowingly permit the use of advertising that is untrue or misleading, solicitation that is untrue or misleading, or any form of evidence of coverage that is deceptive. For purposes of this chapter: (1) A statement or item of information shall be deemed to be untrue if it does not conform to fact in any respect that is or may be significant to an enrollee of, or person considering enrollment in, a healthcare plan; (2) A statement or item of information shall be deemed to be misleading, whether or not it may be literally untrue, if, in the total context in which the statement is made or the item of information is communicated, the statement or item of information may be reasonably understood by a reasonable person, not possessing special knowledge regarding healthcare coverage, as indicating any benefit or advantage or the absence of any exclusion, limitation, or disadvantage of possible significance to an enrollee of, or person considering enrollment in, a healthcare plan, if the benefit or advantage or absence of limitation, exclusion, or disadvantage does not in fact exist; and (3) An evidence of coverage shall be deemed to be deceptive if the evidence of coverage taken as a whole, and with consideration given to typography and format, as well as language, shall be such as to cause a reasonable person, not possessing special knowledge regarding healthcare plans and evidences of coverage therefor, to expect benefits, services, charges, or other advantages that the evidence of coverage does not provide or that the healthcare plan issuing the evidence of coverage does not regularly make available for enrollees covered under such evidence of coverage. (b) An enrollee may not be cancelled or nonrenewed except for the failure to pay the charge for the coverage or for such other reasons as may be promulgated by the Insurance Commissioner. (c) Hold Harmless. (1) Every contract between a health maintenance organization and a participating provider of healthcare services shall be in writing and shall set forth that in the event the health maintenance organization fails to pay for healthcare services as set forth in the contract, the subscriber or enrollee shall not be liable to the provider for any sums owed by the health maintenance organization. (2) In the event that the participating provider contract has not been reduced to writing as required by this subsection or that the contract fails to contain the required prohibition, the participating provider shall not collect or attempt to collect from the subscriber or enrollee sums owed by the health maintenance organization. (3) (A) No participating provider or the provider's agent, trustee, or assignee may maintain an action at law against a subscriber or enrollee to collect sums owed to them by the health maintenance organization nor shall they make any statement, either written or oral, to any subscriber or enrollee that makes demand for, or would lead a reasonable person to believe that a demand is being made for, payment of any amounts owed by the health maintenance organization. (B) (i) If a participating provider has a pattern or practice of violating this subsection and continues to violate this subsection after the commissioner has issued a written warning to the participating provider, the commissioner may levy a penalty in an amount not less than one hundred fifty dollars ($150) nor more than one thousand five hundred dollars ($1,500). (ii) Before imposing the penalty, the commissioner shall send a written notice to the participating provider informing the provider of the right to a hearing pursuant to §§ 23-61-303 - 23-61-307 . (4) "Participating provider" means a "provider" as defined in § 23-76-102(10) who, under an express or implied contract with the health maintenance organization or with its contractor or subcontractor, has agreed to provide healthcare services to enrollees with an expectation of receiving payment, other than copayment or deductible, directly or indirectly, from the health maintenance organization. (d) (1) A health maintenance organization or its contractor or subcontractor may pay a claim for healthcare services by any lawful method, including the alternative payment method by gift card, credit card, or other type of electronic payment or virtual credit card as payment if the healthcare provider is given clear instructions about how to select the alternative payment method. (2) However, a health maintenance organization or its contractor or subcontractor is prohibited from requiring a participating provider to accept a gift card, credit card, or other type of electronic payment or virtual credit card as payment of a claim for healthcare services if the method of payment charges the participating provider a service fee to process. Amended by Act 2019, No. 300,§ 1, eff. 7/24/2019. Acts 1975, No. 454, § 15; A.S.A. 1947, § 66-5215; Acts 2001, No. 1702, § 2.

(a) No health maintenance organization, or representative thereof, may knowingly cause or knowingly permit the use of advertising that is untrue or misleading, solicitation that is untrue or misleading, or any form of evidence of coverage that is deceptive. For purposes of this chapter: (1) A statement or item of information shall be deemed to be untrue if it does not conform to fact in any respect that is or may be significant to an enrollee of, or person considering enrollment in, a healthcare plan; (2) A statement or item of information shall be deemed to be misleading, whether or not it may be literally untrue, if, in the total context in which the statement is made or the item of information is communicated, the statement or item of information may be reasonably understood by a reasonable person, not possessing special knowledge regarding healthcare coverage, as indicating any benefit or advantage or the absence of any exclusion, limitation, or disadvantage of possible significance to an enrollee of, or person considering enrollment in, a healthcare plan, if the benefit or advantage or absence of limitation, exclusion, or disadvantage does not in fact exist; and (3) An evidence of coverage shall be deemed to be deceptive if the evidence of coverage taken as a whole, and with consideration given to typography and format, as well as language, shall be such as to cause a reasonable person, not possessing special knowledge regarding healthcare plans and evidences of coverage therefor, to expect benefits, services, charges, or other advantages that the evidence of coverage does not provide or that the healthcare plan issuing the evidence of coverage does not regularly make available for enrollees covered under such evidence of coverage.

(1) A statement or item of information shall be deemed to be untrue if it does not conform to fact in any respect that is or may be significant to an enrollee of, or person considering enrollment in, a healthcare plan;

(2) A statement or item of information shall be deemed to be misleading, whether or not it may be literally untrue, if, in the total context in which the statement is made or the item of information is communicated, the statement or item of information may be reasonably understood by a reasonable person, not possessing special knowledge regarding healthcare coverage, as indicating any benefit or advantage or the absence of any exclusion, limitation, or disadvantage of possible significance to an enrollee of, or person considering enrollment in, a healthcare plan, if the benefit or advantage or absence of limitation, exclusion, or disadvantage does not in fact exist; and

(3) An evidence of coverage shall be deemed to be deceptive if the evidence of coverage taken as a whole, and with consideration given to typography and format, as well as language, shall be such as to cause a reasonable person, not possessing special knowledge regarding healthcare plans and evidences of coverage therefor, to expect benefits, services, charges, or other advantages that the evidence of coverage does not provide or that the healthcare plan issuing the evidence of coverage does not regularly make available for enrollees covered under such evidence of coverage.

(b) An enrollee may not be cancelled or nonrenewed except for the failure to pay the charge for the coverage or for such other reasons as may be promulgated by the Insurance Commissioner.

(c) Hold Harmless. (1) Every contract between a health maintenance organization and a participating provider of healthcare services shall be in writing and shall set forth that in the event the health maintenance organization fails to pay for healthcare services as set forth in the contract, the subscriber or enrollee shall not be liable to the provider for any sums owed by the health maintenance organization. (2) In the event that the participating provider contract has not been reduced to writing as required by this subsection or that the contract fails to contain the required prohibition, the participating provider shall not collect or attempt to collect from the subscriber or enrollee sums owed by the health maintenance organization. (3) (A) No participating provider or the provider's agent, trustee, or assignee may maintain an action at law against a subscriber or enrollee to collect sums owed to them by the health maintenance organization nor shall they make any statement, either written or oral, to any subscriber or enrollee that makes demand for, or would lead a reasonable person to believe that a demand is being made for, payment of any amounts owed by the health maintenance organization. (B) (i) If a participating provider has a pattern or practice of violating this subsection and continues to violate this subsection after the commissioner has issued a written warning to the participating provider, the commissioner may levy a penalty in an amount not less than one hundred fifty dollars ($150) nor more than one thousand five hundred dollars ($1,500). (ii) Before imposing the penalty, the commissioner shall send a written notice to the participating provider informing the provider of the right to a hearing pursuant to §§ 23-61-303 - 23-61-307 . (4) "Participating provider" means a "provider" as defined in § 23-76-102(10) who, under an express or implied contract with the health maintenance organization or with its contractor or subcontractor, has agreed to provide healthcare services to enrollees with an expectation of receiving payment, other than copayment or deductible, directly or indirectly, from the health maintenance organization.

(1) Every contract between a health maintenance organization and a participating provider of healthcare services shall be in writing and shall set forth that in the event the health maintenance organization fails to pay for healthcare services as set forth in the contract, the subscriber or enrollee shall not be liable to the provider for any sums owed by the health maintenance organization.

(2) In the event that the participating provider contract has not been reduced to writing as required by this subsection or that the contract fails to contain the required prohibition, the participating provider shall not collect or attempt to collect from the subscriber or enrollee sums owed by the health maintenance organization.

(3) (A) No participating provider or the provider's agent, trustee, or assignee may maintain an action at law against a subscriber or enrollee to collect sums owed to them by the health maintenance organization nor shall they make any statement, either written or oral, to any subscriber or enrollee that makes demand for, or would lead a reasonable person to believe that a demand is being made for, payment of any amounts owed by the health maintenance organization. (B) (i) If a participating provider has a pattern or practice of violating this subsection and continues to violate this subsection after the commissioner has issued a written warning to the participating provider, the commissioner may levy a penalty in an amount not less than one hundred fifty dollars ($150) nor more than one thousand five hundred dollars ($1,500). (ii) Before imposing the penalty, the commissioner shall send a written notice to the participating provider informing the provider of the right to a hearing pursuant to §§ 23-61-303 - 23-61-307 .

(A) No participating provider or the provider's agent, trustee, or assignee may maintain an action at law against a subscriber or enrollee to collect sums owed to them by the health maintenance organization nor shall they make any statement, either written or oral, to any subscriber or enrollee that makes demand for, or would lead a reasonable person to believe that a demand is being made for, payment of any amounts owed by the health maintenance organization.

(B) (i) If a participating provider has a pattern or practice of violating this subsection and continues to violate this subsection after the commissioner has issued a written warning to the participating provider, the commissioner may levy a penalty in an amount not less than one hundred fifty dollars ($150) nor more than one thousand five hundred dollars ($1,500). (ii) Before imposing the penalty, the commissioner shall send a written notice to the participating provider informing the provider of the right to a hearing pursuant to §§ 23-61-303 - 23-61-307 .

(i) If a participating provider has a pattern or practice of violating this subsection and continues to violate this subsection after the commissioner has issued a written warning to the participating provider, the commissioner may levy a penalty in an amount not less than one hundred fifty dollars ($150) nor more than one thousand five hundred dollars ($1,500).

(ii) Before imposing the penalty, the commissioner shall send a written notice to the participating provider informing the provider of the right to a hearing pursuant to §§ 23-61-303 - 23-61-307 .

(4) "Participating provider" means a "provider" as defined in § 23-76-102(10) who, under an express or implied contract with the health maintenance organization or with its contractor or subcontractor, has agreed to provide healthcare services to enrollees with an expectation of receiving payment, other than copayment or deductible, directly or indirectly, from the health maintenance organization.

(d) (1) A health maintenance organization or its contractor or subcontractor may pay a claim for healthcare services by any lawful method, including the alternative payment method by gift card, credit card, or other type of electronic payment or virtual credit card as payment if the healthcare provider is given clear instructions about how to select the alternative payment method. (2) However, a health maintenance organization or its contractor or subcontractor is prohibited from requiring a participating provider to accept a gift card, credit card, or other type of electronic payment or virtual credit card as payment of a claim for healthcare services if the method of payment charges the participating provider a service fee to process.

(1) A health maintenance organization or its contractor or subcontractor may pay a claim for healthcare services by any lawful method, including the alternative payment method by gift card, credit card, or other type of electronic payment or virtual credit card as payment if the healthcare provider is given clear instructions about how to select the alternative payment method.

(2) However, a health maintenance organization or its contractor or subcontractor is prohibited from requiring a participating provider to accept a gift card, credit card, or other type of electronic payment or virtual credit card as payment of a claim for healthcare services if the method of payment charges the participating provider a service fee to process.

Amended by Act 2019, No. 300,§ 1, eff. 7/24/2019.

Acts 1975, No. 454, § 15; A.S.A. 1947, § 66-5215; Acts 2001, No. 1702, § 2.
Ark. Code Ann. § 23-68-124 — AR Code / Title 23 / Chapter 68 / Section 23-68-124
Date of rights and liabilities upon liquidation
Status: in_force

The rights and liabilities of the insurer and of its creditors, policyholders, stockholders, members, subscribers, and all other persons interested in its estate shall, unless otherwise directed by the court, be fixed as of the date on which the order directing the liquidation of the insurer is filed in the office of the clerk of the court which made the order, subject to the provisions of this chapter with respect to the rights of claimants holding contingent claims. Acts 1959, No. 148, § 662; A.S.A. 1947, § 66-4825.

The rights and liabilities of the insurer and of its creditors, policyholders, stockholders, members, subscribers, and all other persons interested in its estate shall, unless otherwise directed by the court, be fixed as of the date on which the order directing the liquidation of the insurer is filed in the office of the clerk of the court which made the order, subject to the provisions of this chapter with respect to the rights of claimants holding contingent claims.

Acts 1959, No. 148, § 662; A.S.A. 1947, § 66-4825.
Ark. Code Ann. § 23-110-303 — AR Code / Title 23 / Chapter 110 / Subchapter 3 / Section 23-110-303
Approval of electors required
Status: in_force

The Arkansas Racing Commission shall not be authorized to grant, nor shall it grant, a franchise to any corporation to conduct horse racing in any county in this state unless the commission has been authorized to grant the franchise as expressed by the approval of a majority of the qualified electors of the state voting on the proposition at the regular statewide biennial general election, as set forth in this chapter. Acts 1957, No. 46, § 10; 1961, No. 57, § 1; 1965 (2nd Ex. Sess.), No. 8, § 1; A.S.A. 1947, § 84-2736.

The Arkansas Racing Commission shall not be authorized to grant, nor shall it grant, a franchise to any corporation to conduct horse racing in any county in this state unless the commission has been authorized to grant the franchise as expressed by the approval of a majority of the qualified electors of the state voting on the proposition at the regular statewide biennial general election, as set forth in this chapter.

Acts 1957, No. 46, § 10; 1961, No. 57, § 1; 1965 (2nd Ex. Sess.), No. 8, § 1; A.S.A. 1947, § 84-2736.
Ark. Code Ann. § 23-79-603 — AR Code / Title 23 / Chapter 79 / Subchapter 6 / Section 23-79-603
Requirements
Status: in_force

(a) Every health insurance policy shall include medical coverage for medically necessary equipment, supplies, and services for the treatment of Type I diabetes, Type II diabetes, and gestational diabetes, when prescribed by a physician licensed under § 17-95-201 et seq. (b) The coverage required by this section shall be consistent with that established for other services covered by a given health insurance policy in regard to any of the following: (1) Deductibles, coinsurance, other patient cost-sharing amounts or out-of-pocket limits; or (2) Prior authorization or other utilization review requirements or processes. Acts 1997, No. 1249, § 3.

(a) Every health insurance policy shall include medical coverage for medically necessary equipment, supplies, and services for the treatment of Type I diabetes, Type II diabetes, and gestational diabetes, when prescribed by a physician licensed under § 17-95-201 et seq.

(b) The coverage required by this section shall be consistent with that established for other services covered by a given health insurance policy in regard to any of the following: (1) Deductibles, coinsurance, other patient cost-sharing amounts or out-of-pocket limits; or (2) Prior authorization or other utilization review requirements or processes.

(1) Deductibles, coinsurance, other patient cost-sharing amounts or out-of-pocket limits; or

(2) Prior authorization or other utilization review requirements or processes.

Acts 1997, No. 1249, § 3.
Ark. Code Ann. § 23-63-1404 — AR Code / Title 23 / Chapter 63 / Subchapter 14 / Section 23-63-1404
Nonrenewals, cancellations, or revisions of ceded reinsurance agreements
Status: in_force

(a) Materiality and Scope. (1) No nonrenewals, cancellations, or revisions of ceded reinsurance agreements need be reported pursuant to § 23-63-1402 if the nonrenewals, cancellations, or revisions are not material. For purposes of this subchapter, a material nonrenewal, cancellation, or revision is one that affects: (A) As respects property and casualty business, including accident and health business written by a property and casualty insurer: (i) More than fifty percent (50%) of the insurer's total ceded written premium; or (ii) More than fifty percent (50%) of the insurer's total ceded indemnity and loss adjustment reserves; (B) As respects life, annuity, and accident and health business, more than fifty percent (50%) of the total reserve credit taken for business ceded, on an annualized basis, as indicated in the insurer's most recent annual statement; and (C) As respects either property and casualty or life, annuity, and accident and health business, either of the following events shall constitute a material revision which must be reported: (i) An authorized reinsurer representing more than ten percent (10%) of a total cession is replaced by one (1) or more unauthorized reinsurers; or (ii) Previously established collateral requirements have been reduced or waived as respects one (1) or more unauthorized reinsurers representing collectively more than ten percent (10%) of a total cession. (2) However, no filing shall be required if: (A) As respects property and casualty business, including accident and health business written by a property and casualty insurer, the insurer's total ceded written premium represents, on an annualized basis, less than ten percent (10%) of its total written premium for direct and assumed business; or (B) As respects life, annuity, and accident and health insurance, the total reserve taken for business ceded represents, on an annualized basis, less than ten percent (10%) of the statutory reserve requirement prior to any cession. (b) Information to be Reported. (1) The following information is required to be disclosed in any report of a material nonrenewal, cancellation, or revision of ceded reinsurance agreements: (A) Effective date of the nonrenewal, cancellation, or revision; (B) The description of the transaction with an identification of the initiator thereof; (C) Purpose of, or reason for, the transaction; and (D) If applicable, the identity of the replacement reinsurers. (2) Insurers are required to report all material nonrenewals, cancellations, or revisions of ceded reinsurance agreements on a nonconsolidated basis unless the insurer is part of a consolidated group of insurers which utilizes a pooling arrangement or one hundred percent (100%) reinsurance agreement that affects the solvency and integrity of the insurer's reserves and the insurer ceded substantially all of its direct and assumed business to the pool. An insurer is deemed to have ceded substantially all of its direct and assumed business to a pool if the insurer has less than one million dollars ($1,000,000) total direct plus assumed written premiums during a calendar year that are not subject to a pooling arrangement and the net income of the business not subject to the pooling arrangement represents less than five percent (5%) of the insurer's capital and surplus. Acts 1995, No. 625, § 1; 2001, No. 1603, § 15.

(a) Materiality and Scope. (1) No nonrenewals, cancellations, or revisions of ceded reinsurance agreements need be reported pursuant to § 23-63-1402 if the nonrenewals, cancellations, or revisions are not material. For purposes of this subchapter, a material nonrenewal, cancellation, or revision is one that affects: (A) As respects property and casualty business, including accident and health business written by a property and casualty insurer: (i) More than fifty percent (50%) of the insurer's total ceded written premium; or (ii) More than fifty percent (50%) of the insurer's total ceded indemnity and loss adjustment reserves; (B) As respects life, annuity, and accident and health business, more than fifty percent (50%) of the total reserve credit taken for business ceded, on an annualized basis, as indicated in the insurer's most recent annual statement; and (C) As respects either property and casualty or life, annuity, and accident and health business, either of the following events shall constitute a material revision which must be reported: (i) An authorized reinsurer representing more than ten percent (10%) of a total cession is replaced by one (1) or more unauthorized reinsurers; or (ii) Previously established collateral requirements have been reduced or waived as respects one (1) or more unauthorized reinsurers representing collectively more than ten percent (10%) of a total cession. (2) However, no filing shall be required if: (A) As respects property and casualty business, including accident and health business written by a property and casualty insurer, the insurer's total ceded written premium represents, on an annualized basis, less than ten percent (10%) of its total written premium for direct and assumed business; or (B) As respects life, annuity, and accident and health insurance, the total reserve taken for business ceded represents, on an annualized basis, less than ten percent (10%) of the statutory reserve requirement prior to any cession.

(1) No nonrenewals, cancellations, or revisions of ceded reinsurance agreements need be reported pursuant to § 23-63-1402 if the nonrenewals, cancellations, or revisions are not material. For purposes of this subchapter, a material nonrenewal, cancellation, or revision is one that affects: (A) As respects property and casualty business, including accident and health business written by a property and casualty insurer: (i) More than fifty percent (50%) of the insurer's total ceded written premium; or (ii) More than fifty percent (50%) of the insurer's total ceded indemnity and loss adjustment reserves; (B) As respects life, annuity, and accident and health business, more than fifty percent (50%) of the total reserve credit taken for business ceded, on an annualized basis, as indicated in the insurer's most recent annual statement; and (C) As respects either property and casualty or life, annuity, and accident and health business, either of the following events shall constitute a material revision which must be reported: (i) An authorized reinsurer representing more than ten percent (10%) of a total cession is replaced by one (1) or more unauthorized reinsurers; or (ii) Previously established collateral requirements have been reduced or waived as respects one (1) or more unauthorized reinsurers representing collectively more than ten percent (10%) of a total cession.

(A) As respects property and casualty business, including accident and health business written by a property and casualty insurer: (i) More than fifty percent (50%) of the insurer's total ceded written premium; or (ii) More than fifty percent (50%) of the insurer's total ceded indemnity and loss adjustment reserves;

(i) More than fifty percent (50%) of the insurer's total ceded written premium; or

(ii) More than fifty percent (50%) of the insurer's total ceded indemnity and loss adjustment reserves;

(B) As respects life, annuity, and accident and health business, more than fifty percent (50%) of the total reserve credit taken for business ceded, on an annualized basis, as indicated in the insurer's most recent annual statement; and

(C) As respects either property and casualty or life, annuity, and accident and health business, either of the following events shall constitute a material revision which must be reported: (i) An authorized reinsurer representing more than ten percent (10%) of a total cession is replaced by one (1) or more unauthorized reinsurers; or (ii) Previously established collateral requirements have been reduced or waived as respects one (1) or more unauthorized reinsurers representing collectively more than ten percent (10%) of a total cession.

(i) An authorized reinsurer representing more than ten percent (10%) of a total cession is replaced by one (1) or more unauthorized reinsurers; or

(ii) Previously established collateral requirements have been reduced or waived as respects one (1) or more unauthorized reinsurers representing collectively more than ten percent (10%) of a total cession.

(2) However, no filing shall be required if: (A) As respects property and casualty business, including accident and health business written by a property and casualty insurer, the insurer's total ceded written premium represents, on an annualized basis, less than ten percent (10%) of its total written premium for direct and assumed business; or (B) As respects life, annuity, and accident and health insurance, the total reserve taken for business ceded represents, on an annualized basis, less than ten percent (10%) of the statutory reserve requirement prior to any cession.

(A) As respects property and casualty business, including accident and health business written by a property and casualty insurer, the insurer's total ceded written premium represents, on an annualized basis, less than ten percent (10%) of its total written premium for direct and assumed business; or

(B) As respects life, annuity, and accident and health insurance, the total reserve taken for business ceded represents, on an annualized basis, less than ten percent (10%) of the statutory reserve requirement prior to any cession.

(b) Information to be Reported. (1) The following information is required to be disclosed in any report of a material nonrenewal, cancellation, or revision of ceded reinsurance agreements: (A) Effective date of the nonrenewal, cancellation, or revision; (B) The description of the transaction with an identification of the initiator thereof; (C) Purpose of, or reason for, the transaction; and (D) If applicable, the identity of the replacement reinsurers. (2) Insurers are required to report all material nonrenewals, cancellations, or revisions of ceded reinsurance agreements on a nonconsolidated basis unless the insurer is part of a consolidated group of insurers which utilizes a pooling arrangement or one hundred percent (100%) reinsurance agreement that affects the solvency and integrity of the insurer's reserves and the insurer ceded substantially all of its direct and assumed business to the pool. An insurer is deemed to have ceded substantially all of its direct and assumed business to a pool if the insurer has less than one million dollars ($1,000,000) total direct plus assumed written premiums during a calendar year that are not subject to a pooling arrangement and the net income of the business not subject to the pooling arrangement represents less than five percent (5%) of the insurer's capital and surplus.

(1) The following information is required to be disclosed in any report of a material nonrenewal, cancellation, or revision of ceded reinsurance agreements: (A) Effective date of the nonrenewal, cancellation, or revision; (B) The description of the transaction with an identification of the initiator thereof; (C) Purpose of, or reason for, the transaction; and (D) If applicable, the identity of the replacement reinsurers.

(A) Effective date of the nonrenewal, cancellation, or revision;

(B) The description of the transaction with an identification of the initiator thereof;

(C) Purpose of, or reason for, the transaction; and

(D) If applicable, the identity of the replacement reinsurers.

(2) Insurers are required to report all material nonrenewals, cancellations, or revisions of ceded reinsurance agreements on a nonconsolidated basis unless the insurer is part of a consolidated group of insurers which utilizes a pooling arrangement or one hundred percent (100%) reinsurance agreement that affects the solvency and integrity of the insurer's reserves and the insurer ceded substantially all of its direct and assumed business to the pool. An insurer is deemed to have ceded substantially all of its direct and assumed business to a pool if the insurer has less than one million dollars ($1,000,000) total direct plus assumed written premiums during a calendar year that are not subject to a pooling arrangement and the net income of the business not subject to the pooling arrangement represents less than five percent (5%) of the insurer's capital and surplus.

Acts 1995, No. 625, § 1; 2001, No. 1603, § 15.
Ark. Code Ann. § 23-82-113 — AR Code / Title 23 / Chapter 82 / Section 23-82-113
Authority to alter contract provision
Status: in_force

There shall be a provision that no agent shall have the power or authority to waive, change, or alter any of the terms or conditions of any policy, except that at the option of the insurer, the terms or conditions may be changed by an endorsement or rider signed by an authorized officer of the insurer. Acts 1959, No. 148, § 357; A.S.A. 1947, § 66-3412.

There shall be a provision that no agent shall have the power or authority to waive, change, or alter any of the terms or conditions of any policy, except that at the option of the insurer, the terms or conditions may be changed by an endorsement or rider signed by an authorized officer of the insurer.

Acts 1959, No. 148, § 357; A.S.A. 1947, § 66-3412.
Ark. Code Ann. § 23-64-502 — AR Code / Title 23 / Chapter 64 / Subchapter 5 / Section 23-64-502
Definitions
Status: in_force

For purposes of this subchapter: (1) "Business entity" means a corporation, association, partnership, limited liability company, limited liability partnership, or other legal entity; (2) "Home state" means the District of Columbia and any state or territory of the United States in which an insurance producer maintains his or her principal place of residence or principal place of business and is licensed to act as an insurance producer; (3) "Insurance" means any of the lines of authority defined in §§ 23-62-101 - 23-62-108 ; (4) "Insurance producer" means a person required to be licensed under the laws of this state to sell, solicit, or negotiate insurance; (5) "Insurer" means those entities defined in § 23-60-102 ; (6) "License" means a document issued by this state's Insurance Commissioner authorizing a person to act as an insurance producer for the lines of authority specified in the document. The license itself does not create any authority, actual, apparent, or inherent, in the holder to represent or commit an insurance carrier; (7) "Limited line credit insurance" includes credit life, credit disability, credit property, credit unemployment, involuntary unemployment, mortgage life, mortgage guaranty, mortgage disability, guaranteed automobile protection (gap) insurance, and any other form of insurance offered in connection with an extension of credit that is limited to partially or wholly extinguishing that credit obligation that the commissioner determines should be designated a form of limited line credit insurance; (8) "Limited line credit insurance producer" means a person who sells, solicits, or negotiates one (1) or more forms of limited line credit insurance coverage to individuals through a master, corporate, group, or individual policy; (9) "Limited lines insurance" means those lines of insurance for crop hail insurance, mobile home physical damage insurance, prepaid legal insurance, and fire and marine insurance written in connection with credit transactions, or any other line of insurance that the commissioner deems necessary to recognize for the purposes of complying with § 23-64-508(e) ; (10) "Limited lines producer" means a person authorized by the commissioner to sell, solicit, or negotiate limited lines insurance; (11) "Negotiate" means the act of conferring directly with or offering advice directly to a purchaser or prospective purchaser of a particular contract of insurance concerning any of the substantive benefits, terms, or conditions of the contract, provided that the person engaged in that act either sells insurance or obtains insurance from insurers for purchasers; (12) "Person" means an individual or a business entity; (13) "Sell" means to exchange a contract of insurance by any means, for money or its equivalent, on behalf of an insurance company; (14) "Solicit" means attempting to sell insurance or asking or urging a person to apply for a particular kind of insurance from a particular company; (15) "Terminate" means the cancellation of the relationship between an insurance producer and the insurer or the termination of a producer's authority to transact insurance; (16) "Uniform Business Entity Application" means the current version of the National Association of Insurance Commissioners' Uniform Business Entity Application License/Registration for resident and nonresident business entities; and (17) "Uniform Application" means the current version of the National Association of Insurance Commissioners' Uniform Application for resident and nonresident producer licensing. Acts 2001, No. 580, § 1.

For purposes of this subchapter:

(1) "Business entity" means a corporation, association, partnership, limited liability company, limited liability partnership, or other legal entity;

(2) "Home state" means the District of Columbia and any state or territory of the United States in which an insurance producer maintains his or her principal place of residence or principal place of business and is licensed to act as an insurance producer;

(3) "Insurance" means any of the lines of authority defined in §§ 23-62-101 - 23-62-108 ;

(4) "Insurance producer" means a person required to be licensed under the laws of this state to sell, solicit, or negotiate insurance;

(5) "Insurer" means those entities defined in § 23-60-102 ;

(6) "License" means a document issued by this state's Insurance Commissioner authorizing a person to act as an insurance producer for the lines of authority specified in the document. The license itself does not create any authority, actual, apparent, or inherent, in the holder to represent or commit an insurance carrier;

(7) "Limited line credit insurance" includes credit life, credit disability, credit property, credit unemployment, involuntary unemployment, mortgage life, mortgage guaranty, mortgage disability, guaranteed automobile protection (gap) insurance, and any other form of insurance offered in connection with an extension of credit that is limited to partially or wholly extinguishing that credit obligation that the commissioner determines should be designated a form of limited line credit insurance;

(8) "Limited line credit insurance producer" means a person who sells, solicits, or negotiates one (1) or more forms of limited line credit insurance coverage to individuals through a master, corporate, group, or individual policy;

(9) "Limited lines insurance" means those lines of insurance for crop hail insurance, mobile home physical damage insurance, prepaid legal insurance, and fire and marine insurance written in connection with credit transactions, or any other line of insurance that the commissioner deems necessary to recognize for the purposes of complying with § 23-64-508(e) ;

(10) "Limited lines producer" means a person authorized by the commissioner to sell, solicit, or negotiate limited lines insurance;

(11) "Negotiate" means the act of conferring directly with or offering advice directly to a purchaser or prospective purchaser of a particular contract of insurance concerning any of the substantive benefits, terms, or conditions of the contract, provided that the person engaged in that act either sells insurance or obtains insurance from insurers for purchasers;

(12) "Person" means an individual or a business entity;

(13) "Sell" means to exchange a contract of insurance by any means, for money or its equivalent, on behalf of an insurance company;

(14) "Solicit" means attempting to sell insurance or asking or urging a person to apply for a particular kind of insurance from a particular company;

(15) "Terminate" means the cancellation of the relationship between an insurance producer and the insurer or the termination of a producer's authority to transact insurance;

(16) "Uniform Business Entity Application" means the current version of the National Association of Insurance Commissioners' Uniform Business Entity Application License/Registration for resident and nonresident business entities; and

(17) "Uniform Application" means the current version of the National Association of Insurance Commissioners' Uniform Application for resident and nonresident producer licensing.

Acts 2001, No. 580, § 1.
Ark. Code Ann. § 23-69-306 — AR Code / Title 23 / Chapter 69 / Subchapter 3 / Section 23-69-306
Hearings on proposed reorganization plan
Status: in_force

The Insurance Commissioner shall conduct a public hearing regarding a proposed plan of reorganization within one hundred twenty (120) days after the date the completed proposed plan of reorganization is filed under § 23-69-305 , unless extended by the commissioner for good cause. Any interested person may appear or otherwise be heard at the public hearing. The commissioner, in his or her discretion, may continue the public hearing for a reasonable period of time not to exceed sixty (60) days. The mutual insurer shall give such reasonable notice of the public hearing as the commissioner, in his or her discretion, may require. Acts 2001, No. 1726, § 1.

The Insurance Commissioner shall conduct a public hearing regarding a proposed plan of reorganization within one hundred twenty (120) days after the date the completed proposed plan of reorganization is filed under § 23-69-305 , unless extended by the commissioner for good cause. Any interested person may appear or otherwise be heard at the public hearing. The commissioner, in his or her discretion, may continue the public hearing for a reasonable period of time not to exceed sixty (60) days. The mutual insurer shall give such reasonable notice of the public hearing as the commissioner, in his or her discretion, may require.

Acts 2001, No. 1726, § 1.
Ark. Code Ann. § 23-85-116 — AR Code / Title 23 / Chapter 85 / Section 23-85-116
Legal actions provision
Status: in_force

There shall be a provision as follows: "Legal Actions: No action at law or in equity shall be brought to recover on this policy prior to the expiration of sixty (60) days after written proof of loss has been furnished in accordance with the requirements of this policy. No such action shall be brought after the expiration of three (3) years after the time written proof of loss is required to be furnished." Acts 1959, No. 148, § 399; A.S.A. 1947, § 66-3614.

There shall be a provision as follows:

"Legal Actions: No action at law or in equity shall be brought to recover on this policy prior to the expiration of sixty (60) days after written proof of loss has been furnished in accordance with the requirements of this policy. No such action shall be brought after the expiration of three (3) years after the time written proof of loss is required to be furnished."

Acts 1959, No. 148, § 399; A.S.A. 1947, § 66-3614.
Ark. Code Ann. § 23-63-1513 — AR Code / Title 23 / Chapter 63 / Subchapter 15 / Section 23-63-1513
Penalties and liabilities
Status: in_force

(a) If the Insurance Commissioner finds after a hearing conducted in accordance with § 23-61-301 et seq. that a health organization has violated this subchapter, the commissioner may order: (1) For each separate violation, a penalty of one thousand dollars ($1000) or, if the commissioner has found willful misconduct or willful violation, five thousand dollars ($5,000); and (2) Revocation or suspension of the health organization's license. (b) The decision, determination, or order of the commissioner under subsection (a) of this section shall be subject to judicial review pursuant to § 23-61-307 . (c) This section does not affect the right of the commissioner to impose any other penalties provided for in the insurance laws of this state. Acts 2011, No. 760, § 5.

(a) If the Insurance Commissioner finds after a hearing conducted in accordance with § 23-61-301 et seq. that a health organization has violated this subchapter, the commissioner may order: (1) For each separate violation, a penalty of one thousand dollars ($1000) or, if the commissioner has found willful misconduct or willful violation, five thousand dollars ($5,000); and (2) Revocation or suspension of the health organization's license.

(1) For each separate violation, a penalty of one thousand dollars ($1000) or, if the commissioner has found willful misconduct or willful violation, five thousand dollars ($5,000); and

(2) Revocation or suspension of the health organization's license.

(b) The decision, determination, or order of the commissioner under subsection (a) of this section shall be subject to judicial review pursuant to § 23-61-307 .

(c) This section does not affect the right of the commissioner to impose any other penalties provided for in the insurance laws of this state.

Acts 2011, No. 760, § 5.
Ark. Code Ann. § 23-79-406 — AR Code / Title 23 / Chapter 79 / Subchapter 4 / Section 23-79-406
Disclosure standards - Definition
Status: in_force

(a) In order to provide for full and fair disclosure in the sale of Medicare supplement policies, no Medicare supplement policy or certificate shall be delivered in this state unless an outline of coverage is delivered to the applicant at the time application is made. (b) The Insurance Commissioner shall prescribe the format and content of the outline of coverage required by subsection (a) of this section. For purposes of this section, "format" means style, arrangements, and overall appearance, including such items as the size, color, and prominence of type, and arrangement of text and captions. The outline of coverage shall include: (1) A description of the principal benefits and coverage provided in the Medicare supplement policy; (2) A statement of the renewal provisions, including any reservation by the issuer of a right to change premiums, and disclosure of the existence of any automatic renewal premium increases based on the policyholder's age; and (3) A statement that the outline of coverage is a summary of the Medicare supplement policy issued or applied for and that the Medicare supplement policy should be consulted to determine governing contractual provisions. (c) (1) The commissioner may prescribe by rule a standard form and the contents of an informational brochure for persons eligible for Medicare which is intended to improve the buyer's ability to select the most appropriate coverage and improve the buyer's understanding of Medicare. (2) Except in the case of direct response insurance policies, the commissioner may require by rule that the informational brochure be provided to any prospective insureds eligible for Medicare concurrently with delivery of the outline of coverage. (3) With respect to direct response insurance policies, the commissioner may require by rule that the prescribed brochure be provided upon request to any prospective insureds eligible for Medicare, but in no event later than the time of policy delivery. (d) The commissioner may adopt rules for captions or notice requirements determined to be in the public interest and designed to inform prospective insureds that particular insurance coverages are not Medicare supplement coverages for all accident and health insurance policies sold to persons eligible for Medicare by reason of age, other than: (1) Medicare supplement policies; (2) Disability income policies; (3) Basic, catastrophic, or major medical expense policies; or (4) Single premium, nonrenewable policies. (e) The commissioner may adopt reasonable rules to govern the full and fair disclosure of the information in connection with the replacement of accident and health policies, subscriber contracts, or certificates by persons eligible for Medicare. Amended by Act 2019, No. 315,§ 2714, eff. 7/24/2019. Acts 1992 (1st Ex. Sess.), No. 72, § 3; 2001, No. 1603, §§ 35, 36.

(a) In order to provide for full and fair disclosure in the sale of Medicare supplement policies, no Medicare supplement policy or certificate shall be delivered in this state unless an outline of coverage is delivered to the applicant at the time application is made.

(b) The Insurance Commissioner shall prescribe the format and content of the outline of coverage required by subsection (a) of this section. For purposes of this section, "format" means style, arrangements, and overall appearance, including such items as the size, color, and prominence of type, and arrangement of text and captions. The outline of coverage shall include: (1) A description of the principal benefits and coverage provided in the Medicare supplement policy; (2) A statement of the renewal provisions, including any reservation by the issuer of a right to change premiums, and disclosure of the existence of any automatic renewal premium increases based on the policyholder's age; and (3) A statement that the outline of coverage is a summary of the Medicare supplement policy issued or applied for and that the Medicare supplement policy should be consulted to determine governing contractual provisions.

(1) A description of the principal benefits and coverage provided in the Medicare supplement policy;

(2) A statement of the renewal provisions, including any reservation by the issuer of a right to change premiums, and disclosure of the existence of any automatic renewal premium increases based on the policyholder's age; and

(3) A statement that the outline of coverage is a summary of the Medicare supplement policy issued or applied for and that the Medicare supplement policy should be consulted to determine governing contractual provisions.

(c) (1) The commissioner may prescribe by rule a standard form and the contents of an informational brochure for persons eligible for Medicare which is intended to improve the buyer's ability to select the most appropriate coverage and improve the buyer's understanding of Medicare. (2) Except in the case of direct response insurance policies, the commissioner may require by rule that the informational brochure be provided to any prospective insureds eligible for Medicare concurrently with delivery of the outline of coverage. (3) With respect to direct response insurance policies, the commissioner may require by rule that the prescribed brochure be provided upon request to any prospective insureds eligible for Medicare, but in no event later than the time of policy delivery.

(1) The commissioner may prescribe by rule a standard form and the contents of an informational brochure for persons eligible for Medicare which is intended to improve the buyer's ability to select the most appropriate coverage and improve the buyer's understanding of Medicare.

(2) Except in the case of direct response insurance policies, the commissioner may require by rule that the informational brochure be provided to any prospective insureds eligible for Medicare concurrently with delivery of the outline of coverage.

(3) With respect to direct response insurance policies, the commissioner may require by rule that the prescribed brochure be provided upon request to any prospective insureds eligible for Medicare, but in no event later than the time of policy delivery.

(d) The commissioner may adopt rules for captions or notice requirements determined to be in the public interest and designed to inform prospective insureds that particular insurance coverages are not Medicare supplement coverages for all accident and health insurance policies sold to persons eligible for Medicare by reason of age, other than: (1) Medicare supplement policies; (2) Disability income policies; (3) Basic, catastrophic, or major medical expense policies; or (4) Single premium, nonrenewable policies.

(1) Medicare supplement policies;

(2) Disability income policies;

(3) Basic, catastrophic, or major medical expense policies; or

(4) Single premium, nonrenewable policies.

(e) The commissioner may adopt reasonable rules to govern the full and fair disclosure of the information in connection with the replacement of accident and health policies, subscriber contracts, or certificates by persons eligible for Medicare.

Amended by Act 2019, No. 315,§ 2714, eff. 7/24/2019.

Acts 1992 (1st Ex. Sess.), No. 72, § 3; 2001, No. 1603, §§ 35, 36.
Ark. Code Ann. § 23-72-121 — AR Code / Title 23 / Chapter 72 / Section 23-72-121
Insolvency
Status: in_force

An insurer is insolvent when its reserves, its matured death claims, and its other due and unpaid obligations exceed its assets and death assessments or periodic payments called, to be called, or in process of collection. Acts 1959, No. 148, § 576; 1967, No. 393, § 4; A.S.A. 1947, § 66-4521.

An insurer is insolvent when its reserves, its matured death claims, and its other due and unpaid obligations exceed its assets and death assessments or periodic payments called, to be called, or in process of collection.

Acts 1959, No. 148, § 576; 1967, No. 393, § 4; A.S.A. 1947, § 66-4521.
Ark. Code Ann. § 23-64-515 — AR Code / Title 23 / Chapter 64 / Subchapter 5 / Section 23-64-515
Notification to Insurance Commissioner of termination
Status: in_force

(a) Termination for Cause. An insurer or authorized representative of the insurer that terminates the appointment, employment, contract, or other insurance business relationship with a producer shall notify the Insurance Commissioner within thirty (30) days following the effective date of the termination, using a format prescribed by the Insurance Commissioner, if the reason for termination is one of the reasons set forth in § 23-64-512 or the insurer has knowledge that the producer was found by a court, government body, or self-regulatory organization authorized by law to have engaged in any of the activities in § 23-64-512 . Upon the written request of the Insurance Commissioner, the insurer shall provide additional information, documents, records, or other data pertaining to the termination or activity of the producer. (b) Termination Without Cause. An insurer or authorized representative of the insurer that terminates the appointment, employment, or contract with a producer for any reason not set forth in § 23-64-512 , shall notify the Insurance Commissioner within thirty (30) days following the effective date of the termination, using a format prescribed by the Insurance Commissioner. Upon written request of the Insurance Commissioner, the insurer shall provide additional information, documents, records, or other data pertaining to the termination. (c) Ongoing Notification Requirement. The insurer or the authorized representative of the insurer shall promptly notify the Insurance Commissioner in a format acceptable to the Insurance Commissioner if, upon further review or investigation, the insurer discovers additional information that would have been reportable to the Insurance Commissioner in accordance with subsection (a) of this section had the insurer then known of its existence. (d) Copy of Notification to be Provided to Producer. (1) Within fifteen (15) days after making the notification required by subsections (a)-(c) of this section, the insurer shall mail a copy of the notification to the producer at his or her last known address. If the producer is terminated for cause for any of the reasons listed in § 23-64-512 , the insurer shall provide a copy of the notification to the producer at his or her last known address by certified mail, return receipt requested, postage prepaid or by overnight delivery using a nationally recognized carrier. (2) Within thirty (30) days after the producer has received the original or additional notification, the producer may file written comments concerning the substance of the notification with the Insurance Commissioner. The producer shall, by the same means, simultaneously send a copy of the comments to the reporting insurer, and the comments shall become a part of the Insurance Commissioner's file and accompany every copy of a report distributed or disclosed for any reason about the producer as permitted under subsection (f) of this section. (e) Immunities. (1) In the absence of actual malice, an insurer, the authorized representative of the insurer, a producer, the Insurance Commissioner, or an organization of which the Insurance Commissioner is a member and that compiles the information and makes it available to other insurance commissioners or regulatory or law enforcement agencies shall not be subject to civil liability, and a civil cause of action of any nature shall not arise against these entities or their respective agents or employees, as a result of any statement or information required by or provided pursuant to this section or any information relating to any statement that may be requested in writing by the Insurance Commissioner, from an insurer or producer; or a statement by a terminating insurer or producer to an insurer or producer limited solely and exclusively to whether a termination for cause under subsection (a) of this section was reported to the Insurance Commissioner, provided that the propriety of any termination for cause under subsection (a) of this section is certified in writing by an officer or authorized representative of the insurer or producer terminating the relationship. (2) In any action brought against a person that may have immunity under subdivision (e)(1) of this section for making any statement required by this section or providing any information relating to any statement that may be requested by the Insurance Commissioner, the party bringing the action shall plead specifically in any allegation that subdivision (e)(1) of this section does not apply because the person making the statement or providing the information did so with actual malice. (3) Subdivision (e)(1) or subdivision (e)(2) of this section shall not abrogate or modify any existing statutory or common law privileges or immunities. (f) Confidentiality. (1) Any documents, materials, or other information in the control or possession of the State Insurance Department that is furnished by an insurer, producer, or an employee or agent thereof acting on behalf of the insurer or producer, or obtained by the Insurance Commissioner in an investigation pursuant to this section shall be confidential by law and privileged, shall not be subject to the Freedom of Information Act of 1967, § 25-19-101 et seq., shall not be subject to subpoena, and shall not be subject to discovery or admissible in evidence in any private civil action. However, the Insurance Commissioner is authorized to use the documents, materials, or other information in the furtherance of any regulatory or legal action brought as a part of the Insurance Commissioner's duties. (2) Neither the Insurance Commissioner nor any person who received documents, materials, or other information while acting under the authority of the Insurance Commissioner shall be permitted or required to testify in any private civil action concerning any confidential documents, materials, or information subject to subdivision (f)(1) of this section. (3) In order to assist in the performance of the Insurance Commissioner's duties under this subchapter, the Insurance Commissioner: (A) May share documents, materials, or other information, including the confidential and privileged documents, materials, or information subject to subdivision (f)(1) of this section, with other state, federal, and international regulatory agencies, with the National Association of Insurance Commissioners, its affiliates or subsidiaries, and with state, federal, and international law enforcement authorities, provided that the recipient agrees to maintain the confidentiality and privileged status of the document, material, or other information; (B) May receive documents, materials, or information, including otherwise confidential and privileged documents, materials, or information, from the National Association of Insurance Commissioners, its affiliates or subsidiaries, and from regulatory and law enforcement officials of other foreign or domestic jurisdictions, and shall maintain as confidential or privileged any document, material, or information received with notice or the understanding that it is confidential or privileged under the laws of the jurisdiction that is the source of the document, material, or information; and (C) May enter into agreements governing sharing and use of information consistent with this subsection. (4) No waiver of any applicable privilege or claim of confidentiality in the documents, materials, or information shall occur as a result of disclosure to the Insurance Commissioner under this section or as a result of sharing as authorized in subdivision (f)(3) of this section. (5) Nothing in this subchapter shall prohibit the Insurance Commissioner from releasing final, adjudicated actions including for-cause terminations that are open to public inspection to a database or other clearinghouse service maintained by the National Association of Insurance Commissioners, its affiliates, or subsidiaries of the National Association of Insurance Commissioners. (6) The Insurance Commissioner shall release information required by § 23-61-103 . (g) Penalties for Failing to Report. An insurer, the authorized representative of the insurer, or producer that fails to report as required under the provisions of this section or that is found to have reported with actual malice by a court of competent jurisdiction may, after notice and hearing, have its license or certificate of authority suspended or revoked and may be fined in accordance with the Arkansas Insurance Code. Acts 2001, No. 580, § 1.

(a) Termination for Cause. An insurer or authorized representative of the insurer that terminates the appointment, employment, contract, or other insurance business relationship with a producer shall notify the Insurance Commissioner within thirty (30) days following the effective date of the termination, using a format prescribed by the Insurance Commissioner, if the reason for termination is one of the reasons set forth in § 23-64-512 or the insurer has knowledge that the producer was found by a court, government body, or self-regulatory organization authorized by law to have engaged in any of the activities in § 23-64-512 . Upon the written request of the Insurance Commissioner, the insurer shall provide additional information, documents, records, or other data pertaining to the termination or activity of the producer.

(b) Termination Without Cause. An insurer or authorized representative of the insurer that terminates the appointment, employment, or contract with a producer for any reason not set forth in § 23-64-512 , shall notify the Insurance Commissioner within thirty (30) days following the effective date of the termination, using a format prescribed by the Insurance Commissioner. Upon written request of the Insurance Commissioner, the insurer shall provide additional information, documents, records, or other data pertaining to the termination.

(c) Ongoing Notification Requirement. The insurer or the authorized representative of the insurer shall promptly notify the Insurance Commissioner in a format acceptable to the Insurance Commissioner if, upon further review or investigation, the insurer discovers additional information that would have been reportable to the Insurance Commissioner in accordance with subsection (a) of this section had the insurer then known of its existence.

(d) Copy of Notification to be Provided to Producer. (1) Within fifteen (15) days after making the notification required by subsections (a)-(c) of this section, the insurer shall mail a copy of the notification to the producer at his or her last known address. If the producer is terminated for cause for any of the reasons listed in § 23-64-512 , the insurer shall provide a copy of the notification to the producer at his or her last known address by certified mail, return receipt requested, postage prepaid or by overnight delivery using a nationally recognized carrier. (2) Within thirty (30) days after the producer has received the original or additional notification, the producer may file written comments concerning the substance of the notification with the Insurance Commissioner. The producer shall, by the same means, simultaneously send a copy of the comments to the reporting insurer, and the comments shall become a part of the Insurance Commissioner's file and accompany every copy of a report distributed or disclosed for any reason about the producer as permitted under subsection (f) of this section.

(1) Within fifteen (15) days after making the notification required by subsections (a)-(c) of this section, the insurer shall mail a copy of the notification to the producer at his or her last known address. If the producer is terminated for cause for any of the reasons listed in § 23-64-512 , the insurer shall provide a copy of the notification to the producer at his or her last known address by certified mail, return receipt requested, postage prepaid or by overnight delivery using a nationally recognized carrier.

(2) Within thirty (30) days after the producer has received the original or additional notification, the producer may file written comments concerning the substance of the notification with the Insurance Commissioner. The producer shall, by the same means, simultaneously send a copy of the comments to the reporting insurer, and the comments shall become a part of the Insurance Commissioner's file and accompany every copy of a report distributed or disclosed for any reason about the producer as permitted under subsection (f) of this section.

(e) Immunities. (1) In the absence of actual malice, an insurer, the authorized representative of the insurer, a producer, the Insurance Commissioner, or an organization of which the Insurance Commissioner is a member and that compiles the information and makes it available to other insurance commissioners or regulatory or law enforcement agencies shall not be subject to civil liability, and a civil cause of action of any nature shall not arise against these entities or their respective agents or employees, as a result of any statement or information required by or provided pursuant to this section or any information relating to any statement that may be requested in writing by the Insurance Commissioner, from an insurer or producer; or a statement by a terminating insurer or producer to an insurer or producer limited solely and exclusively to whether a termination for cause under subsection (a) of this section was reported to the Insurance Commissioner, provided that the propriety of any termination for cause under subsection (a) of this section is certified in writing by an officer or authorized representative of the insurer or producer terminating the relationship. (2) In any action brought against a person that may have immunity under subdivision (e)(1) of this section for making any statement required by this section or providing any information relating to any statement that may be requested by the Insurance Commissioner, the party bringing the action shall plead specifically in any allegation that subdivision (e)(1) of this section does not apply because the person making the statement or providing the information did so with actual malice. (3) Subdivision (e)(1) or subdivision (e)(2) of this section shall not abrogate or modify any existing statutory or common law privileges or immunities.

(1) In the absence of actual malice, an insurer, the authorized representative of the insurer, a producer, the Insurance Commissioner, or an organization of which the Insurance Commissioner is a member and that compiles the information and makes it available to other insurance commissioners or regulatory or law enforcement agencies shall not be subject to civil liability, and a civil cause of action of any nature shall not arise against these entities or their respective agents or employees, as a result of any statement or information required by or provided pursuant to this section or any information relating to any statement that may be requested in writing by the Insurance Commissioner, from an insurer or producer; or a statement by a terminating insurer or producer to an insurer or producer limited solely and exclusively to whether a termination for cause under subsection (a) of this section was reported to the Insurance Commissioner, provided that the propriety of any termination for cause under subsection (a) of this section is certified in writing by an officer or authorized representative of the insurer or producer terminating the relationship.

(2) In any action brought against a person that may have immunity under subdivision (e)(1) of this section for making any statement required by this section or providing any information relating to any statement that may be requested by the Insurance Commissioner, the party bringing the action shall plead specifically in any allegation that subdivision (e)(1) of this section does not apply because the person making the statement or providing the information did so with actual malice.

(3) Subdivision (e)(1) or subdivision (e)(2) of this section shall not abrogate or modify any existing statutory or common law privileges or immunities.

(f) Confidentiality. (1) Any documents, materials, or other information in the control or possession of the State Insurance Department that is furnished by an insurer, producer, or an employee or agent thereof acting on behalf of the insurer or producer, or obtained by the Insurance Commissioner in an investigation pursuant to this section shall be confidential by law and privileged, shall not be subject to the Freedom of Information Act of 1967, § 25-19-101 et seq., shall not be subject to subpoena, and shall not be subject to discovery or admissible in evidence in any private civil action. However, the Insurance Commissioner is authorized to use the documents, materials, or other information in the furtherance of any regulatory or legal action brought as a part of the Insurance Commissioner's duties. (2) Neither the Insurance Commissioner nor any person who received documents, materials, or other information while acting under the authority of the Insurance Commissioner shall be permitted or required to testify in any private civil action concerning any confidential documents, materials, or information subject to subdivision (f)(1) of this section. (3) In order to assist in the performance of the Insurance Commissioner's duties under this subchapter, the Insurance Commissioner: (A) May share documents, materials, or other information, including the confidential and privileged documents, materials, or information subject to subdivision (f)(1) of this section, with other state, federal, and international regulatory agencies, with the National Association of Insurance Commissioners, its affiliates or subsidiaries, and with state, federal, and international law enforcement authorities, provided that the recipient agrees to maintain the confidentiality and privileged status of the document, material, or other information; (B) May receive documents, materials, or information, including otherwise confidential and privileged documents, materials, or information, from the National Association of Insurance Commissioners, its affiliates or subsidiaries, and from regulatory and law enforcement officials of other foreign or domestic jurisdictions, and shall maintain as confidential or privileged any document, material, or information received with notice or the understanding that it is confidential or privileged under the laws of the jurisdiction that is the source of the document, material, or information; and (C) May enter into agreements governing sharing and use of information consistent with this subsection. (4) No waiver of any applicable privilege or claim of confidentiality in the documents, materials, or information shall occur as a result of disclosure to the Insurance Commissioner under this section or as a result of sharing as authorized in subdivision (f)(3) of this section. (5) Nothing in this subchapter shall prohibit the Insurance Commissioner from releasing final, adjudicated actions including for-cause terminations that are open to public inspection to a database or other clearinghouse service maintained by the National Association of Insurance Commissioners, its affiliates, or subsidiaries of the National Association of Insurance Commissioners. (6) The Insurance Commissioner shall release information required by § 23-61-103 .

(1) Any documents, materials, or other information in the control or possession of the State Insurance Department that is furnished by an insurer, producer, or an employee or agent thereof acting on behalf of the insurer or producer, or obtained by the Insurance Commissioner in an investigation pursuant to this section shall be confidential by law and privileged, shall not be subject to the Freedom of Information Act of 1967, § 25-19-101 et seq., shall not be subject to subpoena, and shall not be subject to discovery or admissible in evidence in any private civil action. However, the Insurance Commissioner is authorized to use the documents, materials, or other information in the furtherance of any regulatory or legal action brought as a part of the Insurance Commissioner's duties.

(2) Neither the Insurance Commissioner nor any person who received documents, materials, or other information while acting under the authority of the Insurance Commissioner shall be permitted or required to testify in any private civil action concerning any confidential documents, materials, or information subject to subdivision (f)(1) of this section.

(3) In order to assist in the performance of the Insurance Commissioner's duties under this subchapter, the Insurance Commissioner: (A) May share documents, materials, or other information, including the confidential and privileged documents, materials, or information subject to subdivision (f)(1) of this section, with other state, federal, and international regulatory agencies, with the National Association of Insurance Commissioners, its affiliates or subsidiaries, and with state, federal, and international law enforcement authorities, provided that the recipient agrees to maintain the confidentiality and privileged status of the document, material, or other information; (B) May receive documents, materials, or information, including otherwise confidential and privileged documents, materials, or information, from the National Association of Insurance Commissioners, its affiliates or subsidiaries, and from regulatory and law enforcement officials of other foreign or domestic jurisdictions, and shall maintain as confidential or privileged any document, material, or information received with notice or the understanding that it is confidential or privileged under the laws of the jurisdiction that is the source of the document, material, or information; and (C) May enter into agreements governing sharing and use of information consistent with this subsection.

(A) May share documents, materials, or other information, including the confidential and privileged documents, materials, or information subject to subdivision (f)(1) of this section, with other state, federal, and international regulatory agencies, with the National Association of Insurance Commissioners, its affiliates or subsidiaries, and with state, federal, and international law enforcement authorities, provided that the recipient agrees to maintain the confidentiality and privileged status of the document, material, or other information;

(B) May receive documents, materials, or information, including otherwise confidential and privileged documents, materials, or information, from the National Association of Insurance Commissioners, its affiliates or subsidiaries, and from regulatory and law enforcement officials of other foreign or domestic jurisdictions, and shall maintain as confidential or privileged any document, material, or information received with notice or the understanding that it is confidential or privileged under the laws of the jurisdiction that is the source of the document, material, or information; and

(C) May enter into agreements governing sharing and use of information consistent with this subsection.

(4) No waiver of any applicable privilege or claim of confidentiality in the documents, materials, or information shall occur as a result of disclosure to the Insurance Commissioner under this section or as a result of sharing as authorized in subdivision (f)(3) of this section.

(5) Nothing in this subchapter shall prohibit the Insurance Commissioner from releasing final, adjudicated actions including for-cause terminations that are open to public inspection to a database or other clearinghouse service maintained by the National Association of Insurance Commissioners, its affiliates, or subsidiaries of the National Association of Insurance Commissioners.

(6) The Insurance Commissioner shall release information required by § 23-61-103 .

(g) Penalties for Failing to Report. An insurer, the authorized representative of the insurer, or producer that fails to report as required under the provisions of this section or that is found to have reported with actual malice by a court of competent jurisdiction may, after notice and hearing, have its license or certificate of authority suspended or revoked and may be fined in accordance with the Arkansas Insurance Code.

Acts 2001, No. 580, § 1.
Ark. Code Ann. § 23-69-305 — AR Code / Title 23 / Chapter 69 / Subchapter 3 / Section 23-69-305
Filing of proposed reorganization plan
Status: in_force

A domestic mutual insurer shall file a proposed plan of reorganization approved by a vote of not less than two-thirds (2/3) of the members of its board of directors for review and approval with the Insurance Commissioner. The proposed plan of reorganization shall be accompanied by a nonrefundable fee of one thousand dollars ($1,000). A plan of reorganization shall include the following, at a minimum: (1) An analysis of the benefits and risks attendant to the proposed reorganization, including the rationale and comparative benefits and risks of a demutualization; (2) A statement of how the plan is fair and equitable to the policyholders; (3) Information sufficient to demonstrate that the financial condition of the mutual insurer will not be diminished upon reorganization; (4) Provisions to ensure immediate membership in the mutual insurance holding company for all existing policyholders of the mutual insurer; (5) Provisions for membership interests for future policyholders of the reorganized stock insurer; (6) Provisions to ensure that, in the event of proceedings for rehabilitation or liquidation involving a stock insurer subsidiary of the mutual insurance holding company, the assets of the mutual insurance holding company will be available to satisfy the policyholder obligations of the stock insurer subsidiary; (7) Provisions for periodic distribution of accumulated mutual insurance holding company earnings; (8) Certified copies of the proposed articles of incorporation and bylaws of the mutual insurance holding company, intermediate stock holding company, and reorganized stock insurer or proposed amendments thereto as necessary to effectuate reorganization; (9) A certification that the plan of reorganization has been duly adopted by a vote of not less than two-thirds (2/3) of the members of the board of directors of the mutual insurer; (10) A certification adopted by not less than two-thirds (2/3) of the members of the board of directors of the mutual insurer that the plan of reorganization is fair and equitable to the policyholders; (11) The names, addresses, and occupational information of all corporate officers and all members of the board of directors of the proposed mutual insurance holding company in the case of a reorganization described in § 23-69-304(a)(1) ; (12) A description of the nature and content of the annual report and financial statement to be sent by the mutual insurance holding company to each member; (13) A description of the number of members of the board of directors of the mutual insurance holding company required to be policyholders; (14) A description of any plans for the initial sale of stock of the intermediate stock holding company or reorganized stock insurer; (15) A form of the proposed notice to be mailed by the mutual insurer to its policyholders as required in § 23-69-308 ; and (16) Any other information requested by the commissioner. Acts 2001, No. 1726, § 1.

A domestic mutual insurer shall file a proposed plan of reorganization approved by a vote of not less than two-thirds (2/3) of the members of its board of directors for review and approval with the Insurance Commissioner. The proposed plan of reorganization shall be accompanied by a nonrefundable fee of one thousand dollars ($1,000). A plan of reorganization shall include the following, at a minimum:

(1) An analysis of the benefits and risks attendant to the proposed reorganization, including the rationale and comparative benefits and risks of a demutualization;

(2) A statement of how the plan is fair and equitable to the policyholders;

(3) Information sufficient to demonstrate that the financial condition of the mutual insurer will not be diminished upon reorganization;

(4) Provisions to ensure immediate membership in the mutual insurance holding company for all existing policyholders of the mutual insurer;

(5) Provisions for membership interests for future policyholders of the reorganized stock insurer;

(6) Provisions to ensure that, in the event of proceedings for rehabilitation or liquidation involving a stock insurer subsidiary of the mutual insurance holding company, the assets of the mutual insurance holding company will be available to satisfy the policyholder obligations of the stock insurer subsidiary;

(7) Provisions for periodic distribution of accumulated mutual insurance holding company earnings;

(8) Certified copies of the proposed articles of incorporation and bylaws of the mutual insurance holding company, intermediate stock holding company, and reorganized stock insurer or proposed amendments thereto as necessary to effectuate reorganization;

(9) A certification that the plan of reorganization has been duly adopted by a vote of not less than two-thirds (2/3) of the members of the board of directors of the mutual insurer;

(10) A certification adopted by not less than two-thirds (2/3) of the members of the board of directors of the mutual insurer that the plan of reorganization is fair and equitable to the policyholders;

(11) The names, addresses, and occupational information of all corporate officers and all members of the board of directors of the proposed mutual insurance holding company in the case of a reorganization described in § 23-69-304(a)(1) ;

(12) A description of the nature and content of the annual report and financial statement to be sent by the mutual insurance holding company to each member;

(13) A description of the number of members of the board of directors of the mutual insurance holding company required to be policyholders;

(14) A description of any plans for the initial sale of stock of the intermediate stock holding company or reorganized stock insurer;

(15) A form of the proposed notice to be mailed by the mutual insurer to its policyholders as required in § 23-69-308 ; and

(16) Any other information requested by the commissioner.

Acts 2001, No. 1726, § 1.
Ark. Code Ann. § 23-79-1801 — AR Code / Title 23 / Chapter 79 / Subchapter 18 / Section 23-79-1801
Definitions
Status: in_force

As used in this subchapter: (1) (A) "Health benefit plan" means: (i) An individual, blanket, or group plan, policy, or contract for healthcare services issued or delivered by an insurer, health maintenance organization, hospital medical service corporation, or self-insured governmental or church plan in this state; and (ii) Any health benefit program receiving state or federal appropriations from the State of Arkansas, including the Arkansas Medicaid Program and the Arkansas Health and Opportunity for Me Program, or any successor program. (B) "Health benefit plan" includes: (i) An indemnity and managed care plan; and (ii) A nonfederal governmental plan as defined in 29 U.S.C. § 1002(32) , as it existed on January 1, 2019. (C) "Health benefit plan" does not include: (i) A disability income plan; (ii) A credit insurance plan; (iii) Insurance coverage issued as a supplement to liability insurance; (iv) Medical payments under an automobile or homeowner's insurance plan; (v) A health benefit plan provided under Arkansas Constitution, Article 5, § 32, the Workers' Compensation Law, § 11-9-101 et seq., or the Public Employee Workers' Compensation Act, § 21-5-601 et seq.; (vi) A plan that provides only indemnity for hospital confinement; (vii) An accident-only plan; (viii) A specified disease plan; or (ix) A long-term-care-only plan; (2) "Healthcare professional" means a person who is licensed, certified, or otherwise authorized by the laws of this state to administer health care in the ordinary course of the practice of his or her profession; and (3) "Newborn" means a child who is twenty-nine (29) days of age or younger. (4) [Repealed.] Amended by Act 2023, No. 490,§ 4, eff. 8/1/2023. Amended by Act 2021, No. 530,§ 6, eff. on and after January 1, 2022. Added by Act 2019, No. 58,§ 2, eff. 7/24/2019.

As used in this subchapter:

(1) (A) "Health benefit plan" means: (i) An individual, blanket, or group plan, policy, or contract for healthcare services issued or delivered by an insurer, health maintenance organization, hospital medical service corporation, or self-insured governmental or church plan in this state; and (ii) Any health benefit program receiving state or federal appropriations from the State of Arkansas, including the Arkansas Medicaid Program and the Arkansas Health and Opportunity for Me Program, or any successor program. (B) "Health benefit plan" includes: (i) An indemnity and managed care plan; and (ii) A nonfederal governmental plan as defined in 29 U.S.C. § 1002(32) , as it existed on January 1, 2019. (C) "Health benefit plan" does not include: (i) A disability income plan; (ii) A credit insurance plan; (iii) Insurance coverage issued as a supplement to liability insurance; (iv) Medical payments under an automobile or homeowner's insurance plan; (v) A health benefit plan provided under Arkansas Constitution, Article 5, § 32, the Workers' Compensation Law, § 11-9-101 et seq., or the Public Employee Workers' Compensation Act, § 21-5-601 et seq.; (vi) A plan that provides only indemnity for hospital confinement; (vii) An accident-only plan; (viii) A specified disease plan; or (ix) A long-term-care-only plan;

(A) "Health benefit plan" means: (i) An individual, blanket, or group plan, policy, or contract for healthcare services issued or delivered by an insurer, health maintenance organization, hospital medical service corporation, or self-insured governmental or church plan in this state; and (ii) Any health benefit program receiving state or federal appropriations from the State of Arkansas, including the Arkansas Medicaid Program and the Arkansas Health and Opportunity for Me Program, or any successor program.

(i) An individual, blanket, or group plan, policy, or contract for healthcare services issued or delivered by an insurer, health maintenance organization, hospital medical service corporation, or self-insured governmental or church plan in this state; and

(ii) Any health benefit program receiving state or federal appropriations from the State of Arkansas, including the Arkansas Medicaid Program and the Arkansas Health and Opportunity for Me Program, or any successor program.

(B) "Health benefit plan" includes: (i) An indemnity and managed care plan; and (ii) A nonfederal governmental plan as defined in 29 U.S.C. § 1002(32) , as it existed on January 1, 2019.

(i) An indemnity and managed care plan; and

(ii) A nonfederal governmental plan as defined in 29 U.S.C. § 1002(32) , as it existed on January 1, 2019.

(C) "Health benefit plan" does not include: (i) A disability income plan; (ii) A credit insurance plan; (iii) Insurance coverage issued as a supplement to liability insurance; (iv) Medical payments under an automobile or homeowner's insurance plan; (v) A health benefit plan provided under Arkansas Constitution, Article 5, § 32, the Workers' Compensation Law, § 11-9-101 et seq., or the Public Employee Workers' Compensation Act, § 21-5-601 et seq.; (vi) A plan that provides only indemnity for hospital confinement; (vii) An accident-only plan; (viii) A specified disease plan; or (ix) A long-term-care-only plan;

(i) A disability income plan;

(ii) A credit insurance plan;

(iii) Insurance coverage issued as a supplement to liability insurance;

(iv) Medical payments under an automobile or homeowner's insurance plan;

(v) A health benefit plan provided under Arkansas Constitution, Article 5, § 32, the Workers' Compensation Law, § 11-9-101 et seq., or the Public Employee Workers' Compensation Act, § 21-5-601 et seq.;

(vi) A plan that provides only indemnity for hospital confinement;

(vii) An accident-only plan;

(viii) A specified disease plan; or

(ix) A long-term-care-only plan;

(2) "Healthcare professional" means a person who is licensed, certified, or otherwise authorized by the laws of this state to administer health care in the ordinary course of the practice of his or her profession; and

(3) "Newborn" means a child who is twenty-nine (29) days of age or younger.

(4) [Repealed.]

Amended by Act 2023, No. 490,§ 4, eff. 8/1/2023.

Amended by Act 2021, No. 530,§ 6, eff. on and after January 1, 2022.

Added by Act 2019, No. 58,§ 2, eff. 7/24/2019.
Ark. Code Ann. § 23-61-1101 — AR Code / Title 23 / Chapter 61 / Subchapter 11 / Section 23-61-1101
Definitions
Status: in_force

As used in this subchapter: (1) "Burial association" means: (A) A person, firm, association, copartnership, corporation, company, or other organization that, from and after February 18, 1953: (i) Undertakes for consideration paid by or on behalf of its members to defray all or a part of the funeral expenses of the members; (ii) Furnishes or undertakes to furnish merchandise, supplies, and services or any other character of burial benefits to the members; or (iii) Issues a certificate that provides for the payment of funeral benefits to the members in services, merchandise, or supplies, including the services of funeral directors and embalmers; and (B) Every person, firm, association, copartnership, corporation, or company that, before February 18, 1953, has: (i) Undertaken for a consideration to pay money to its contributors for the purpose of defraying all or part of the funeral expenses of a deceased person; (ii) Furnished or has undertaken to furnish supplies and services or any other character of burial benefits to the contributing person or to his or her beneficiaries or members of his or her family; or (iii) Issued any form of contract or certificate that, under its terms, provides for the payment of funeral benefits in money, services, or supplies, including the services of undertakers or embalmers; (2) "Care and maintenance" means the continual maintenance of the cemetery grounds and graves in keeping with a properly maintained cemetery; (3) (A) "Cemetery" means any land or structure in this state dedicated to and used or intended to be used for interment of human remains. (B) "Cemetery" includes a: (i) Burial park for earth interments; (ii) Mausoleum for vault or crypt interments; or (iii) Combination of one (1) or more burial parks for earth internments and mausoleums for vault or crypt interments; (4) "Cemetery company" means an individual, partnership, corporation, limited liability company, or association owning or controlling cemetery lands or property and conducting the business of a cemetery or making an application with the State Board of Embalmers, Funeral Directors, Cemeteries, and Burial Services to own or control the lands or conduct the business; (5) "Permit holder" means a cemetery company that holds a permit issued by the board to own or operate a perpetual care cemetery; and (6) "Perpetual care cemetery" means a cemetery for the benefit of which a permanent maintenance fund has been established in accordance with this subchapter. Added by Act 2017, No. 788,§ 3, eff. 7/1/2018.

As used in this subchapter:

(1) "Burial association" means: (A) A person, firm, association, copartnership, corporation, company, or other organization that, from and after February 18, 1953: (i) Undertakes for consideration paid by or on behalf of its members to defray all or a part of the funeral expenses of the members; (ii) Furnishes or undertakes to furnish merchandise, supplies, and services or any other character of burial benefits to the members; or (iii) Issues a certificate that provides for the payment of funeral benefits to the members in services, merchandise, or supplies, including the services of funeral directors and embalmers; and (B) Every person, firm, association, copartnership, corporation, or company that, before February 18, 1953, has: (i) Undertaken for a consideration to pay money to its contributors for the purpose of defraying all or part of the funeral expenses of a deceased person; (ii) Furnished or has undertaken to furnish supplies and services or any other character of burial benefits to the contributing person or to his or her beneficiaries or members of his or her family; or (iii) Issued any form of contract or certificate that, under its terms, provides for the payment of funeral benefits in money, services, or supplies, including the services of undertakers or embalmers;

(A) A person, firm, association, copartnership, corporation, company, or other organization that, from and after February 18, 1953: (i) Undertakes for consideration paid by or on behalf of its members to defray all or a part of the funeral expenses of the members; (ii) Furnishes or undertakes to furnish merchandise, supplies, and services or any other character of burial benefits to the members; or (iii) Issues a certificate that provides for the payment of funeral benefits to the members in services, merchandise, or supplies, including the services of funeral directors and embalmers; and

(i) Undertakes for consideration paid by or on behalf of its members to defray all or a part of the funeral expenses of the members;

(ii) Furnishes or undertakes to furnish merchandise, supplies, and services or any other character of burial benefits to the members; or

(iii) Issues a certificate that provides for the payment of funeral benefits to the members in services, merchandise, or supplies, including the services of funeral directors and embalmers; and

(B) Every person, firm, association, copartnership, corporation, or company that, before February 18, 1953, has: (i) Undertaken for a consideration to pay money to its contributors for the purpose of defraying all or part of the funeral expenses of a deceased person; (ii) Furnished or has undertaken to furnish supplies and services or any other character of burial benefits to the contributing person or to his or her beneficiaries or members of his or her family; or (iii) Issued any form of contract or certificate that, under its terms, provides for the payment of funeral benefits in money, services, or supplies, including the services of undertakers or embalmers;

(i) Undertaken for a consideration to pay money to its contributors for the purpose of defraying all or part of the funeral expenses of a deceased person;

(ii) Furnished or has undertaken to furnish supplies and services or any other character of burial benefits to the contributing person or to his or her beneficiaries or members of his or her family; or

(iii) Issued any form of contract or certificate that, under its terms, provides for the payment of funeral benefits in money, services, or supplies, including the services of undertakers or embalmers;

(2) "Care and maintenance" means the continual maintenance of the cemetery grounds and graves in keeping with a properly maintained cemetery;

(3) (A) "Cemetery" means any land or structure in this state dedicated to and used or intended to be used for interment of human remains. (B) "Cemetery" includes a: (i) Burial park for earth interments; (ii) Mausoleum for vault or crypt interments; or (iii) Combination of one (1) or more burial parks for earth internments and mausoleums for vault or crypt interments;

(A) "Cemetery" means any land or structure in this state dedicated to and used or intended to be used for interment of human remains.

(B) "Cemetery" includes a: (i) Burial park for earth interments; (ii) Mausoleum for vault or crypt interments; or (iii) Combination of one (1) or more burial parks for earth internments and mausoleums for vault or crypt interments;

(i) Burial park for earth interments;

(ii) Mausoleum for vault or crypt interments; or

(iii) Combination of one (1) or more burial parks for earth internments and mausoleums for vault or crypt interments;

(4) "Cemetery company" means an individual, partnership, corporation, limited liability company, or association owning or controlling cemetery lands or property and conducting the business of a cemetery or making an application with the State Board of Embalmers, Funeral Directors, Cemeteries, and Burial Services to own or control the lands or conduct the business;

(5) "Permit holder" means a cemetery company that holds a permit issued by the board to own or operate a perpetual care cemetery; and

(6) "Perpetual care cemetery" means a cemetery for the benefit of which a permanent maintenance fund has been established in accordance with this subchapter.

Added by Act 2017, No. 788,§ 3, eff. 7/1/2018.