Ark. Code Ann. § 23-4-1206 — AR Code / Title 23 / Chapter 4 / Subchapter 12 / Section 23-4-1206
Formula rate review - Required information
Status: in_force

(a) A formula rate review mechanism approved by the Arkansas Public Service Commission shall specify the minimum information required with each annual rate review filing. (b) Annual formula rate review filings under an approved formula rate review mechanism shall be developed using the formula rate review test period designated by the public utility under § 23-4-1205(a)(2) . (c) (1) Annual formula rate review filings shall be prepared consistent with the Arkansas Public Service Commission's order on the public utility's application for a general change in rates and charges. (2) In the case of a formula rate review test period that uses a test period based on a projected year, an electing public utility may support any portion of the electing public utility's projected data through the use of information that relies on historical averages. (d) Any costs disallowed by the Arkansas Public Service Commission in its order on the public utility's application for a general change in rates and charges shall not be eligible for recovery under a formula rate review mechanism. (e) (1) If a formula rate review test period utilizes projected data under § 23-4-406 or a projected year, rate changes under § 23-4-1207 shall include an adjustment to net any differences between the prior formula rate review test period change in revenue and the actual historical year change in revenue for that same year. (2) A public utility shall report any differences between the prior formula rate review test period change in revenue and the historical year change in revenue for the same year. (3) Netting shall not begin until a public utility has accumulated a full twelve (12) months of a historical year to prepare a report. (4) (A) When calculating the adjustment to net any differences under subdivision (e)(1) of this section, the Arkansas Public Service Commission shall include the actual historical year change in revenue for a historical year, which shall be determined as follows: (i) For the purpose of including all of the elements of the change of revenue in calculating an adjustment to net any differences under subdivision (e)(1) of this section, the Arkansas Public Service Commission shall ensure that the revenue received for the historical year shall be composed of: (a) Prior formula rate review test period changes in revenue; (b) Netting revenue from a prior formula rate review test period; and (c) In order to isolate the change in revenue for the corresponding prior projected year being netted, prior projected year revenue for the year being netted; and (ii) The Arkansas Public Service Commission shall calculate an adjustment to net any differences under subdivision (e)(1) of this section by calculating the differences between the prior formula rate review test period changes in revenue and the prior projected year revenue for the year being netted. (B) If the prior formula rate review test period change in revenue being netted was limited by § 23-4-1207(d)(2) , the Arkansas Public Service Commission shall ensure that the revenue recovered shall be either: (i) Applied first to any revenue amounts remaining from the prior approved formula rate review test periods specified in subdivision (e)(4)(A) of this section, second to the netting adjustment specified in subdivision (e)(4)(A) of this section, and last to the prior projected year revenue for the year being netted specified in subdivision (e)(4)(A) of this section; or (ii) Proportioned by: (a) Calculating the sum of: (1) The revenue adjustment amount determined under § 23-4-1207(b) ; and (2) The netting adjustment determined under subdivision (e)(2) of this section and this subdivision (e)(4); (b) Calculating the percentage of the sum represented by: (1) The revenue adjustment amount determined under § 23-4-1207(b) ; and (2) The netting adjustment determined under subdivision (e)(2) of this section and this subdivision (e)(4); and (c) Applying the percentages calculated in subdivision (e)(4)(B)(ii) (b) of this section to the actual historical year change in revenue for that same year. (C) (i) For the initial term of a formula rate review mechanism approved and in effect on or before March 15, 2021, a public utility may choose to apply either subdivision (e)(4)(B)(i) or subdivision (e)(4)(B)(ii) of this section for the term of an approved formula rate review approved under § 23-4-1208(a)(1) . (ii) The Arkansas Public Service Commission shall authorize the public utility to use the chosen methodology. (iii) Except as provided in subdivisions (e)(4)(D) and (E) of this section, the authorized methodology shall remain in effect. (D) During the final year of the initial five-year term of any formula rate review mechanism approved and in effect before March 15, 2021, that uses a test period based upon a projected year, the public utility shall follow subdivision (e)(4)(B)(ii) of this section. (E) (i) During any five-year extension term of a formula rate review mechanism that uses a test period based upon a projected year, the public utility shall propose, and the Arkansas Public Service Commission shall authorize, a public utility to follow subdivision (e)(4)(B)(ii) of this section for the five-year extension of the term of the formula rate review mechanism. (ii) For any formula rate review mechanism that uses a test period based upon a projected year and has an initial term that commences after January 1, 2021, the public utility shall follow subdivision (e)(4)(B)(ii) of this section for the initial five-year term of the formula rate review mechanism. (f) The public utility shall submit documentation fully supporting all calculations and adjustments as required by the rules of the Arkansas Public Service Commission. (g) (1) Except as provided in subdivision (g)(4) of this section and § 23-4-1208(a)(2)(A)(ii) and (5) , a public utility or any other party to the proceeding subject to the Arkansas Public Service Commission's rules and procedures may propose additional adjustments that are based on factors unique to the public utility. (2) The Arkansas Public Service Commission shall not make any adjustments to the rates that are approved in the application for a general change in rates and charges during the formula rate review term except for those made under § 23-4-1205(c)(3)(B) . (3) If a public utility has designated its formula rate review test period as based on a projected year under § 23-4-1205(a)(2) , the public utility shall be allowed to recover its allowance for funds used during construction that is determined according to the uniform system of accounts adopted by the Arkansas Public Service Commission and any applicable accounting guidance issued by the Federal Energy Regulatory Commission and conforms with generally accepted accounting principles, through rates developed using a projected year. (4) Unless the Arkansas Public Service Commission finds that it is in the public interest and makes specific findings in support, the Arkansas Public Service Commission shall not approve any adjustments or changes to the formula rate review filings that are inconsistent with the findings in the Arkansas Public Service Commission's order on the public utility's application for a general change in rates or charges, including a review of all of the components of a public utility's books and records, including the balance sheet and income statement accounts as were included in the findings in the Arkansas Public Service Commission's order on the public utility's application for a general change in rates or charges, and shall continue to treat those items in a manner consistent with the findings in the Arkansas Public Service Commission's order on the public utility's most recent application for a general change in rates or charges, except that an adjustment shall not be approved under this subsection that is inconsistent with other provisions of this chapter. Amended by Act 2021, No. 894,§ 3, eff. 4/25/2021. Amended by Act 2021, No. 404,§ 3, eff. 3/22/2021. Superseded by Act 2021, No. 894and repealed by Act 2023, No. 180,§ 1, eff. 8/1/2023 Added by Act 2015, No. 725,§ 3, eff. 3/27/2015.

(a) A formula rate review mechanism approved by the Arkansas Public Service Commission shall specify the minimum information required with each annual rate review filing.

(b) Annual formula rate review filings under an approved formula rate review mechanism shall be developed using the formula rate review test period designated by the public utility under § 23-4-1205(a)(2) .

(c) (1) Annual formula rate review filings shall be prepared consistent with the Arkansas Public Service Commission's order on the public utility's application for a general change in rates and charges. (2) In the case of a formula rate review test period that uses a test period based on a projected year, an electing public utility may support any portion of the electing public utility's projected data through the use of information that relies on historical averages.

(1) Annual formula rate review filings shall be prepared consistent with the Arkansas Public Service Commission's order on the public utility's application for a general change in rates and charges.

(2) In the case of a formula rate review test period that uses a test period based on a projected year, an electing public utility may support any portion of the electing public utility's projected data through the use of information that relies on historical averages.

(d) Any costs disallowed by the Arkansas Public Service Commission in its order on the public utility's application for a general change in rates and charges shall not be eligible for recovery under a formula rate review mechanism.

(e) (1) If a formula rate review test period utilizes projected data under § 23-4-406 or a projected year, rate changes under § 23-4-1207 shall include an adjustment to net any differences between the prior formula rate review test period change in revenue and the actual historical year change in revenue for that same year. (2) A public utility shall report any differences between the prior formula rate review test period change in revenue and the historical year change in revenue for the same year. (3) Netting shall not begin until a public utility has accumulated a full twelve (12) months of a historical year to prepare a report. (4) (A) When calculating the adjustment to net any differences under subdivision (e)(1) of this section, the Arkansas Public Service Commission shall include the actual historical year change in revenue for a historical year, which shall be determined as follows: (i) For the purpose of including all of the elements of the change of revenue in calculating an adjustment to net any differences under subdivision (e)(1) of this section, the Arkansas Public Service Commission shall ensure that the revenue received for the historical year shall be composed of: (a) Prior formula rate review test period changes in revenue; (b) Netting revenue from a prior formula rate review test period; and (c) In order to isolate the change in revenue for the corresponding prior projected year being netted, prior projected year revenue for the year being netted; and (ii) The Arkansas Public Service Commission shall calculate an adjustment to net any differences under subdivision (e)(1) of this section by calculating the differences between the prior formula rate review test period changes in revenue and the prior projected year revenue for the year being netted. (B) If the prior formula rate review test period change in revenue being netted was limited by § 23-4-1207(d)(2) , the Arkansas Public Service Commission shall ensure that the revenue recovered shall be either: (i) Applied first to any revenue amounts remaining from the prior approved formula rate review test periods specified in subdivision (e)(4)(A) of this section, second to the netting adjustment specified in subdivision (e)(4)(A) of this section, and last to the prior projected year revenue for the year being netted specified in subdivision (e)(4)(A) of this section; or (ii) Proportioned by: (a) Calculating the sum of: (1) The revenue adjustment amount determined under § 23-4-1207(b) ; and (2) The netting adjustment determined under subdivision (e)(2) of this section and this subdivision (e)(4); (b) Calculating the percentage of the sum represented by: (1) The revenue adjustment amount determined under § 23-4-1207(b) ; and (2) The netting adjustment determined under subdivision (e)(2) of this section and this subdivision (e)(4); and (c) Applying the percentages calculated in subdivision (e)(4)(B)(ii) (b) of this section to the actual historical year change in revenue for that same year. (C) (i) For the initial term of a formula rate review mechanism approved and in effect on or before March 15, 2021, a public utility may choose to apply either subdivision (e)(4)(B)(i) or subdivision (e)(4)(B)(ii) of this section for the term of an approved formula rate review approved under § 23-4-1208(a)(1) . (ii) The Arkansas Public Service Commission shall authorize the public utility to use the chosen methodology. (iii) Except as provided in subdivisions (e)(4)(D) and (E) of this section, the authorized methodology shall remain in effect. (D) During the final year of the initial five-year term of any formula rate review mechanism approved and in effect before March 15, 2021, that uses a test period based upon a projected year, the public utility shall follow subdivision (e)(4)(B)(ii) of this section. (E) (i) During any five-year extension term of a formula rate review mechanism that uses a test period based upon a projected year, the public utility shall propose, and the Arkansas Public Service Commission shall authorize, a public utility to follow subdivision (e)(4)(B)(ii) of this section for the five-year extension of the term of the formula rate review mechanism. (ii) For any formula rate review mechanism that uses a test period based upon a projected year and has an initial term that commences after January 1, 2021, the public utility shall follow subdivision (e)(4)(B)(ii) of this section for the initial five-year term of the formula rate review mechanism.

(1) If a formula rate review test period utilizes projected data under § 23-4-406 or a projected year, rate changes under § 23-4-1207 shall include an adjustment to net any differences between the prior formula rate review test period change in revenue and the actual historical year change in revenue for that same year.

(2) A public utility shall report any differences between the prior formula rate review test period change in revenue and the historical year change in revenue for the same year.

(3) Netting shall not begin until a public utility has accumulated a full twelve (12) months of a historical year to prepare a report.

(4) (A) When calculating the adjustment to net any differences under subdivision (e)(1) of this section, the Arkansas Public Service Commission shall include the actual historical year change in revenue for a historical year, which shall be determined as follows: (i) For the purpose of including all of the elements of the change of revenue in calculating an adjustment to net any differences under subdivision (e)(1) of this section, the Arkansas Public Service Commission shall ensure that the revenue received for the historical year shall be composed of: (a) Prior formula rate review test period changes in revenue; (b) Netting revenue from a prior formula rate review test period; and (c) In order to isolate the change in revenue for the corresponding prior projected year being netted, prior projected year revenue for the year being netted; and (ii) The Arkansas Public Service Commission shall calculate an adjustment to net any differences under subdivision (e)(1) of this section by calculating the differences between the prior formula rate review test period changes in revenue and the prior projected year revenue for the year being netted. (B) If the prior formula rate review test period change in revenue being netted was limited by § 23-4-1207(d)(2) , the Arkansas Public Service Commission shall ensure that the revenue recovered shall be either: (i) Applied first to any revenue amounts remaining from the prior approved formula rate review test periods specified in subdivision (e)(4)(A) of this section, second to the netting adjustment specified in subdivision (e)(4)(A) of this section, and last to the prior projected year revenue for the year being netted specified in subdivision (e)(4)(A) of this section; or (ii) Proportioned by: (a) Calculating the sum of: (1) The revenue adjustment amount determined under § 23-4-1207(b) ; and (2) The netting adjustment determined under subdivision (e)(2) of this section and this subdivision (e)(4); (b) Calculating the percentage of the sum represented by: (1) The revenue adjustment amount determined under § 23-4-1207(b) ; and (2) The netting adjustment determined under subdivision (e)(2) of this section and this subdivision (e)(4); and (c) Applying the percentages calculated in subdivision (e)(4)(B)(ii) (b) of this section to the actual historical year change in revenue for that same year. (C) (i) For the initial term of a formula rate review mechanism approved and in effect on or before March 15, 2021, a public utility may choose to apply either subdivision (e)(4)(B)(i) or subdivision (e)(4)(B)(ii) of this section for the term of an approved formula rate review approved under § 23-4-1208(a)(1) . (ii) The Arkansas Public Service Commission shall authorize the public utility to use the chosen methodology. (iii) Except as provided in subdivisions (e)(4)(D) and (E) of this section, the authorized methodology shall remain in effect. (D) During the final year of the initial five-year term of any formula rate review mechanism approved and in effect before March 15, 2021, that uses a test period based upon a projected year, the public utility shall follow subdivision (e)(4)(B)(ii) of this section. (E) (i) During any five-year extension term of a formula rate review mechanism that uses a test period based upon a projected year, the public utility shall propose, and the Arkansas Public Service Commission shall authorize, a public utility to follow subdivision (e)(4)(B)(ii) of this section for the five-year extension of the term of the formula rate review mechanism. (ii) For any formula rate review mechanism that uses a test period based upon a projected year and has an initial term that commences after January 1, 2021, the public utility shall follow subdivision (e)(4)(B)(ii) of this section for the initial five-year term of the formula rate review mechanism.

(A) When calculating the adjustment to net any differences under subdivision (e)(1) of this section, the Arkansas Public Service Commission shall include the actual historical year change in revenue for a historical year, which shall be determined as follows: (i) For the purpose of including all of the elements of the change of revenue in calculating an adjustment to net any differences under subdivision (e)(1) of this section, the Arkansas Public Service Commission shall ensure that the revenue received for the historical year shall be composed of: (a) Prior formula rate review test period changes in revenue; (b) Netting revenue from a prior formula rate review test period; and (c) In order to isolate the change in revenue for the corresponding prior projected year being netted, prior projected year revenue for the year being netted; and (ii) The Arkansas Public Service Commission shall calculate an adjustment to net any differences under subdivision (e)(1) of this section by calculating the differences between the prior formula rate review test period changes in revenue and the prior projected year revenue for the year being netted.

(i) For the purpose of including all of the elements of the change of revenue in calculating an adjustment to net any differences under subdivision (e)(1) of this section, the Arkansas Public Service Commission shall ensure that the revenue received for the historical year shall be composed of: (a) Prior formula rate review test period changes in revenue; (b) Netting revenue from a prior formula rate review test period; and (c) In order to isolate the change in revenue for the corresponding prior projected year being netted, prior projected year revenue for the year being netted; and

(a) Prior formula rate review test period changes in revenue;

(b) Netting revenue from a prior formula rate review test period; and

(c) In order to isolate the change in revenue for the corresponding prior projected year being netted, prior projected year revenue for the year being netted; and

(ii) The Arkansas Public Service Commission shall calculate an adjustment to net any differences under subdivision (e)(1) of this section by calculating the differences between the prior formula rate review test period changes in revenue and the prior projected year revenue for the year being netted.

(B) If the prior formula rate review test period change in revenue being netted was limited by § 23-4-1207(d)(2) , the Arkansas Public Service Commission shall ensure that the revenue recovered shall be either: (i) Applied first to any revenue amounts remaining from the prior approved formula rate review test periods specified in subdivision (e)(4)(A) of this section, second to the netting adjustment specified in subdivision (e)(4)(A) of this section, and last to the prior projected year revenue for the year being netted specified in subdivision (e)(4)(A) of this section; or (ii) Proportioned by: (a) Calculating the sum of: (1) The revenue adjustment amount determined under § 23-4-1207(b) ; and (2) The netting adjustment determined under subdivision (e)(2) of this section and this subdivision (e)(4); (b) Calculating the percentage of the sum represented by: (1) The revenue adjustment amount determined under § 23-4-1207(b) ; and (2) The netting adjustment determined under subdivision (e)(2) of this section and this subdivision (e)(4); and (c) Applying the percentages calculated in subdivision (e)(4)(B)(ii) (b) of this section to the actual historical year change in revenue for that same year.

(i) Applied first to any revenue amounts remaining from the prior approved formula rate review test periods specified in subdivision (e)(4)(A) of this section, second to the netting adjustment specified in subdivision (e)(4)(A) of this section, and last to the prior projected year revenue for the year being netted specified in subdivision (e)(4)(A) of this section; or

(ii) Proportioned by: (a) Calculating the sum of: (1) The revenue adjustment amount determined under § 23-4-1207(b) ; and (2) The netting adjustment determined under subdivision (e)(2) of this section and this subdivision (e)(4); (b) Calculating the percentage of the sum represented by: (1) The revenue adjustment amount determined under § 23-4-1207(b) ; and (2) The netting adjustment determined under subdivision (e)(2) of this section and this subdivision (e)(4); and (c) Applying the percentages calculated in subdivision (e)(4)(B)(ii) (b) of this section to the actual historical year change in revenue for that same year.

(a) Calculating the sum of: (1) The revenue adjustment amount determined under § 23-4-1207(b) ; and (2) The netting adjustment determined under subdivision (e)(2) of this section and this subdivision (e)(4);

(1) The revenue adjustment amount determined under § 23-4-1207(b) ; and

(2) The netting adjustment determined under subdivision (e)(2) of this section and this subdivision (e)(4);

(b) Calculating the percentage of the sum represented by: (1) The revenue adjustment amount determined under § 23-4-1207(b) ; and (2) The netting adjustment determined under subdivision (e)(2) of this section and this subdivision (e)(4); and

(1) The revenue adjustment amount determined under § 23-4-1207(b) ; and

(2) The netting adjustment determined under subdivision (e)(2) of this section and this subdivision (e)(4); and

(c) Applying the percentages calculated in subdivision (e)(4)(B)(ii) (b) of this section to the actual historical year change in revenue for that same year.

(C) (i) For the initial term of a formula rate review mechanism approved and in effect on or before March 15, 2021, a public utility may choose to apply either subdivision (e)(4)(B)(i) or subdivision (e)(4)(B)(ii) of this section for the term of an approved formula rate review approved under § 23-4-1208(a)(1) . (ii) The Arkansas Public Service Commission shall authorize the public utility to use the chosen methodology. (iii) Except as provided in subdivisions (e)(4)(D) and (E) of this section, the authorized methodology shall remain in effect.

(i) For the initial term of a formula rate review mechanism approved and in effect on or before March 15, 2021, a public utility may choose to apply either subdivision (e)(4)(B)(i) or subdivision (e)(4)(B)(ii) of this section for the term of an approved formula rate review approved under § 23-4-1208(a)(1) .

(ii) The Arkansas Public Service Commission shall authorize the public utility to use the chosen methodology.

(iii) Except as provided in subdivisions (e)(4)(D) and (E) of this section, the authorized methodology shall remain in effect.

(D) During the final year of the initial five-year term of any formula rate review mechanism approved and in effect before March 15, 2021, that uses a test period based upon a projected year, the public utility shall follow subdivision (e)(4)(B)(ii) of this section.

(E) (i) During any five-year extension term of a formula rate review mechanism that uses a test period based upon a projected year, the public utility shall propose, and the Arkansas Public Service Commission shall authorize, a public utility to follow subdivision (e)(4)(B)(ii) of this section for the five-year extension of the term of the formula rate review mechanism. (ii) For any formula rate review mechanism that uses a test period based upon a projected year and has an initial term that commences after January 1, 2021, the public utility shall follow subdivision (e)(4)(B)(ii) of this section for the initial five-year term of the formula rate review mechanism.

(i) During any five-year extension term of a formula rate review mechanism that uses a test period based upon a projected year, the public utility shall propose, and the Arkansas Public Service Commission shall authorize, a public utility to follow subdivision (e)(4)(B)(ii) of this section for the five-year extension of the term of the formula rate review mechanism.

(ii) For any formula rate review mechanism that uses a test period based upon a projected year and has an initial term that commences after January 1, 2021, the public utility shall follow subdivision (e)(4)(B)(ii) of this section for the initial five-year term of the formula rate review mechanism.

(f) The public utility shall submit documentation fully supporting all calculations and adjustments as required by the rules of the Arkansas Public Service Commission.

(g) (1) Except as provided in subdivision (g)(4) of this section and § 23-4-1208(a)(2)(A)(ii) and (5) , a public utility or any other party to the proceeding subject to the Arkansas Public Service Commission's rules and procedures may propose additional adjustments that are based on factors unique to the public utility. (2) The Arkansas Public Service Commission shall not make any adjustments to the rates that are approved in the application for a general change in rates and charges during the formula rate review term except for those made under § 23-4-1205(c)(3)(B) . (3) If a public utility has designated its formula rate review test period as based on a projected year under § 23-4-1205(a)(2) , the public utility shall be allowed to recover its allowance for funds used during construction that is determined according to the uniform system of accounts adopted by the Arkansas Public Service Commission and any applicable accounting guidance issued by the Federal Energy Regulatory Commission and conforms with generally accepted accounting principles, through rates developed using a projected year. (4) Unless the Arkansas Public Service Commission finds that it is in the public interest and makes specific findings in support, the Arkansas Public Service Commission shall not approve any adjustments or changes to the formula rate review filings that are inconsistent with the findings in the Arkansas Public Service Commission's order on the public utility's application for a general change in rates or charges, including a review of all of the components of a public utility's books and records, including the balance sheet and income statement accounts as were included in the findings in the Arkansas Public Service Commission's order on the public utility's application for a general change in rates or charges, and shall continue to treat those items in a manner consistent with the findings in the Arkansas Public Service Commission's order on the public utility's most recent application for a general change in rates or charges, except that an adjustment shall not be approved under this subsection that is inconsistent with other provisions of this chapter.

(1) Except as provided in subdivision (g)(4) of this section and § 23-4-1208(a)(2)(A)(ii) and (5) , a public utility or any other party to the proceeding subject to the Arkansas Public Service Commission's rules and procedures may propose additional adjustments that are based on factors unique to the public utility.

(2) The Arkansas Public Service Commission shall not make any adjustments to the rates that are approved in the application for a general change in rates and charges during the formula rate review term except for those made under § 23-4-1205(c)(3)(B) .

(3) If a public utility has designated its formula rate review test period as based on a projected year under § 23-4-1205(a)(2) , the public utility shall be allowed to recover its allowance for funds used during construction that is determined according to the uniform system of accounts adopted by the Arkansas Public Service Commission and any applicable accounting guidance issued by the Federal Energy Regulatory Commission and conforms with generally accepted accounting principles, through rates developed using a projected year.

(4) Unless the Arkansas Public Service Commission finds that it is in the public interest and makes specific findings in support, the Arkansas Public Service Commission shall not approve any adjustments or changes to the formula rate review filings that are inconsistent with the findings in the Arkansas Public Service Commission's order on the public utility's application for a general change in rates or charges, including a review of all of the components of a public utility's books and records, including the balance sheet and income statement accounts as were included in the findings in the Arkansas Public Service Commission's order on the public utility's application for a general change in rates or charges, and shall continue to treat those items in a manner consistent with the findings in the Arkansas Public Service Commission's order on the public utility's most recent application for a general change in rates or charges, except that an adjustment shall not be approved under this subsection that is inconsistent with other provisions of this chapter.

Amended by Act 2021, No. 894,§ 3, eff. 4/25/2021.

Amended by Act 2021, No. 404,§ 3, eff. 3/22/2021. Superseded by Act 2021, No. 894and repealed by Act 2023, No. 180,§ 1, eff. 8/1/2023

Added by Act 2015, No. 725,§ 3, eff. 3/27/2015.
Ark. Code Ann. § 23-4-621 — AR Code / Title 23 / Chapter 4 / Subchapter 6 / Section 23-4-621
Rate changes to be reflected in schedules
Status: in_force

All proposed changes shall be shown by filing new schedules or shall be plainly indicated upon schedules filed and in force at the time and kept open to public inspection. 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.

All proposed changes shall be shown by filing new schedules or shall be plainly indicated upon schedules filed and in force at the time and kept open to public inspection.

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. § 23-101-109 — AR Code / Title 23 / Chapter 101 / Section 23-101-109
Refund of unearned premiums
Status: in_force

(a) Within sixty (60) calendar days after the termination of creditor-placed insurance coverage and in accordance with the formulas approved by the Insurance Commissioner, an insurer shall refund any unearned premium or other identifiable charges. (b) (1) Within sixty (60) calendar days after the termination date of creditor-placed insurance coverage, the insurer shall provide to the debtor a statement of refund disclosing the effective date, the termination date, the amount of premium being refunded, and the amount of premium charged for the coverage provided. (2) No statement shall be required in the event that the policy terminates pursuant to § 23-101-105(b)(4) . (c) The entire amount of premiums, minimum premiums, and fees or charges of any kind shall be refunded if no coverage was provided. Acts 1997, No. 930, § 9.

(a) Within sixty (60) calendar days after the termination of creditor-placed insurance coverage and in accordance with the formulas approved by the Insurance Commissioner, an insurer shall refund any unearned premium or other identifiable charges.

(b) (1) Within sixty (60) calendar days after the termination date of creditor-placed insurance coverage, the insurer shall provide to the debtor a statement of refund disclosing the effective date, the termination date, the amount of premium being refunded, and the amount of premium charged for the coverage provided. (2) No statement shall be required in the event that the policy terminates pursuant to § 23-101-105(b)(4) .

(1) Within sixty (60) calendar days after the termination date of creditor-placed insurance coverage, the insurer shall provide to the debtor a statement of refund disclosing the effective date, the termination date, the amount of premium being refunded, and the amount of premium charged for the coverage provided.

(2) No statement shall be required in the event that the policy terminates pursuant to § 23-101-105(b)(4) .

(c) The entire amount of premiums, minimum premiums, and fees or charges of any kind shall be refunded if no coverage was provided.

Acts 1997, No. 930, § 9.
Ark. Code Ann. § 23-112-614 — AR Code / Title 23 / Chapter 112 / Subchapter 6 / Section 23-112-614
Auto auction fees for salvage-titled or parts-only titled vehicles
Status: in_force

(a) A five-dollar ($5.00) fee shall be charged to the buyer of each item at an auto auction that is sold on a certificate of title that is labeled "salvage" or "parts-only". (b) The fee is special revenue and shall be deposited into the State Treasury. (c) The Treasurer of State shall transfer the special revenues received under this section on the last business day of each month as follows: (1) Fifty percent (50%) for the Division of Environmental Quality to be used for inspection and oversight of auto auctions to enforce all laws and rules administered by the Division of Environmental Quality; and (2) Fifty percent (50%) for the Division of Arkansas State Police to be used for inspection and oversight of auto auctions. Amended by Act 2019, No. 910,§ 3244, eff. 7/1/2019. Acts 2005, No. 1780, § 2; 2007, No. 827, § 191; 2009, No. 639, § 1; 2011, No. 265, § 2.

(a) A five-dollar ($5.00) fee shall be charged to the buyer of each item at an auto auction that is sold on a certificate of title that is labeled "salvage" or "parts-only".

(b) The fee is special revenue and shall be deposited into the State Treasury.

(c) The Treasurer of State shall transfer the special revenues received under this section on the last business day of each month as follows: (1) Fifty percent (50%) for the Division of Environmental Quality to be used for inspection and oversight of auto auctions to enforce all laws and rules administered by the Division of Environmental Quality; and (2) Fifty percent (50%) for the Division of Arkansas State Police to be used for inspection and oversight of auto auctions.

(1) Fifty percent (50%) for the Division of Environmental Quality to be used for inspection and oversight of auto auctions to enforce all laws and rules administered by the Division of Environmental Quality; and

(2) Fifty percent (50%) for the Division of Arkansas State Police to be used for inspection and oversight of auto auctions.

Amended by Act 2019, No. 910,§ 3244, eff. 7/1/2019.

Acts 2005, No. 1780, § 2; 2007, No. 827, § 191; 2009, No. 639, § 1; 2011, No. 265, § 2.
Ark. Code Ann. § 23-81-129 — AR Code / Title 23 / Chapter 81 / Subchapter 1 / Section 23-81-129
Incontestability of life insurance policy or annuity contract after reinstatement
Status: in_force

The reinstatement of any policy of life insurance or annuity contract delivered or issued for delivery in this state may be contested on account of fraud or misrepresentation of facts material to the reinstatement only for the same period following reinstatement and with the same conditions and exceptions as the policy provides with respect to contestability after original issuance. Acts 1959, No. 148, § 333; A.S.A. 1947, § 66-3324.

The reinstatement of any policy of life insurance or annuity contract delivered or issued for delivery in this state may be contested on account of fraud or misrepresentation of facts material to the reinstatement only for the same period following reinstatement and with the same conditions and exceptions as the policy provides with respect to contestability after original issuance.

Acts 1959, No. 148, § 333; A.S.A. 1947, § 66-3324.
Ark. Code Ann. § 23-79-1003 — AR Code / Title 23 / Chapter 79 / Subchapter 10 / Section 23-79-1003
Arkansas Safety-net Benefit Program
Status: in_force

(a) (1) There is created the Arkansas Safety-net Benefit Program. (2) Employer participation in the program shall be voluntary. (b) Employers electing to participate shall comply with all program requirements, including, but not limited to: (1) Establishing that all employees have health insurance coverage; and (2) Making payments to the program at times and in amounts as determined by the Department of Human Services to be necessary for the operation of the program for: (A) All covered employees and covered spouses; and (B) All other employees, regardless of income, except employees exempted by rule of the department. Acts 2003, No. 1044, § 1.

(a) (1) There is created the Arkansas Safety-net Benefit Program. (2) Employer participation in the program shall be voluntary.

(1) There is created the Arkansas Safety-net Benefit Program.

(2) Employer participation in the program shall be voluntary.

(b) Employers electing to participate shall comply with all program requirements, including, but not limited to: (1) Establishing that all employees have health insurance coverage; and (2) Making payments to the program at times and in amounts as determined by the Department of Human Services to be necessary for the operation of the program for: (A) All covered employees and covered spouses; and (B) All other employees, regardless of income, except employees exempted by rule of the department.

(1) Establishing that all employees have health insurance coverage; and

(2) Making payments to the program at times and in amounts as determined by the Department of Human Services to be necessary for the operation of the program for: (A) All covered employees and covered spouses; and (B) All other employees, regardless of income, except employees exempted by rule of the department.

(A) All covered employees and covered spouses; and

(B) All other employees, regardless of income, except employees exempted by rule of the department.

Acts 2003, No. 1044, § 1.
Ark. Code Ann. § 23-80-206 — AR Code / Title 23 / Chapter 80 / Subchapter 2 / Section 23-80-206
Minimum standards
Status: in_force

(a) In addition to any other requirements of law, no policy forms, except as stated in § 23-80-204 , shall be delivered or issued for delivery in this state on or after the dates forms must be approved under this subchapter, unless: (1) The text achieves a minimum score of forty (40) on the Flesch reading ease test or an equivalent score on any other comparable test as provided in subsection (c) of this section; (2) It is printed, except for specification pages, schedules, and tables, in not less than 10-point type, 1-point leaded; (3) The style, arrangement, and overall appearance of the policy give no undue prominence to any portion of the text of the policy or to any endorsements or riders; and (4) It contains a table of contents or an index of the principal sections of the policy, if the policy has more than three thousand (3,000) words printed on three (3) or fewer pages of text, or if the policy has more than three (3) pages, regardless of the number of words. (b) (1) For the purposes of this section, a Flesch reading ease test score shall be measured by the following method: (A) For policy forms containing ten thousand (10,000) words or less, the entire form shall be analyzed. For policy forms containing more than ten thousand (10,000) words, the readability of two (2) two-hundred-word samples per page may be analyzed instead of the entire form. The samples shall each be separated by at least ten (10) printed lines; (B) The number of words and sentences in the text shall be counted, and then the total number of words divided by the total number of sentences. The figure obtained shall be multiplied by a factor of 1.015; (C) The total number of syllables shall be counted and divided by the total number of words. The figure obtained shall be multiplied by a factor of 84.6; and (D) The sum of the figures computed under subdivisions (b)(1)(B) and (C) of this section subtracted from 206.835 equals the Flesch reading ease score for the policy form. (2) For purposes of subdivisions (b)(1)(B)-(D) of this section, the following procedures shall be used: (A) A contraction, hyphenated word, or numbers and letters, when separated by spaces, shall be counted as one (1) word; (B) A unit of words ending with a period, semicolon, or colon, but excluding headings and captions, shall be counted as a sentence; and (C) (i) A syllable means a unit of spoken language consisting of one (1) or more letters or a word as divided by an accepted dictionary. (ii) When the dictionary shows two (2) or more equally acceptable pronunciations of a word, the pronunciation containing fewer syllables may be used. (3) The term "text" as used in this section shall include all printed matter except the following: (A) The name and address of the insurer, the name, number, or title of the policy, the table of contents or index, captions and subcaptions, and specification pages, schedules, or tables; and (B) Any policy language which is drafted to conform to the requirements of any federal law, regulation, or agency interpretation, any policy language required by any collectively bargained agreement, any medical terminology, any words which are defined in the policy, and any policy language required by law or rule, provided that the insurer identifies the language or terminology excepted by this subdivision (b)(3) and certifies in writing that the language or terminology is entitled to be excepted by this subdivision (b)(3). (c) Any other reading test may be approved by the Insurance Commissioner for use as an alternative to the Flesch reading ease test if it is comparable in result to the Flesch reading ease test. (d) (1) Filings subject to this section shall be accompanied by a certificate signed by an officer of the insurer stating that it meets the minimum reading ease score on the test used or stating that the score is lower than the minimum required but should be approved in accordance with § 23-80-207 . (2) To confirm the accuracy of any certification, the commissioner may require the submission of further information to verify the certification in question. (e) At the option of the insurer, riders, endorsements, applications, and other forms made a part of the policy may be scored as separate forms or as part of the policy with which they may be used. Amended by Act 2019, No. 315,§ 2722, eff. 7/24/2019. Acts 1979, No. 258, § 5; A.S.A. 1947, § 66-3255.

(a) In addition to any other requirements of law, no policy forms, except as stated in § 23-80-204 , shall be delivered or issued for delivery in this state on or after the dates forms must be approved under this subchapter, unless: (1) The text achieves a minimum score of forty (40) on the Flesch reading ease test or an equivalent score on any other comparable test as provided in subsection (c) of this section; (2) It is printed, except for specification pages, schedules, and tables, in not less than 10-point type, 1-point leaded; (3) The style, arrangement, and overall appearance of the policy give no undue prominence to any portion of the text of the policy or to any endorsements or riders; and (4) It contains a table of contents or an index of the principal sections of the policy, if the policy has more than three thousand (3,000) words printed on three (3) or fewer pages of text, or if the policy has more than three (3) pages, regardless of the number of words.

(1) The text achieves a minimum score of forty (40) on the Flesch reading ease test or an equivalent score on any other comparable test as provided in subsection (c) of this section;

(2) It is printed, except for specification pages, schedules, and tables, in not less than 10-point type, 1-point leaded;

(3) The style, arrangement, and overall appearance of the policy give no undue prominence to any portion of the text of the policy or to any endorsements or riders; and

(4) It contains a table of contents or an index of the principal sections of the policy, if the policy has more than three thousand (3,000) words printed on three (3) or fewer pages of text, or if the policy has more than three (3) pages, regardless of the number of words.

(b) (1) For the purposes of this section, a Flesch reading ease test score shall be measured by the following method: (A) For policy forms containing ten thousand (10,000) words or less, the entire form shall be analyzed. For policy forms containing more than ten thousand (10,000) words, the readability of two (2) two-hundred-word samples per page may be analyzed instead of the entire form. The samples shall each be separated by at least ten (10) printed lines; (B) The number of words and sentences in the text shall be counted, and then the total number of words divided by the total number of sentences. The figure obtained shall be multiplied by a factor of 1.015; (C) The total number of syllables shall be counted and divided by the total number of words. The figure obtained shall be multiplied by a factor of 84.6; and (D) The sum of the figures computed under subdivisions (b)(1)(B) and (C) of this section subtracted from 206.835 equals the Flesch reading ease score for the policy form. (2) For purposes of subdivisions (b)(1)(B)-(D) of this section, the following procedures shall be used: (A) A contraction, hyphenated word, or numbers and letters, when separated by spaces, shall be counted as one (1) word; (B) A unit of words ending with a period, semicolon, or colon, but excluding headings and captions, shall be counted as a sentence; and (C) (i) A syllable means a unit of spoken language consisting of one (1) or more letters or a word as divided by an accepted dictionary. (ii) When the dictionary shows two (2) or more equally acceptable pronunciations of a word, the pronunciation containing fewer syllables may be used. (3) The term "text" as used in this section shall include all printed matter except the following: (A) The name and address of the insurer, the name, number, or title of the policy, the table of contents or index, captions and subcaptions, and specification pages, schedules, or tables; and (B) Any policy language which is drafted to conform to the requirements of any federal law, regulation, or agency interpretation, any policy language required by any collectively bargained agreement, any medical terminology, any words which are defined in the policy, and any policy language required by law or rule, provided that the insurer identifies the language or terminology excepted by this subdivision (b)(3) and certifies in writing that the language or terminology is entitled to be excepted by this subdivision (b)(3).

(1) For the purposes of this section, a Flesch reading ease test score shall be measured by the following method: (A) For policy forms containing ten thousand (10,000) words or less, the entire form shall be analyzed. For policy forms containing more than ten thousand (10,000) words, the readability of two (2) two-hundred-word samples per page may be analyzed instead of the entire form. The samples shall each be separated by at least ten (10) printed lines; (B) The number of words and sentences in the text shall be counted, and then the total number of words divided by the total number of sentences. The figure obtained shall be multiplied by a factor of 1.015; (C) The total number of syllables shall be counted and divided by the total number of words. The figure obtained shall be multiplied by a factor of 84.6; and (D) The sum of the figures computed under subdivisions (b)(1)(B) and (C) of this section subtracted from 206.835 equals the Flesch reading ease score for the policy form.

(A) For policy forms containing ten thousand (10,000) words or less, the entire form shall be analyzed. For policy forms containing more than ten thousand (10,000) words, the readability of two (2) two-hundred-word samples per page may be analyzed instead of the entire form. The samples shall each be separated by at least ten (10) printed lines;

(B) The number of words and sentences in the text shall be counted, and then the total number of words divided by the total number of sentences. The figure obtained shall be multiplied by a factor of 1.015;

(C) The total number of syllables shall be counted and divided by the total number of words. The figure obtained shall be multiplied by a factor of 84.6; and

(D) The sum of the figures computed under subdivisions (b)(1)(B) and (C) of this section subtracted from 206.835 equals the Flesch reading ease score for the policy form.

(2) For purposes of subdivisions (b)(1)(B)-(D) of this section, the following procedures shall be used: (A) A contraction, hyphenated word, or numbers and letters, when separated by spaces, shall be counted as one (1) word; (B) A unit of words ending with a period, semicolon, or colon, but excluding headings and captions, shall be counted as a sentence; and (C) (i) A syllable means a unit of spoken language consisting of one (1) or more letters or a word as divided by an accepted dictionary. (ii) When the dictionary shows two (2) or more equally acceptable pronunciations of a word, the pronunciation containing fewer syllables may be used.

(A) A contraction, hyphenated word, or numbers and letters, when separated by spaces, shall be counted as one (1) word;

(B) A unit of words ending with a period, semicolon, or colon, but excluding headings and captions, shall be counted as a sentence; and

(C) (i) A syllable means a unit of spoken language consisting of one (1) or more letters or a word as divided by an accepted dictionary. (ii) When the dictionary shows two (2) or more equally acceptable pronunciations of a word, the pronunciation containing fewer syllables may be used.

(i) A syllable means a unit of spoken language consisting of one (1) or more letters or a word as divided by an accepted dictionary.

(ii) When the dictionary shows two (2) or more equally acceptable pronunciations of a word, the pronunciation containing fewer syllables may be used.

(3) The term "text" as used in this section shall include all printed matter except the following: (A) The name and address of the insurer, the name, number, or title of the policy, the table of contents or index, captions and subcaptions, and specification pages, schedules, or tables; and (B) Any policy language which is drafted to conform to the requirements of any federal law, regulation, or agency interpretation, any policy language required by any collectively bargained agreement, any medical terminology, any words which are defined in the policy, and any policy language required by law or rule, provided that the insurer identifies the language or terminology excepted by this subdivision (b)(3) and certifies in writing that the language or terminology is entitled to be excepted by this subdivision (b)(3).

(A) The name and address of the insurer, the name, number, or title of the policy, the table of contents or index, captions and subcaptions, and specification pages, schedules, or tables; and

(B) Any policy language which is drafted to conform to the requirements of any federal law, regulation, or agency interpretation, any policy language required by any collectively bargained agreement, any medical terminology, any words which are defined in the policy, and any policy language required by law or rule, provided that the insurer identifies the language or terminology excepted by this subdivision (b)(3) and certifies in writing that the language or terminology is entitled to be excepted by this subdivision (b)(3).

(c) Any other reading test may be approved by the Insurance Commissioner for use as an alternative to the Flesch reading ease test if it is comparable in result to the Flesch reading ease test.

(d) (1) Filings subject to this section shall be accompanied by a certificate signed by an officer of the insurer stating that it meets the minimum reading ease score on the test used or stating that the score is lower than the minimum required but should be approved in accordance with § 23-80-207 . (2) To confirm the accuracy of any certification, the commissioner may require the submission of further information to verify the certification in question.

(1) Filings subject to this section shall be accompanied by a certificate signed by an officer of the insurer stating that it meets the minimum reading ease score on the test used or stating that the score is lower than the minimum required but should be approved in accordance with § 23-80-207 .

(2) To confirm the accuracy of any certification, the commissioner may require the submission of further information to verify the certification in question.

(e) At the option of the insurer, riders, endorsements, applications, and other forms made a part of the policy may be scored as separate forms or as part of the policy with which they may be used.

Amended by Act 2019, No. 315,§ 2722, eff. 7/24/2019.

Acts 1979, No. 258, § 5; A.S.A. 1947, § 66-3255.
Ark. Code Ann. § 23-112-317 — AR Code / Title 23 / Chapter 112 / Subchapter 3 / Section 23-112-317
Motor vehicle dealer service and handling fees
Status: in_force

(a) A motor vehicle dealer may fill in the blanks on standardized forms in connection with the sale or lease of a new or a used motor vehicle if the motor vehicle dealer does not charge for the service of filling in the blanks or otherwise charge for preparing documents. (b) (1) A motor vehicle dealer may charge a service and handling fee in connection with the sale or lease of a new or a used motor vehicle for: (A) The handling, processing, and storage of documents; and (B) Other administrative and clerical services. (2) (A) The service and handling fee may be charged to allow cost recovery for motor vehicle dealers. (B) A portion of the service and handling fee may result in profit to the motor vehicle dealer. (c) (1) The Arkansas Motor Vehicle Commission shall determine by rule the amount of the service and handling fee that may be charged by a motor vehicle dealer. The service and handling fee shall be no less than zero dollars ($0.00) and no more than one hundred twenty-nine dollars ($129). (2) If a service and handling fee is charged under this section, the service and handling fee shall be: (A) Charged to all retail customers; and (B) Disclosed on the retail buyer's order form as a separate itemized charge. (3) If a service and handling fee is charged under this section, the service and handling fee is not required to be charged to all fleet sales. (4) If a service and handling fee is charged under this section: (A) A motor vehicle dealer may charge a purchaser of a motor vehicle a different service and handling fee if the purchaser utilizes: (i) A manufacturer's sales plan or program; or (ii) Financing through a finance company that caps a service and handling fee; (B) The service and handling fee charged under this section shall be consistent with the service and handling fee authorized under: (i) The manufacturer's sales plan or program; (ii) The finance company policy; or (iii) The laws of a foreign state with subject-matter jurisdiction. (d) A preliminary worksheet on which a sale price is computed and that is shown to the purchaser, a retail buyer's order form from the purchaser, or a retail installment contract shall include in reasonable proximity to the place on the document where the service and handling fee authorized by this section is disclosed: (1) The amount of the service and handling fee; and (2) The following notice in type that is bold-faced, capitalized, underlined, or otherwise conspicuously set out from the surrounding written material: "A SERVICE AND HANDLING FEE IS NOT AN OFFICIAL FEE. A SERVICE AND HANDLING FEE IS NOT REQUIRED BY LAW BUT MAY BE CHARGED TO THE CUSTOMER FOR PERFORMING SERVICES AND HANDLING DOCUMENTS RELATING TO THE CLOSING OF A SALE OR LEASE. THE SERVICE AND HANDLING FEE MAY RESULT IN PROFIT TO THE DEALER. THE SERVICE AND HANDLING FEE DOES NOT INCLUDE PAYMENT FOR THE PREPARATION OF LEGAL DOCUMENTS. THIS NOTICE IS REQUIRED BY LAW." (e) The Arkansas Motor Vehicle Commission may promulgate rules to implement, enforce, and administer this section. Amended by Act 2015, No. 1055,§ 6, eff. 7/22/2015. Amended by Act 2013, No. 561,§ 5, eff. 8/16/2013. Acts 2007, No. 366, § 1.

(a) A motor vehicle dealer may fill in the blanks on standardized forms in connection with the sale or lease of a new or a used motor vehicle if the motor vehicle dealer does not charge for the service of filling in the blanks or otherwise charge for preparing documents.

(b) (1) A motor vehicle dealer may charge a service and handling fee in connection with the sale or lease of a new or a used motor vehicle for: (A) The handling, processing, and storage of documents; and (B) Other administrative and clerical services. (2) (A) The service and handling fee may be charged to allow cost recovery for motor vehicle dealers. (B) A portion of the service and handling fee may result in profit to the motor vehicle dealer.

(1) A motor vehicle dealer may charge a service and handling fee in connection with the sale or lease of a new or a used motor vehicle for: (A) The handling, processing, and storage of documents; and (B) Other administrative and clerical services.

(A) The handling, processing, and storage of documents; and

(B) Other administrative and clerical services.

(2) (A) The service and handling fee may be charged to allow cost recovery for motor vehicle dealers. (B) A portion of the service and handling fee may result in profit to the motor vehicle dealer.

(A) The service and handling fee may be charged to allow cost recovery for motor vehicle dealers.

(B) A portion of the service and handling fee may result in profit to the motor vehicle dealer.

(c) (1) The Arkansas Motor Vehicle Commission shall determine by rule the amount of the service and handling fee that may be charged by a motor vehicle dealer. The service and handling fee shall be no less than zero dollars ($0.00) and no more than one hundred twenty-nine dollars ($129). (2) If a service and handling fee is charged under this section, the service and handling fee shall be: (A) Charged to all retail customers; and (B) Disclosed on the retail buyer's order form as a separate itemized charge. (3) If a service and handling fee is charged under this section, the service and handling fee is not required to be charged to all fleet sales. (4) If a service and handling fee is charged under this section: (A) A motor vehicle dealer may charge a purchaser of a motor vehicle a different service and handling fee if the purchaser utilizes: (i) A manufacturer's sales plan or program; or (ii) Financing through a finance company that caps a service and handling fee; (B) The service and handling fee charged under this section shall be consistent with the service and handling fee authorized under: (i) The manufacturer's sales plan or program; (ii) The finance company policy; or (iii) The laws of a foreign state with subject-matter jurisdiction.

(1) The Arkansas Motor Vehicle Commission shall determine by rule the amount of the service and handling fee that may be charged by a motor vehicle dealer. The service and handling fee shall be no less than zero dollars ($0.00) and no more than one hundred twenty-nine dollars ($129).

(2) If a service and handling fee is charged under this section, the service and handling fee shall be: (A) Charged to all retail customers; and (B) Disclosed on the retail buyer's order form as a separate itemized charge.

(A) Charged to all retail customers; and

(B) Disclosed on the retail buyer's order form as a separate itemized charge.

(3) If a service and handling fee is charged under this section, the service and handling fee is not required to be charged to all fleet sales.

(4) If a service and handling fee is charged under this section: (A) A motor vehicle dealer may charge a purchaser of a motor vehicle a different service and handling fee if the purchaser utilizes: (i) A manufacturer's sales plan or program; or (ii) Financing through a finance company that caps a service and handling fee; (B) The service and handling fee charged under this section shall be consistent with the service and handling fee authorized under: (i) The manufacturer's sales plan or program; (ii) The finance company policy; or (iii) The laws of a foreign state with subject-matter jurisdiction.

(A) A motor vehicle dealer may charge a purchaser of a motor vehicle a different service and handling fee if the purchaser utilizes: (i) A manufacturer's sales plan or program; or (ii) Financing through a finance company that caps a service and handling fee;

(i) A manufacturer's sales plan or program; or

(ii) Financing through a finance company that caps a service and handling fee;

(B) The service and handling fee charged under this section shall be consistent with the service and handling fee authorized under: (i) The manufacturer's sales plan or program; (ii) The finance company policy; or (iii) The laws of a foreign state with subject-matter jurisdiction.

(i) The manufacturer's sales plan or program;

(ii) The finance company policy; or

(iii) The laws of a foreign state with subject-matter jurisdiction.

(d) A preliminary worksheet on which a sale price is computed and that is shown to the purchaser, a retail buyer's order form from the purchaser, or a retail installment contract shall include in reasonable proximity to the place on the document where the service and handling fee authorized by this section is disclosed: (1) The amount of the service and handling fee; and (2) The following notice in type that is bold-faced, capitalized, underlined, or otherwise conspicuously set out from the surrounding written material: "A SERVICE AND HANDLING FEE IS NOT AN OFFICIAL FEE. A SERVICE AND HANDLING FEE IS NOT REQUIRED BY LAW BUT MAY BE CHARGED TO THE CUSTOMER FOR PERFORMING SERVICES AND HANDLING DOCUMENTS RELATING TO THE CLOSING OF A SALE OR LEASE. THE SERVICE AND HANDLING FEE MAY RESULT IN PROFIT TO THE DEALER. THE SERVICE AND HANDLING FEE DOES NOT INCLUDE PAYMENT FOR THE PREPARATION OF LEGAL DOCUMENTS. THIS NOTICE IS REQUIRED BY LAW."

(1) The amount of the service and handling fee; and

(2) The following notice in type that is bold-faced, capitalized, underlined, or otherwise conspicuously set out from the surrounding written material: "A SERVICE AND HANDLING FEE IS NOT AN OFFICIAL FEE. A SERVICE AND HANDLING FEE IS NOT REQUIRED BY LAW BUT MAY BE CHARGED TO THE CUSTOMER FOR PERFORMING SERVICES AND HANDLING DOCUMENTS RELATING TO THE CLOSING OF A SALE OR LEASE. THE SERVICE AND HANDLING FEE MAY RESULT IN PROFIT TO THE DEALER. THE SERVICE AND HANDLING FEE DOES NOT INCLUDE PAYMENT FOR THE PREPARATION OF LEGAL DOCUMENTS. THIS NOTICE IS REQUIRED BY LAW."

"A SERVICE AND HANDLING FEE IS NOT AN OFFICIAL FEE. A SERVICE AND HANDLING FEE IS NOT REQUIRED BY LAW BUT MAY BE CHARGED TO THE CUSTOMER FOR PERFORMING SERVICES AND HANDLING DOCUMENTS RELATING TO THE CLOSING OF A SALE OR LEASE. THE SERVICE AND HANDLING FEE MAY RESULT IN PROFIT TO THE DEALER. THE SERVICE AND HANDLING FEE DOES NOT INCLUDE PAYMENT FOR THE PREPARATION OF LEGAL DOCUMENTS. THIS NOTICE IS REQUIRED BY LAW."

(e) The Arkansas Motor Vehicle Commission may promulgate rules to implement, enforce, and administer this section.

Amended by Act 2015, No. 1055,§ 6, eff. 7/22/2015.

Amended by Act 2013, No. 561,§ 5, eff. 8/16/2013.

Acts 2007, No. 366, § 1.
Ark. Code Ann. § 23-13-219 — AR Code / Title 23 / Chapter 13 / Subchapter 2 / Section 23-13-219
Certificate of public convenience and necessity - Application and fees
Status: in_force

(a) Applications for certificates of public convenience and necessity shall be made in writing to the Arkansas Department of Transportation, be verified under oath, shall be in such form, contain such information, and be accompanied by proof of service upon such interested parties as the department by rule shall require. (b) Every application shall be accompanied by certified check made payable to the department for the sum of fifty dollars ($50.00). The funds shall be collected by the department to be deposited into the State Treasury to the credit of the General Revenue Fund Account of the State Apportionment Fund. Amended by Act 2019, No. 315,§ 2422, eff. 7/24/2019. Amended by Act 2017, No. 707,§ 195, eff. 8/1/2017. Acts 1955, No. 397, § 8; 1983, No. 565, § 2; A.S.A. 1947, § 73-1761.

(a) Applications for certificates of public convenience and necessity shall be made in writing to the Arkansas Department of Transportation, be verified under oath, shall be in such form, contain such information, and be accompanied by proof of service upon such interested parties as the department by rule shall require.

(b) Every application shall be accompanied by certified check made payable to the department for the sum of fifty dollars ($50.00). The funds shall be collected by the department to be deposited into the State Treasury to the credit of the General Revenue Fund Account of the State Apportionment Fund.

Amended by Act 2019, No. 315,§ 2422, eff. 7/24/2019.

Amended by Act 2017, No. 707,§ 195, eff. 8/1/2017.

Acts 1955, No. 397, § 8; 1983, No. 565, § 2; A.S.A. 1947, § 73-1761.
Ark. Code Ann. § 23-4-417 — AR Code / Title 23 / Chapter 4 / Subchapter 4 / Section 23-4-417
Petition for mandamus
Status: in_force

If the Arkansas Public Service Commission's order is not issued before the expiration of the period of suspension, the filed rates shall remain subject to refund as provided in § 23-4-414 , but the applicant utility shall have the right to petition the Pulaski County Circuit Court for a writ of mandamus compelling the issuance of an order by the commission within fifteen (15) days of the writ of mandamus issued by the Pulaski County Circuit Court. The petition shall be advanced on the docket above all other pending civil cases and a hearing thereon shall be held within seven (7) days of the filing of the petition. The scope of review shall be limited to the issue of the failure of the commission to act within the time limits provided for in this act. Acts 1935, No. 324, § 18; Pope's Dig., § 2081; Acts 1955, No. 31, § 1; 1975 (Extended Sess., 1976), No. 1181, § 1; 1980 (2nd Ex. Sess.), No. 4, § 1; A.S.A. 1947, § 73-217; reen. Acts 1987, No. 994, § 1.

If the Arkansas Public Service Commission's order is not issued before the expiration of the period of suspension, the filed rates shall remain subject to refund as provided in § 23-4-414 , but the applicant utility shall have the right to petition the Pulaski County Circuit Court for a writ of mandamus compelling the issuance of an order by the commission within fifteen (15) days of the writ of mandamus issued by the Pulaski County Circuit Court. The petition shall be advanced on the docket above all other pending civil cases and a hearing thereon shall be held within seven (7) days of the filing of the petition. The scope of review shall be limited to the issue of the failure of the commission to act within the time limits provided for in this act.

Acts 1935, No. 324, § 18; Pope's Dig., § 2081; Acts 1955, No. 31, § 1; 1975 (Extended Sess., 1976), No. 1181, § 1; 1980 (2nd Ex. Sess.), No. 4, § 1; A.S.A. 1947, § 73-217; reen. Acts 1987, No. 994, § 1.
Ark. Code Ann. § 23-79-1204 — AR Code / Title 23 / Chapter 79 / Subchapter 12 / Section 23-79-1204
Exclusions and reductions - Benefits subject to annual deductible and coinsurance
Status: in_force

(a) Except as provided in subsection (b) of this section and § 23-79-1207 , the coverage offered under § 23-79-1202 may contain any exclusions, reductions, or other limitations approved by the Insurance Commissioner concerning coverages, deductibles, or coinsurance provisions. (b) The benefits provided in this subchapter are subject to the same annual deductible or coinsurance established for all other covered benefits within a healthcare policy. Amended by Act 2021, No. 779,§ 4, eff. 1/1/2022. Acts 2005, No. 2236, § 2.

(a) Except as provided in subsection (b) of this section and § 23-79-1207 , the coverage offered under § 23-79-1202 may contain any exclusions, reductions, or other limitations approved by the Insurance Commissioner concerning coverages, deductibles, or coinsurance provisions.

(b) The benefits provided in this subchapter are subject to the same annual deductible or coinsurance established for all other covered benefits within a healthcare policy.

Amended by Act 2021, No. 779,§ 4, eff. 1/1/2022.

Acts 2005, No. 2236, § 2.
Ark. Code Ann. § 23-32-507 — AR Code / Title 23 / Chapter 32 / Subchapter 5 / Section 23-32-507
Discharge
Status: in_force

(a) (1) Payment made pursuant to this subchapter in accordance with an agency of account discharges the financial institution from all claims for amounts so paid, whether or not the payment is consistent with the beneficial ownership of the account as between parties, beneficiaries, or their successors. (2) Payment may be made whether or not a party, beneficiary, or agent is disabled, incapacitated, or deceased when payment is requested, received, or made. (b) (1) Protection under this section does not extend to payments made after a financial institution has received written notice from a party, or from the personal representative, surviving spouse, or heir or devisee of a deceased party, to the effect that payments in accordance with the terms of the agency account should not be permitted, and the financial institution has had a reasonable opportunity to act on it when payment is made. (2) Unless the notice is withdrawn by the person giving it, the successor of any deceased party must concur in a request for payment if the financial institution is to be protected under this section. (3) Unless a financial institution has been served with process in an action or proceeding, no other notice or other information shown to have been available to the financial institution affects its right to protection under this section. (c) A financial institution that receives written notice pursuant to this section or otherwise that has reason to believe that a dispute exists as to the rights of the parties may refuse, without liability, to make payments in accordance with the terms of the agency account. (d) Protection of a financial institution under this section does not affect the rights of parties in disputes between themselves or their successors concerning the beneficial ownership of sums on deposit in agency accounts or payments made from agency accounts. Acts 1997, No. 85, § 7.

(a) (1) Payment made pursuant to this subchapter in accordance with an agency of account discharges the financial institution from all claims for amounts so paid, whether or not the payment is consistent with the beneficial ownership of the account as between parties, beneficiaries, or their successors. (2) Payment may be made whether or not a party, beneficiary, or agent is disabled, incapacitated, or deceased when payment is requested, received, or made.

(1) Payment made pursuant to this subchapter in accordance with an agency of account discharges the financial institution from all claims for amounts so paid, whether or not the payment is consistent with the beneficial ownership of the account as between parties, beneficiaries, or their successors.

(2) Payment may be made whether or not a party, beneficiary, or agent is disabled, incapacitated, or deceased when payment is requested, received, or made.

(b) (1) Protection under this section does not extend to payments made after a financial institution has received written notice from a party, or from the personal representative, surviving spouse, or heir or devisee of a deceased party, to the effect that payments in accordance with the terms of the agency account should not be permitted, and the financial institution has had a reasonable opportunity to act on it when payment is made. (2) Unless the notice is withdrawn by the person giving it, the successor of any deceased party must concur in a request for payment if the financial institution is to be protected under this section. (3) Unless a financial institution has been served with process in an action or proceeding, no other notice or other information shown to have been available to the financial institution affects its right to protection under this section.

(1) Protection under this section does not extend to payments made after a financial institution has received written notice from a party, or from the personal representative, surviving spouse, or heir or devisee of a deceased party, to the effect that payments in accordance with the terms of the agency account should not be permitted, and the financial institution has had a reasonable opportunity to act on it when payment is made.

(2) Unless the notice is withdrawn by the person giving it, the successor of any deceased party must concur in a request for payment if the financial institution is to be protected under this section.

(3) Unless a financial institution has been served with process in an action or proceeding, no other notice or other information shown to have been available to the financial institution affects its right to protection under this section.

(c) A financial institution that receives written notice pursuant to this section or otherwise that has reason to believe that a dispute exists as to the rights of the parties may refuse, without liability, to make payments in accordance with the terms of the agency account.

(d) Protection of a financial institution under this section does not affect the rights of parties in disputes between themselves or their successors concerning the beneficial ownership of sums on deposit in agency accounts or payments made from agency accounts.

Acts 1997, No. 85, § 7.
Ark. Code Ann. § 23-76-123 — AR Code / Title 23 / Chapter 76 / Section 23-76-123
Suspension or revocation of certificate of authority
Status: in_force

(a) The Insurance Commissioner may suspend or revoke any certificate of authority issued to a health maintenance organization under this chapter if the commissioner finds that any of the following conditions exist: (1) The health maintenance organization is operating in contravention of its basic organizational document, its healthcare plan, or in a manner contrary to that described in and reasonably inferred from any other information submitted under § 23-76-107 , unless amendments to the submissions have been filed with and approved by the commissioner; (2) The health maintenance organization issues evidence of coverage or uses a schedule of charges for healthcare services which do not comply with the requirements of § 23-76-112 ; (3) The healthcare plan does not provide or arrange for basic healthcare services; (4) The health maintenance organization: (A) Does not meet the requirements of § 23-76-108 ; or (B) Is unable to fulfill its obligations to furnish healthcare services as required under its healthcare plan; (5) The health maintenance organization is no longer financially responsible and may reasonably be expected to be unable to meet its obligations to enrollees or prospective enrollees; (6) The health maintenance organization has failed to implement a mechanism affording the enrollees an opportunity to participate in matters of policy and operation under § 23-76-110 ; (7) The health maintenance organization has failed to implement the complaint system required by § 23-76-116 in a manner to reasonably resolve valid complaints; (8) The health maintenance organization, or any person on its behalf, has advertised or merchandised its services in an untrue, misrepresentative, misleading, deceptive, or unfair manner; (9) The continued operation of the health maintenance organization would be hazardous to its enrollees; or (10) The health maintenance organization has otherwise failed to substantially comply with this chapter. (b) A certificate of authority shall be suspended or revoked only after compliance with the requirements of § 23-76-126 . (c) When the certificate of authority of a health maintenance organization is suspended, during the period of the suspension the health maintenance organization shall not: (1) Enroll any additional enrollees except newborn children or other newly acquired dependents of existing enrollees; and (2) Engage in any advertising or solicitation whatsoever. (d) (1) When the certificate of authority of a health maintenance organization is revoked, the health maintenance organization shall: (A) Proceed to wind up its affairs immediately following the effective date of the order of revocation; (B) Conduct no further business except as may be essential to the orderly conclusion of the affairs of the health maintenance organization; and (C) Engage in no further advertising or solicitation whatsoever. (2) By written order, the commissioner may permit the further operation of the health maintenance organization as the commissioner may find to be in the best interest of enrollees, to the end that enrollees will be afforded the greatest practical opportunity to obtain continuing healthcare coverage. Amended by Act 2013, No. 1433,§ 8, eff. 8/16/2013. Acts 1975, No. 454, § 19; A.S.A. 1947, § 66-5219.

(a) The Insurance Commissioner may suspend or revoke any certificate of authority issued to a health maintenance organization under this chapter if the commissioner finds that any of the following conditions exist: (1) The health maintenance organization is operating in contravention of its basic organizational document, its healthcare plan, or in a manner contrary to that described in and reasonably inferred from any other information submitted under § 23-76-107 , unless amendments to the submissions have been filed with and approved by the commissioner; (2) The health maintenance organization issues evidence of coverage or uses a schedule of charges for healthcare services which do not comply with the requirements of § 23-76-112 ; (3) The healthcare plan does not provide or arrange for basic healthcare services; (4) The health maintenance organization: (A) Does not meet the requirements of § 23-76-108 ; or (B) Is unable to fulfill its obligations to furnish healthcare services as required under its healthcare plan; (5) The health maintenance organization is no longer financially responsible and may reasonably be expected to be unable to meet its obligations to enrollees or prospective enrollees; (6) The health maintenance organization has failed to implement a mechanism affording the enrollees an opportunity to participate in matters of policy and operation under § 23-76-110 ; (7) The health maintenance organization has failed to implement the complaint system required by § 23-76-116 in a manner to reasonably resolve valid complaints; (8) The health maintenance organization, or any person on its behalf, has advertised or merchandised its services in an untrue, misrepresentative, misleading, deceptive, or unfair manner; (9) The continued operation of the health maintenance organization would be hazardous to its enrollees; or (10) The health maintenance organization has otherwise failed to substantially comply with this chapter.

(1) The health maintenance organization is operating in contravention of its basic organizational document, its healthcare plan, or in a manner contrary to that described in and reasonably inferred from any other information submitted under § 23-76-107 , unless amendments to the submissions have been filed with and approved by the commissioner;

(2) The health maintenance organization issues evidence of coverage or uses a schedule of charges for healthcare services which do not comply with the requirements of § 23-76-112 ;

(3) The healthcare plan does not provide or arrange for basic healthcare services;

(4) The health maintenance organization: (A) Does not meet the requirements of § 23-76-108 ; or (B) Is unable to fulfill its obligations to furnish healthcare services as required under its healthcare plan;

(A) Does not meet the requirements of § 23-76-108 ; or

(B) Is unable to fulfill its obligations to furnish healthcare services as required under its healthcare plan;

(5) The health maintenance organization is no longer financially responsible and may reasonably be expected to be unable to meet its obligations to enrollees or prospective enrollees;

(6) The health maintenance organization has failed to implement a mechanism affording the enrollees an opportunity to participate in matters of policy and operation under § 23-76-110 ;

(7) The health maintenance organization has failed to implement the complaint system required by § 23-76-116 in a manner to reasonably resolve valid complaints;

(8) The health maintenance organization, or any person on its behalf, has advertised or merchandised its services in an untrue, misrepresentative, misleading, deceptive, or unfair manner;

(9) The continued operation of the health maintenance organization would be hazardous to its enrollees; or

(10) The health maintenance organization has otherwise failed to substantially comply with this chapter.

(b) A certificate of authority shall be suspended or revoked only after compliance with the requirements of § 23-76-126 .

(c) When the certificate of authority of a health maintenance organization is suspended, during the period of the suspension the health maintenance organization shall not: (1) Enroll any additional enrollees except newborn children or other newly acquired dependents of existing enrollees; and (2) Engage in any advertising or solicitation whatsoever.

(1) Enroll any additional enrollees except newborn children or other newly acquired dependents of existing enrollees; and

(2) Engage in any advertising or solicitation whatsoever.

(d) (1) When the certificate of authority of a health maintenance organization is revoked, the health maintenance organization shall: (A) Proceed to wind up its affairs immediately following the effective date of the order of revocation; (B) Conduct no further business except as may be essential to the orderly conclusion of the affairs of the health maintenance organization; and (C) Engage in no further advertising or solicitation whatsoever. (2) By written order, the commissioner may permit the further operation of the health maintenance organization as the commissioner may find to be in the best interest of enrollees, to the end that enrollees will be afforded the greatest practical opportunity to obtain continuing healthcare coverage.

(1) When the certificate of authority of a health maintenance organization is revoked, the health maintenance organization shall: (A) Proceed to wind up its affairs immediately following the effective date of the order of revocation; (B) Conduct no further business except as may be essential to the orderly conclusion of the affairs of the health maintenance organization; and (C) Engage in no further advertising or solicitation whatsoever.

(A) Proceed to wind up its affairs immediately following the effective date of the order of revocation;

(B) Conduct no further business except as may be essential to the orderly conclusion of the affairs of the health maintenance organization; and

(C) Engage in no further advertising or solicitation whatsoever.

(2) By written order, the commissioner may permit the further operation of the health maintenance organization as the commissioner may find to be in the best interest of enrollees, to the end that enrollees will be afforded the greatest practical opportunity to obtain continuing healthcare coverage.

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

Acts 1975, No. 454, § 19; A.S.A. 1947, § 66-5219.
Ark. Code Ann. § 23-99-203 — AR Code / Title 23 / Chapter 99 / Subchapter 2 / Section 23-99-203
Definitions
Status: in_force

(a) (1) "Copayment" means a type of cost sharing whereby insured or covered persons pay a specified predetermined amount per unit of service or percentage of healthcare costs with their healthcare insurer paying the remainder of the charge. (2) The copayment is incurred at the time the service is rendered. (3) The copayment may be a fixed or variable amount. (b) "Gatekeeper system" means a system of administration used by any health benefit plan in which a primary care provider furnishes basic patient care and coordinates diagnostic testing, indicated treatment, and specialty referral for persons covered by the health benefit plan. (c) "Health benefit plan" means any entity or program that provides reimbursement, including capitation, for healthcare services, except and excluding any entity or program that provides reimbursement and benefits pursuant to Arkansas Constitution, Amendment 26, Acts 1993, No. 796, or the Public Employee Workers' Compensation Act, § 21-5-601 et seq., and rules and schedules adopted thereunder. (d) "Healthcare provider" means those individuals or entities licensed by the State of Arkansas to provide healthcare services, limited to the following: (1) Advanced practice nurses; (2) Athletic trainers; (3) Audiologists; (4) Certified behavioral health providers; (5) Certified orthotists; (6) Chiropractors; (7) Community mental health centers or clinics; (8) Dentists; (9) Home health care; (10) Hospice care; (11) Hospital-based services; (12) Hospitals; (13) Licensed ambulatory surgery centers; (14) Licensed certified social workers; (15) Licensed dieticians; (16) Licensed intellectual and developmental disabilities service providers; (17) Licensed professional counselors; (18) Licensed psychological examiners; (19) Long-term care facilities; (20) Occupational therapists; (21) Optometrists; (22) Pharmacists; (23) Physical therapists; (24) Physicians and surgeons (M.D. and D.O.); (25) Podiatrists; (26) Prosthetists; (27) Psychologists; (28) Respiratory therapists; (29) Rural health clinics; and (30) Speech pathologists. (e) "Healthcare services" means services and products provided by a healthcare provider within the scope of the healthcare provider's license. (f) "Healthcare insurer" means any entity, including, but not limited to: (1) Insurance companies; (2) Hospital and medical service corporations; (3) Health maintenance organizations; (4) Preferred provider organizations; (5) Physician hospital organizations; (6) Third-party administrators; and (7) Prescription benefit management companies, authorized to administer, offer, or provide health benefit plans. Amended by Act 2019, No. 315,§ 2799, eff. 7/24/2019. Amended by Act 2019, No. 316,§ 1, eff. 7/24/2019. Acts 1995, No. 505, § 3; 1995, No. 1193, § 1; 2005, No. 2238, § 1.

(a) (1) "Copayment" means a type of cost sharing whereby insured or covered persons pay a specified predetermined amount per unit of service or percentage of healthcare costs with their healthcare insurer paying the remainder of the charge. (2) The copayment is incurred at the time the service is rendered. (3) The copayment may be a fixed or variable amount.

(1) "Copayment" means a type of cost sharing whereby insured or covered persons pay a specified predetermined amount per unit of service or percentage of healthcare costs with their healthcare insurer paying the remainder of the charge.

(2) The copayment is incurred at the time the service is rendered.

(3) The copayment may be a fixed or variable amount.

(b) "Gatekeeper system" means a system of administration used by any health benefit plan in which a primary care provider furnishes basic patient care and coordinates diagnostic testing, indicated treatment, and specialty referral for persons covered by the health benefit plan.

(c) "Health benefit plan" means any entity or program that provides reimbursement, including capitation, for healthcare services, except and excluding any entity or program that provides reimbursement and benefits pursuant to Arkansas Constitution, Amendment 26, Acts 1993, No. 796, or the Public Employee Workers' Compensation Act, § 21-5-601 et seq., and rules and schedules adopted thereunder.

(d) "Healthcare provider" means those individuals or entities licensed by the State of Arkansas to provide healthcare services, limited to the following: (1) Advanced practice nurses; (2) Athletic trainers; (3) Audiologists; (4) Certified behavioral health providers; (5) Certified orthotists; (6) Chiropractors; (7) Community mental health centers or clinics; (8) Dentists; (9) Home health care; (10) Hospice care; (11) Hospital-based services; (12) Hospitals; (13) Licensed ambulatory surgery centers; (14) Licensed certified social workers; (15) Licensed dieticians; (16) Licensed intellectual and developmental disabilities service providers; (17) Licensed professional counselors; (18) Licensed psychological examiners; (19) Long-term care facilities; (20) Occupational therapists; (21) Optometrists; (22) Pharmacists; (23) Physical therapists; (24) Physicians and surgeons (M.D. and D.O.); (25) Podiatrists; (26) Prosthetists; (27) Psychologists; (28) Respiratory therapists; (29) Rural health clinics; and (30) Speech pathologists.

(1) Advanced practice nurses;

(2) Athletic trainers;

(3) Audiologists;

(4) Certified behavioral health providers;

(5) Certified orthotists;

(6) Chiropractors;

(7) Community mental health centers or clinics;

(8) Dentists;

(9) Home health care;

(10) Hospice care;

(11) Hospital-based services;

(12) Hospitals;

(13) Licensed ambulatory surgery centers;

(14) Licensed certified social workers;

(15) Licensed dieticians;

(16) Licensed intellectual and developmental disabilities service providers;

(17) Licensed professional counselors;

(18) Licensed psychological examiners;

(19) Long-term care facilities;

(20) Occupational therapists;

(21) Optometrists;

(22) Pharmacists;

(23) Physical therapists;

(24) Physicians and surgeons (M.D. and D.O.);

(25) Podiatrists;

(26) Prosthetists;

(27) Psychologists;

(28) Respiratory therapists;

(29) Rural health clinics; and

(30) Speech pathologists.

(e) "Healthcare services" means services and products provided by a healthcare provider within the scope of the healthcare provider's license.

(f) "Healthcare insurer" means any entity, including, but not limited to: (1) Insurance companies; (2) Hospital and medical service corporations; (3) Health maintenance organizations; (4) Preferred provider organizations; (5) Physician hospital organizations; (6) Third-party administrators; and (7) Prescription benefit management companies, authorized to administer, offer, or provide health benefit plans.

(1) Insurance companies;

(2) Hospital and medical service corporations;

(3) Health maintenance organizations;

(4) Preferred provider organizations;

(5) Physician hospital organizations;

(6) Third-party administrators; and

(7) Prescription benefit management companies, authorized to administer, offer, or provide health benefit plans.

authorized to administer, offer, or provide health benefit plans.

Amended by Act 2019, No. 315,§ 2799, eff. 7/24/2019.

Amended by Act 2019, No. 316,§ 1, eff. 7/24/2019.

Acts 1995, No. 505, § 3; 1995, No. 1193, § 1; 2005, No. 2238, § 1.
Ark. Code Ann. § 23-69-112 — AR Code / Title 23 / Chapter 69 / Subchapter 1 / Section 23-69-112
Initial qualifications - Domestic mutuals
Status: in_force

(a) When newly organized, a domestic mutual insurer may be authorized to transact any one (1) of the kinds of insurance listed in §§ 23-62-101 - 23-62-108 . (b) When applying for an original certificate of authority, the insurer must be otherwise qualified therefor under the Arkansas Insurance Code and must have received and accepted bona fide applications as to substantial insurable subjects for insurance coverage of a substantial character of the kind of insurance proposed to be transacted, must have collected in cash the full premium therefor at an adequate rate approved by the Insurance Commissioner, and must have surplus funds on hand as of the date the insurance coverages are to become effective in amounts equal to or exceeding those surplus funds required of a foreign mutual insurer in §§ 23-63-205 and 23-63-207 . Acts 1959, No. 148, § 462; A.S.A. 1947, § 66-4210; Acts 2001, No. 1604, § 52.

(a) When newly organized, a domestic mutual insurer may be authorized to transact any one (1) of the kinds of insurance listed in §§ 23-62-101 - 23-62-108 .

(b) When applying for an original certificate of authority, the insurer must be otherwise qualified therefor under the Arkansas Insurance Code and must have received and accepted bona fide applications as to substantial insurable subjects for insurance coverage of a substantial character of the kind of insurance proposed to be transacted, must have collected in cash the full premium therefor at an adequate rate approved by the Insurance Commissioner, and must have surplus funds on hand as of the date the insurance coverages are to become effective in amounts equal to or exceeding those surplus funds required of a foreign mutual insurer in §§ 23-63-205 and 23-63-207 .

Acts 1959, No. 148, § 462; A.S.A. 1947, § 66-4210; Acts 2001, No. 1604, § 52.
Ark. Code Ann. § 23-63-1003 — AR Code / Title 23 / Chapter 63 / Subchapter 10 / Section 23-63-1003
Insurer's rights as surety same as individual's
Status: in_force

(a) A surety insurer authorized as such under the Arkansas Insurance Code shall have the same power and authority to become surety upon all bonds required by law or desired by contracting parties and shall be vested with the same rights and be subject to all the liabilities as individuals who become sureties on the bonds or contracts. (b) A surety insurer which is surety upon any bond or contract may be released from its liability thereon on the same terms and conditions as are by law prescribed for the release of individuals as sureties. Acts 1959, No. 148, § 451; A.S.A. 1947, § 66-4103.

(a) A surety insurer authorized as such under the Arkansas Insurance Code shall have the same power and authority to become surety upon all bonds required by law or desired by contracting parties and shall be vested with the same rights and be subject to all the liabilities as individuals who become sureties on the bonds or contracts.

(b) A surety insurer which is surety upon any bond or contract may be released from its liability thereon on the same terms and conditions as are by law prescribed for the release of individuals as sureties.

Acts 1959, No. 148, § 451; A.S.A. 1947, § 66-4103.
Ark. Code Ann. § 23-66-402 — AR Code / Title 23 / Chapter 66 / Subchapter 4 / Section 23-66-402
Definitions
Status: in_force

As used in this subchapter: (1) A "blind" is the collection of a premium from a policy owner or premium payor who is intentionally not made aware of the correct paid-to status of the policy for which the premium is to be applied because a premium intentionally was not properly recorded pursuant to § 23-66-405(1) ; (2) "Commissioner" means the Insurance Commissioner of this state; (3) "Customarily collected" means that in his or her ordinary course of business, the agent collects premiums for the policy on site at a payor's home or business; (4) (A) "Customarily marketed, issued, or delivered" means that in his or her ordinary course of business, the agent markets, issues, or delivers the policy on site at a payor's home or business. (B) "Customarily marketed, issued, or delivered" does not include any solicitation or sale made at the home or workplace of a person, if it will not thereafter be the ordinary course of business of the agent to either collect premiums from the person on site at his or her home or workplace, or regularly service the premium payor or policyowner on site at his or her home or workplace; and (5) "Home service system of distribution" is a manner of selling insurance policies which are customarily marketed, issued, or delivered by an agent in person at a payor's home or business, or is a manner of collecting premiums in which premiums are customarily collected in person at a payor's home or business by an agent. This shall not include the sale of commercial policies, crop or hail policies, or term policies covering crops whether harvested or unharvested, or policies covering grain, hay, chemicals, or fertilizer. Acts 1993, No. 932, § 2; 1997, No. 749, § 1.

As used in this subchapter:

(1) A "blind" is the collection of a premium from a policy owner or premium payor who is intentionally not made aware of the correct paid-to status of the policy for which the premium is to be applied because a premium intentionally was not properly recorded pursuant to § 23-66-405(1) ;

(2) "Commissioner" means the Insurance Commissioner of this state;

(3) "Customarily collected" means that in his or her ordinary course of business, the agent collects premiums for the policy on site at a payor's home or business;

(4) (A) "Customarily marketed, issued, or delivered" means that in his or her ordinary course of business, the agent markets, issues, or delivers the policy on site at a payor's home or business. (B) "Customarily marketed, issued, or delivered" does not include any solicitation or sale made at the home or workplace of a person, if it will not thereafter be the ordinary course of business of the agent to either collect premiums from the person on site at his or her home or workplace, or regularly service the premium payor or policyowner on site at his or her home or workplace; and

(A) "Customarily marketed, issued, or delivered" means that in his or her ordinary course of business, the agent markets, issues, or delivers the policy on site at a payor's home or business.

(B) "Customarily marketed, issued, or delivered" does not include any solicitation or sale made at the home or workplace of a person, if it will not thereafter be the ordinary course of business of the agent to either collect premiums from the person on site at his or her home or workplace, or regularly service the premium payor or policyowner on site at his or her home or workplace; and

(5) "Home service system of distribution" is a manner of selling insurance policies which are customarily marketed, issued, or delivered by an agent in person at a payor's home or business, or is a manner of collecting premiums in which premiums are customarily collected in person at a payor's home or business by an agent. This shall not include the sale of commercial policies, crop or hail policies, or term policies covering crops whether harvested or unharvested, or policies covering grain, hay, chemicals, or fertilizer.

Acts 1993, No. 932, § 2; 1997, No. 749, § 1.
Ark. Code Ann. § 23-4-1004 — AR Code / Title 23 / Chapter 4 / Subchapter 10 / Section 23-4-1004
Authority of commission to hear complaints
Status: in_force

(a) The Arkansas Public Service Commission may hear and determine all complaints arising from: (1) A public utility's failure or refusal to provide access for a pole attachment; (2) The inability of a public utility and an entity seeking access for a pole attachment to reach a voluntarily negotiated, written agreement governing access for the pole attachment; and (3) Disputes between a public utility and an entity over the implementation of an existing contract granting the entity access for a pole attachment. (b) A public utility shall provide information required for the commission to verify that the costs associated with access for pole attachments provided by the public utility are just and reasonable. (c) (1) The commission shall resolve any complaint or dispute that the commission may hear under this section within one hundred eighty (180) days after the complaint is filed with the commission. (2) However, the commission by rule may extend the time to resolve a complaint or dispute for up to three hundred sixty (360) days after the complaint is filed. Acts 2007, No. 740, § 1.

(a) The Arkansas Public Service Commission may hear and determine all complaints arising from: (1) A public utility's failure or refusal to provide access for a pole attachment; (2) The inability of a public utility and an entity seeking access for a pole attachment to reach a voluntarily negotiated, written agreement governing access for the pole attachment; and (3) Disputes between a public utility and an entity over the implementation of an existing contract granting the entity access for a pole attachment.

(1) A public utility's failure or refusal to provide access for a pole attachment;

(2) The inability of a public utility and an entity seeking access for a pole attachment to reach a voluntarily negotiated, written agreement governing access for the pole attachment; and

(3) Disputes between a public utility and an entity over the implementation of an existing contract granting the entity access for a pole attachment.

(b) A public utility shall provide information required for the commission to verify that the costs associated with access for pole attachments provided by the public utility are just and reasonable.

(c) (1) The commission shall resolve any complaint or dispute that the commission may hear under this section within one hundred eighty (180) days after the complaint is filed with the commission. (2) However, the commission by rule may extend the time to resolve a complaint or dispute for up to three hundred sixty (360) days after the complaint is filed.

(1) The commission shall resolve any complaint or dispute that the commission may hear under this section within one hundred eighty (180) days after the complaint is filed with the commission.

(2) However, the commission by rule may extend the time to resolve a complaint or dispute for up to three hundred sixty (360) days after the complaint is filed.

Acts 2007, No. 740, § 1.
Ark. Code Ann. § 23-74-705 — AR Code / Title 23 / Chapter 74 / Subchapter 7 / Section 23-74-705
Applicability of other code provisions
Status: in_force

In addition to the provisions contained in this chapter, the following provisions of this code shall also apply to fraternal benefit societies to the extent as applicable: (1) Sections 23-60-101 - 23-60-108 and 23-60-110 , general provisions; (2) Section 23-61-101 et seq., § 23-61-201 et seq., and § 23-61-301 et seq., the State Insurance Department; (3) Section 23-61-401 , license and miscellaneous fees; (4) Section 23-65-101 et seq., the Unauthorized Insurers Process Act, § 23-65-201 et seq., and the Surplus Lines Insurance Law, § 23-65-301 et seq., unauthorized insurers and surplus lines; (5) Sections 23-66-501 - 23-66-513 , fraudulent insurance acts; (6) Sections 23-68-101 - 23-68-113 and 23-68-115 - 23-68-132 , rehabilitation and liquidation; and (7) Section 23-79-208 , damages and attorney's fees on loss claims. Amended by Act 2021, No. 367,§ 20, eff. 7/28/2021. Acts 1989, No. 881, § 1.

In addition to the provisions contained in this chapter, the following provisions of this code shall also apply to fraternal benefit societies to the extent as applicable:

(1) Sections 23-60-101 - 23-60-108 and 23-60-110 , general provisions;

(2) Section 23-61-101 et seq., § 23-61-201 et seq., and § 23-61-301 et seq., the State Insurance Department;

(3) Section 23-61-401 , license and miscellaneous fees;

(4) Section 23-65-101 et seq., the Unauthorized Insurers Process Act, § 23-65-201 et seq., and the Surplus Lines Insurance Law, § 23-65-301 et seq., unauthorized insurers and surplus lines;

(5) Sections 23-66-501 - 23-66-513 , fraudulent insurance acts;

(6) Sections 23-68-101 - 23-68-113 and 23-68-115 - 23-68-132 , rehabilitation and liquidation; and

(7) Section 23-79-208 , damages and attorney's fees on loss claims.

Amended by Act 2021, No. 367,§ 20, eff. 7/28/2021.

Acts 1989, No. 881, § 1.
Ark. Code Ann. § 23-85-137 — AR Code / Title 23 / Chapter 85 / Section 23-85-137
In vitro fertilization coverage required
Status: in_force

(a) All accident and health insurance companies doing business in this state shall include, as a covered expense, in vitro fertilization. (b) Pursuant to the applicable provisions of the Arkansas Insurance Code, the Insurance Commissioner may suspend or revoke the certificate of authority of any insurance company failing to comply with the provisions of this section. (c) After conducting appropriate studies and public hearings, the commissioner shall establish minimum and maximum levels of coverage to be provided by the accident and health insurance companies. (d) Coverage required under this section shall include services and procedures performed at a medical facility licensed or certified by the Department of Health or another state health department that conform to the guidelines and minimum standards of the: (1) American College of Obstetricians and Gynecologists for in vitro fertilization clinics; or (2) American Society for Reproductive Medicine for programs of in vitro fertilization. (e) Continued certification shall require that the facility is achieving a reasonable success rate with both fertilization and births. (f) Appropriate laboratory facilities must be provided by the entity requesting certification. Acts 1987, No. 779, § 1; 1991, No. 920, § 1; 2001, No. 909, § 12; 2011, No. 1119, § 1.

(a) All accident and health insurance companies doing business in this state shall include, as a covered expense, in vitro fertilization.

(b) Pursuant to the applicable provisions of the Arkansas Insurance Code, the Insurance Commissioner may suspend or revoke the certificate of authority of any insurance company failing to comply with the provisions of this section.

(c) After conducting appropriate studies and public hearings, the commissioner shall establish minimum and maximum levels of coverage to be provided by the accident and health insurance companies.

(d) Coverage required under this section shall include services and procedures performed at a medical facility licensed or certified by the Department of Health or another state health department that conform to the guidelines and minimum standards of the: (1) American College of Obstetricians and Gynecologists for in vitro fertilization clinics; or (2) American Society for Reproductive Medicine for programs of in vitro fertilization.

(1) American College of Obstetricians and Gynecologists for in vitro fertilization clinics; or

(2) American Society for Reproductive Medicine for programs of in vitro fertilization.

(e) Continued certification shall require that the facility is achieving a reasonable success rate with both fertilization and births.

(f) Appropriate laboratory facilities must be provided by the entity requesting certification.

Acts 1987, No. 779, § 1; 1991, No. 920, § 1; 2001, No. 909, § 12; 2011, No. 1119, § 1.
Ark. Code Ann. § 23-63-911 — AR Code / Title 23 / Chapter 63 / Subchapter 9 / Section 23-63-911
Duration and release of deposit generally
Status: in_force

(a) Subject to the right of the insurer to substitute securities as provided in § 23-63-907 , all deposits in this state under § 23-63-206 shall be left on deposit as long as there is outstanding any liability of the insurer with respect to which the deposit was made. (b) Any deposit referred to in subsection (a) of this section, or any deposit made under the retaliatory provision, §§ 23-63-102 - 23-63-104 , or under any other provision of the Arkansas Insurance Code other than § 23-81-130 , shall be released and returned: (1) To the insurer upon the extinguishment by reinsurance, or otherwise, of all liability of the insurer for the security of which the deposit is held; (2) To the insurer, during solvency, to the extent the deposit is in excess of the amount required; or (3) Upon proper order of a court of competent jurisdiction in this state, to the ancillary receiver of the insurer in this state or to the domiciliary receiver, conservator, rehabilitator, liquidator of the insurer, or to any other properly designated official who succeeds to the management and control of the insurer's assets. Acts 1959, No. 148, § 142; 1963, No. 153, § 3; A.S.A. 1947, § 66-2711.

(a) Subject to the right of the insurer to substitute securities as provided in § 23-63-907 , all deposits in this state under § 23-63-206 shall be left on deposit as long as there is outstanding any liability of the insurer with respect to which the deposit was made.

(b) Any deposit referred to in subsection (a) of this section, or any deposit made under the retaliatory provision, §§ 23-63-102 - 23-63-104 , or under any other provision of the Arkansas Insurance Code other than § 23-81-130 , shall be released and returned: (1) To the insurer upon the extinguishment by reinsurance, or otherwise, of all liability of the insurer for the security of which the deposit is held; (2) To the insurer, during solvency, to the extent the deposit is in excess of the amount required; or (3) Upon proper order of a court of competent jurisdiction in this state, to the ancillary receiver of the insurer in this state or to the domiciliary receiver, conservator, rehabilitator, liquidator of the insurer, or to any other properly designated official who succeeds to the management and control of the insurer's assets.

(1) To the insurer upon the extinguishment by reinsurance, or otherwise, of all liability of the insurer for the security of which the deposit is held;

(2) To the insurer, during solvency, to the extent the deposit is in excess of the amount required; or

(3) Upon proper order of a court of competent jurisdiction in this state, to the ancillary receiver of the insurer in this state or to the domiciliary receiver, conservator, rehabilitator, liquidator of the insurer, or to any other properly designated official who succeeds to the management and control of the insurer's assets.

Acts 1959, No. 148, § 142; 1963, No. 153, § 3; A.S.A. 1947, § 66-2711.
Ark. Code Ann. § 23-64-611 — AR Code / Title 23 / Chapter 64 / Subchapter 6 / Section 23-64-611
[See Note] Disciplinary authority
Status: in_force

(a) The Insurance Commissioner by order may deny, suspend, revoke, or refuse to issue or renew a license of a licensee or applicant under this subchapter or may restrict or limit the activities of a licensee if the commissioner finds that: (1) The order is in the public interest; and (2) A licensee or applicant: (A) Has filed an application for an initial license or a renewal of a license that as of its effective date or as of any date after the filing of the application, contains an omission or statement that in light of the circumstances under which it was made is false or misleading with respect to any material fact; (B) Has violated or failed to comply with this subchapter, the insurance laws of this state, any rule adopted by the commissioner, or any order of the commissioner issued under this subchapter; (C) Has pleaded guilty or nolo contendere to or has been found guilty in a domestic, foreign, or military court of: (i) A felony; (ii) An offense involving breach of trust, moral turpitude, money laundering, or fraudulent or dishonest dealing; or (iii) An offense involving any aspect of the insurance business, the mortgage industry, the securities industry, or any other activity pertaining to financial services; (D) Is permanently or temporarily enjoined by a court of competent jurisdiction from engaging in or continuing any conduct or practice involving any aspect of the insurance business, the mortgage industry, the securities industry, or any other activity pertaining to financial services; (E) Is the subject of an order of the commissioner: (i) Denying, suspending, revoking, restricting, or limiting a license issued under the insurance laws of this state; or (ii) Directing the licensee or applicant to cease and desist an activity regulated by the commissioner; (F) Is the subject of an order, including a denial, suspension, or revocation of authority to engage in a regulated activity by another state or federal authority to which the licensee or applicant is, has been, or has sought to be subject, entered in the past five (5) years, including without limitation the insurance industry; (G) (i) Has failed to pay the proper fees as established by rule of the commissioner. (ii) The commissioner may enter a denial order against a licensee or applicant under subdivision (a)(2)(G)(i) of this section if the licensee or applicant fails to pay the proper fees as established by rule of the commissioner, but the denial order shall be vacated by the commissioner if the fees are paid; (H) Has engaged in fraudulent, coercive, or dishonest practices or demonstrated incompetence, untrustworthiness, lack of good personal or business reputation, or financial irresponsibility; (I) Has forged another's name to an application for insurance or to any document related to an insurance transaction; (J) Has improperly used notes or any other reference material to complete an examination for an insurance license; (K) Has failed to provide a written response within thirty (30) days after receipt of a written inquiry from the commissioner or the commissioner's designee concerning transactions unless the commissioner waives the requirement of a timely response in writing; (L) Has failed to comply with an administrative or court order imposing a child support obligation; (M) Has failed to pay state income tax or comply with an administrative or court order directing payment of state income tax; (N) Has refused to be examined or to produce an account, record, or file for examination at the request of the commissioner or the commissioner's designee; or (O) Has failed to cooperate with the commissioner in an investigation. (b) The commissioner by order may: (1) (A) Impose a civil penalty on a licensee for a violation of this subchapter, the insurance laws of this state, a rule under this subchapter, or an order of the commissioner. (B) The civil penalty shall not exceed ten thousand dollars ($10,000) for each violation under subdivision (b)(1)(A) of this section by a licensee; (2) Summarily postpone or suspend the license of a licensee pending a final determination of a proceeding under this section; and (3) Change or vacate an order or extend it until a final determination of a preceeding under this section if a hearing is requested or ordered by the commissioner. (c) On entering an order under subdivision (b)(1) or subdivision (b)(2) of this section, the commissioner shall: (1) Promptly notify the licensee by sending notice of the order and the reasons for issuing the order to the address of the licensee on file with the commissioner by first class mail, postage prepaid; and (2) (A) Schedule a hearing under § 23-61-301 et seq. if a licensee contests the order. (B) The licensee may contest an order entered under subdivision (b)(1) or subdivision (b)(2) of this section by delivering a written request for a hearing to the commissioner within thirty (30) days after the date on which notice of the order is sent by the commissioner. (C) (i) The hearing shall be held within thirty (30) days after the commissioner receives a timely written request for a hearing. (ii) At the request of the licensee, the hearing may be postponed for a reasonable amount of time. (D) If a licensee does not request a hearing and the commissioner does not order a hearing, the order shall remain in effect until the order is modified or vacated by the commissioner. (d) The commissioner by order may cancel a license or application if the commissioner finds that a licensee or applicant: (1) Is no longer in existence; (2) Has stopped doing business as a licensee; (3) Is subject to an adjudication of mental incompetence or to the control of a committee, conservator, or guardian; or (4) Cannot be located after a reasonable search by the commissioner. (e) (1) In addition to other powers under this subchapter, on finding that an action of a person is in violation of this subchapter, the commissioner may summarily order the person to cease and desist the prohibited action. (2) On entering the order under subdivision (e)(1) of this section, the commissioner shall: (A) Promptly notify the person by sending notice of the order and the reasons for issuing the order to the last known address of the person by first class mail, postage prepaid; and (B) (i) Schedule a hearing under § 23-61-301 et seq. if the person contests the order. (ii) The person may contest an order entered under subdivision (e)(1) of this section by delivering a written request for a hearing to the commissioner within thirty (30) days after the date on which notice of the order is sent by the commissioner. (iii) (a) The hearing shall be held within thirty (30) days after the commissioner receives a timely written request for a hearing. (b) At the request of the person, the hearing may be postponed for a reasonable amount of time. (iv) If a person does not request a hearing and the commissioner does not order a hearing, the order shall remain in effect until it is modified or vacated by the commissioner. (3) (A) A person is subject to a civil penalty of up to twenty-five thousand dollars ($25,000) for each violation of the commissioner's cease and desist order committed after entry of the order if: (i) The person under the cease and desist order fails to appeal the order under § 23-61-307 or if the person appeals and the appeal is denied or dismissed; and (ii) The person continues to engage in the prohibited action in violation of the commissioner's order. (B) The commissioner may file an action requesting the civil penalty under subdivision (e)(3)(A) of this section with the Pulaski County Circuit Court or another court of competent jurisdiction. (C) The penalties of this section apply in addition to, but not instead of, other applicable law to a person for the person's failure to comply with an order of the commissioner. (f) Unless otherwise provided, an action, hearing, or other proceeding under this subchapter is governed by § 23-61-301 et seq. (g) If the commissioner has grounds to believe that a licensee has violated this subchapter or that facts exist that would be the basis for an order against a licensee, the commissioner or the commissioner's designee may investigate or examine the business of the licensee and examine the books, accounts, records, and files of a licensee relating to the complaint or matter under investigation. (h) (1) The commissioner or the commissioner's designee may: (A) Administer oaths and affirmations; (B) Issue subpoenas to require the attendance of and to take testimony of a person whose testimony the commissioner considers relevant to the licensee's business; and (C) Issue subpoenas to require the production of the books, papers, correspondence, memoranda, agreements, or other documents or records that the commissioner considers relevant or material to the inquiry. (2) (A) When there is contumacy by or refusal to obey a subpoena issued to a licensee or applicant, the Pulaski County Circuit Court, on application by the commissioner, may issue an order requiring the person to appear before the commissioner or the commissioner's designee to produce evidence if so ordered or to give evidence touching the matter under investigation or in question. (B) Failure to obey the order of the court may be punished by the court as a contempt of court. (3) The assertion that the testimony or evidence before the commissioner may tend to incriminate or subject a person to a penalty or forfeiture shall not under § 23-61-302 excuse the person from: (A) Attending and testifying; (B) Producing any document or record; or (C) Obeying the subpoena of the commissioner or the commissioner's designee. (i) From time to time and with or without cause, the commissioner may conduct examinations of the books and records of a licensee or applicant to determine the compliance with this subchapter and the rules adopted under this subchapter. (j) This section does not prohibit or restrict the informal disposition of a proceeding or allegations that may give rise to a proceeding by stipulation, settlement, consent, or default instead of a formal or informal hearing on the allegations or in place of the sanctions authorized by this section. (k) (1) If it appears on sufficient grounds or evidence satisfactory to the commissioner that a person has engaged in or is about to engage in an act or practice that violates this subchapter, the commissioner may: (A) Refer the evidence that is available concerning violations of this subchapter or a rule or order issued under this subchapter to the prosecuting attorney or regulatory agency that with or without the referral may otherwise begin criminal or regulatory proceedings under this subchapter; and (B) (i) Summarily order the person to stop the act or practice under subsections (b) and (e) of this section and apply to the Pulaski County Circuit Court to enjoin the act or practice or to enforce compliance with this subchapter, rule, or order issued under this subchapter, or both. (ii) The commissioner, without issuing a cease and desist order, may apply directly to the Pulaski County Circuit Court for injunctive or other relief. (2) On proper showing, the court shall grant a permanent or temporary injunction, restraining order, or writ of mandamus. (3) The commissioner may also seek and on proper showing the appropriate court shall grant any other ancillary relief that may be in the public interest, including: (A) The appointment of a receiver, temporary receiver, or conservator; (B) A declaratory judgment; (C) An accounting; (D) Disgorgement; (E) Assessment of a fine of not more than ten thousand dollars ($10,000) for each violation; and (F) Any other relief as may be appropriate in the public interest. (4) The court shall not require the commissioner to post a bond. Added by Act 2013, No. 1439,§ 1, eff. when (1) The United States Department of Health and Human Services or other responsible federal agency or federal official notifies the Governor, the Insurance Commissioner, or other responsible state agency or state official pursuant to the federal healthcare laws established by Pub. L. No. 111-148, as amended by Pub. L. No. 111-152, and any amendments thereto, or regulations or guidance issued under those federal statutes; or (2) A health insurance marketplace is initiated and is operable in this state..

(a) The Insurance Commissioner by order may deny, suspend, revoke, or refuse to issue or renew a license of a licensee or applicant under this subchapter or may restrict or limit the activities of a licensee if the commissioner finds that: (1) The order is in the public interest; and (2) A licensee or applicant: (A) Has filed an application for an initial license or a renewal of a license that as of its effective date or as of any date after the filing of the application, contains an omission or statement that in light of the circumstances under which it was made is false or misleading with respect to any material fact; (B) Has violated or failed to comply with this subchapter, the insurance laws of this state, any rule adopted by the commissioner, or any order of the commissioner issued under this subchapter; (C) Has pleaded guilty or nolo contendere to or has been found guilty in a domestic, foreign, or military court of: (i) A felony; (ii) An offense involving breach of trust, moral turpitude, money laundering, or fraudulent or dishonest dealing; or (iii) An offense involving any aspect of the insurance business, the mortgage industry, the securities industry, or any other activity pertaining to financial services; (D) Is permanently or temporarily enjoined by a court of competent jurisdiction from engaging in or continuing any conduct or practice involving any aspect of the insurance business, the mortgage industry, the securities industry, or any other activity pertaining to financial services; (E) Is the subject of an order of the commissioner: (i) Denying, suspending, revoking, restricting, or limiting a license issued under the insurance laws of this state; or (ii) Directing the licensee or applicant to cease and desist an activity regulated by the commissioner; (F) Is the subject of an order, including a denial, suspension, or revocation of authority to engage in a regulated activity by another state or federal authority to which the licensee or applicant is, has been, or has sought to be subject, entered in the past five (5) years, including without limitation the insurance industry; (G) (i) Has failed to pay the proper fees as established by rule of the commissioner. (ii) The commissioner may enter a denial order against a licensee or applicant under subdivision (a)(2)(G)(i) of this section if the licensee or applicant fails to pay the proper fees as established by rule of the commissioner, but the denial order shall be vacated by the commissioner if the fees are paid; (H) Has engaged in fraudulent, coercive, or dishonest practices or demonstrated incompetence, untrustworthiness, lack of good personal or business reputation, or financial irresponsibility; (I) Has forged another's name to an application for insurance or to any document related to an insurance transaction; (J) Has improperly used notes or any other reference material to complete an examination for an insurance license; (K) Has failed to provide a written response within thirty (30) days after receipt of a written inquiry from the commissioner or the commissioner's designee concerning transactions unless the commissioner waives the requirement of a timely response in writing; (L) Has failed to comply with an administrative or court order imposing a child support obligation; (M) Has failed to pay state income tax or comply with an administrative or court order directing payment of state income tax; (N) Has refused to be examined or to produce an account, record, or file for examination at the request of the commissioner or the commissioner's designee; or (O) Has failed to cooperate with the commissioner in an investigation.

(1) The order is in the public interest; and

(2) A licensee or applicant: (A) Has filed an application for an initial license or a renewal of a license that as of its effective date or as of any date after the filing of the application, contains an omission or statement that in light of the circumstances under which it was made is false or misleading with respect to any material fact; (B) Has violated or failed to comply with this subchapter, the insurance laws of this state, any rule adopted by the commissioner, or any order of the commissioner issued under this subchapter; (C) Has pleaded guilty or nolo contendere to or has been found guilty in a domestic, foreign, or military court of: (i) A felony; (ii) An offense involving breach of trust, moral turpitude, money laundering, or fraudulent or dishonest dealing; or (iii) An offense involving any aspect of the insurance business, the mortgage industry, the securities industry, or any other activity pertaining to financial services; (D) Is permanently or temporarily enjoined by a court of competent jurisdiction from engaging in or continuing any conduct or practice involving any aspect of the insurance business, the mortgage industry, the securities industry, or any other activity pertaining to financial services; (E) Is the subject of an order of the commissioner: (i) Denying, suspending, revoking, restricting, or limiting a license issued under the insurance laws of this state; or (ii) Directing the licensee or applicant to cease and desist an activity regulated by the commissioner; (F) Is the subject of an order, including a denial, suspension, or revocation of authority to engage in a regulated activity by another state or federal authority to which the licensee or applicant is, has been, or has sought to be subject, entered in the past five (5) years, including without limitation the insurance industry; (G) (i) Has failed to pay the proper fees as established by rule of the commissioner. (ii) The commissioner may enter a denial order against a licensee or applicant under subdivision (a)(2)(G)(i) of this section if the licensee or applicant fails to pay the proper fees as established by rule of the commissioner, but the denial order shall be vacated by the commissioner if the fees are paid; (H) Has engaged in fraudulent, coercive, or dishonest practices or demonstrated incompetence, untrustworthiness, lack of good personal or business reputation, or financial irresponsibility; (I) Has forged another's name to an application for insurance or to any document related to an insurance transaction; (J) Has improperly used notes or any other reference material to complete an examination for an insurance license; (K) Has failed to provide a written response within thirty (30) days after receipt of a written inquiry from the commissioner or the commissioner's designee concerning transactions unless the commissioner waives the requirement of a timely response in writing; (L) Has failed to comply with an administrative or court order imposing a child support obligation; (M) Has failed to pay state income tax or comply with an administrative or court order directing payment of state income tax; (N) Has refused to be examined or to produce an account, record, or file for examination at the request of the commissioner or the commissioner's designee; or (O) Has failed to cooperate with the commissioner in an investigation.

(A) Has filed an application for an initial license or a renewal of a license that as of its effective date or as of any date after the filing of the application, contains an omission or statement that in light of the circumstances under which it was made is false or misleading with respect to any material fact;

(B) Has violated or failed to comply with this subchapter, the insurance laws of this state, any rule adopted by the commissioner, or any order of the commissioner issued under this subchapter;

(C) Has pleaded guilty or nolo contendere to or has been found guilty in a domestic, foreign, or military court of: (i) A felony; (ii) An offense involving breach of trust, moral turpitude, money laundering, or fraudulent or dishonest dealing; or (iii) An offense involving any aspect of the insurance business, the mortgage industry, the securities industry, or any other activity pertaining to financial services;

(i) A felony;

(ii) An offense involving breach of trust, moral turpitude, money laundering, or fraudulent or dishonest dealing; or

(iii) An offense involving any aspect of the insurance business, the mortgage industry, the securities industry, or any other activity pertaining to financial services;

(D) Is permanently or temporarily enjoined by a court of competent jurisdiction from engaging in or continuing any conduct or practice involving any aspect of the insurance business, the mortgage industry, the securities industry, or any other activity pertaining to financial services;

(E) Is the subject of an order of the commissioner: (i) Denying, suspending, revoking, restricting, or limiting a license issued under the insurance laws of this state; or (ii) Directing the licensee or applicant to cease and desist an activity regulated by the commissioner;

(i) Denying, suspending, revoking, restricting, or limiting a license issued under the insurance laws of this state; or

(ii) Directing the licensee or applicant to cease and desist an activity regulated by the commissioner;

(F) Is the subject of an order, including a denial, suspension, or revocation of authority to engage in a regulated activity by another state or federal authority to which the licensee or applicant is, has been, or has sought to be subject, entered in the past five (5) years, including without limitation the insurance industry;

(G) (i) Has failed to pay the proper fees as established by rule of the commissioner. (ii) The commissioner may enter a denial order against a licensee or applicant under subdivision (a)(2)(G)(i) of this section if the licensee or applicant fails to pay the proper fees as established by rule of the commissioner, but the denial order shall be vacated by the commissioner if the fees are paid;

(i) Has failed to pay the proper fees as established by rule of the commissioner.

(ii) The commissioner may enter a denial order against a licensee or applicant under subdivision (a)(2)(G)(i) of this section if the licensee or applicant fails to pay the proper fees as established by rule of the commissioner, but the denial order shall be vacated by the commissioner if the fees are paid;

(H) Has engaged in fraudulent, coercive, or dishonest practices or demonstrated incompetence, untrustworthiness, lack of good personal or business reputation, or financial irresponsibility;

(I) Has forged another's name to an application for insurance or to any document related to an insurance transaction;

(J) Has improperly used notes or any other reference material to complete an examination for an insurance license;

(K) Has failed to provide a written response within thirty (30) days after receipt of a written inquiry from the commissioner or the commissioner's designee concerning transactions unless the commissioner waives the requirement of a timely response in writing;

(L) Has failed to comply with an administrative or court order imposing a child support obligation;

(M) Has failed to pay state income tax or comply with an administrative or court order directing payment of state income tax;

(N) Has refused to be examined or to produce an account, record, or file for examination at the request of the commissioner or the commissioner's designee; or

(O) Has failed to cooperate with the commissioner in an investigation.

(b) The commissioner by order may: (1) (A) Impose a civil penalty on a licensee for a violation of this subchapter, the insurance laws of this state, a rule under this subchapter, or an order of the commissioner. (B) The civil penalty shall not exceed ten thousand dollars ($10,000) for each violation under subdivision (b)(1)(A) of this section by a licensee; (2) Summarily postpone or suspend the license of a licensee pending a final determination of a proceeding under this section; and (3) Change or vacate an order or extend it until a final determination of a preceeding under this section if a hearing is requested or ordered by the commissioner.

(1) (A) Impose a civil penalty on a licensee for a violation of this subchapter, the insurance laws of this state, a rule under this subchapter, or an order of the commissioner. (B) The civil penalty shall not exceed ten thousand dollars ($10,000) for each violation under subdivision (b)(1)(A) of this section by a licensee;

(A) Impose a civil penalty on a licensee for a violation of this subchapter, the insurance laws of this state, a rule under this subchapter, or an order of the commissioner.

(B) The civil penalty shall not exceed ten thousand dollars ($10,000) for each violation under subdivision (b)(1)(A) of this section by a licensee;

(2) Summarily postpone or suspend the license of a licensee pending a final determination of a proceeding under this section; and

(3) Change or vacate an order or extend it until a final determination of a preceeding under this section if a hearing is requested or ordered by the commissioner.

(c) On entering an order under subdivision (b)(1) or subdivision (b)(2) of this section, the commissioner shall: (1) Promptly notify the licensee by sending notice of the order and the reasons for issuing the order to the address of the licensee on file with the commissioner by first class mail, postage prepaid; and (2) (A) Schedule a hearing under § 23-61-301 et seq. if a licensee contests the order. (B) The licensee may contest an order entered under subdivision (b)(1) or subdivision (b)(2) of this section by delivering a written request for a hearing to the commissioner within thirty (30) days after the date on which notice of the order is sent by the commissioner. (C) (i) The hearing shall be held within thirty (30) days after the commissioner receives a timely written request for a hearing. (ii) At the request of the licensee, the hearing may be postponed for a reasonable amount of time. (D) If a licensee does not request a hearing and the commissioner does not order a hearing, the order shall remain in effect until the order is modified or vacated by the commissioner.

(1) Promptly notify the licensee by sending notice of the order and the reasons for issuing the order to the address of the licensee on file with the commissioner by first class mail, postage prepaid; and

(2) (A) Schedule a hearing under § 23-61-301 et seq. if a licensee contests the order. (B) The licensee may contest an order entered under subdivision (b)(1) or subdivision (b)(2) of this section by delivering a written request for a hearing to the commissioner within thirty (30) days after the date on which notice of the order is sent by the commissioner. (C) (i) The hearing shall be held within thirty (30) days after the commissioner receives a timely written request for a hearing. (ii) At the request of the licensee, the hearing may be postponed for a reasonable amount of time. (D) If a licensee does not request a hearing and the commissioner does not order a hearing, the order shall remain in effect until the order is modified or vacated by the commissioner.

(A) Schedule a hearing under § 23-61-301 et seq. if a licensee contests the order.

(B) The licensee may contest an order entered under subdivision (b)(1) or subdivision (b)(2) of this section by delivering a written request for a hearing to the commissioner within thirty (30) days after the date on which notice of the order is sent by the commissioner.

(C) (i) The hearing shall be held within thirty (30) days after the commissioner receives a timely written request for a hearing. (ii) At the request of the licensee, the hearing may be postponed for a reasonable amount of time.

(i) The hearing shall be held within thirty (30) days after the commissioner receives a timely written request for a hearing.

(ii) At the request of the licensee, the hearing may be postponed for a reasonable amount of time.

(D) If a licensee does not request a hearing and the commissioner does not order a hearing, the order shall remain in effect until the order is modified or vacated by the commissioner.

(d) The commissioner by order may cancel a license or application if the commissioner finds that a licensee or applicant: (1) Is no longer in existence; (2) Has stopped doing business as a licensee; (3) Is subject to an adjudication of mental incompetence or to the control of a committee, conservator, or guardian; or (4) Cannot be located after a reasonable search by the commissioner.

(1) Is no longer in existence;

(2) Has stopped doing business as a licensee;

(3) Is subject to an adjudication of mental incompetence or to the control of a committee, conservator, or guardian; or

(4) Cannot be located after a reasonable search by the commissioner.

(e) (1) In addition to other powers under this subchapter, on finding that an action of a person is in violation of this subchapter, the commissioner may summarily order the person to cease and desist the prohibited action. (2) On entering the order under subdivision (e)(1) of this section, the commissioner shall: (A) Promptly notify the person by sending notice of the order and the reasons for issuing the order to the last known address of the person by first class mail, postage prepaid; and (B) (i) Schedule a hearing under § 23-61-301 et seq. if the person contests the order. (ii) The person may contest an order entered under subdivision (e)(1) of this section by delivering a written request for a hearing to the commissioner within thirty (30) days after the date on which notice of the order is sent by the commissioner. (iii) (a) The hearing shall be held within thirty (30) days after the commissioner receives a timely written request for a hearing. (b) At the request of the person, the hearing may be postponed for a reasonable amount of time. (iv) If a person does not request a hearing and the commissioner does not order a hearing, the order shall remain in effect until it is modified or vacated by the commissioner. (3) (A) A person is subject to a civil penalty of up to twenty-five thousand dollars ($25,000) for each violation of the commissioner's cease and desist order committed after entry of the order if: (i) The person under the cease and desist order fails to appeal the order under § 23-61-307 or if the person appeals and the appeal is denied or dismissed; and (ii) The person continues to engage in the prohibited action in violation of the commissioner's order. (B) The commissioner may file an action requesting the civil penalty under subdivision (e)(3)(A) of this section with the Pulaski County Circuit Court or another court of competent jurisdiction. (C) The penalties of this section apply in addition to, but not instead of, other applicable law to a person for the person's failure to comply with an order of the commissioner.

(1) In addition to other powers under this subchapter, on finding that an action of a person is in violation of this subchapter, the commissioner may summarily order the person to cease and desist the prohibited action.

(2) On entering the order under subdivision (e)(1) of this section, the commissioner shall: (A) Promptly notify the person by sending notice of the order and the reasons for issuing the order to the last known address of the person by first class mail, postage prepaid; and (B) (i) Schedule a hearing under § 23-61-301 et seq. if the person contests the order. (ii) The person may contest an order entered under subdivision (e)(1) of this section by delivering a written request for a hearing to the commissioner within thirty (30) days after the date on which notice of the order is sent by the commissioner. (iii) (a) The hearing shall be held within thirty (30) days after the commissioner receives a timely written request for a hearing. (b) At the request of the person, the hearing may be postponed for a reasonable amount of time. (iv) If a person does not request a hearing and the commissioner does not order a hearing, the order shall remain in effect until it is modified or vacated by the commissioner.

(A) Promptly notify the person by sending notice of the order and the reasons for issuing the order to the last known address of the person by first class mail, postage prepaid; and

(B) (i) Schedule a hearing under § 23-61-301 et seq. if the person contests the order. (ii) The person may contest an order entered under subdivision (e)(1) of this section by delivering a written request for a hearing to the commissioner within thirty (30) days after the date on which notice of the order is sent by the commissioner. (iii) (a) The hearing shall be held within thirty (30) days after the commissioner receives a timely written request for a hearing. (b) At the request of the person, the hearing may be postponed for a reasonable amount of time. (iv) If a person does not request a hearing and the commissioner does not order a hearing, the order shall remain in effect until it is modified or vacated by the commissioner.

(i) Schedule a hearing under § 23-61-301 et seq. if the person contests the order.

(ii) The person may contest an order entered under subdivision (e)(1) of this section by delivering a written request for a hearing to the commissioner within thirty (30) days after the date on which notice of the order is sent by the commissioner.

(iii) (a) The hearing shall be held within thirty (30) days after the commissioner receives a timely written request for a hearing. (b) At the request of the person, the hearing may be postponed for a reasonable amount of time.

(a) The hearing shall be held within thirty (30) days after the commissioner receives a timely written request for a hearing.

(b) At the request of the person, the hearing may be postponed for a reasonable amount of time.

(iv) If a person does not request a hearing and the commissioner does not order a hearing, the order shall remain in effect until it is modified or vacated by the commissioner.

(3) (A) A person is subject to a civil penalty of up to twenty-five thousand dollars ($25,000) for each violation of the commissioner's cease and desist order committed after entry of the order if: (i) The person under the cease and desist order fails to appeal the order under § 23-61-307 or if the person appeals and the appeal is denied or dismissed; and (ii) The person continues to engage in the prohibited action in violation of the commissioner's order. (B) The commissioner may file an action requesting the civil penalty under subdivision (e)(3)(A) of this section with the Pulaski County Circuit Court or another court of competent jurisdiction. (C) The penalties of this section apply in addition to, but not instead of, other applicable law to a person for the person's failure to comply with an order of the commissioner.

(A) A person is subject to a civil penalty of up to twenty-five thousand dollars ($25,000) for each violation of the commissioner's cease and desist order committed after entry of the order if: (i) The person under the cease and desist order fails to appeal the order under § 23-61-307 or if the person appeals and the appeal is denied or dismissed; and (ii) The person continues to engage in the prohibited action in violation of the commissioner's order.

(i) The person under the cease and desist order fails to appeal the order under § 23-61-307 or if the person appeals and the appeal is denied or dismissed; and

(ii) The person continues to engage in the prohibited action in violation of the commissioner's order.

(B) The commissioner may file an action requesting the civil penalty under subdivision (e)(3)(A) of this section with the Pulaski County Circuit Court or another court of competent jurisdiction.

(C) The penalties of this section apply in addition to, but not instead of, other applicable law to a person for the person's failure to comply with an order of the commissioner.

(f) Unless otherwise provided, an action, hearing, or other proceeding under this subchapter is governed by § 23-61-301 et seq.

(g) If the commissioner has grounds to believe that a licensee has violated this subchapter or that facts exist that would be the basis for an order against a licensee, the commissioner or the commissioner's designee may investigate or examine the business of the licensee and examine the books, accounts, records, and files of a licensee relating to the complaint or matter under investigation.

(h) (1) The commissioner or the commissioner's designee may: (A) Administer oaths and affirmations; (B) Issue subpoenas to require the attendance of and to take testimony of a person whose testimony the commissioner considers relevant to the licensee's business; and (C) Issue subpoenas to require the production of the books, papers, correspondence, memoranda, agreements, or other documents or records that the commissioner considers relevant or material to the inquiry. (2) (A) When there is contumacy by or refusal to obey a subpoena issued to a licensee or applicant, the Pulaski County Circuit Court, on application by the commissioner, may issue an order requiring the person to appear before the commissioner or the commissioner's designee to produce evidence if so ordered or to give evidence touching the matter under investigation or in question. (B) Failure to obey the order of the court may be punished by the court as a contempt of court. (3) The assertion that the testimony or evidence before the commissioner may tend to incriminate or subject a person to a penalty or forfeiture shall not under § 23-61-302 excuse the person from: (A) Attending and testifying; (B) Producing any document or record; or (C) Obeying the subpoena of the commissioner or the commissioner's designee.

(1) The commissioner or the commissioner's designee may: (A) Administer oaths and affirmations; (B) Issue subpoenas to require the attendance of and to take testimony of a person whose testimony the commissioner considers relevant to the licensee's business; and (C) Issue subpoenas to require the production of the books, papers, correspondence, memoranda, agreements, or other documents or records that the commissioner considers relevant or material to the inquiry.

(A) Administer oaths and affirmations;

(B) Issue subpoenas to require the attendance of and to take testimony of a person whose testimony the commissioner considers relevant to the licensee's business; and

(C) Issue subpoenas to require the production of the books, papers, correspondence, memoranda, agreements, or other documents or records that the commissioner considers relevant or material to the inquiry.

(2) (A) When there is contumacy by or refusal to obey a subpoena issued to a licensee or applicant, the Pulaski County Circuit Court, on application by the commissioner, may issue an order requiring the person to appear before the commissioner or the commissioner's designee to produce evidence if so ordered or to give evidence touching the matter under investigation or in question. (B) Failure to obey the order of the court may be punished by the court as a contempt of court.

(A) When there is contumacy by or refusal to obey a subpoena issued to a licensee or applicant, the Pulaski County Circuit Court, on application by the commissioner, may issue an order requiring the person to appear before the commissioner or the commissioner's designee to produce evidence if so ordered or to give evidence touching the matter under investigation or in question.

(B) Failure to obey the order of the court may be punished by the court as a contempt of court.

(3) The assertion that the testimony or evidence before the commissioner may tend to incriminate or subject a person to a penalty or forfeiture shall not under § 23-61-302 excuse the person from: (A) Attending and testifying; (B) Producing any document or record; or (C) Obeying the subpoena of the commissioner or the commissioner's designee.

(A) Attending and testifying;

(B) Producing any document or record; or

(C) Obeying the subpoena of the commissioner or the commissioner's designee.

(i) From time to time and with or without cause, the commissioner may conduct examinations of the books and records of a licensee or applicant to determine the compliance with this subchapter and the rules adopted under this subchapter.

(j) This section does not prohibit or restrict the informal disposition of a proceeding or allegations that may give rise to a proceeding by stipulation, settlement, consent, or default instead of a formal or informal hearing on the allegations or in place of the sanctions authorized by this section.

(k) (1) If it appears on sufficient grounds or evidence satisfactory to the commissioner that a person has engaged in or is about to engage in an act or practice that violates this subchapter, the commissioner may: (A) Refer the evidence that is available concerning violations of this subchapter or a rule or order issued under this subchapter to the prosecuting attorney or regulatory agency that with or without the referral may otherwise begin criminal or regulatory proceedings under this subchapter; and (B) (i) Summarily order the person to stop the act or practice under subsections (b) and (e) of this section and apply to the Pulaski County Circuit Court to enjoin the act or practice or to enforce compliance with this subchapter, rule, or order issued under this subchapter, or both. (ii) The commissioner, without issuing a cease and desist order, may apply directly to the Pulaski County Circuit Court for injunctive or other relief. (2) On proper showing, the court shall grant a permanent or temporary injunction, restraining order, or writ of mandamus. (3) The commissioner may also seek and on proper showing the appropriate court shall grant any other ancillary relief that may be in the public interest, including: (A) The appointment of a receiver, temporary receiver, or conservator; (B) A declaratory judgment; (C) An accounting; (D) Disgorgement; (E) Assessment of a fine of not more than ten thousand dollars ($10,000) for each violation; and (F) Any other relief as may be appropriate in the public interest. (4) The court shall not require the commissioner to post a bond.

(1) If it appears on sufficient grounds or evidence satisfactory to the commissioner that a person has engaged in or is about to engage in an act or practice that violates this subchapter, the commissioner may: (A) Refer the evidence that is available concerning violations of this subchapter or a rule or order issued under this subchapter to the prosecuting attorney or regulatory agency that with or without the referral may otherwise begin criminal or regulatory proceedings under this subchapter; and (B) (i) Summarily order the person to stop the act or practice under subsections (b) and (e) of this section and apply to the Pulaski County Circuit Court to enjoin the act or practice or to enforce compliance with this subchapter, rule, or order issued under this subchapter, or both. (ii) The commissioner, without issuing a cease and desist order, may apply directly to the Pulaski County Circuit Court for injunctive or other relief.

(A) Refer the evidence that is available concerning violations of this subchapter or a rule or order issued under this subchapter to the prosecuting attorney or regulatory agency that with or without the referral may otherwise begin criminal or regulatory proceedings under this subchapter; and

(B) (i) Summarily order the person to stop the act or practice under subsections (b) and (e) of this section and apply to the Pulaski County Circuit Court to enjoin the act or practice or to enforce compliance with this subchapter, rule, or order issued under this subchapter, or both. (ii) The commissioner, without issuing a cease and desist order, may apply directly to the Pulaski County Circuit Court for injunctive or other relief.

(i) Summarily order the person to stop the act or practice under subsections (b) and (e) of this section and apply to the Pulaski County Circuit Court to enjoin the act or practice or to enforce compliance with this subchapter, rule, or order issued under this subchapter, or both.

(ii) The commissioner, without issuing a cease and desist order, may apply directly to the Pulaski County Circuit Court for injunctive or other relief.

(2) On proper showing, the court shall grant a permanent or temporary injunction, restraining order, or writ of mandamus.

(3) The commissioner may also seek and on proper showing the appropriate court shall grant any other ancillary relief that may be in the public interest, including: (A) The appointment of a receiver, temporary receiver, or conservator; (B) A declaratory judgment; (C) An accounting; (D) Disgorgement; (E) Assessment of a fine of not more than ten thousand dollars ($10,000) for each violation; and (F) Any other relief as may be appropriate in the public interest.

(A) The appointment of a receiver, temporary receiver, or conservator;

(B) A declaratory judgment;

(C) An accounting;

(D) Disgorgement;

(E) Assessment of a fine of not more than ten thousand dollars ($10,000) for each violation; and

(F) Any other relief as may be appropriate in the public interest.

(4) The court shall not require the commissioner to post a bond.

Added by Act 2013, No. 1439,§ 1, eff. when (1) The United States Department of Health and Human Services or other responsible federal agency or federal official notifies the Governor, the Insurance Commissioner, or other responsible state agency or state official pursuant to the federal healthcare laws established by Pub. L. No. 111-148, as amended by Pub. L. No. 111-152, and any amendments thereto, or regulations or guidance issued under those federal statutes; or (2) A health insurance marketplace is initiated and is operable in this state..
Ark. Code Ann. § 23-92-403 — AR Code / Title 23 / Chapter 92 / Subchapter 4 / Section 23-92-403
Relationship to other laws
Status: in_force

(a) (1) Neither this subchapter nor any professional employer agreement shall affect, modify, or amend any collective bargaining agreement or the rights or obligations of any client, professional employer organization, or covered employee under the National Labor Relations Act, as it existed on January 1, 2003. (2) This subchapter preserves all rights to which a covered employee would be entitled under a traditional employment relationship. (b) Neither this subchapter nor any professional employer agreement shall affect, modify, or amend any state, local, or federal licensing, registration, or certification requirement applicable to any client or covered employee. (c) A covered employee who must be licensed, registered, or certified according to law or regulation is deemed solely an employee of the client for purposes of any license, registration, or certification requirement. (d) A professional employer organization shall not be deemed to engage in any occupation, trade, profession, or other activity that is subject to licensing, registration, or certification requirements, or is otherwise regulated by a governmental entity, solely by entering into and maintaining a coemployment relationship with a covered employee who is subject to this subchapter or to rules promulgated under this subchapter. (e) (1) For purposes of determination of tax credits and other economic incentives provided by Arkansas that are based on employment, covered employees are deemed employees solely of the client. (2) A client is entitled to the benefit of any tax credit, economic incentive, or other benefit arising as the result of the employment of covered employees of the client. (3) Upon request by a client, each professional employer organization shall provide employment information reasonably required by an Arkansas agency or department that is necessary to support any request, claim, application, or other action by a client seeking any tax credit or economic incentive under subdivision (e)(2) of this section. (f) (1) Applicants for licensing or a professional employer organization licensed under this subchapter authorize the Division of Workforce Services, the Workers' Compensation Commission, and the State Insurance Department, or their successors, to release otherwise confidential information to the other department, division, or commission in this subdivision (f)(1) concerning the applicant or professional employer organization upon the written request by the requesting department, division, or commission. (2) The Division of Workforce Services, the Workers' Compensation Commission, and the State Insurance Department shall maintain the confidentiality of information received under subdivision (f)(1) of this section unless the information is introduced into evidence at an administrative proceeding or at a civil or criminal trial arising out of a violation of this subchapter that involves the applicant, the professional employer organization, or the controlling person. (g) Neither this subchapter nor any professional employer agreement shall affect, limit, restrict, or modify the rights or obligations of any client, professional employer organization, or covered employee with respect to: (1) The payment of wages as required by contract or by state or federal law; and (2) Compliance with the following: (A) Section 11-2-101 et seq., § 11-3-101 et seq., § 11-4-101 et seq., § 11-5-101 et seq., § 11-6-101 et seq., § 11-7-201 et seq., the Division of Workforce Services Law, § 11-10-101 et seq., and § 11-12-101 et seq.; (B) Section 20-20-301 et seq. [repealed]; (C) Section 22-9-301 et seq. [repealed], commonly referred to as the "Arkansas Prevailing Wage Law"; (D) The Arkansas Civil Rights Act of 1993, § 16-123-101 et seq.; (E) The Public Employees' Chemical Right to Know Act, § 8-7-1001 et seq.; and (F) Section 7-1-102 , concerning voting time; § 16-31-106 , concerning jury duty; and § 21-4-101 , concerning leave of absence for public service. Amended by Act 2019, No. 315,§ 2773, eff. 7/24/2019. Amended by Act 2019, No. 910,§ 608, eff. 7/1/2019. Amended by Act 2019, No. 910,§ 607, eff. 7/1/2019. Acts 2003, No. 1750, § 1.

(a) (1) Neither this subchapter nor any professional employer agreement shall affect, modify, or amend any collective bargaining agreement or the rights or obligations of any client, professional employer organization, or covered employee under the National Labor Relations Act, as it existed on January 1, 2003. (2) This subchapter preserves all rights to which a covered employee would be entitled under a traditional employment relationship.

(1) Neither this subchapter nor any professional employer agreement shall affect, modify, or amend any collective bargaining agreement or the rights or obligations of any client, professional employer organization, or covered employee under the National Labor Relations Act, as it existed on January 1, 2003.

(2) This subchapter preserves all rights to which a covered employee would be entitled under a traditional employment relationship.

(b) Neither this subchapter nor any professional employer agreement shall affect, modify, or amend any state, local, or federal licensing, registration, or certification requirement applicable to any client or covered employee.

(c) A covered employee who must be licensed, registered, or certified according to law or regulation is deemed solely an employee of the client for purposes of any license, registration, or certification requirement.

(d) A professional employer organization shall not be deemed to engage in any occupation, trade, profession, or other activity that is subject to licensing, registration, or certification requirements, or is otherwise regulated by a governmental entity, solely by entering into and maintaining a coemployment relationship with a covered employee who is subject to this subchapter or to rules promulgated under this subchapter.

(e) (1) For purposes of determination of tax credits and other economic incentives provided by Arkansas that are based on employment, covered employees are deemed employees solely of the client. (2) A client is entitled to the benefit of any tax credit, economic incentive, or other benefit arising as the result of the employment of covered employees of the client. (3) Upon request by a client, each professional employer organization shall provide employment information reasonably required by an Arkansas agency or department that is necessary to support any request, claim, application, or other action by a client seeking any tax credit or economic incentive under subdivision (e)(2) of this section.

(1) For purposes of determination of tax credits and other economic incentives provided by Arkansas that are based on employment, covered employees are deemed employees solely of the client.

(2) A client is entitled to the benefit of any tax credit, economic incentive, or other benefit arising as the result of the employment of covered employees of the client.

(3) Upon request by a client, each professional employer organization shall provide employment information reasonably required by an Arkansas agency or department that is necessary to support any request, claim, application, or other action by a client seeking any tax credit or economic incentive under subdivision (e)(2) of this section.

(f) (1) Applicants for licensing or a professional employer organization licensed under this subchapter authorize the Division of Workforce Services, the Workers' Compensation Commission, and the State Insurance Department, or their successors, to release otherwise confidential information to the other department, division, or commission in this subdivision (f)(1) concerning the applicant or professional employer organization upon the written request by the requesting department, division, or commission. (2) The Division of Workforce Services, the Workers' Compensation Commission, and the State Insurance Department shall maintain the confidentiality of information received under subdivision (f)(1) of this section unless the information is introduced into evidence at an administrative proceeding or at a civil or criminal trial arising out of a violation of this subchapter that involves the applicant, the professional employer organization, or the controlling person.

(1) Applicants for licensing or a professional employer organization licensed under this subchapter authorize the Division of Workforce Services, the Workers' Compensation Commission, and the State Insurance Department, or their successors, to release otherwise confidential information to the other department, division, or commission in this subdivision (f)(1) concerning the applicant or professional employer organization upon the written request by the requesting department, division, or commission.

(2) The Division of Workforce Services, the Workers' Compensation Commission, and the State Insurance Department shall maintain the confidentiality of information received under subdivision (f)(1) of this section unless the information is introduced into evidence at an administrative proceeding or at a civil or criminal trial arising out of a violation of this subchapter that involves the applicant, the professional employer organization, or the controlling person.

(g) Neither this subchapter nor any professional employer agreement shall affect, limit, restrict, or modify the rights or obligations of any client, professional employer organization, or covered employee with respect to: (1) The payment of wages as required by contract or by state or federal law; and (2) Compliance with the following: (A) Section 11-2-101 et seq., § 11-3-101 et seq., § 11-4-101 et seq., § 11-5-101 et seq., § 11-6-101 et seq., § 11-7-201 et seq., the Division of Workforce Services Law, § 11-10-101 et seq., and § 11-12-101 et seq.; (B) Section 20-20-301 et seq. [repealed]; (C) Section 22-9-301 et seq. [repealed], commonly referred to as the "Arkansas Prevailing Wage Law"; (D) The Arkansas Civil Rights Act of 1993, § 16-123-101 et seq.; (E) The Public Employees' Chemical Right to Know Act, § 8-7-1001 et seq.; and (F) Section 7-1-102 , concerning voting time; § 16-31-106 , concerning jury duty; and § 21-4-101 , concerning leave of absence for public service.

(1) The payment of wages as required by contract or by state or federal law; and

(2) Compliance with the following: (A) Section 11-2-101 et seq., § 11-3-101 et seq., § 11-4-101 et seq., § 11-5-101 et seq., § 11-6-101 et seq., § 11-7-201 et seq., the Division of Workforce Services Law, § 11-10-101 et seq., and § 11-12-101 et seq.; (B) Section 20-20-301 et seq. [repealed]; (C) Section 22-9-301 et seq. [repealed], commonly referred to as the "Arkansas Prevailing Wage Law"; (D) The Arkansas Civil Rights Act of 1993, § 16-123-101 et seq.; (E) The Public Employees' Chemical Right to Know Act, § 8-7-1001 et seq.; and (F) Section 7-1-102 , concerning voting time; § 16-31-106 , concerning jury duty; and § 21-4-101 , concerning leave of absence for public service.

(A) Section 11-2-101 et seq., § 11-3-101 et seq., § 11-4-101 et seq., § 11-5-101 et seq., § 11-6-101 et seq., § 11-7-201 et seq., the Division of Workforce Services Law, § 11-10-101 et seq., and § 11-12-101 et seq.;

(B) Section 20-20-301 et seq. [repealed];

(C) Section 22-9-301 et seq. [repealed], commonly referred to as the "Arkansas Prevailing Wage Law";

(D) The Arkansas Civil Rights Act of 1993, § 16-123-101 et seq.;

(E) The Public Employees' Chemical Right to Know Act, § 8-7-1001 et seq.; and

(F) Section 7-1-102 , concerning voting time; § 16-31-106 , concerning jury duty; and § 21-4-101 , concerning leave of absence for public service.

Amended by Act 2019, No. 315,§ 2773, eff. 7/24/2019.

Amended by Act 2019, No. 910,§ 608, eff. 7/1/2019.

Amended by Act 2019, No. 910,§ 607, eff. 7/1/2019.

Acts 2003, No. 1750, § 1.
Ark. Code Ann. § 23-46-601 — AR Code / Title 23 / Chapter 46 / Subchapter 6 / Section 23-46-601
Title
Status: in_force

This subchapter shall be known and may be cited as the "Examination of Technology Service Providers Act". Added by Act 2017, No. 646,§ 1, eff. 3/24/2017.

This subchapter shall be known and may be cited as the "Examination of Technology Service Providers Act".

Added by Act 2017, No. 646,§ 1, eff. 3/24/2017.
Ark. Code Ann. § 23-99-417 — AR Code / Title 23 / Chapter 99 / Subchapter 4 / Section 23-99-417
Coverage required for orthotic devices, orthotic services, prosthetic devices, and prosthetic services - Definitions
Status: in_force

(a) (1) Subject to subdivision (a)(2) of this section and subsections (b) and (c) of this section, a health benefit plan that is issued for delivery, delivered, renewed, or otherwise contracted for in this state shall provide coverage for eligible charges within limits of coverage that are no less than eighty percent (80%) of Medicare allowable as defined by the Centers for Medicare & Medicaid Services, Healthcare Common Procedure Coding System as of January 1, 2009, or as of a later date if adopted by rule of the Insurance Commissioner for: (A) An orthotic device; (B) An orthotic service; (C) A prosthetic device; (D) A prosthetic service; (E) A prosthetic device for athletics or recreation; and (F) A prosthetic device for showering or bathing. (2) This section does not require coverage for an orthotic device, an orthotic service, a prosthetic device, a prosthetic service, a prosthetic device for athletics or recreation, or a prosthetic device for showering or bathing for a replacement that occurs more frequently than one (1) time every three (3) years unless medically necessary. (b) (1) Eligible charges for coverage under subsection (a) of this section shall be based on medical necessity, which may include without limitation: (A) The information and recommendation from the treating physician in consultation with the insured and a prosthetic provider regarding the most appropriate model that adequately meets the medical and recreational needs of the covered person; and (B) The results of a functional outcomes test. (2) As used in this section: (A) "Functional outcomes test" includes without limitation the insured's: (i) Medical history, including prior use of orthotic devices, prosthetic devices, or prosthetic devices for athletics or recreation if applicable; (ii) Current condition, including the status of the musculoskeletal system and the nature of other medical problems; and (iii) Desire to: (a) Ambulate or recreate with respect to lower-limb orthotic devices, prosthetic devices, or prosthetic devices for athletics or recreation; or (b) Maximize upper-limb function with respect to upper-limb orthotic devices, prosthetic devices, or prosthetic devices for athletics or recreation; and (B) (i) "Prosthetic device for athletics or recreation" means a device that provides an individual with the ability or potential for prosthesis ambulation that exceeds basic ambulation skills, exhibiting high impact, stress, or energy levels. (ii) "Prosthetic device for athletics or recreation" includes prostheses meeting the description of utilizing a blade-type foot designed for running and other high activity or high-impact endeavors. (3) A denial or limitation of coverage based on lack of medical necessity is subject to external review under State Insurance Department Rule 76, the Arkansas External Review Regulation. (c) A health benefit plan: (1) May require prior authorization for an orthotic device, an orthotic service, a prosthetic device, a prosthetic service, a prosthetic device for athletics or recreation, or a prosthetic device for showering or bathing in the same manner that prior authorization is required for any other covered benefit; (2) May impose copayments, deductibles, or coinsurance amounts for an orthotic device, an orthotic service, a prosthetic device, a prosthetic service, a prosthetic device for athletics or recreation, or a prosthetic device for showering or bathing if the amounts are no greater than the copayments, deductibles, or coinsurance amounts that apply to other benefits under the health benefit plan; (3) When the replacement or repair is necessitated by anatomical change or normal use, shall cover the necessary repair and necessary replacement of an orthotic device, a prosthetic device, a prosthetic device for athletics or recreation, or a prosthetic device for showering or bathing subject to copayments, coinsurance, and deductibles that are no more restrictive than the copayments, coinsurance, and deductibles that apply to other benefits under the health benefit plan, unless the repair or replacement is necessitated by misuse or loss; and (4) Shall include a requirement that an orthotic device, an orthotic service, a prosthetic device, a prosthetic service, a prosthetic device for athletics or recreation, or a prosthetic device for showering or bathing be prescribed by a licensed doctor of medicine, doctor of osteopathy, or doctor of podiatric medicine and provided by a doctor of medicine, a doctor of osteopathy, a doctor of podiatric medicine, an orthotist, or a prosthetist licensed by the State of Arkansas. (d) Coverage of an orthotic device, an orthotic service, a prosthetic device, a prosthetic service, a prosthetic device for athletics or recreation, or a prosthetic device for showering or bathing may be made subject to but no more restrictive than the provisions of the health benefit plan that apply to other benefits under the health benefit plan. (e) The Insurance Commissioner may adopt necessary rules to enforce this section. (f) A recreational prosthesis shall be deemed as medically necessary by the treating or referring physician who is prescribing the prosthesis. (g) A patient who is a candidate for a recreational prosthesis shall qualify in the Medicare functional level status as a K-3 or K-4 functional level as a user who: (1) Can achieve any high-level activity pursuits; and (2) Exhibits an ability to perform above and beyond normal ambulation. Amended by Act 2023, No. 805,§ 1, eff. 8/1/2023. Amended by Act 2013, No. 1233,§ 2, eff. 8/16/2013. Amended by Act 2013, No. 1233,§ 1, eff. 8/16/2013. Acts 2009, No. 950, § 2.

(a) (1) Subject to subdivision (a)(2) of this section and subsections (b) and (c) of this section, a health benefit plan that is issued for delivery, delivered, renewed, or otherwise contracted for in this state shall provide coverage for eligible charges within limits of coverage that are no less than eighty percent (80%) of Medicare allowable as defined by the Centers for Medicare & Medicaid Services, Healthcare Common Procedure Coding System as of January 1, 2009, or as of a later date if adopted by rule of the Insurance Commissioner for: (A) An orthotic device; (B) An orthotic service; (C) A prosthetic device; (D) A prosthetic service; (E) A prosthetic device for athletics or recreation; and (F) A prosthetic device for showering or bathing. (2) This section does not require coverage for an orthotic device, an orthotic service, a prosthetic device, a prosthetic service, a prosthetic device for athletics or recreation, or a prosthetic device for showering or bathing for a replacement that occurs more frequently than one (1) time every three (3) years unless medically necessary.

(1) Subject to subdivision (a)(2) of this section and subsections (b) and (c) of this section, a health benefit plan that is issued for delivery, delivered, renewed, or otherwise contracted for in this state shall provide coverage for eligible charges within limits of coverage that are no less than eighty percent (80%) of Medicare allowable as defined by the Centers for Medicare & Medicaid Services, Healthcare Common Procedure Coding System as of January 1, 2009, or as of a later date if adopted by rule of the Insurance Commissioner for: (A) An orthotic device; (B) An orthotic service; (C) A prosthetic device; (D) A prosthetic service; (E) A prosthetic device for athletics or recreation; and (F) A prosthetic device for showering or bathing.

(A) An orthotic device;

(B) An orthotic service;

(C) A prosthetic device;

(D) A prosthetic service;

(E) A prosthetic device for athletics or recreation; and

(F) A prosthetic device for showering or bathing.

(2) This section does not require coverage for an orthotic device, an orthotic service, a prosthetic device, a prosthetic service, a prosthetic device for athletics or recreation, or a prosthetic device for showering or bathing for a replacement that occurs more frequently than one (1) time every three (3) years unless medically necessary.

(b) (1) Eligible charges for coverage under subsection (a) of this section shall be based on medical necessity, which may include without limitation: (A) The information and recommendation from the treating physician in consultation with the insured and a prosthetic provider regarding the most appropriate model that adequately meets the medical and recreational needs of the covered person; and (B) The results of a functional outcomes test. (2) As used in this section: (A) "Functional outcomes test" includes without limitation the insured's: (i) Medical history, including prior use of orthotic devices, prosthetic devices, or prosthetic devices for athletics or recreation if applicable; (ii) Current condition, including the status of the musculoskeletal system and the nature of other medical problems; and (iii) Desire to: (a) Ambulate or recreate with respect to lower-limb orthotic devices, prosthetic devices, or prosthetic devices for athletics or recreation; or (b) Maximize upper-limb function with respect to upper-limb orthotic devices, prosthetic devices, or prosthetic devices for athletics or recreation; and (B) (i) "Prosthetic device for athletics or recreation" means a device that provides an individual with the ability or potential for prosthesis ambulation that exceeds basic ambulation skills, exhibiting high impact, stress, or energy levels. (ii) "Prosthetic device for athletics or recreation" includes prostheses meeting the description of utilizing a blade-type foot designed for running and other high activity or high-impact endeavors. (3) A denial or limitation of coverage based on lack of medical necessity is subject to external review under State Insurance Department Rule 76, the Arkansas External Review Regulation.

(1) Eligible charges for coverage under subsection (a) of this section shall be based on medical necessity, which may include without limitation: (A) The information and recommendation from the treating physician in consultation with the insured and a prosthetic provider regarding the most appropriate model that adequately meets the medical and recreational needs of the covered person; and (B) The results of a functional outcomes test.

(A) The information and recommendation from the treating physician in consultation with the insured and a prosthetic provider regarding the most appropriate model that adequately meets the medical and recreational needs of the covered person; and

(B) The results of a functional outcomes test.

(2) As used in this section: (A) "Functional outcomes test" includes without limitation the insured's: (i) Medical history, including prior use of orthotic devices, prosthetic devices, or prosthetic devices for athletics or recreation if applicable; (ii) Current condition, including the status of the musculoskeletal system and the nature of other medical problems; and (iii) Desire to: (a) Ambulate or recreate with respect to lower-limb orthotic devices, prosthetic devices, or prosthetic devices for athletics or recreation; or (b) Maximize upper-limb function with respect to upper-limb orthotic devices, prosthetic devices, or prosthetic devices for athletics or recreation; and (B) (i) "Prosthetic device for athletics or recreation" means a device that provides an individual with the ability or potential for prosthesis ambulation that exceeds basic ambulation skills, exhibiting high impact, stress, or energy levels. (ii) "Prosthetic device for athletics or recreation" includes prostheses meeting the description of utilizing a blade-type foot designed for running and other high activity or high-impact endeavors.

(A) "Functional outcomes test" includes without limitation the insured's: (i) Medical history, including prior use of orthotic devices, prosthetic devices, or prosthetic devices for athletics or recreation if applicable; (ii) Current condition, including the status of the musculoskeletal system and the nature of other medical problems; and (iii) Desire to: (a) Ambulate or recreate with respect to lower-limb orthotic devices, prosthetic devices, or prosthetic devices for athletics or recreation; or (b) Maximize upper-limb function with respect to upper-limb orthotic devices, prosthetic devices, or prosthetic devices for athletics or recreation; and

(i) Medical history, including prior use of orthotic devices, prosthetic devices, or prosthetic devices for athletics or recreation if applicable;

(ii) Current condition, including the status of the musculoskeletal system and the nature of other medical problems; and

(iii) Desire to: (a) Ambulate or recreate with respect to lower-limb orthotic devices, prosthetic devices, or prosthetic devices for athletics or recreation; or (b) Maximize upper-limb function with respect to upper-limb orthotic devices, prosthetic devices, or prosthetic devices for athletics or recreation; and

(a) Ambulate or recreate with respect to lower-limb orthotic devices, prosthetic devices, or prosthetic devices for athletics or recreation; or

(b) Maximize upper-limb function with respect to upper-limb orthotic devices, prosthetic devices, or prosthetic devices for athletics or recreation; and

(B) (i) "Prosthetic device for athletics or recreation" means a device that provides an individual with the ability or potential for prosthesis ambulation that exceeds basic ambulation skills, exhibiting high impact, stress, or energy levels. (ii) "Prosthetic device for athletics or recreation" includes prostheses meeting the description of utilizing a blade-type foot designed for running and other high activity or high-impact endeavors.

(i) "Prosthetic device for athletics or recreation" means a device that provides an individual with the ability or potential for prosthesis ambulation that exceeds basic ambulation skills, exhibiting high impact, stress, or energy levels.

(ii) "Prosthetic device for athletics or recreation" includes prostheses meeting the description of utilizing a blade-type foot designed for running and other high activity or high-impact endeavors.

(3) A denial or limitation of coverage based on lack of medical necessity is subject to external review under State Insurance Department Rule 76, the Arkansas External Review Regulation.

(c) A health benefit plan: (1) May require prior authorization for an orthotic device, an orthotic service, a prosthetic device, a prosthetic service, a prosthetic device for athletics or recreation, or a prosthetic device for showering or bathing in the same manner that prior authorization is required for any other covered benefit; (2) May impose copayments, deductibles, or coinsurance amounts for an orthotic device, an orthotic service, a prosthetic device, a prosthetic service, a prosthetic device for athletics or recreation, or a prosthetic device for showering or bathing if the amounts are no greater than the copayments, deductibles, or coinsurance amounts that apply to other benefits under the health benefit plan; (3) When the replacement or repair is necessitated by anatomical change or normal use, shall cover the necessary repair and necessary replacement of an orthotic device, a prosthetic device, a prosthetic device for athletics or recreation, or a prosthetic device for showering or bathing subject to copayments, coinsurance, and deductibles that are no more restrictive than the copayments, coinsurance, and deductibles that apply to other benefits under the health benefit plan, unless the repair or replacement is necessitated by misuse or loss; and (4) Shall include a requirement that an orthotic device, an orthotic service, a prosthetic device, a prosthetic service, a prosthetic device for athletics or recreation, or a prosthetic device for showering or bathing be prescribed by a licensed doctor of medicine, doctor of osteopathy, or doctor of podiatric medicine and provided by a doctor of medicine, a doctor of osteopathy, a doctor of podiatric medicine, an orthotist, or a prosthetist licensed by the State of Arkansas.

(1) May require prior authorization for an orthotic device, an orthotic service, a prosthetic device, a prosthetic service, a prosthetic device for athletics or recreation, or a prosthetic device for showering or bathing in the same manner that prior authorization is required for any other covered benefit;

(2) May impose copayments, deductibles, or coinsurance amounts for an orthotic device, an orthotic service, a prosthetic device, a prosthetic service, a prosthetic device for athletics or recreation, or a prosthetic device for showering or bathing if the amounts are no greater than the copayments, deductibles, or coinsurance amounts that apply to other benefits under the health benefit plan;

(3) When the replacement or repair is necessitated by anatomical change or normal use, shall cover the necessary repair and necessary replacement of an orthotic device, a prosthetic device, a prosthetic device for athletics or recreation, or a prosthetic device for showering or bathing subject to copayments, coinsurance, and deductibles that are no more restrictive than the copayments, coinsurance, and deductibles that apply to other benefits under the health benefit plan, unless the repair or replacement is necessitated by misuse or loss; and

(4) Shall include a requirement that an orthotic device, an orthotic service, a prosthetic device, a prosthetic service, a prosthetic device for athletics or recreation, or a prosthetic device for showering or bathing be prescribed by a licensed doctor of medicine, doctor of osteopathy, or doctor of podiatric medicine and provided by a doctor of medicine, a doctor of osteopathy, a doctor of podiatric medicine, an orthotist, or a prosthetist licensed by the State of Arkansas.

(d) Coverage of an orthotic device, an orthotic service, a prosthetic device, a prosthetic service, a prosthetic device for athletics or recreation, or a prosthetic device for showering or bathing may be made subject to but no more restrictive than the provisions of the health benefit plan that apply to other benefits under the health benefit plan.

(e) The Insurance Commissioner may adopt necessary rules to enforce this section.

(f) A recreational prosthesis shall be deemed as medically necessary by the treating or referring physician who is prescribing the prosthesis.

(g) A patient who is a candidate for a recreational prosthesis shall qualify in the Medicare functional level status as a K-3 or K-4 functional level as a user who: (1) Can achieve any high-level activity pursuits; and (2) Exhibits an ability to perform above and beyond normal ambulation.

(1) Can achieve any high-level activity pursuits; and

(2) Exhibits an ability to perform above and beyond normal ambulation.

Amended by Act 2023, No. 805,§ 1, eff. 8/1/2023.

Amended by Act 2013, No. 1233,§ 2, eff. 8/16/2013.

Amended by Act 2013, No. 1233,§ 1, eff. 8/16/2013.

Acts 2009, No. 950, § 2.