Ark. Code Ann. § 23-4-105 — AR Code / Title 23 / Chapter 4 / Subchapter 1 / Section 23-4-105
Rate schedules - Filing
Status: in_force

Under such rules and regulations as the commission may prescribe, every public utility shall file with the commission, within such time and in such form as the commission may designate, schedules showing all rates established by or for it, and collected or enforced, or to be collected or enforced, within the jurisdiction of the commission. Acts 1935, No. 324, § 11; Pope's Dig., § 2074; A.S.A. 1947, § 73-205.

Under such rules and regulations as the commission may prescribe, every public utility shall file with the commission, within such time and in such form as the commission may designate, schedules showing all rates established by or for it, and collected or enforced, or to be collected or enforced, within the jurisdiction of the commission.

Acts 1935, No. 324, § 11; Pope's Dig., § 2074; A.S.A. 1947, § 73-205.
Ark. Code Ann. § 23-64-511 — AR Code / Title 23 / Chapter 64 / Subchapter 5 / Section 23-64-511
Temporary licensing
Status: in_force

(a) The Insurance Commissioner may issue a temporary insurance producer license for a period not to exceed one hundred eighty (180) days without requiring an examination if the commissioner deems that the temporary license is necessary for the servicing of an insurance business in the following cases: (1) To the surviving spouse or court-appointed personal representative of a licensed insurance producer who dies or becomes mentally or physically disabled to allow adequate time for the sale of the insurance business owned by the producer or for the recovery or return of the producer to the business or to provide for the training and licensing of new personnel to operate the producer's business; (2) To a member or employee of a business entity licensed as an insurance producer, upon the death or disability of an individual designated in the business entity application or the license; (3) To the designee of a licensed insurance producer entering active duty in the United States Armed Forces or state active duty in the Arkansas National Guard; or (4) In any other circumstance where the commissioner deems that the public interest will best be served by the issuance of this license. (b) The commissioner may by order limit the authority of any temporary licensee in any way deemed necessary to protect insureds and the public. The commissioner may require the temporary licensee to have a suitable sponsor who is a licensed producer or insurer and who assumes responsibility for all acts of the temporary licensee and may impose other similar requirements designed to protect insureds and the public. The commissioner may by order revoke a temporary license if the interest of insureds or the public are endangered. A temporary license may not continue after the owner or the personal representative disposes of the business. Amended by Act 2019, No. 462,§ 20, eff. 7/24/2019. Acts 2001, No. 580, § 1.

(a) The Insurance Commissioner may issue a temporary insurance producer license for a period not to exceed one hundred eighty (180) days without requiring an examination if the commissioner deems that the temporary license is necessary for the servicing of an insurance business in the following cases: (1) To the surviving spouse or court-appointed personal representative of a licensed insurance producer who dies or becomes mentally or physically disabled to allow adequate time for the sale of the insurance business owned by the producer or for the recovery or return of the producer to the business or to provide for the training and licensing of new personnel to operate the producer's business; (2) To a member or employee of a business entity licensed as an insurance producer, upon the death or disability of an individual designated in the business entity application or the license; (3) To the designee of a licensed insurance producer entering active duty in the United States Armed Forces or state active duty in the Arkansas National Guard; or (4) In any other circumstance where the commissioner deems that the public interest will best be served by the issuance of this license.

(1) To the surviving spouse or court-appointed personal representative of a licensed insurance producer who dies or becomes mentally or physically disabled to allow adequate time for the sale of the insurance business owned by the producer or for the recovery or return of the producer to the business or to provide for the training and licensing of new personnel to operate the producer's business;

(2) To a member or employee of a business entity licensed as an insurance producer, upon the death or disability of an individual designated in the business entity application or the license;

(3) To the designee of a licensed insurance producer entering active duty in the United States Armed Forces or state active duty in the Arkansas National Guard; or

(4) In any other circumstance where the commissioner deems that the public interest will best be served by the issuance of this license.

(b) The commissioner may by order limit the authority of any temporary licensee in any way deemed necessary to protect insureds and the public. The commissioner may require the temporary licensee to have a suitable sponsor who is a licensed producer or insurer and who assumes responsibility for all acts of the temporary licensee and may impose other similar requirements designed to protect insureds and the public. The commissioner may by order revoke a temporary license if the interest of insureds or the public are endangered. A temporary license may not continue after the owner or the personal representative disposes of the business.

Amended by Act 2019, No. 462,§ 20, eff. 7/24/2019.

Acts 2001, No. 580, § 1.
Ark. Code Ann. § 23-4-209 — AR Code / Title 23 / Chapter 4 / Subchapter 2 / Section 23-4-209
Transition costs - Definition
Status: in_force

(a) (1) As used in this section, "transition costs" means those costs, investments, or unfunded mandates, either recurring or nonrecurring, incurred by an electric utility after July 30, 1999, that are found to have been necessary to carry out the electric utility's responsibilities associated with efforts to implement retail open access or were mandated by statute or rule and are not otherwise recoverable. (2) In no event shall transition costs include retirement or severance programs, marketing or promotional activities, professional or advisory services, or legal costs associated with any competitive strategy. (3) In no event shall costs that are allowable in the utility's regulated cost of service and rates be included as transition costs, and the electric utility shall be required to demonstrate that its requested transition cost recovery does not contain amounts that are otherwise reflected in current rate levels. (4) Additionally, no electric utility shall recover transition costs unless approved by the Arkansas Public Service Commission pursuant to this chapter. (b) (1) An electric utility shall be allowed to recover transition costs incurred no later than January 1, 2002, as may be determined by the commission after notice and hearing. (2) The recovery shall be by a customer transition charge during a period of time ending thirty-six (36) months after February 21, 2003. (3) The customer transition charges shall be subject to annual review by the commission. Costs included in the charges shall be prudent, reasonable, and directly caused by Acts 1999, No. 1556, and rules and orders adopted by the commission to implement that act. (c) An electric utility shall have a right to recover from its customers any nuclear decommissioning costs, as determined by the commission, associated with the utility's generating assets. The commission shall retain jurisdiction sufficient to authorize the recovery of those costs. Amended by Act 2019, No. 315,§ 2392, eff. 7/24/2019. Acts 2003, No. 204, § 9.

(a) (1) As used in this section, "transition costs" means those costs, investments, or unfunded mandates, either recurring or nonrecurring, incurred by an electric utility after July 30, 1999, that are found to have been necessary to carry out the electric utility's responsibilities associated with efforts to implement retail open access or were mandated by statute or rule and are not otherwise recoverable. (2) In no event shall transition costs include retirement or severance programs, marketing or promotional activities, professional or advisory services, or legal costs associated with any competitive strategy. (3) In no event shall costs that are allowable in the utility's regulated cost of service and rates be included as transition costs, and the electric utility shall be required to demonstrate that its requested transition cost recovery does not contain amounts that are otherwise reflected in current rate levels. (4) Additionally, no electric utility shall recover transition costs unless approved by the Arkansas Public Service Commission pursuant to this chapter.

(1) As used in this section, "transition costs" means those costs, investments, or unfunded mandates, either recurring or nonrecurring, incurred by an electric utility after July 30, 1999, that are found to have been necessary to carry out the electric utility's responsibilities associated with efforts to implement retail open access or were mandated by statute or rule and are not otherwise recoverable.

(2) In no event shall transition costs include retirement or severance programs, marketing or promotional activities, professional or advisory services, or legal costs associated with any competitive strategy.

(3) In no event shall costs that are allowable in the utility's regulated cost of service and rates be included as transition costs, and the electric utility shall be required to demonstrate that its requested transition cost recovery does not contain amounts that are otherwise reflected in current rate levels.

(4) Additionally, no electric utility shall recover transition costs unless approved by the Arkansas Public Service Commission pursuant to this chapter.

(b) (1) An electric utility shall be allowed to recover transition costs incurred no later than January 1, 2002, as may be determined by the commission after notice and hearing. (2) The recovery shall be by a customer transition charge during a period of time ending thirty-six (36) months after February 21, 2003. (3) The customer transition charges shall be subject to annual review by the commission. Costs included in the charges shall be prudent, reasonable, and directly caused by Acts 1999, No. 1556, and rules and orders adopted by the commission to implement that act.

(1) An electric utility shall be allowed to recover transition costs incurred no later than January 1, 2002, as may be determined by the commission after notice and hearing.

(2) The recovery shall be by a customer transition charge during a period of time ending thirty-six (36) months after February 21, 2003.

(3) The customer transition charges shall be subject to annual review by the commission. Costs included in the charges shall be prudent, reasonable, and directly caused by Acts 1999, No. 1556, and rules and orders adopted by the commission to implement that act.

(c) An electric utility shall have a right to recover from its customers any nuclear decommissioning costs, as determined by the commission, associated with the utility's generating assets. The commission shall retain jurisdiction sufficient to authorize the recovery of those costs.

Amended by Act 2019, No. 315,§ 2392, eff. 7/24/2019.

Acts 2003, No. 204, § 9.
Ark. Code Ann. § 23-111-508 — AR Code / Title 23 / Chapter 111 / Subchapter 5 / Section 23-111-508
Wagering
Status: in_force

(a) (1) Any franchise holder conducting a greyhound racing meet may provide places in the race meeting grounds, or enclosure, at which it may conduct and supervise the pari-mutuel or certificate system of wagering by patrons on the races conducted by the franchise holder at the meeting. (2) The pari-mutuel or certificate method of wagering upon races held at the race track, within the race track, and at the racing meet shall not under any circumstances, if conducted under the provisions of this chapter, be held or construed to be unlawful, all other laws or parts of laws of the State of Arkansas to the contrary notwithstanding. (b) No other place or method of wagering shall be used or permitted by the franchise holder, unless permitted under subsection (d) or subsection (e) of this section, nor shall the pari-mutuel or certificate system of wagering be conducted on any races except races at the race track where the franchise holder holds a current license issued by the Arkansas Racing Commission. (c) No franchise holder shall permit any minor to be a patron of the pari-mutuel or certificate system of wagering conducted or supervised by it. (d) (1) (A) However, nothing contained in this section shall be construed to permit the pari-mutuel or certificate method of wagering upon any race track unless the track is licensed as provided by this chapter. (B) It is declared to be unlawful for any franchise holder to permit, conduct, or supervise any pari-mutuel or certificate method of wagering upon any race track except in accordance with the provisions of this chapter. (2) There shall be no wagering on the results of any races except under the pari-mutuel or certificate method of wagering, as provided in this chapter, and then only by the installation and use of equipment approved by the commission. (3) In addition to the pari-mutuel or certificate system of wagering as authorized by this chapter, the commission is authorized and directed to establish and adopt rules permitting the conduct of pari-mutuel or certificate system of wagering upon racing, either horse or greyhound, shown live or in any other manner approved by the commission by television or otherwise to or from the premises of the franchise holder. (4) Any franchise holder using or permitting wagering or any person wagering under any other method at a licensed race track shall be guilty of a Class D felony for each such offense. (e) (1) With the prior approval of the commission and pursuant to rules adopted by the commission, a franchise holder's patrons with money on deposit in an account with the franchise holder may place wagers by communication through telephone or other mobile device or through other electronic means on races conducted at the franchise holder's race track facility and horse races or greyhound races at other racetracks, whether or not the patron is located on the grounds of the franchise holder's race track facility when placing the wager. (2) Wagers accepted by the franchise holder under this subsection shall be treated for all purposes under this chapter as a wager made by the patron on the grounds of the franchise holder's race track facility. Amended by Act 2019, No. 315,§ 2822, eff. 7/24/2019. Amended by Act 2013, No. 350,§ 7, eff. 3/14/2013. Amended by Act 2013, No. 350,§ 6, eff. 3/14/2013. Acts 1957, No. 191, § 18; A.S.A. 1947, § 84-2833; Acts 1987, No. 383, § 5; 1989, No. 238, § 3; 1999, No. 473, § 1; 2005, No. 1994, § 486.

(a) (1) Any franchise holder conducting a greyhound racing meet may provide places in the race meeting grounds, or enclosure, at which it may conduct and supervise the pari-mutuel or certificate system of wagering by patrons on the races conducted by the franchise holder at the meeting. (2) The pari-mutuel or certificate method of wagering upon races held at the race track, within the race track, and at the racing meet shall not under any circumstances, if conducted under the provisions of this chapter, be held or construed to be unlawful, all other laws or parts of laws of the State of Arkansas to the contrary notwithstanding.

(1) Any franchise holder conducting a greyhound racing meet may provide places in the race meeting grounds, or enclosure, at which it may conduct and supervise the pari-mutuel or certificate system of wagering by patrons on the races conducted by the franchise holder at the meeting.

(2) The pari-mutuel or certificate method of wagering upon races held at the race track, within the race track, and at the racing meet shall not under any circumstances, if conducted under the provisions of this chapter, be held or construed to be unlawful, all other laws or parts of laws of the State of Arkansas to the contrary notwithstanding.

(b) No other place or method of wagering shall be used or permitted by the franchise holder, unless permitted under subsection (d) or subsection (e) of this section, nor shall the pari-mutuel or certificate system of wagering be conducted on any races except races at the race track where the franchise holder holds a current license issued by the Arkansas Racing Commission.

(c) No franchise holder shall permit any minor to be a patron of the pari-mutuel or certificate system of wagering conducted or supervised by it.

(d) (1) (A) However, nothing contained in this section shall be construed to permit the pari-mutuel or certificate method of wagering upon any race track unless the track is licensed as provided by this chapter. (B) It is declared to be unlawful for any franchise holder to permit, conduct, or supervise any pari-mutuel or certificate method of wagering upon any race track except in accordance with the provisions of this chapter. (2) There shall be no wagering on the results of any races except under the pari-mutuel or certificate method of wagering, as provided in this chapter, and then only by the installation and use of equipment approved by the commission. (3) In addition to the pari-mutuel or certificate system of wagering as authorized by this chapter, the commission is authorized and directed to establish and adopt rules permitting the conduct of pari-mutuel or certificate system of wagering upon racing, either horse or greyhound, shown live or in any other manner approved by the commission by television or otherwise to or from the premises of the franchise holder. (4) Any franchise holder using or permitting wagering or any person wagering under any other method at a licensed race track shall be guilty of a Class D felony for each such offense.

(1) (A) However, nothing contained in this section shall be construed to permit the pari-mutuel or certificate method of wagering upon any race track unless the track is licensed as provided by this chapter. (B) It is declared to be unlawful for any franchise holder to permit, conduct, or supervise any pari-mutuel or certificate method of wagering upon any race track except in accordance with the provisions of this chapter.

(A) However, nothing contained in this section shall be construed to permit the pari-mutuel or certificate method of wagering upon any race track unless the track is licensed as provided by this chapter.

(B) It is declared to be unlawful for any franchise holder to permit, conduct, or supervise any pari-mutuel or certificate method of wagering upon any race track except in accordance with the provisions of this chapter.

(2) There shall be no wagering on the results of any races except under the pari-mutuel or certificate method of wagering, as provided in this chapter, and then only by the installation and use of equipment approved by the commission.

(3) In addition to the pari-mutuel or certificate system of wagering as authorized by this chapter, the commission is authorized and directed to establish and adopt rules permitting the conduct of pari-mutuel or certificate system of wagering upon racing, either horse or greyhound, shown live or in any other manner approved by the commission by television or otherwise to or from the premises of the franchise holder.

(4) Any franchise holder using or permitting wagering or any person wagering under any other method at a licensed race track shall be guilty of a Class D felony for each such offense.

(e) (1) With the prior approval of the commission and pursuant to rules adopted by the commission, a franchise holder's patrons with money on deposit in an account with the franchise holder may place wagers by communication through telephone or other mobile device or through other electronic means on races conducted at the franchise holder's race track facility and horse races or greyhound races at other racetracks, whether or not the patron is located on the grounds of the franchise holder's race track facility when placing the wager. (2) Wagers accepted by the franchise holder under this subsection shall be treated for all purposes under this chapter as a wager made by the patron on the grounds of the franchise holder's race track facility.

(1) With the prior approval of the commission and pursuant to rules adopted by the commission, a franchise holder's patrons with money on deposit in an account with the franchise holder may place wagers by communication through telephone or other mobile device or through other electronic means on races conducted at the franchise holder's race track facility and horse races or greyhound races at other racetracks, whether or not the patron is located on the grounds of the franchise holder's race track facility when placing the wager.

(2) Wagers accepted by the franchise holder under this subsection shall be treated for all purposes under this chapter as a wager made by the patron on the grounds of the franchise holder's race track facility.

Amended by Act 2019, No. 315,§ 2822, eff. 7/24/2019.

Amended by Act 2013, No. 350,§ 7, eff. 3/14/2013.

Amended by Act 2013, No. 350,§ 6, eff. 3/14/2013.

Acts 1957, No. 191, § 18; A.S.A. 1947, § 84-2833; Acts 1987, No. 383, § 5; 1989, No. 238, § 3; 1999, No. 473, § 1; 2005, No. 1994, § 486.
Ark. Code Ann. § 23-38-404 — AR Code / Title 23 / Chapter 38 / Subchapter 4 / Section 23-38-404
[Repealed]
Status: repealed

Repealed by Act 2013, No. 1144,§ 4, eff. 8/16/2013. Acts 1929, No. 128, § 30; Pope's Dig., § 1007; A.S.A. 1947, § 67-867; Acts 2005, No. 1994, § 445.

Repealed by Act 2013, No. 1144,§ 4, eff. 8/16/2013.

Acts 1929, No. 128, § 30; Pope's Dig., § 1007; A.S.A. 1947, § 67-867; Acts 2005, No. 1994, § 445.
Ark. Code Ann. § 23-51-132 — AR Code / Title 23 / Chapter 51 / Section 23-51-132
Borrowing limit
Status: in_force

Except with the prior written approval of the Bank Commissioner, a state trust company may not have liabilities outstanding exceeding an amount equal to three times its capital base. Acts 1997, No. 940, § 32.

Except with the prior written approval of the Bank Commissioner, a state trust company may not have liabilities outstanding exceeding an amount equal to three times its capital base.

Acts 1997, No. 940, § 32.
Ark. Code Ann. § 23-72-120 — AR Code / Title 23 / Chapter 72 / Section 23-72-120
Venue and service of process
Status: in_force

(a) Any action by a policy or certificate holder or beneficiary against an insurer or against its bond or bondspersons on any claim arising or accruing under any of its policies or certificates may be brought in any county in this state where the plaintiff, or any plaintiff in the action, may reside. (b) If the action is against the insurer, service of summons or process may be made on the secretary or president or managing agent of the insurer. (c) If the action is against the bond or bondspersons of the insurer, service of summons or process may be made by ordinary service as in other cases upon the several bondspersons sued. (d) In the action it shall not be necessary to notify or summon other policyholders or beneficiaries. (e) In the action against a foreign corporation, service of summons or process may be made upon the corporation by service of summons or process upon the registered agent pursuant to §§ 23-63-301 - 23-63-304 or pursuant to methods specified in other laws or rules on and after January 1, 2003. Acts 1959, No. 148, § 575; A.S.A. 1947, § 66-4520; Acts 2001, No. 1604, § 72.

(a) Any action by a policy or certificate holder or beneficiary against an insurer or against its bond or bondspersons on any claim arising or accruing under any of its policies or certificates may be brought in any county in this state where the plaintiff, or any plaintiff in the action, may reside.

(b) If the action is against the insurer, service of summons or process may be made on the secretary or president or managing agent of the insurer.

(c) If the action is against the bond or bondspersons of the insurer, service of summons or process may be made by ordinary service as in other cases upon the several bondspersons sued.

(d) In the action it shall not be necessary to notify or summon other policyholders or beneficiaries.

(e) In the action against a foreign corporation, service of summons or process may be made upon the corporation by service of summons or process upon the registered agent pursuant to §§ 23-63-301 - 23-63-304 or pursuant to methods specified in other laws or rules on and after January 1, 2003.

Acts 1959, No. 148, § 575; A.S.A. 1947, § 66-4520; Acts 2001, No. 1604, § 72.
Ark. Code Ann. § 23-51-117 — AR Code / Title 23 / Chapter 51 / Section 23-51-117
Capital notes or debentures
Status: in_force

(a) With the prior written approval of the Bank Commissioner, any state trust company may, at any time, through action of its board, and without requiring action of its shareholders, issue and sell its capital notes or debentures, which must be subordinate to the claims of depositors and may be subordinate to other claims, including the claims of other creditors or classes of creditors or the shareholders. (b) Capital notes or debentures may be convertible into shares of any class or series. The issuance and sale of convertible capital notes or debentures are subject to satisfaction of preemptive rights, if any, to the extent provided by law. (c) Without the prior written approval of the commissioner, interest due or principal repayable on outstanding capital notes or debentures may not be paid by a state trust company when the state trust company is in hazardous condition or insolvent, as determined by the commissioner, or to the extent that payment will cause the state trust company to be in hazardous condition or insolvent. (d) The amount of any outstanding capital notes or debentures that meet the requirements of this section and are subordinated to unsecured creditors of the state trust company may be included in equity capital of the state trust company for purposes of determining hazardous condition or insolvency, and for such other purposes as may be provided by rules adopted under this chapter. Amended by Act 2019, No. 315,§ 2573, eff. 7/24/2019. Acts 1997, No. 940, § 17.

(a) With the prior written approval of the Bank Commissioner, any state trust company may, at any time, through action of its board, and without requiring action of its shareholders, issue and sell its capital notes or debentures, which must be subordinate to the claims of depositors and may be subordinate to other claims, including the claims of other creditors or classes of creditors or the shareholders.

(b) Capital notes or debentures may be convertible into shares of any class or series. The issuance and sale of convertible capital notes or debentures are subject to satisfaction of preemptive rights, if any, to the extent provided by law.

(c) Without the prior written approval of the commissioner, interest due or principal repayable on outstanding capital notes or debentures may not be paid by a state trust company when the state trust company is in hazardous condition or insolvent, as determined by the commissioner, or to the extent that payment will cause the state trust company to be in hazardous condition or insolvent.

(d) The amount of any outstanding capital notes or debentures that meet the requirements of this section and are subordinated to unsecured creditors of the state trust company may be included in equity capital of the state trust company for purposes of determining hazardous condition or insolvency, and for such other purposes as may be provided by rules adopted under this chapter.

Amended by Act 2019, No. 315,§ 2573, eff. 7/24/2019.

Acts 1997, No. 940, § 17.
Ark. Code Ann. § 23-63-206 — AR Code / Title 23 / Chapter 63 / Subchapter 2 / Section 23-63-206
Certificate of authority - Deposit of securities required
Status: in_force

(a) All insurers authorized to transact insurance in this state shall make and maintain a deposit of securities as follows: (1) (A) (i) All insurers authorized to transact only life or accident and health insurance, or both, shall deposit through the Insurance Commissioner and subject to the conditions specified in § 23-63-909 securities eligible for deposit under § 23-63-903 and having at all times a market value of not less than one hundred thousand dollars ($100,000), conditioned for the payment of policyholders and creditors of the insurer in this state and the prompt payment of all claims arising and accruing to any person in this state. (ii) (a) On and after January 1, 2002, the provisions of subdivision (a)(1)(A)(i) of this section shall apply only to domestic insurers licensed or hereafter licensed. (b) Foreign and alien insurers licensed or hereafter licensed shall be exempt upon filing evidence with the commissioner of a satisfactory deposit for continued licensure in the state of domicile, Canada, Mexico, or a port-of-entry state. (B) On and after January 1, 2002, licensed foreign and alien insurers may apply for release of an Arkansas deposit upon filing of evidence of a satisfactory deposit in the state or country of domicile; (2) (A) (i) Insurers applying for an original certificate of authority in Arkansas for kinds of insurance other than life, accident and health, surety, or any combination thereof, and insurers holding a valid certificate of authority who thereafter apply to transact any other or additional kinds of insurance, excluding life, accident and health, surety, or any combination thereof, shall deposit through the commissioner and subject to the conditions specified in § 23-63-909 securities eligible for deposit under § 23-63-903 and having at all times a market value of not less than one hundred thousand dollars ($100,000), conditioned for the payment of policyholders and creditors of the insurer in this state and the prompt payment of all claims arising and accruing to any person in this state. (ii) (a) On and after January 1, 2002, the provisions of subdivision (a)(2)(A)(i) of this section shall apply only to domestic insurers licensed or hereafter licensed. (b) Foreign and alien insurers licensed or hereafter licensed shall be exempt upon filing evidence with the commissioner of a satisfactory deposit for continued licensure in the state of domicile, Canada, Mexico, or a port-of-entry state. (B) On and after January 1, 2002, licensed foreign and alien insurers may apply for release of an Arkansas deposit upon filing of evidence of a satisfactory deposit in the state or country of domicile; (3) (A) An insurer authorized to transact solely surety insurance in this state shall deposit through the commissioner and subject to the conditions provided in § 23-63-909 securities eligible for deposit under § 23-63-903 and having at all times a market value of not less than one hundred thousand dollars ($100,000), conditioned for the payment of policyholders and creditors of the insurer in this state and prompt payment of policyholders and creditors of the insurer in this state and prompt payment of all claims arising and accruing to any obligee in this state. (B) All insurers authorized to transact the lines or classes of insurance under subdivision (a)(2) of this section or any combination thereof may also be authorized to transact surety insurance by depositing in accordance with this subsection additional securities with a market value of fifty thousand dollars ($50,000). (C) Any authorized surety insurer also licensed as a professional bail bond company shall make and maintain an additional deposit, as required in § 17-19-101 et seq., applicable to bail bond transactions. (D) (i) (a) On and after January 1, 2002, the provisions of this subdivision (a)(3) shall apply only to domestic insurers licensed or hereafter licensed. (b) Foreign and alien insurers licensed or hereafter licensed shall be exempt upon filing evidence with the commissioner of a satisfactory deposit for continued licensure in the state of domicile, Canada, Mexico, or a port-of-entry state. (ii) On and after January 1, 2002, licensed foreign and alien insurers may apply for release of an Arkansas deposit upon filing of evidence of a satisfactory deposit in the state or country of domicile. (b) All deposits made through the commissioner and held in this state shall be subject to the applicable provisions of § 23-63-901 et seq., which refer to the administration of deposits. (c) (1) The application of a foreign or alien insurer to obtain a release of deposited assets under this section shall demonstrate by special filing the adequacy and sufficiency of the deposit in the state of domicile, Canada, Mexico, or port-of-entry state for continued Arkansas licensure. (2) Applicants shall: (A) (i) Agree to maintain deposits at all times adequate to cover Arkansas deposit obligations. (ii) The deposits shall be certificate of authority lines of insurance in this state as reflected on the uniform certificate of authority application; and (B) File with the commissioner an updated certificate of deposit issued by the insurance regulator in the state of domicile, Canada, Mexico, or port-of-entry state. Acts 1959, No. 148, § 51; 1963, No. 153, § 1; 1983, No. 522, § 1; A.S.A. 1947, § 66-2209; Acts 1987, No. 456, § 5; 1987, No. 561, §§ 1, 2; 1989, No. 417, § 7; 1989, No. 444, §§ 21, 22; 1989, No. 772, § 24; 1999, No. 645, § 1; 2001, No. 1604, § 19; 2005, No. 506, § 16.

(a) All insurers authorized to transact insurance in this state shall make and maintain a deposit of securities as follows: (1) (A) (i) All insurers authorized to transact only life or accident and health insurance, or both, shall deposit through the Insurance Commissioner and subject to the conditions specified in § 23-63-909 securities eligible for deposit under § 23-63-903 and having at all times a market value of not less than one hundred thousand dollars ($100,000), conditioned for the payment of policyholders and creditors of the insurer in this state and the prompt payment of all claims arising and accruing to any person in this state. (ii) (a) On and after January 1, 2002, the provisions of subdivision (a)(1)(A)(i) of this section shall apply only to domestic insurers licensed or hereafter licensed. (b) Foreign and alien insurers licensed or hereafter licensed shall be exempt upon filing evidence with the commissioner of a satisfactory deposit for continued licensure in the state of domicile, Canada, Mexico, or a port-of-entry state. (B) On and after January 1, 2002, licensed foreign and alien insurers may apply for release of an Arkansas deposit upon filing of evidence of a satisfactory deposit in the state or country of domicile; (2) (A) (i) Insurers applying for an original certificate of authority in Arkansas for kinds of insurance other than life, accident and health, surety, or any combination thereof, and insurers holding a valid certificate of authority who thereafter apply to transact any other or additional kinds of insurance, excluding life, accident and health, surety, or any combination thereof, shall deposit through the commissioner and subject to the conditions specified in § 23-63-909 securities eligible for deposit under § 23-63-903 and having at all times a market value of not less than one hundred thousand dollars ($100,000), conditioned for the payment of policyholders and creditors of the insurer in this state and the prompt payment of all claims arising and accruing to any person in this state. (ii) (a) On and after January 1, 2002, the provisions of subdivision (a)(2)(A)(i) of this section shall apply only to domestic insurers licensed or hereafter licensed. (b) Foreign and alien insurers licensed or hereafter licensed shall be exempt upon filing evidence with the commissioner of a satisfactory deposit for continued licensure in the state of domicile, Canada, Mexico, or a port-of-entry state. (B) On and after January 1, 2002, licensed foreign and alien insurers may apply for release of an Arkansas deposit upon filing of evidence of a satisfactory deposit in the state or country of domicile; (3) (A) An insurer authorized to transact solely surety insurance in this state shall deposit through the commissioner and subject to the conditions provided in § 23-63-909 securities eligible for deposit under § 23-63-903 and having at all times a market value of not less than one hundred thousand dollars ($100,000), conditioned for the payment of policyholders and creditors of the insurer in this state and prompt payment of policyholders and creditors of the insurer in this state and prompt payment of all claims arising and accruing to any obligee in this state. (B) All insurers authorized to transact the lines or classes of insurance under subdivision (a)(2) of this section or any combination thereof may also be authorized to transact surety insurance by depositing in accordance with this subsection additional securities with a market value of fifty thousand dollars ($50,000). (C) Any authorized surety insurer also licensed as a professional bail bond company shall make and maintain an additional deposit, as required in § 17-19-101 et seq., applicable to bail bond transactions. (D) (i) (a) On and after January 1, 2002, the provisions of this subdivision (a)(3) shall apply only to domestic insurers licensed or hereafter licensed. (b) Foreign and alien insurers licensed or hereafter licensed shall be exempt upon filing evidence with the commissioner of a satisfactory deposit for continued licensure in the state of domicile, Canada, Mexico, or a port-of-entry state. (ii) On and after January 1, 2002, licensed foreign and alien insurers may apply for release of an Arkansas deposit upon filing of evidence of a satisfactory deposit in the state or country of domicile.

(1) (A) (i) All insurers authorized to transact only life or accident and health insurance, or both, shall deposit through the Insurance Commissioner and subject to the conditions specified in § 23-63-909 securities eligible for deposit under § 23-63-903 and having at all times a market value of not less than one hundred thousand dollars ($100,000), conditioned for the payment of policyholders and creditors of the insurer in this state and the prompt payment of all claims arising and accruing to any person in this state. (ii) (a) On and after January 1, 2002, the provisions of subdivision (a)(1)(A)(i) of this section shall apply only to domestic insurers licensed or hereafter licensed. (b) Foreign and alien insurers licensed or hereafter licensed shall be exempt upon filing evidence with the commissioner of a satisfactory deposit for continued licensure in the state of domicile, Canada, Mexico, or a port-of-entry state. (B) On and after January 1, 2002, licensed foreign and alien insurers may apply for release of an Arkansas deposit upon filing of evidence of a satisfactory deposit in the state or country of domicile;

(A) (i) All insurers authorized to transact only life or accident and health insurance, or both, shall deposit through the Insurance Commissioner and subject to the conditions specified in § 23-63-909 securities eligible for deposit under § 23-63-903 and having at all times a market value of not less than one hundred thousand dollars ($100,000), conditioned for the payment of policyholders and creditors of the insurer in this state and the prompt payment of all claims arising and accruing to any person in this state. (ii) (a) On and after January 1, 2002, the provisions of subdivision (a)(1)(A)(i) of this section shall apply only to domestic insurers licensed or hereafter licensed. (b) Foreign and alien insurers licensed or hereafter licensed shall be exempt upon filing evidence with the commissioner of a satisfactory deposit for continued licensure in the state of domicile, Canada, Mexico, or a port-of-entry state.

(i) All insurers authorized to transact only life or accident and health insurance, or both, shall deposit through the Insurance Commissioner and subject to the conditions specified in § 23-63-909 securities eligible for deposit under § 23-63-903 and having at all times a market value of not less than one hundred thousand dollars ($100,000), conditioned for the payment of policyholders and creditors of the insurer in this state and the prompt payment of all claims arising and accruing to any person in this state.

(ii) (a) On and after January 1, 2002, the provisions of subdivision (a)(1)(A)(i) of this section shall apply only to domestic insurers licensed or hereafter licensed. (b) Foreign and alien insurers licensed or hereafter licensed shall be exempt upon filing evidence with the commissioner of a satisfactory deposit for continued licensure in the state of domicile, Canada, Mexico, or a port-of-entry state.

(a) On and after January 1, 2002, the provisions of subdivision (a)(1)(A)(i) of this section shall apply only to domestic insurers licensed or hereafter licensed.

(b) Foreign and alien insurers licensed or hereafter licensed shall be exempt upon filing evidence with the commissioner of a satisfactory deposit for continued licensure in the state of domicile, Canada, Mexico, or a port-of-entry state.

(B) On and after January 1, 2002, licensed foreign and alien insurers may apply for release of an Arkansas deposit upon filing of evidence of a satisfactory deposit in the state or country of domicile;

(2) (A) (i) Insurers applying for an original certificate of authority in Arkansas for kinds of insurance other than life, accident and health, surety, or any combination thereof, and insurers holding a valid certificate of authority who thereafter apply to transact any other or additional kinds of insurance, excluding life, accident and health, surety, or any combination thereof, shall deposit through the commissioner and subject to the conditions specified in § 23-63-909 securities eligible for deposit under § 23-63-903 and having at all times a market value of not less than one hundred thousand dollars ($100,000), conditioned for the payment of policyholders and creditors of the insurer in this state and the prompt payment of all claims arising and accruing to any person in this state. (ii) (a) On and after January 1, 2002, the provisions of subdivision (a)(2)(A)(i) of this section shall apply only to domestic insurers licensed or hereafter licensed. (b) Foreign and alien insurers licensed or hereafter licensed shall be exempt upon filing evidence with the commissioner of a satisfactory deposit for continued licensure in the state of domicile, Canada, Mexico, or a port-of-entry state. (B) On and after January 1, 2002, licensed foreign and alien insurers may apply for release of an Arkansas deposit upon filing of evidence of a satisfactory deposit in the state or country of domicile;

(A) (i) Insurers applying for an original certificate of authority in Arkansas for kinds of insurance other than life, accident and health, surety, or any combination thereof, and insurers holding a valid certificate of authority who thereafter apply to transact any other or additional kinds of insurance, excluding life, accident and health, surety, or any combination thereof, shall deposit through the commissioner and subject to the conditions specified in § 23-63-909 securities eligible for deposit under § 23-63-903 and having at all times a market value of not less than one hundred thousand dollars ($100,000), conditioned for the payment of policyholders and creditors of the insurer in this state and the prompt payment of all claims arising and accruing to any person in this state. (ii) (a) On and after January 1, 2002, the provisions of subdivision (a)(2)(A)(i) of this section shall apply only to domestic insurers licensed or hereafter licensed. (b) Foreign and alien insurers licensed or hereafter licensed shall be exempt upon filing evidence with the commissioner of a satisfactory deposit for continued licensure in the state of domicile, Canada, Mexico, or a port-of-entry state.

(i) Insurers applying for an original certificate of authority in Arkansas for kinds of insurance other than life, accident and health, surety, or any combination thereof, and insurers holding a valid certificate of authority who thereafter apply to transact any other or additional kinds of insurance, excluding life, accident and health, surety, or any combination thereof, shall deposit through the commissioner and subject to the conditions specified in § 23-63-909 securities eligible for deposit under § 23-63-903 and having at all times a market value of not less than one hundred thousand dollars ($100,000), conditioned for the payment of policyholders and creditors of the insurer in this state and the prompt payment of all claims arising and accruing to any person in this state.

(ii) (a) On and after January 1, 2002, the provisions of subdivision (a)(2)(A)(i) of this section shall apply only to domestic insurers licensed or hereafter licensed. (b) Foreign and alien insurers licensed or hereafter licensed shall be exempt upon filing evidence with the commissioner of a satisfactory deposit for continued licensure in the state of domicile, Canada, Mexico, or a port-of-entry state.

(a) On and after January 1, 2002, the provisions of subdivision (a)(2)(A)(i) of this section shall apply only to domestic insurers licensed or hereafter licensed.

(b) Foreign and alien insurers licensed or hereafter licensed shall be exempt upon filing evidence with the commissioner of a satisfactory deposit for continued licensure in the state of domicile, Canada, Mexico, or a port-of-entry state.

(B) On and after January 1, 2002, licensed foreign and alien insurers may apply for release of an Arkansas deposit upon filing of evidence of a satisfactory deposit in the state or country of domicile;

(3) (A) An insurer authorized to transact solely surety insurance in this state shall deposit through the commissioner and subject to the conditions provided in § 23-63-909 securities eligible for deposit under § 23-63-903 and having at all times a market value of not less than one hundred thousand dollars ($100,000), conditioned for the payment of policyholders and creditors of the insurer in this state and prompt payment of policyholders and creditors of the insurer in this state and prompt payment of all claims arising and accruing to any obligee in this state. (B) All insurers authorized to transact the lines or classes of insurance under subdivision (a)(2) of this section or any combination thereof may also be authorized to transact surety insurance by depositing in accordance with this subsection additional securities with a market value of fifty thousand dollars ($50,000). (C) Any authorized surety insurer also licensed as a professional bail bond company shall make and maintain an additional deposit, as required in § 17-19-101 et seq., applicable to bail bond transactions. (D) (i) (a) On and after January 1, 2002, the provisions of this subdivision (a)(3) shall apply only to domestic insurers licensed or hereafter licensed. (b) Foreign and alien insurers licensed or hereafter licensed shall be exempt upon filing evidence with the commissioner of a satisfactory deposit for continued licensure in the state of domicile, Canada, Mexico, or a port-of-entry state. (ii) On and after January 1, 2002, licensed foreign and alien insurers may apply for release of an Arkansas deposit upon filing of evidence of a satisfactory deposit in the state or country of domicile.

(A) An insurer authorized to transact solely surety insurance in this state shall deposit through the commissioner and subject to the conditions provided in § 23-63-909 securities eligible for deposit under § 23-63-903 and having at all times a market value of not less than one hundred thousand dollars ($100,000), conditioned for the payment of policyholders and creditors of the insurer in this state and prompt payment of policyholders and creditors of the insurer in this state and prompt payment of all claims arising and accruing to any obligee in this state.

(B) All insurers authorized to transact the lines or classes of insurance under subdivision (a)(2) of this section or any combination thereof may also be authorized to transact surety insurance by depositing in accordance with this subsection additional securities with a market value of fifty thousand dollars ($50,000).

(C) Any authorized surety insurer also licensed as a professional bail bond company shall make and maintain an additional deposit, as required in § 17-19-101 et seq., applicable to bail bond transactions.

(D) (i) (a) On and after January 1, 2002, the provisions of this subdivision (a)(3) shall apply only to domestic insurers licensed or hereafter licensed. (b) Foreign and alien insurers licensed or hereafter licensed shall be exempt upon filing evidence with the commissioner of a satisfactory deposit for continued licensure in the state of domicile, Canada, Mexico, or a port-of-entry state. (ii) On and after January 1, 2002, licensed foreign and alien insurers may apply for release of an Arkansas deposit upon filing of evidence of a satisfactory deposit in the state or country of domicile.

(i) (a) On and after January 1, 2002, the provisions of this subdivision (a)(3) shall apply only to domestic insurers licensed or hereafter licensed. (b) Foreign and alien insurers licensed or hereafter licensed shall be exempt upon filing evidence with the commissioner of a satisfactory deposit for continued licensure in the state of domicile, Canada, Mexico, or a port-of-entry state.

(a) On and after January 1, 2002, the provisions of this subdivision (a)(3) shall apply only to domestic insurers licensed or hereafter licensed.

(b) Foreign and alien insurers licensed or hereafter licensed shall be exempt upon filing evidence with the commissioner of a satisfactory deposit for continued licensure in the state of domicile, Canada, Mexico, or a port-of-entry state.

(ii) On and after January 1, 2002, licensed foreign and alien insurers may apply for release of an Arkansas deposit upon filing of evidence of a satisfactory deposit in the state or country of domicile.

(b) All deposits made through the commissioner and held in this state shall be subject to the applicable provisions of § 23-63-901 et seq., which refer to the administration of deposits.

(c) (1) The application of a foreign or alien insurer to obtain a release of deposited assets under this section shall demonstrate by special filing the adequacy and sufficiency of the deposit in the state of domicile, Canada, Mexico, or port-of-entry state for continued Arkansas licensure. (2) Applicants shall: (A) (i) Agree to maintain deposits at all times adequate to cover Arkansas deposit obligations. (ii) The deposits shall be certificate of authority lines of insurance in this state as reflected on the uniform certificate of authority application; and (B) File with the commissioner an updated certificate of deposit issued by the insurance regulator in the state of domicile, Canada, Mexico, or port-of-entry state.

(1) The application of a foreign or alien insurer to obtain a release of deposited assets under this section shall demonstrate by special filing the adequacy and sufficiency of the deposit in the state of domicile, Canada, Mexico, or port-of-entry state for continued Arkansas licensure.

(2) Applicants shall: (A) (i) Agree to maintain deposits at all times adequate to cover Arkansas deposit obligations. (ii) The deposits shall be certificate of authority lines of insurance in this state as reflected on the uniform certificate of authority application; and (B) File with the commissioner an updated certificate of deposit issued by the insurance regulator in the state of domicile, Canada, Mexico, or port-of-entry state.

(A) (i) Agree to maintain deposits at all times adequate to cover Arkansas deposit obligations. (ii) The deposits shall be certificate of authority lines of insurance in this state as reflected on the uniform certificate of authority application; and

(i) Agree to maintain deposits at all times adequate to cover Arkansas deposit obligations.

(ii) The deposits shall be certificate of authority lines of insurance in this state as reflected on the uniform certificate of authority application; and

(B) File with the commissioner an updated certificate of deposit issued by the insurance regulator in the state of domicile, Canada, Mexico, or port-of-entry state.

Acts 1959, No. 148, § 51; 1963, No. 153, § 1; 1983, No. 522, § 1; A.S.A. 1947, § 66-2209; Acts 1987, No. 456, § 5; 1987, No. 561, §§ 1, 2; 1989, No. 417, § 7; 1989, No. 444, §§ 21, 22; 1989, No. 772, § 24; 1999, No. 645, § 1; 2001, No. 1604, § 19; 2005, No. 506, § 16.
Ark. Code Ann. § 23-88-205 — AR Code / Title 23 / Chapter 88 / Subchapter 2 / Section 23-88-205
Promulgation of form by Insurance Commissioner
Status: in_force

(a) In promulgating the antiarson application form, the Insurance Commissioner shall consider generally recognized two-tier application forms. If the initial first-tier application elicits certain predesignated answers, then the administration of a second-tier supplementary application shall be mandatory. (b) The two-tier application shall secure the disclosure of information, including, but not limited to: (1) The name and address of the applicant and any mortgagees and any other parties who have an ownership interest in the property; (2) The amount of insurance requested and the method of valuation used to establish the amount of insurance; (3) The dates and selling prices of the property in all real estate transactions involving the property during the last three (3) years; (4) The applicant's loss history over the last five (5) years with regard to any property in which he or she held an equity interest or a mortgage and when any loss exceeded one thousand dollars ($1,000) in damages; (5) All taxes unpaid or overdue for one (1) or more years and any mortgage payments overdue by three (3) months or more; (6) All current violations of fire, safety, health, building, or construction codes on the property to be insured; and (7) The present occupancy of the structure. Acts 1983, No. 359, § 2; A.S.A. 1947, § 66-5607.

(a) In promulgating the antiarson application form, the Insurance Commissioner shall consider generally recognized two-tier application forms. If the initial first-tier application elicits certain predesignated answers, then the administration of a second-tier supplementary application shall be mandatory.

(b) The two-tier application shall secure the disclosure of information, including, but not limited to: (1) The name and address of the applicant and any mortgagees and any other parties who have an ownership interest in the property; (2) The amount of insurance requested and the method of valuation used to establish the amount of insurance; (3) The dates and selling prices of the property in all real estate transactions involving the property during the last three (3) years; (4) The applicant's loss history over the last five (5) years with regard to any property in which he or she held an equity interest or a mortgage and when any loss exceeded one thousand dollars ($1,000) in damages; (5) All taxes unpaid or overdue for one (1) or more years and any mortgage payments overdue by three (3) months or more; (6) All current violations of fire, safety, health, building, or construction codes on the property to be insured; and (7) The present occupancy of the structure.

(1) The name and address of the applicant and any mortgagees and any other parties who have an ownership interest in the property;

(2) The amount of insurance requested and the method of valuation used to establish the amount of insurance;

(3) The dates and selling prices of the property in all real estate transactions involving the property during the last three (3) years;

(4) The applicant's loss history over the last five (5) years with regard to any property in which he or she held an equity interest or a mortgage and when any loss exceeded one thousand dollars ($1,000) in damages;

(5) All taxes unpaid or overdue for one (1) or more years and any mortgage payments overdue by three (3) months or more;

(6) All current violations of fire, safety, health, building, or construction codes on the property to be insured; and

(7) The present occupancy of the structure.

Acts 1983, No. 359, § 2; A.S.A. 1947, § 66-5607.
Ark. Code Ann. § 23-79-153 — AR Code / Title 23 / Chapter 79 / Subchapter 1 / Section 23-79-153
Health insurance - Closing a block of business
Status: in_force

(a) As used in this section: (1) "Block of business" means a particular policy form or contract other than a group policy form or contract providing health insurance coverage that includes distinct benefits, services, and terms individually underwritten and issued by a carrier to one (1) or more individuals residing in the State of Arkansas; (2) "Carrier" means an entity subject to the insurance laws of the State of Arkansas or the jurisdiction of the Insurance Commissioner that contracts or offers to contract to provide health insurance coverage, including, but not limited to, an insurance company, a health maintenance organization, or a hospital medical service corporation; (3) "Closed block of business" means a block of business that a carrier ceases to actively offer or sell to new applicants; and (4) (A) "Health insurance coverage" means benefits consisting of medical, pharmaceutical, surgical, hospitalization, or similar goods or services for the purpose of preventing, alleviating, curing, or healing human illness provided directly or indirectly through insurance, reimbursement, or otherwise, including: (i) Items and services paid under any policy or contract individually underwritten and issued by a carrier; and (ii) Without limitation, the following classifications of individual policies or individual contracts offered by a carrier: (a) Comprehensive major medical; (b) Critical illness and specified disease; (c) Dental; (d) HMO and managed care; (e) Industrial health; (f) Medical and surgical outpatient benefits; (g) Supplemental hospital indemnity; and (h) Vision. (B) "Health insurance coverage" does not include policies or contracts covering only: (i) Accident, credit, disability income, or long-term care insurance; (ii) Automobile medical payment insurance; (iii) A Medicare supplemental policy as defined in 42 U.S.C. § 1395ss(g)(1) , as it existed on January 1, 2005; or (iv) Claims under the Workers' Compensation Law, § 11-9-101 et seq., or the Public Employee Workers' Compensation Act, § 21-5-601 et seq. (b) (1) A block of business shall not be closed by a carrier unless the carrier pools the experience of the closed block of business with all blocks of business within the same classification previously closed by the carrier for the purpose of determining the percentage premium rate increase of any policy or contract within the closed block of business. (2) The carrier shall not impose a rate penalty or surcharge under subdivision (b)(1) of this section beyond that which reflects the experience of the combined pool. (c) The commissioner may approve other rate increases based upon: (1) The size of the rate action; (2) The experience of policy forms within a pool; (3) The remaining amount of health insurance coverage in force by policy or contract form; and (4) Other factors the commissioner considers appropriate. (d) (1) Unless an insurer presents evidence satisfactory to the commissioner to the contrary, a block of business shall be presumed to be closed if the block of business has been in existence for more than twenty-four (24) months and: (A) For a period of twenty-four (24) months, the number of contracts for the block of business has decreased by twelve percent (12%) or more; or (B) The block of business has fewer than one hundred (100) policies or contracts in the State of Arkansas. (2) (A) The fact that a block of business does not meet one (1) of the presumptions set forth in this subsection shall not preclude a different determination by the commissioner. (B) At the request of an insurer adversely affected by the commissioner's determination, the commissioner shall schedule a hearing within thirty (30) days after receipt of the request for a hearing. (3) (A) The closed block of business for a class of policies or contracts shall be determined at the time of a rate filing of any block of business within the class. (B) In addition, other blocks of business within the same class shall be reviewed before submitting a proposed rate increase for the block of business. (C) A justification for excluding the block of business from the closed block of business shall be included as part of the proposed rate increase. (e) (1) A carrier shall notify the commissioner in writing within thirty (30) days of its decision to close a block of business. (2) The carrier shall provide any additional information requested by the commissioner within: (A) Fifteen (15) business days of the request; or (B) A later time if allowed by the commissioner. (f) A carrier shall preserve for a period of not less than five (5) years in an identified location that is readily accessible for review by the commissioner all books and records relating to any action taken by the carrier under subsection (b) of this section. (g) A carrier with the purpose of evading this section shall not: (1) Offer or sell any policy or contract; or (2) Provide false or misleading information about the active or closed status of a block of business. Acts 2005, No. 2293, § 1; 2007, No. 827, §§ 185, 186; 2009, No. 537, § 1.

(a) As used in this section: (1) "Block of business" means a particular policy form or contract other than a group policy form or contract providing health insurance coverage that includes distinct benefits, services, and terms individually underwritten and issued by a carrier to one (1) or more individuals residing in the State of Arkansas; (2) "Carrier" means an entity subject to the insurance laws of the State of Arkansas or the jurisdiction of the Insurance Commissioner that contracts or offers to contract to provide health insurance coverage, including, but not limited to, an insurance company, a health maintenance organization, or a hospital medical service corporation; (3) "Closed block of business" means a block of business that a carrier ceases to actively offer or sell to new applicants; and (4) (A) "Health insurance coverage" means benefits consisting of medical, pharmaceutical, surgical, hospitalization, or similar goods or services for the purpose of preventing, alleviating, curing, or healing human illness provided directly or indirectly through insurance, reimbursement, or otherwise, including: (i) Items and services paid under any policy or contract individually underwritten and issued by a carrier; and (ii) Without limitation, the following classifications of individual policies or individual contracts offered by a carrier: (a) Comprehensive major medical; (b) Critical illness and specified disease; (c) Dental; (d) HMO and managed care; (e) Industrial health; (f) Medical and surgical outpatient benefits; (g) Supplemental hospital indemnity; and (h) Vision. (B) "Health insurance coverage" does not include policies or contracts covering only: (i) Accident, credit, disability income, or long-term care insurance; (ii) Automobile medical payment insurance; (iii) A Medicare supplemental policy as defined in 42 U.S.C. § 1395ss(g)(1) , as it existed on January 1, 2005; or (iv) Claims under the Workers' Compensation Law, § 11-9-101 et seq., or the Public Employee Workers' Compensation Act, § 21-5-601 et seq.

(1) "Block of business" means a particular policy form or contract other than a group policy form or contract providing health insurance coverage that includes distinct benefits, services, and terms individually underwritten and issued by a carrier to one (1) or more individuals residing in the State of Arkansas;

(2) "Carrier" means an entity subject to the insurance laws of the State of Arkansas or the jurisdiction of the Insurance Commissioner that contracts or offers to contract to provide health insurance coverage, including, but not limited to, an insurance company, a health maintenance organization, or a hospital medical service corporation;

(3) "Closed block of business" means a block of business that a carrier ceases to actively offer or sell to new applicants; and

(4) (A) "Health insurance coverage" means benefits consisting of medical, pharmaceutical, surgical, hospitalization, or similar goods or services for the purpose of preventing, alleviating, curing, or healing human illness provided directly or indirectly through insurance, reimbursement, or otherwise, including: (i) Items and services paid under any policy or contract individually underwritten and issued by a carrier; and (ii) Without limitation, the following classifications of individual policies or individual contracts offered by a carrier: (a) Comprehensive major medical; (b) Critical illness and specified disease; (c) Dental; (d) HMO and managed care; (e) Industrial health; (f) Medical and surgical outpatient benefits; (g) Supplemental hospital indemnity; and (h) Vision. (B) "Health insurance coverage" does not include policies or contracts covering only: (i) Accident, credit, disability income, or long-term care insurance; (ii) Automobile medical payment insurance; (iii) A Medicare supplemental policy as defined in 42 U.S.C. § 1395ss(g)(1) , as it existed on January 1, 2005; or (iv) Claims under the Workers' Compensation Law, § 11-9-101 et seq., or the Public Employee Workers' Compensation Act, § 21-5-601 et seq.

(A) "Health insurance coverage" means benefits consisting of medical, pharmaceutical, surgical, hospitalization, or similar goods or services for the purpose of preventing, alleviating, curing, or healing human illness provided directly or indirectly through insurance, reimbursement, or otherwise, including: (i) Items and services paid under any policy or contract individually underwritten and issued by a carrier; and (ii) Without limitation, the following classifications of individual policies or individual contracts offered by a carrier: (a) Comprehensive major medical; (b) Critical illness and specified disease; (c) Dental; (d) HMO and managed care; (e) Industrial health; (f) Medical and surgical outpatient benefits; (g) Supplemental hospital indemnity; and (h) Vision.

(i) Items and services paid under any policy or contract individually underwritten and issued by a carrier; and

(ii) Without limitation, the following classifications of individual policies or individual contracts offered by a carrier: (a) Comprehensive major medical; (b) Critical illness and specified disease; (c) Dental; (d) HMO and managed care; (e) Industrial health; (f) Medical and surgical outpatient benefits; (g) Supplemental hospital indemnity; and (h) Vision.

(a) Comprehensive major medical;

(b) Critical illness and specified disease;

(c) Dental;

(d) HMO and managed care;

(e) Industrial health;

(f) Medical and surgical outpatient benefits;

(g) Supplemental hospital indemnity; and

(h) Vision.

(B) "Health insurance coverage" does not include policies or contracts covering only: (i) Accident, credit, disability income, or long-term care insurance; (ii) Automobile medical payment insurance; (iii) A Medicare supplemental policy as defined in 42 U.S.C. § 1395ss(g)(1) , as it existed on January 1, 2005; or (iv) Claims under the Workers' Compensation Law, § 11-9-101 et seq., or the Public Employee Workers' Compensation Act, § 21-5-601 et seq.

(i) Accident, credit, disability income, or long-term care insurance;

(ii) Automobile medical payment insurance;

(iii) A Medicare supplemental policy as defined in 42 U.S.C. § 1395ss(g)(1) , as it existed on January 1, 2005; or

(iv) Claims under the Workers' Compensation Law, § 11-9-101 et seq., or the Public Employee Workers' Compensation Act, § 21-5-601 et seq.

(b) (1) A block of business shall not be closed by a carrier unless the carrier pools the experience of the closed block of business with all blocks of business within the same classification previously closed by the carrier for the purpose of determining the percentage premium rate increase of any policy or contract within the closed block of business. (2) The carrier shall not impose a rate penalty or surcharge under subdivision (b)(1) of this section beyond that which reflects the experience of the combined pool.

(1) A block of business shall not be closed by a carrier unless the carrier pools the experience of the closed block of business with all blocks of business within the same classification previously closed by the carrier for the purpose of determining the percentage premium rate increase of any policy or contract within the closed block of business.

(2) The carrier shall not impose a rate penalty or surcharge under subdivision (b)(1) of this section beyond that which reflects the experience of the combined pool.

(c) The commissioner may approve other rate increases based upon: (1) The size of the rate action; (2) The experience of policy forms within a pool; (3) The remaining amount of health insurance coverage in force by policy or contract form; and (4) Other factors the commissioner considers appropriate.

(1) The size of the rate action;

(2) The experience of policy forms within a pool;

(3) The remaining amount of health insurance coverage in force by policy or contract form; and

(4) Other factors the commissioner considers appropriate.

(d) (1) Unless an insurer presents evidence satisfactory to the commissioner to the contrary, a block of business shall be presumed to be closed if the block of business has been in existence for more than twenty-four (24) months and: (A) For a period of twenty-four (24) months, the number of contracts for the block of business has decreased by twelve percent (12%) or more; or (B) The block of business has fewer than one hundred (100) policies or contracts in the State of Arkansas. (2) (A) The fact that a block of business does not meet one (1) of the presumptions set forth in this subsection shall not preclude a different determination by the commissioner. (B) At the request of an insurer adversely affected by the commissioner's determination, the commissioner shall schedule a hearing within thirty (30) days after receipt of the request for a hearing. (3) (A) The closed block of business for a class of policies or contracts shall be determined at the time of a rate filing of any block of business within the class. (B) In addition, other blocks of business within the same class shall be reviewed before submitting a proposed rate increase for the block of business. (C) A justification for excluding the block of business from the closed block of business shall be included as part of the proposed rate increase.

(1) Unless an insurer presents evidence satisfactory to the commissioner to the contrary, a block of business shall be presumed to be closed if the block of business has been in existence for more than twenty-four (24) months and: (A) For a period of twenty-four (24) months, the number of contracts for the block of business has decreased by twelve percent (12%) or more; or (B) The block of business has fewer than one hundred (100) policies or contracts in the State of Arkansas.

(A) For a period of twenty-four (24) months, the number of contracts for the block of business has decreased by twelve percent (12%) or more; or

(B) The block of business has fewer than one hundred (100) policies or contracts in the State of Arkansas.

(2) (A) The fact that a block of business does not meet one (1) of the presumptions set forth in this subsection shall not preclude a different determination by the commissioner. (B) At the request of an insurer adversely affected by the commissioner's determination, the commissioner shall schedule a hearing within thirty (30) days after receipt of the request for a hearing.

(A) The fact that a block of business does not meet one (1) of the presumptions set forth in this subsection shall not preclude a different determination by the commissioner.

(B) At the request of an insurer adversely affected by the commissioner's determination, the commissioner shall schedule a hearing within thirty (30) days after receipt of the request for a hearing.

(3) (A) The closed block of business for a class of policies or contracts shall be determined at the time of a rate filing of any block of business within the class. (B) In addition, other blocks of business within the same class shall be reviewed before submitting a proposed rate increase for the block of business. (C) A justification for excluding the block of business from the closed block of business shall be included as part of the proposed rate increase.

(A) The closed block of business for a class of policies or contracts shall be determined at the time of a rate filing of any block of business within the class.

(B) In addition, other blocks of business within the same class shall be reviewed before submitting a proposed rate increase for the block of business.

(C) A justification for excluding the block of business from the closed block of business shall be included as part of the proposed rate increase.

(e) (1) A carrier shall notify the commissioner in writing within thirty (30) days of its decision to close a block of business. (2) The carrier shall provide any additional information requested by the commissioner within: (A) Fifteen (15) business days of the request; or (B) A later time if allowed by the commissioner.

(1) A carrier shall notify the commissioner in writing within thirty (30) days of its decision to close a block of business.

(2) The carrier shall provide any additional information requested by the commissioner within: (A) Fifteen (15) business days of the request; or (B) A later time if allowed by the commissioner.

(A) Fifteen (15) business days of the request; or

(B) A later time if allowed by the commissioner.

(f) A carrier shall preserve for a period of not less than five (5) years in an identified location that is readily accessible for review by the commissioner all books and records relating to any action taken by the carrier under subsection (b) of this section.

(g) A carrier with the purpose of evading this section shall not: (1) Offer or sell any policy or contract; or (2) Provide false or misleading information about the active or closed status of a block of business.

(1) Offer or sell any policy or contract; or

(2) Provide false or misleading information about the active or closed status of a block of business.

Acts 2005, No. 2293, § 1; 2007, No. 827, §§ 185, 186; 2009, No. 537, § 1.
Ark. Code Ann. § 23-60-112 — AR Code / Title 23 / Chapter 60 / Section 23-60-112
American Law Institute - Restatement not public policy
Status: in_force

A statement of the law in the American Law Institute's Restatement of the Law, Liability Insurance does not constitute the public policy of this state if the statement of the law is inconsistent or in conflict with, or otherwise not addressed by: (1) A statute of the State of Arkansas; (2) The common law and statute law of England as adopted in Arkansas under § 1-2-119 ; or (3) Arkansas case law precedent. Added by Act 2019, No. 742,§ 1, eff. 7/24/2019.

A statement of the law in the American Law Institute's Restatement of the Law, Liability Insurance does not constitute the public policy of this state if the statement of the law is inconsistent or in conflict with, or otherwise not addressed by:

(1) A statute of the State of Arkansas;

(2) The common law and statute law of England as adopted in Arkansas under § 1-2-119 ; or

(3) Arkansas case law precedent.

Added by Act 2019, No. 742,§ 1, eff. 7/24/2019.
Ark. Code Ann. § 23-63-202 — AR Code / Title 23 / Chapter 63 / Subchapter 2 / Section 23-63-202
Certificate of authority - Eligibility generally
Status: in_force

To qualify for and hold authority to transact insurance in this state, an insurer must be otherwise in compliance with the Arkansas Insurance Code and with its charter powers and must be an incorporated stock insurer, an incorporated mutual insurer, or a reciprocal insurer, all of the same general type as may be formed as a domestic insurer under the Arkansas Insurance Code, except that: (1) No foreign insurer shall be authorized to transact insurance in Arkansas which: (A) Unless waived by the Insurance Commissioner, has not furnished the commissioner with evidence that it has been organized and actively engaged in the insurance business in the state of its incorporation for a period of three (3) years prior to the date of its application to be admitted and authorized to do business in the State of Arkansas. However, this subdivision (1)(A) shall not apply to a foreign insurance company which is: (i) The wholly owned subsidiary of an insurance company admitted and authorized to do business in the State of Arkansas; or (ii) The continuing corporation resulting from a merger or consolidation of insurance companies, at least one (1) of which has been organized and actively engaged in the insurance business in the state of its organization for at least three (3) years prior to the date of the application of the corporation to be admitted and authorized to do business in the State of Arkansas; and (B) Does not maintain reserves as required by § 23-63-601 et seq., which: (i) Refers to assets and liabilities applicable to the kinds of insurance transacted by the insurer wherever transacted in the United States; (ii) If a mutual life insurer, issues policies under which the policyholder is subject to contingent liability or assessment; or (iii) Transacts insurance on the assessment premium plan, stipulated premium plan, cooperative plan, or any similar plan, except that the commissioner may renew the certificate of authority of any foreign insurer lawfully transacting insurance in Arkansas on any plan under its certificate of authority immediately prior to January 1, 1960, so long as the insurer is otherwise in compliance with the applicable provisions of the Arkansas Insurance Code. (2) No certificate of authority or license to transact any kind of insurance business shall be issued, renewed, or continued in effect to any insurer which is owned or controlled, in whole or in substantial part, by any state of the United States, or by a foreign government, or by any political subdivision, instrumentality, or agency of either, unless the insurer was so owned, controlled, or constituted and was authorized to transact insurance in this state, prior to March 3, 1959. (3) Foreign Lloyd's plan insurers may be authorized to transact insurance in this state as provided in § 23-63-208 . Acts 1959, No. 148, § 46; 1967, No. 432, § 1; A.S.A. 1947, § 66-2204; Acts 2001, No. 1566, § 1; 2007, No. 429, § 1.

To qualify for and hold authority to transact insurance in this state, an insurer must be otherwise in compliance with the Arkansas Insurance Code and with its charter powers and must be an incorporated stock insurer, an incorporated mutual insurer, or a reciprocal insurer, all of the same general type as may be formed as a domestic insurer under the Arkansas Insurance Code, except that:

(1) No foreign insurer shall be authorized to transact insurance in Arkansas which: (A) Unless waived by the Insurance Commissioner, has not furnished the commissioner with evidence that it has been organized and actively engaged in the insurance business in the state of its incorporation for a period of three (3) years prior to the date of its application to be admitted and authorized to do business in the State of Arkansas. However, this subdivision (1)(A) shall not apply to a foreign insurance company which is: (i) The wholly owned subsidiary of an insurance company admitted and authorized to do business in the State of Arkansas; or (ii) The continuing corporation resulting from a merger or consolidation of insurance companies, at least one (1) of which has been organized and actively engaged in the insurance business in the state of its organization for at least three (3) years prior to the date of the application of the corporation to be admitted and authorized to do business in the State of Arkansas; and (B) Does not maintain reserves as required by § 23-63-601 et seq., which: (i) Refers to assets and liabilities applicable to the kinds of insurance transacted by the insurer wherever transacted in the United States; (ii) If a mutual life insurer, issues policies under which the policyholder is subject to contingent liability or assessment; or (iii) Transacts insurance on the assessment premium plan, stipulated premium plan, cooperative plan, or any similar plan, except that the commissioner may renew the certificate of authority of any foreign insurer lawfully transacting insurance in Arkansas on any plan under its certificate of authority immediately prior to January 1, 1960, so long as the insurer is otherwise in compliance with the applicable provisions of the Arkansas Insurance Code.

(A) Unless waived by the Insurance Commissioner, has not furnished the commissioner with evidence that it has been organized and actively engaged in the insurance business in the state of its incorporation for a period of three (3) years prior to the date of its application to be admitted and authorized to do business in the State of Arkansas. However, this subdivision (1)(A) shall not apply to a foreign insurance company which is: (i) The wholly owned subsidiary of an insurance company admitted and authorized to do business in the State of Arkansas; or (ii) The continuing corporation resulting from a merger or consolidation of insurance companies, at least one (1) of which has been organized and actively engaged in the insurance business in the state of its organization for at least three (3) years prior to the date of the application of the corporation to be admitted and authorized to do business in the State of Arkansas; and

(i) The wholly owned subsidiary of an insurance company admitted and authorized to do business in the State of Arkansas; or

(ii) The continuing corporation resulting from a merger or consolidation of insurance companies, at least one (1) of which has been organized and actively engaged in the insurance business in the state of its organization for at least three (3) years prior to the date of the application of the corporation to be admitted and authorized to do business in the State of Arkansas; and

(B) Does not maintain reserves as required by § 23-63-601 et seq., which: (i) Refers to assets and liabilities applicable to the kinds of insurance transacted by the insurer wherever transacted in the United States; (ii) If a mutual life insurer, issues policies under which the policyholder is subject to contingent liability or assessment; or (iii) Transacts insurance on the assessment premium plan, stipulated premium plan, cooperative plan, or any similar plan, except that the commissioner may renew the certificate of authority of any foreign insurer lawfully transacting insurance in Arkansas on any plan under its certificate of authority immediately prior to January 1, 1960, so long as the insurer is otherwise in compliance with the applicable provisions of the Arkansas Insurance Code.

(i) Refers to assets and liabilities applicable to the kinds of insurance transacted by the insurer wherever transacted in the United States;

(ii) If a mutual life insurer, issues policies under which the policyholder is subject to contingent liability or assessment; or

(iii) Transacts insurance on the assessment premium plan, stipulated premium plan, cooperative plan, or any similar plan, except that the commissioner may renew the certificate of authority of any foreign insurer lawfully transacting insurance in Arkansas on any plan under its certificate of authority immediately prior to January 1, 1960, so long as the insurer is otherwise in compliance with the applicable provisions of the Arkansas Insurance Code.

(2) No certificate of authority or license to transact any kind of insurance business shall be issued, renewed, or continued in effect to any insurer which is owned or controlled, in whole or in substantial part, by any state of the United States, or by a foreign government, or by any political subdivision, instrumentality, or agency of either, unless the insurer was so owned, controlled, or constituted and was authorized to transact insurance in this state, prior to March 3, 1959.

(3) Foreign Lloyd's plan insurers may be authorized to transact insurance in this state as provided in § 23-63-208 .

Acts 1959, No. 148, § 46; 1967, No. 432, § 1; A.S.A. 1947, § 66-2204; Acts 2001, No. 1566, § 1; 2007, No. 429, § 1.
Ark. Code Ann. § 23-11-102 — AR Code / Title 23 / Chapter 11 / Subchapter 1 / Section 23-11-102
Fees of domestic companies
Status: in_force

(a) All railroad, street, interurban, or other transportation companies organized under the laws of this state shall pay the following incorporation fees: (1) On all lines not exceeding twenty-five (25) miles in length, one hundred dollars ($100); and (2) On lines exceeding twenty-five (25) miles in length, four dollars ($4.00) per mile for every additional mile the company proposes to construct or operate, and the company shall pay four dollars ($4.00) per mile for any increase by reason of construction. (b) Every express company, sleeping car company, and private car company organized under the laws of this state shall pay to the Treasurer of State incorporation fees of one dollar ($1.00) per mile for every mile of railroad over which such a corporation proposes to do business in Arkansas. Acts 1911, No. 87, §§ 6, 8; C. & M. Dig., §§ 1807, 1809; A.S.A. 1947, §§ 73-302, 73-303.

(a) All railroad, street, interurban, or other transportation companies organized under the laws of this state shall pay the following incorporation fees: (1) On all lines not exceeding twenty-five (25) miles in length, one hundred dollars ($100); and (2) On lines exceeding twenty-five (25) miles in length, four dollars ($4.00) per mile for every additional mile the company proposes to construct or operate, and the company shall pay four dollars ($4.00) per mile for any increase by reason of construction.

(1) On all lines not exceeding twenty-five (25) miles in length, one hundred dollars ($100); and

(2) On lines exceeding twenty-five (25) miles in length, four dollars ($4.00) per mile for every additional mile the company proposes to construct or operate, and the company shall pay four dollars ($4.00) per mile for any increase by reason of construction.

(b) Every express company, sleeping car company, and private car company organized under the laws of this state shall pay to the Treasurer of State incorporation fees of one dollar ($1.00) per mile for every mile of railroad over which such a corporation proposes to do business in Arkansas.

Acts 1911, No. 87, §§ 6, 8; C. & M. Dig., §§ 1807, 1809; A.S.A. 1947, §§ 73-302, 73-303.
Ark. Code Ann. § 23-69-304 — AR Code / Title 23 / Chapter 69 / Subchapter 3 / Section 23-69-304
Formation of mutual insurance holding company
Status: in_force

(a) A domestic mutual insurer, upon approval of the Insurance Commissioner, may reorganize by: (1) Forming a mutual insurance holding company; (2) Merging its policyholders' membership interests into the mutual insurance holding company; and (3) Continuing the mutual insurer's corporate existence as a stock insurer subsidiary of the mutual insurance holding company. (b) A domestic mutual insurer, upon the approval of the commissioner, may reorganize by merging its policyholders' membership interests into an existing mutual insurance holding company formed under subdivision (a)(1) of this section and by continuing the mutual insurer's corporate existence as a stock insurer subsidiary of the mutual insurance holding company. (c) All of the initial shares of the capital stock of a reorganized stock insurer which has reorganized as described in subdivision (a)(1) or subdivision (a)(2) of this section shall be issued to the mutual insurance holding company or to a single intermediate stock holding company. (d) (1) Policyholders of a domestic mutual insurer which has reorganized as described in subdivision (a)(1) or subdivision (a)(2) of this section shall be members of the mutual insurance holding company, and their voting rights shall be determined in accordance with the articles of incorporation and bylaws of the mutual insurance holding company. (2) The mutual insurance holding company shall provide its members with the same membership rights as were provided to policyholders of the mutual insurer immediately prior to reorganization. (3) The reorganization shall not reduce, limit, or affect the number or identity of the policyholders who may become members of the mutual insurance holding company or secure for individuals composing management any unfair advantage through or connected with the reorganization. (e) (1) A mutual insurance holding company or an intermediate stock holding company formed under this subchapter shall not be authorized to transact the business of insurance. (2) A mutual insurance holding company formed under this subchapter shall not issue stock. (3) The commissioner shall have jurisdiction over a mutual insurance holding company and an intermediate stock holding company to ensure that policyholder's interests are protected. (4) A mutual insurance holding company and an intermediate stock holding company shall be treated as domestic insurers subject to the conversion provisions of § 23-69-141 and § 23-68-101 et seq. regarding the rehabilitation and liquidation of insurance companies. (5) The aggregate pledges and encumbrances of a mutual insurance holding company's assets shall not affect more than forty-nine percent (49%) of the mutual insurance holding company's stock in an intermediate stock holding company or a reorganized stock insurer. (6) At least fifty percent (50%) of the net worth of a mutual insurance holding company, as determined by generally accepted accounting practices, shall be invested in insurers. (7) (A) If any proceeding under § 23-68-101 et seq. regarding the rehabilitation and liquidation of insurance companies is brought against a reorganized stock insurer, the mutual insurance holding company and intermediate stock holding company shall become parties to the proceedings. (B) All of the assets of the mutual insurance holding company and intermediate stock holding company are deemed assets of the estate of the reorganized stock insurer to the extent necessary to satisfy claims against the reorganized stock insurer. (8) No distribution to members of a mutual insurance holding company may occur without prior written approval of the commissioner and only upon the commissioner's satisfaction that such a distribution is fair and equitable to policyholders as members of the mutual insurance holding company. (9) No solicitation for the sale of the stock of an intermediate stock holding company or a reorganized stock insurer may be made without the commissioner's prior written approval. (10) A mutual insurance holding company or an intermediate stock holding company shall not voluntarily dissolve without the approval of the commissioner. Acts 2001, No. 1726, § 1.

(a) A domestic mutual insurer, upon approval of the Insurance Commissioner, may reorganize by: (1) Forming a mutual insurance holding company; (2) Merging its policyholders' membership interests into the mutual insurance holding company; and (3) Continuing the mutual insurer's corporate existence as a stock insurer subsidiary of the mutual insurance holding company.

(1) Forming a mutual insurance holding company;

(2) Merging its policyholders' membership interests into the mutual insurance holding company; and

(3) Continuing the mutual insurer's corporate existence as a stock insurer subsidiary of the mutual insurance holding company.

(b) A domestic mutual insurer, upon the approval of the commissioner, may reorganize by merging its policyholders' membership interests into an existing mutual insurance holding company formed under subdivision (a)(1) of this section and by continuing the mutual insurer's corporate existence as a stock insurer subsidiary of the mutual insurance holding company.

(c) All of the initial shares of the capital stock of a reorganized stock insurer which has reorganized as described in subdivision (a)(1) or subdivision (a)(2) of this section shall be issued to the mutual insurance holding company or to a single intermediate stock holding company.

(d) (1) Policyholders of a domestic mutual insurer which has reorganized as described in subdivision (a)(1) or subdivision (a)(2) of this section shall be members of the mutual insurance holding company, and their voting rights shall be determined in accordance with the articles of incorporation and bylaws of the mutual insurance holding company. (2) The mutual insurance holding company shall provide its members with the same membership rights as were provided to policyholders of the mutual insurer immediately prior to reorganization. (3) The reorganization shall not reduce, limit, or affect the number or identity of the policyholders who may become members of the mutual insurance holding company or secure for individuals composing management any unfair advantage through or connected with the reorganization.

(1) Policyholders of a domestic mutual insurer which has reorganized as described in subdivision (a)(1) or subdivision (a)(2) of this section shall be members of the mutual insurance holding company, and their voting rights shall be determined in accordance with the articles of incorporation and bylaws of the mutual insurance holding company.

(2) The mutual insurance holding company shall provide its members with the same membership rights as were provided to policyholders of the mutual insurer immediately prior to reorganization.

(3) The reorganization shall not reduce, limit, or affect the number or identity of the policyholders who may become members of the mutual insurance holding company or secure for individuals composing management any unfair advantage through or connected with the reorganization.

(e) (1) A mutual insurance holding company or an intermediate stock holding company formed under this subchapter shall not be authorized to transact the business of insurance. (2) A mutual insurance holding company formed under this subchapter shall not issue stock. (3) The commissioner shall have jurisdiction over a mutual insurance holding company and an intermediate stock holding company to ensure that policyholder's interests are protected. (4) A mutual insurance holding company and an intermediate stock holding company shall be treated as domestic insurers subject to the conversion provisions of § 23-69-141 and § 23-68-101 et seq. regarding the rehabilitation and liquidation of insurance companies. (5) The aggregate pledges and encumbrances of a mutual insurance holding company's assets shall not affect more than forty-nine percent (49%) of the mutual insurance holding company's stock in an intermediate stock holding company or a reorganized stock insurer. (6) At least fifty percent (50%) of the net worth of a mutual insurance holding company, as determined by generally accepted accounting practices, shall be invested in insurers. (7) (A) If any proceeding under § 23-68-101 et seq. regarding the rehabilitation and liquidation of insurance companies is brought against a reorganized stock insurer, the mutual insurance holding company and intermediate stock holding company shall become parties to the proceedings. (B) All of the assets of the mutual insurance holding company and intermediate stock holding company are deemed assets of the estate of the reorganized stock insurer to the extent necessary to satisfy claims against the reorganized stock insurer. (8) No distribution to members of a mutual insurance holding company may occur without prior written approval of the commissioner and only upon the commissioner's satisfaction that such a distribution is fair and equitable to policyholders as members of the mutual insurance holding company. (9) No solicitation for the sale of the stock of an intermediate stock holding company or a reorganized stock insurer may be made without the commissioner's prior written approval. (10) A mutual insurance holding company or an intermediate stock holding company shall not voluntarily dissolve without the approval of the commissioner.

(1) A mutual insurance holding company or an intermediate stock holding company formed under this subchapter shall not be authorized to transact the business of insurance.

(2) A mutual insurance holding company formed under this subchapter shall not issue stock.

(3) The commissioner shall have jurisdiction over a mutual insurance holding company and an intermediate stock holding company to ensure that policyholder's interests are protected.

(4) A mutual insurance holding company and an intermediate stock holding company shall be treated as domestic insurers subject to the conversion provisions of § 23-69-141 and § 23-68-101 et seq. regarding the rehabilitation and liquidation of insurance companies.

(5) The aggregate pledges and encumbrances of a mutual insurance holding company's assets shall not affect more than forty-nine percent (49%) of the mutual insurance holding company's stock in an intermediate stock holding company or a reorganized stock insurer.

(6) At least fifty percent (50%) of the net worth of a mutual insurance holding company, as determined by generally accepted accounting practices, shall be invested in insurers.

(7) (A) If any proceeding under § 23-68-101 et seq. regarding the rehabilitation and liquidation of insurance companies is brought against a reorganized stock insurer, the mutual insurance holding company and intermediate stock holding company shall become parties to the proceedings. (B) All of the assets of the mutual insurance holding company and intermediate stock holding company are deemed assets of the estate of the reorganized stock insurer to the extent necessary to satisfy claims against the reorganized stock insurer.

(A) If any proceeding under § 23-68-101 et seq. regarding the rehabilitation and liquidation of insurance companies is brought against a reorganized stock insurer, the mutual insurance holding company and intermediate stock holding company shall become parties to the proceedings.

(B) All of the assets of the mutual insurance holding company and intermediate stock holding company are deemed assets of the estate of the reorganized stock insurer to the extent necessary to satisfy claims against the reorganized stock insurer.

(8) No distribution to members of a mutual insurance holding company may occur without prior written approval of the commissioner and only upon the commissioner's satisfaction that such a distribution is fair and equitable to policyholders as members of the mutual insurance holding company.

(9) No solicitation for the sale of the stock of an intermediate stock holding company or a reorganized stock insurer may be made without the commissioner's prior written approval.

(10) A mutual insurance holding company or an intermediate stock holding company shall not voluntarily dissolve without the approval of the commissioner.

Acts 2001, No. 1726, § 1.
Ark. Code Ann. § 23-81-807 — AR Code / Title 23 / Chapter 81 / Subchapter 8 / Section 23-81-807
Examination
Status: in_force

(a) (1) When the Insurance Commissioner deems it reasonably necessary to protect the interests of the public, the commissioner may examine the business and affairs of any licensee or applicant for a license. (2) The commissioner may order any licensee or applicant to produce any records, books, files, or other information reasonably necessary to ascertain whether the licensee or applicant is acting or has acted in violation of the law or otherwise contrary to the interests of the public. (3) The expenses incurred in conducting any examination shall be paid by the licensee or applicant. (b) In lieu of an examination under this subchapter of any foreign or alien licensee licensed in this state, at the commissioner's discretion, the commissioner may accept an examination report on the licensee as prepared by the commissioner for the licensee's state of domicile or port-of-entry state. (c) Names of and individual identification data for all owners and insureds shall be considered private and confidential information and shall not be disclosed by the commissioner unless required by law. (d) Records of all consummated transactions and life settlement contracts shall be maintained by the provider for three (3) years after the death of the insured and shall be available to the commissioner for inspection during reasonable business hours. (e) CONDUCT OF EXAMINATIONS. (1) (A) Upon determining that an examination should be conducted, the commissioner shall issue an examination warrant appointing one (1) or more examiners to perform the examination and instructing them as to the scope of the examination. (B) In conducting the examination, the examiner shall use methods common to the examination of any life settlement licensee and shall use those guidelines and procedures set forth in an examiner's handbook adopted by a national organization prescribed by rule of the commissioner. (2) (A) Every licensee or person from whom information is sought, its officers, directors, and agents shall provide to the examiners timely, convenient, and free access at all reasonable hours at its offices to all books, records, accounts, papers, documents, assets, and computer or other recordings relating to the property, assets, business, and affairs of the licensee being examined. (B) The officers, directors, employees, and agents of the licensee or person shall facilitate the examination and aid in the examination so far as it is in their power to do so. (C) The refusal of a licensee or the licensee's officers, directors, employees, or agents to submit to examination or to comply with any reasonable written request of the commissioner shall be grounds for suspension or refusal of or nonrenewal of any license or authority held by the licensee to engage in the life settlement business or other business subject to the commissioner's jurisdiction. (D) Any proceedings for suspension, revocation, or refusal of any license or authority shall be conducted pursuant to § 23-61-301 et seq. and the Arkansas Administrative Procedure Act, § 25-15-201 et seq. (3) (A) The commissioner may issue subpoenas, administer oaths, and examine under oath any person as to any matter pertinent to the examination. (B) Upon the failure or refusal of a person to obey a subpoena, the commissioner may petition a court of competent jurisdiction for an order to compel the witness to obey the subpoena, and upon proper showing, the court may enter an order compelling the witness to appear and testify or produce documentary evidence. (4) When making an examination under this subchapter, the commissioner may retain attorneys, appraisers, independent actuaries, independent certified public accountants, or other professionals and specialists as examiners, the reasonable cost of which shall be borne by the licensee that is the subject of the examination. (5) (A) This subchapter does not limit the commissioner's authority to terminate or suspend an examination in order to pursue other legal or regulatory action pursuant to the insurance laws of this state. (B) Findings of fact and conclusions made pursuant to any examination shall be prima facie evidence in any legal or regulatory action. (6) Any information gathered during an examination as provided in this subchapter shall be deemed confidential pursuant to § 23-61-207 . (f) EXAMINATION REPORTS. (1) Examination reports shall be composed of only facts appearing upon the books, from the testimony of its officers or agents or other persons examined concerning its affairs, and such conclusions and recommendations as the examiners find reasonably warranted from the facts. (2) (A) No later than sixty (60) days following completion of the examination, the examiner in charge shall file with the commissioner a verified written report of examination under oath. (B) Upon receipt of the verified report, the commissioner shall transmit the report to the licensee that has been examined, together with a notice that shall afford the licensee that has been examined a reasonable opportunity of not more than thirty (30) days to make a written submission or rebuttal with respect to any matters contained in the examination report and which shall become part of the report or to request a hearing on any matter in dispute. (3) If the commissioner determines that regulatory action is appropriate as a result of an examination, the commissioner may initiate any proceedings or actions provided by law. (g) CONFIDENTIALITY OF EXAMINATION INFORMATION. (1) Names and individual identification data for all owners, purchasers, and insureds shall be considered private and confidential information and shall not be disclosed by the commissioner unless the disclosure is to another regulator or is required by law. (2) (A) Except as otherwise provided in this subchapter, all examination reports, working papers, recorded information, documents and copies thereof produced by, obtained by, or disclosed to the commissioner or any other person in the course of an examination made under this subchapter or in the course of analysis or investigation by the commissioner of the financial condition or market conduct of a licensee shall be confidential by law and privileged, shall not be open to inspection to the public or subject to disclosure under the Freedom of Information Act of 1967, § 25-19-101 et seq., shall not be subject to subpoena, and shall not be subject to discovery or admissible in evidence in any private civil action. (B) The commissioner may use the documents, materials, or other information in the furtherance of any regulatory or legal action brought as part of the commissioner's official duties. (C) The licensee being examined may have access to all documents used to make the report. (h) CONFLICT OF INTEREST. (1) An examiner shall not be appointed by the commissioner if the examiner, either directly or indirectly, has a conflict of interest or is affiliated with the management of or owns a pecuniary interest in any person subject to examination under this subchapter. This subsection does not automatically preclude an examiner from being: (A) An owner; (B) An insured in a life settlement contract or insurance policy; or (C) A beneficiary in an insurance policy that is proposed for a life settlement contract. (2) Notwithstanding the requirements of this subsection, the commissioner may retain from time to time, on an individual basis, qualified actuaries, certified public accountants, or other similar individuals who are independently practicing their professions even though these persons may from time to time be similarly employed or retained by persons subject to examination under this subchapter. (i) IMMUNITY FROM LIABILITY. (1) A cause of action shall not arise nor shall any liability be imposed against the commissioner, the commissioner's authorized representatives, or any examiner appointed by the commissioner for any statements made or conduct performed in good faith while carrying out this subchapter. (2) (A) A cause of action shall not arise, nor shall any liability be imposed against any person for the act of communicating or delivering information or data to the commissioner or the commissioner's authorized representative or examiner pursuant to an examination made under this subchapter if the act of communication or delivery was performed in good faith and without fraudulent intent or the intent to deceive. (B) This subsection does not abrogate or modify in any way any common law or statutory privilege or immunity heretofore enjoyed by any person identified in subdivision (i)(1) of this section. (3) (A) A person identified in subdivision (i)(1) or subdivision (i)(2) of this section is entitled to an award of attorney's fees and costs if he or she is the prevailing party in a civil cause of action for libel, slander, or any other relevant tort arising out of activities in carrying out the provisions of this subchapter and the party bringing the action was not substantially justified in doing so. (B) For purposes of this subsection, a proceeding is "substantially justified" if it had a reasonable basis in law or fact at the time that it was initiated. (j) INVESTIGATIVE AUTHORITY OF THE COMMISSIONER. The commissioner may investigate suspected fraudulent life settlement acts and persons engaged in the business of life settlements. (k) COST OF EXAMINATIONS. Costs of examinations under this subchapter shall be paid to the State Insurance Department to the same extent as examination expenses are imposed on persons pursuant to § 23-61-206 . Acts 2009, No. 796, § 1.

(a) (1) When the Insurance Commissioner deems it reasonably necessary to protect the interests of the public, the commissioner may examine the business and affairs of any licensee or applicant for a license. (2) The commissioner may order any licensee or applicant to produce any records, books, files, or other information reasonably necessary to ascertain whether the licensee or applicant is acting or has acted in violation of the law or otherwise contrary to the interests of the public. (3) The expenses incurred in conducting any examination shall be paid by the licensee or applicant.

(1) When the Insurance Commissioner deems it reasonably necessary to protect the interests of the public, the commissioner may examine the business and affairs of any licensee or applicant for a license.

(2) The commissioner may order any licensee or applicant to produce any records, books, files, or other information reasonably necessary to ascertain whether the licensee or applicant is acting or has acted in violation of the law or otherwise contrary to the interests of the public.

(3) The expenses incurred in conducting any examination shall be paid by the licensee or applicant.

(b) In lieu of an examination under this subchapter of any foreign or alien licensee licensed in this state, at the commissioner's discretion, the commissioner may accept an examination report on the licensee as prepared by the commissioner for the licensee's state of domicile or port-of-entry state.

(c) Names of and individual identification data for all owners and insureds shall be considered private and confidential information and shall not be disclosed by the commissioner unless required by law.

(d) Records of all consummated transactions and life settlement contracts shall be maintained by the provider for three (3) years after the death of the insured and shall be available to the commissioner for inspection during reasonable business hours.

(e) CONDUCT OF EXAMINATIONS. (1) (A) Upon determining that an examination should be conducted, the commissioner shall issue an examination warrant appointing one (1) or more examiners to perform the examination and instructing them as to the scope of the examination. (B) In conducting the examination, the examiner shall use methods common to the examination of any life settlement licensee and shall use those guidelines and procedures set forth in an examiner's handbook adopted by a national organization prescribed by rule of the commissioner. (2) (A) Every licensee or person from whom information is sought, its officers, directors, and agents shall provide to the examiners timely, convenient, and free access at all reasonable hours at its offices to all books, records, accounts, papers, documents, assets, and computer or other recordings relating to the property, assets, business, and affairs of the licensee being examined. (B) The officers, directors, employees, and agents of the licensee or person shall facilitate the examination and aid in the examination so far as it is in their power to do so. (C) The refusal of a licensee or the licensee's officers, directors, employees, or agents to submit to examination or to comply with any reasonable written request of the commissioner shall be grounds for suspension or refusal of or nonrenewal of any license or authority held by the licensee to engage in the life settlement business or other business subject to the commissioner's jurisdiction. (D) Any proceedings for suspension, revocation, or refusal of any license or authority shall be conducted pursuant to § 23-61-301 et seq. and the Arkansas Administrative Procedure Act, § 25-15-201 et seq. (3) (A) The commissioner may issue subpoenas, administer oaths, and examine under oath any person as to any matter pertinent to the examination. (B) Upon the failure or refusal of a person to obey a subpoena, the commissioner may petition a court of competent jurisdiction for an order to compel the witness to obey the subpoena, and upon proper showing, the court may enter an order compelling the witness to appear and testify or produce documentary evidence. (4) When making an examination under this subchapter, the commissioner may retain attorneys, appraisers, independent actuaries, independent certified public accountants, or other professionals and specialists as examiners, the reasonable cost of which shall be borne by the licensee that is the subject of the examination. (5) (A) This subchapter does not limit the commissioner's authority to terminate or suspend an examination in order to pursue other legal or regulatory action pursuant to the insurance laws of this state. (B) Findings of fact and conclusions made pursuant to any examination shall be prima facie evidence in any legal or regulatory action. (6) Any information gathered during an examination as provided in this subchapter shall be deemed confidential pursuant to § 23-61-207 .

(1) (A) Upon determining that an examination should be conducted, the commissioner shall issue an examination warrant appointing one (1) or more examiners to perform the examination and instructing them as to the scope of the examination. (B) In conducting the examination, the examiner shall use methods common to the examination of any life settlement licensee and shall use those guidelines and procedures set forth in an examiner's handbook adopted by a national organization prescribed by rule of the commissioner.

(A) Upon determining that an examination should be conducted, the commissioner shall issue an examination warrant appointing one (1) or more examiners to perform the examination and instructing them as to the scope of the examination.

(B) In conducting the examination, the examiner shall use methods common to the examination of any life settlement licensee and shall use those guidelines and procedures set forth in an examiner's handbook adopted by a national organization prescribed by rule of the commissioner.

(2) (A) Every licensee or person from whom information is sought, its officers, directors, and agents shall provide to the examiners timely, convenient, and free access at all reasonable hours at its offices to all books, records, accounts, papers, documents, assets, and computer or other recordings relating to the property, assets, business, and affairs of the licensee being examined. (B) The officers, directors, employees, and agents of the licensee or person shall facilitate the examination and aid in the examination so far as it is in their power to do so. (C) The refusal of a licensee or the licensee's officers, directors, employees, or agents to submit to examination or to comply with any reasonable written request of the commissioner shall be grounds for suspension or refusal of or nonrenewal of any license or authority held by the licensee to engage in the life settlement business or other business subject to the commissioner's jurisdiction. (D) Any proceedings for suspension, revocation, or refusal of any license or authority shall be conducted pursuant to § 23-61-301 et seq. and the Arkansas Administrative Procedure Act, § 25-15-201 et seq.

(A) Every licensee or person from whom information is sought, its officers, directors, and agents shall provide to the examiners timely, convenient, and free access at all reasonable hours at its offices to all books, records, accounts, papers, documents, assets, and computer or other recordings relating to the property, assets, business, and affairs of the licensee being examined.

(B) The officers, directors, employees, and agents of the licensee or person shall facilitate the examination and aid in the examination so far as it is in their power to do so.

(C) The refusal of a licensee or the licensee's officers, directors, employees, or agents to submit to examination or to comply with any reasonable written request of the commissioner shall be grounds for suspension or refusal of or nonrenewal of any license or authority held by the licensee to engage in the life settlement business or other business subject to the commissioner's jurisdiction.

(D) Any proceedings for suspension, revocation, or refusal of any license or authority shall be conducted pursuant to § 23-61-301 et seq. and the Arkansas Administrative Procedure Act, § 25-15-201 et seq.

(3) (A) The commissioner may issue subpoenas, administer oaths, and examine under oath any person as to any matter pertinent to the examination. (B) Upon the failure or refusal of a person to obey a subpoena, the commissioner may petition a court of competent jurisdiction for an order to compel the witness to obey the subpoena, and upon proper showing, the court may enter an order compelling the witness to appear and testify or produce documentary evidence.

(A) The commissioner may issue subpoenas, administer oaths, and examine under oath any person as to any matter pertinent to the examination.

(B) Upon the failure or refusal of a person to obey a subpoena, the commissioner may petition a court of competent jurisdiction for an order to compel the witness to obey the subpoena, and upon proper showing, the court may enter an order compelling the witness to appear and testify or produce documentary evidence.

(4) When making an examination under this subchapter, the commissioner may retain attorneys, appraisers, independent actuaries, independent certified public accountants, or other professionals and specialists as examiners, the reasonable cost of which shall be borne by the licensee that is the subject of the examination.

(5) (A) This subchapter does not limit the commissioner's authority to terminate or suspend an examination in order to pursue other legal or regulatory action pursuant to the insurance laws of this state. (B) Findings of fact and conclusions made pursuant to any examination shall be prima facie evidence in any legal or regulatory action.

(A) This subchapter does not limit the commissioner's authority to terminate or suspend an examination in order to pursue other legal or regulatory action pursuant to the insurance laws of this state.

(B) Findings of fact and conclusions made pursuant to any examination shall be prima facie evidence in any legal or regulatory action.

(6) Any information gathered during an examination as provided in this subchapter shall be deemed confidential pursuant to § 23-61-207 .

(f) EXAMINATION REPORTS. (1) Examination reports shall be composed of only facts appearing upon the books, from the testimony of its officers or agents or other persons examined concerning its affairs, and such conclusions and recommendations as the examiners find reasonably warranted from the facts. (2) (A) No later than sixty (60) days following completion of the examination, the examiner in charge shall file with the commissioner a verified written report of examination under oath. (B) Upon receipt of the verified report, the commissioner shall transmit the report to the licensee that has been examined, together with a notice that shall afford the licensee that has been examined a reasonable opportunity of not more than thirty (30) days to make a written submission or rebuttal with respect to any matters contained in the examination report and which shall become part of the report or to request a hearing on any matter in dispute. (3) If the commissioner determines that regulatory action is appropriate as a result of an examination, the commissioner may initiate any proceedings or actions provided by law.

(1) Examination reports shall be composed of only facts appearing upon the books, from the testimony of its officers or agents or other persons examined concerning its affairs, and such conclusions and recommendations as the examiners find reasonably warranted from the facts.

(2) (A) No later than sixty (60) days following completion of the examination, the examiner in charge shall file with the commissioner a verified written report of examination under oath. (B) Upon receipt of the verified report, the commissioner shall transmit the report to the licensee that has been examined, together with a notice that shall afford the licensee that has been examined a reasonable opportunity of not more than thirty (30) days to make a written submission or rebuttal with respect to any matters contained in the examination report and which shall become part of the report or to request a hearing on any matter in dispute.

(A) No later than sixty (60) days following completion of the examination, the examiner in charge shall file with the commissioner a verified written report of examination under oath.

(B) Upon receipt of the verified report, the commissioner shall transmit the report to the licensee that has been examined, together with a notice that shall afford the licensee that has been examined a reasonable opportunity of not more than thirty (30) days to make a written submission or rebuttal with respect to any matters contained in the examination report and which shall become part of the report or to request a hearing on any matter in dispute.

(3) If the commissioner determines that regulatory action is appropriate as a result of an examination, the commissioner may initiate any proceedings or actions provided by law.

(g) CONFIDENTIALITY OF EXAMINATION INFORMATION. (1) Names and individual identification data for all owners, purchasers, and insureds shall be considered private and confidential information and shall not be disclosed by the commissioner unless the disclosure is to another regulator or is required by law. (2) (A) Except as otherwise provided in this subchapter, all examination reports, working papers, recorded information, documents and copies thereof produced by, obtained by, or disclosed to the commissioner or any other person in the course of an examination made under this subchapter or in the course of analysis or investigation by the commissioner of the financial condition or market conduct of a licensee shall be confidential by law and privileged, shall not be open to inspection to the public or subject to disclosure under the Freedom of Information Act of 1967, § 25-19-101 et seq., shall not be subject to subpoena, and shall not be subject to discovery or admissible in evidence in any private civil action. (B) The commissioner may use the documents, materials, or other information in the furtherance of any regulatory or legal action brought as part of the commissioner's official duties. (C) The licensee being examined may have access to all documents used to make the report.

(1) Names and individual identification data for all owners, purchasers, and insureds shall be considered private and confidential information and shall not be disclosed by the commissioner unless the disclosure is to another regulator or is required by law.

(2) (A) Except as otherwise provided in this subchapter, all examination reports, working papers, recorded information, documents and copies thereof produced by, obtained by, or disclosed to the commissioner or any other person in the course of an examination made under this subchapter or in the course of analysis or investigation by the commissioner of the financial condition or market conduct of a licensee shall be confidential by law and privileged, shall not be open to inspection to the public or subject to disclosure under the Freedom of Information Act of 1967, § 25-19-101 et seq., shall not be subject to subpoena, and shall not be subject to discovery or admissible in evidence in any private civil action. (B) The commissioner may use the documents, materials, or other information in the furtherance of any regulatory or legal action brought as part of the commissioner's official duties. (C) The licensee being examined may have access to all documents used to make the report.

(A) Except as otherwise provided in this subchapter, all examination reports, working papers, recorded information, documents and copies thereof produced by, obtained by, or disclosed to the commissioner or any other person in the course of an examination made under this subchapter or in the course of analysis or investigation by the commissioner of the financial condition or market conduct of a licensee shall be confidential by law and privileged, shall not be open to inspection to the public or subject to disclosure under the Freedom of Information Act of 1967, § 25-19-101 et seq., shall not be subject to subpoena, and shall not be subject to discovery or admissible in evidence in any private civil action.

(B) The commissioner may use the documents, materials, or other information in the furtherance of any regulatory or legal action brought as part of the commissioner's official duties.

(C) The licensee being examined may have access to all documents used to make the report.

(h) CONFLICT OF INTEREST. (1) An examiner shall not be appointed by the commissioner if the examiner, either directly or indirectly, has a conflict of interest or is affiliated with the management of or owns a pecuniary interest in any person subject to examination under this subchapter. This subsection does not automatically preclude an examiner from being: (A) An owner; (B) An insured in a life settlement contract or insurance policy; or (C) A beneficiary in an insurance policy that is proposed for a life settlement contract. (2) Notwithstanding the requirements of this subsection, the commissioner may retain from time to time, on an individual basis, qualified actuaries, certified public accountants, or other similar individuals who are independently practicing their professions even though these persons may from time to time be similarly employed or retained by persons subject to examination under this subchapter.

(1) An examiner shall not be appointed by the commissioner if the examiner, either directly or indirectly, has a conflict of interest or is affiliated with the management of or owns a pecuniary interest in any person subject to examination under this subchapter. This subsection does not automatically preclude an examiner from being: (A) An owner; (B) An insured in a life settlement contract or insurance policy; or (C) A beneficiary in an insurance policy that is proposed for a life settlement contract.

(A) An owner;

(B) An insured in a life settlement contract or insurance policy; or

(C) A beneficiary in an insurance policy that is proposed for a life settlement contract.

(2) Notwithstanding the requirements of this subsection, the commissioner may retain from time to time, on an individual basis, qualified actuaries, certified public accountants, or other similar individuals who are independently practicing their professions even though these persons may from time to time be similarly employed or retained by persons subject to examination under this subchapter.

(i) IMMUNITY FROM LIABILITY. (1) A cause of action shall not arise nor shall any liability be imposed against the commissioner, the commissioner's authorized representatives, or any examiner appointed by the commissioner for any statements made or conduct performed in good faith while carrying out this subchapter. (2) (A) A cause of action shall not arise, nor shall any liability be imposed against any person for the act of communicating or delivering information or data to the commissioner or the commissioner's authorized representative or examiner pursuant to an examination made under this subchapter if the act of communication or delivery was performed in good faith and without fraudulent intent or the intent to deceive. (B) This subsection does not abrogate or modify in any way any common law or statutory privilege or immunity heretofore enjoyed by any person identified in subdivision (i)(1) of this section. (3) (A) A person identified in subdivision (i)(1) or subdivision (i)(2) of this section is entitled to an award of attorney's fees and costs if he or she is the prevailing party in a civil cause of action for libel, slander, or any other relevant tort arising out of activities in carrying out the provisions of this subchapter and the party bringing the action was not substantially justified in doing so. (B) For purposes of this subsection, a proceeding is "substantially justified" if it had a reasonable basis in law or fact at the time that it was initiated.

(1) A cause of action shall not arise nor shall any liability be imposed against the commissioner, the commissioner's authorized representatives, or any examiner appointed by the commissioner for any statements made or conduct performed in good faith while carrying out this subchapter.

(2) (A) A cause of action shall not arise, nor shall any liability be imposed against any person for the act of communicating or delivering information or data to the commissioner or the commissioner's authorized representative or examiner pursuant to an examination made under this subchapter if the act of communication or delivery was performed in good faith and without fraudulent intent or the intent to deceive. (B) This subsection does not abrogate or modify in any way any common law or statutory privilege or immunity heretofore enjoyed by any person identified in subdivision (i)(1) of this section.

(A) A cause of action shall not arise, nor shall any liability be imposed against any person for the act of communicating or delivering information or data to the commissioner or the commissioner's authorized representative or examiner pursuant to an examination made under this subchapter if the act of communication or delivery was performed in good faith and without fraudulent intent or the intent to deceive.

(B) This subsection does not abrogate or modify in any way any common law or statutory privilege or immunity heretofore enjoyed by any person identified in subdivision (i)(1) of this section.

(3) (A) A person identified in subdivision (i)(1) or subdivision (i)(2) of this section is entitled to an award of attorney's fees and costs if he or she is the prevailing party in a civil cause of action for libel, slander, or any other relevant tort arising out of activities in carrying out the provisions of this subchapter and the party bringing the action was not substantially justified in doing so. (B) For purposes of this subsection, a proceeding is "substantially justified" if it had a reasonable basis in law or fact at the time that it was initiated.

(A) A person identified in subdivision (i)(1) or subdivision (i)(2) of this section is entitled to an award of attorney's fees and costs if he or she is the prevailing party in a civil cause of action for libel, slander, or any other relevant tort arising out of activities in carrying out the provisions of this subchapter and the party bringing the action was not substantially justified in doing so.

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

(j) INVESTIGATIVE AUTHORITY OF THE COMMISSIONER. The commissioner may investigate suspected fraudulent life settlement acts and persons engaged in the business of life settlements.

(k) COST OF EXAMINATIONS. Costs of examinations under this subchapter shall be paid to the State Insurance Department to the same extent as examination expenses are imposed on persons pursuant to § 23-61-206 .

Acts 2009, No. 796, § 1.
Ark. Code Ann. § 23-14-116 — AR Code / Title 23 / Chapter 14 / Section 23-14-116
Certificates - Transfer or lease
Status: in_force

Any certificate may be transferred or leased subject to the approval of the Arkansas Department of Transportation and under such reasonable rules as may be prescribed by the department. Amended by Act 2019, No. 315,§ 2458, eff. 7/24/2019. Amended by Act 2017, No. 707,§ 244, eff. 8/1/2017. Acts 1945, No. 252, § 11; A.S.A. 1947, § 74-412.

Any certificate may be transferred or leased subject to the approval of the Arkansas Department of Transportation and under such reasonable rules as may be prescribed by the department.

Amended by Act 2019, No. 315,§ 2458, eff. 7/24/2019.

Amended by Act 2017, No. 707,§ 244, eff. 8/1/2017.

Acts 1945, No. 252, § 11; A.S.A. 1947, § 74-412.
Ark. Code Ann. § 23-51-197 — AR Code / Title 23 / Chapter 51 / Section 23-51-197
Designation of trustee
Status: in_force

Any person residing in this state may designate any trust institution to act as a fiduciary on behalf of the person. Acts 1997, No. 940, § 97.

Any person residing in this state may designate any trust institution to act as a fiduciary on behalf of the person.

Acts 1997, No. 940, § 97.
Ark. Code Ann. § 23-13-206 — AR Code / Title 23 / Chapter 13 / Subchapter 2 / Section 23-13-206
Exemptions
Status: in_force

(a) Nothing in this subchapter shall be construed to include: (1) (A) Motor vehicles: (i) Employed solely in transporting schoolchildren and teachers to or from school; and (ii) Used in carrying: (a) Set-up houses; (b) Ordinary livestock; (c) Unprocessed fish, including shellfish; (d) Unprocessed agricultural commodities; (e) Baled cotton; (f) Cottonseed; (g) Cottonseed meal; (h) Cottonseed hulls; (i) Cottonseed cake; (j) Rice hulls; (k) Rice bran; (l) Rice mill feed; (m) Rice mill screenings; (n) Soybean meal; and (o) Commercial fertilizer, but not including the component parts used in the manufacture thereof. (B) However, carriers of such exempt commodities and passengers shall be subject to safety of operation and equipment standards provisions prescribed or hereafter prescribed by the State Highway Commission. (C) Additionally, for-hire carriers of such exempt commodities shall file with the commission evidence of security for the protection of the public in the same amount and to the same extent as nonexempt carriers, as provided in § 23-13-227 ; (2) (A) Taxicabs or other motor vehicles performing a bona fide taxicab service. (B) "Bona fide taxicab service", as employed in this section, means and refers only to service rendered by motor-driven vehicles having a seating capacity not in excess of six (6) passengers and used for the transportation of persons for hire, which vehicles are owned and operated by a person, firm, or corporation authorized by the governing authorities of municipalities to conduct a taxicab business over or upon the streets and public ways; (3) Any private carrier of property and motor vehicles employed in the hauling of gravel, rock, dirt, bituminous mix materials, riprap, quarried stone, crushed stone, and similar materials, and any movements and services performed by wreckers and wrecker services. Provided, all of the above private carriers, motor vehicles, and wrecker and wrecker services shall be subject to the provisions prescribed, including all rules made and promulgated pursuant to this subchapter, with respect to safety of operation and equipment standards; (4) Trolley buses operated by electric power or other buses furnishing local passenger transportation similar to street railway service, unless and to the extent that the commission shall from time to time find that such an application is necessary to carry out the policy of this subchapter as to safety of operation or standards of equipment, apply to: (A) (i) The transportation of passengers or property wholly within a municipality or between contiguous municipalities or within a commercial zone, as defined in § 23-13-203 , adjacent to, and commercially a part of, any such municipalities, except when the transportation is under a common control, management, or arrangement for a continuous carriage, or shipment to or from a point outside such municipalities or zone, and provided that the motor carrier engaged in such transportation of passengers over regular or irregular routes is also lawfully engaged in the intrastate transportation of passengers over the entire length of the routes in accordance with the laws of this state. (ii) The rights, duties, and privileges of any motor carrier previously granted a certificate of convenience and necessity by the commission to operate in, through, to, or from municipalities or in, through, to, or from a commercial zone or territory contiguous to a municipality shall not be impaired or abridged by reason of the subsequent annexation of the municipality or territory by another municipality, and any such motor carrier shall remain subject to the exclusive jurisdiction and control of the commission; or (B) The occasional or reciprocal transportation of passengers or property for compensation: (i) By any person not engaged in transportation by motor vehicle as a regular occupation or business, except when such transportation is sold, offered for sale, provided, procured, or furnished or arranged for; (ii) By any person who holds himself or herself or itself out as one who sells or offers for sale transportation wholly or partially subject to this subchapter, or negotiates for, or holds himself or herself or itself out, by solicitation, advertisements, or otherwise, as one who sells, provides, furnishes, contracts, or arranges for such transportation; or (iii) By any person or his or her or its agent, servant, or employee who regularly engages in the exempt transportation of passengers for hire; (5) Motor vehicles controlled and operated by an agricultural cooperative association as defined in § 2-2-101 et seq. and §§ 2-2-201 , 2-2-202 , and 2-2-401 - 2-2-428 or any similar act of another state or by the United States Agricultural Marketing Act, as amended, or by a federation of such cooperative associations, if the federation possesses no greater powers or purposes than cooperative associations so defined; (6) Motor carriers of property, except household goods carriers. Provided, the motor carriers of property shall be subject to all safety of operation and equipment standards provisions prescribed by the commission. Provided, further, all motor carriers of property shall be subject to the provisions of §§ 23-13-252 and 23-13-265 and all rules and regulations made and promulgated by the commission with respect to financial fitness and insurance requirements; (7) (A) The transportation of passengers by private or public motor carrier either under contract or by cooperative agreement with the State of Arkansas when the transportation is provided exclusively in connection with, or as a result of, federally or state-funded assistance programs serving the public need. (B) Provided, the motor carriers shall be subject to the provisions prescribed, including all rules made and promulgated pursuant to this subchapter, with respect to safety of operation and equipment standards; (8) The transportation of passengers in a private vehicle with a maximum seating capacity of fifteen (15) passengers, including the driver, provided the transportation is for the purposes of vanpooling or carpooling; and (9) (A) A commercial motor vehicle operating in intrastate commerce that has a: (i) Gross vehicle weight rating or gross combination weight rating of twenty-six thousand pounds (26,000 lbs.) or less; or (ii) Gross vehicle weight or gross combination weight of twenty-six thousand pounds (26,000 lbs.) or less. (B) Subdivision (a)(9)(A) of this section does not apply to a commercial motor vehicle that is: (i) Designated as transporting hazardous materials under 49 U.S.C. § 5103 , as in effect on January 1, 2021, and is required to be placarded under 49 C.F.R. part 172, subpart F, as in effect on January 1, 2021; or (ii) Designed to transport more than fifteen (15) passengers, including the driver. (b) In addition, the following are declared to be exempt from this subchapter except to the extent that the vehicles transporting the following products shall be subject to the safety and equipment standards of the commission: (1) The transportation of live poultry, unmanufactured products of poultry, and related commodities. Poultry, unmanufactured products of poultry, and related commodities include the following: (A) Additives, such as injected butter, gravy, seasoning, etc., in an amount not in excess of five percent (5%) by weight, sold in or along with uncooked poultry; (B) Advertising matter, in reasonable amounts, transported along with poultry and poultry products; (C) Blood of poultry from which corpuscles have been removed by centrifugal force; (D) Carcasses: (i) Raw, in marble-size chunks; (ii) Cut up, raw; (iii) Cut up, precooked or cooked; (iv) Breaded or battered; (v) Cut up, precooked or cooked, marinated, breaded, or battered; (vi) Deboned, cooked or uncooked; and (vii) Deboned, cooked or uncooked, in rolls or diced; (E) Dinners, cooked; (F) Dressed; (G) Eggs, albumen, liquid; (H) Eggs, albumen, liquid, pasteurized; (I) Eggs, dried; (J) Eggs, frozen; (K) Eggs, liquid, whole or separated; (L) Eggs, oiled; (M) Eggs, omelet mix consisting of fresh broken eggs and milk with minute amounts of salt and pepper and seasoning, packaged; (N) Eggs, powder, dried; (O) Eggs, shelled; (P) Eggs, whites; (Q) Eggs, whole, with added yolks, dried; (R) Eggs, whole, with added yolks; (S) Eggs, whole standardized by substraction of whites; (T) Eggs, yolks, dried; (U) Eggs, yolks, liquid; (V) Eggs, yolks; (W) Fat, as removed from poultry, not cooked; (X) Feathers; (Y) Feathers, ground or feather meal; (Z) Feathers, ground, combined with dehydrated poultry offal; (AA) Offal, including blood and natural by-products of the killing and processing of poultry for market; (BB) Picked; (CC) Rolled in batter but uncooked; (DD) Rolls, containing sectioned and deboned poultry, cooked; (EE) Sticks, cooked; (FF) Stuffed; and (GG) Stuffing, packed with, but not in, bird; (2) The transportation of livestock and poultry feed including all materials or supplementary substances necessary or useful to sustaining the life or promoting the growth of livestock or poultry, if such products, excluding products otherwise exempt under this section, are transported to a site of agricultural production or to a business enterprise engaged in the sale to agricultural producers of goods used in agricultural production; (3) The transportation of sawdust, wood shavings, and wood chips; and (4) The transportation of ethylene glycol antifreeze, gasoline, diesel, liquefied petroleum gas, kerosene, aviation gasoline, and jet fuel. (c) (1) Except as otherwise provided in this subchapter, the transportation of passengers by motor vehicle shall continue to be regulated by the commission. (2) Provided, a carrier of passengers, which carrier proposes strictly charter services or charter operations for the transportation of passengers, upon application with the commission, shall not be required to prove that the proposed charter services or charter operations are required by the present or future public convenience and necessity. Amended by Act 2021, No. 389,§ 1, eff. 7/28/2021. Amended by Act 2019, No. 315,§ 2420, eff. 7/24/2019. Amended by Act 2019, No. 315,§ 2419, eff. 7/24/2019. Acts 1955, No. 397, § 5; 1963, No. 89, § 1; 1963, No. 220, § 1; 1971, No. 175, § 1; 1971, No. 335, § 1; 1983, No. 74, § 1; 1985, No. 438, § 1; 1985 (1st Ex. Sess.), No. 23, § 1; 1985 (1st Ex. Sess.), No. 29, § 1; A.S.A. 1947, §§ 73-1758, 73-1758.1; Acts 1991, No. 33, § 1; 1991, No. 296, § 1; 1995, No. 746, § 2.

(a) Nothing in this subchapter shall be construed to include: (1) (A) Motor vehicles: (i) Employed solely in transporting schoolchildren and teachers to or from school; and (ii) Used in carrying: (a) Set-up houses; (b) Ordinary livestock; (c) Unprocessed fish, including shellfish; (d) Unprocessed agricultural commodities; (e) Baled cotton; (f) Cottonseed; (g) Cottonseed meal; (h) Cottonseed hulls; (i) Cottonseed cake; (j) Rice hulls; (k) Rice bran; (l) Rice mill feed; (m) Rice mill screenings; (n) Soybean meal; and (o) Commercial fertilizer, but not including the component parts used in the manufacture thereof. (B) However, carriers of such exempt commodities and passengers shall be subject to safety of operation and equipment standards provisions prescribed or hereafter prescribed by the State Highway Commission. (C) Additionally, for-hire carriers of such exempt commodities shall file with the commission evidence of security for the protection of the public in the same amount and to the same extent as nonexempt carriers, as provided in § 23-13-227 ; (2) (A) Taxicabs or other motor vehicles performing a bona fide taxicab service. (B) "Bona fide taxicab service", as employed in this section, means and refers only to service rendered by motor-driven vehicles having a seating capacity not in excess of six (6) passengers and used for the transportation of persons for hire, which vehicles are owned and operated by a person, firm, or corporation authorized by the governing authorities of municipalities to conduct a taxicab business over or upon the streets and public ways; (3) Any private carrier of property and motor vehicles employed in the hauling of gravel, rock, dirt, bituminous mix materials, riprap, quarried stone, crushed stone, and similar materials, and any movements and services performed by wreckers and wrecker services. Provided, all of the above private carriers, motor vehicles, and wrecker and wrecker services shall be subject to the provisions prescribed, including all rules made and promulgated pursuant to this subchapter, with respect to safety of operation and equipment standards; (4) Trolley buses operated by electric power or other buses furnishing local passenger transportation similar to street railway service, unless and to the extent that the commission shall from time to time find that such an application is necessary to carry out the policy of this subchapter as to safety of operation or standards of equipment, apply to: (A) (i) The transportation of passengers or property wholly within a municipality or between contiguous municipalities or within a commercial zone, as defined in § 23-13-203 , adjacent to, and commercially a part of, any such municipalities, except when the transportation is under a common control, management, or arrangement for a continuous carriage, or shipment to or from a point outside such municipalities or zone, and provided that the motor carrier engaged in such transportation of passengers over regular or irregular routes is also lawfully engaged in the intrastate transportation of passengers over the entire length of the routes in accordance with the laws of this state. (ii) The rights, duties, and privileges of any motor carrier previously granted a certificate of convenience and necessity by the commission to operate in, through, to, or from municipalities or in, through, to, or from a commercial zone or territory contiguous to a municipality shall not be impaired or abridged by reason of the subsequent annexation of the municipality or territory by another municipality, and any such motor carrier shall remain subject to the exclusive jurisdiction and control of the commission; or (B) The occasional or reciprocal transportation of passengers or property for compensation: (i) By any person not engaged in transportation by motor vehicle as a regular occupation or business, except when such transportation is sold, offered for sale, provided, procured, or furnished or arranged for; (ii) By any person who holds himself or herself or itself out as one who sells or offers for sale transportation wholly or partially subject to this subchapter, or negotiates for, or holds himself or herself or itself out, by solicitation, advertisements, or otherwise, as one who sells, provides, furnishes, contracts, or arranges for such transportation; or (iii) By any person or his or her or its agent, servant, or employee who regularly engages in the exempt transportation of passengers for hire; (5) Motor vehicles controlled and operated by an agricultural cooperative association as defined in § 2-2-101 et seq. and §§ 2-2-201 , 2-2-202 , and 2-2-401 - 2-2-428 or any similar act of another state or by the United States Agricultural Marketing Act, as amended, or by a federation of such cooperative associations, if the federation possesses no greater powers or purposes than cooperative associations so defined; (6) Motor carriers of property, except household goods carriers. Provided, the motor carriers of property shall be subject to all safety of operation and equipment standards provisions prescribed by the commission. Provided, further, all motor carriers of property shall be subject to the provisions of §§ 23-13-252 and 23-13-265 and all rules and regulations made and promulgated by the commission with respect to financial fitness and insurance requirements; (7) (A) The transportation of passengers by private or public motor carrier either under contract or by cooperative agreement with the State of Arkansas when the transportation is provided exclusively in connection with, or as a result of, federally or state-funded assistance programs serving the public need. (B) Provided, the motor carriers shall be subject to the provisions prescribed, including all rules made and promulgated pursuant to this subchapter, with respect to safety of operation and equipment standards; (8) The transportation of passengers in a private vehicle with a maximum seating capacity of fifteen (15) passengers, including the driver, provided the transportation is for the purposes of vanpooling or carpooling; and (9) (A) A commercial motor vehicle operating in intrastate commerce that has a: (i) Gross vehicle weight rating or gross combination weight rating of twenty-six thousand pounds (26,000 lbs.) or less; or (ii) Gross vehicle weight or gross combination weight of twenty-six thousand pounds (26,000 lbs.) or less. (B) Subdivision (a)(9)(A) of this section does not apply to a commercial motor vehicle that is: (i) Designated as transporting hazardous materials under 49 U.S.C. § 5103 , as in effect on January 1, 2021, and is required to be placarded under 49 C.F.R. part 172, subpart F, as in effect on January 1, 2021; or (ii) Designed to transport more than fifteen (15) passengers, including the driver.

(1) (A) Motor vehicles: (i) Employed solely in transporting schoolchildren and teachers to or from school; and (ii) Used in carrying: (a) Set-up houses; (b) Ordinary livestock; (c) Unprocessed fish, including shellfish; (d) Unprocessed agricultural commodities; (e) Baled cotton; (f) Cottonseed; (g) Cottonseed meal; (h) Cottonseed hulls; (i) Cottonseed cake; (j) Rice hulls; (k) Rice bran; (l) Rice mill feed; (m) Rice mill screenings; (n) Soybean meal; and (o) Commercial fertilizer, but not including the component parts used in the manufacture thereof. (B) However, carriers of such exempt commodities and passengers shall be subject to safety of operation and equipment standards provisions prescribed or hereafter prescribed by the State Highway Commission. (C) Additionally, for-hire carriers of such exempt commodities shall file with the commission evidence of security for the protection of the public in the same amount and to the same extent as nonexempt carriers, as provided in § 23-13-227 ;

(A) Motor vehicles: (i) Employed solely in transporting schoolchildren and teachers to or from school; and (ii) Used in carrying: (a) Set-up houses; (b) Ordinary livestock; (c) Unprocessed fish, including shellfish; (d) Unprocessed agricultural commodities; (e) Baled cotton; (f) Cottonseed; (g) Cottonseed meal; (h) Cottonseed hulls; (i) Cottonseed cake; (j) Rice hulls; (k) Rice bran; (l) Rice mill feed; (m) Rice mill screenings; (n) Soybean meal; and (o) Commercial fertilizer, but not including the component parts used in the manufacture thereof.

(i) Employed solely in transporting schoolchildren and teachers to or from school; and

(ii) Used in carrying: (a) Set-up houses; (b) Ordinary livestock; (c) Unprocessed fish, including shellfish; (d) Unprocessed agricultural commodities; (e) Baled cotton; (f) Cottonseed; (g) Cottonseed meal; (h) Cottonseed hulls; (i) Cottonseed cake; (j) Rice hulls; (k) Rice bran; (l) Rice mill feed; (m) Rice mill screenings; (n) Soybean meal; and (o) Commercial fertilizer, but not including the component parts used in the manufacture thereof.

(a) Set-up houses;

(b) Ordinary livestock;

(c) Unprocessed fish, including shellfish;

(d) Unprocessed agricultural commodities;

(e) Baled cotton;

(f) Cottonseed;

(g) Cottonseed meal;

(h) Cottonseed hulls;

(i) Cottonseed cake;

(j) Rice hulls;

(k) Rice bran;

(l) Rice mill feed;

(m) Rice mill screenings;

(n) Soybean meal; and

(o) Commercial fertilizer, but not including the component parts used in the manufacture thereof.

(B) However, carriers of such exempt commodities and passengers shall be subject to safety of operation and equipment standards provisions prescribed or hereafter prescribed by the State Highway Commission.

(C) Additionally, for-hire carriers of such exempt commodities shall file with the commission evidence of security for the protection of the public in the same amount and to the same extent as nonexempt carriers, as provided in § 23-13-227 ;

(2) (A) Taxicabs or other motor vehicles performing a bona fide taxicab service. (B) "Bona fide taxicab service", as employed in this section, means and refers only to service rendered by motor-driven vehicles having a seating capacity not in excess of six (6) passengers and used for the transportation of persons for hire, which vehicles are owned and operated by a person, firm, or corporation authorized by the governing authorities of municipalities to conduct a taxicab business over or upon the streets and public ways;

(A) Taxicabs or other motor vehicles performing a bona fide taxicab service.

(B) "Bona fide taxicab service", as employed in this section, means and refers only to service rendered by motor-driven vehicles having a seating capacity not in excess of six (6) passengers and used for the transportation of persons for hire, which vehicles are owned and operated by a person, firm, or corporation authorized by the governing authorities of municipalities to conduct a taxicab business over or upon the streets and public ways;

(3) Any private carrier of property and motor vehicles employed in the hauling of gravel, rock, dirt, bituminous mix materials, riprap, quarried stone, crushed stone, and similar materials, and any movements and services performed by wreckers and wrecker services. Provided, all of the above private carriers, motor vehicles, and wrecker and wrecker services shall be subject to the provisions prescribed, including all rules made and promulgated pursuant to this subchapter, with respect to safety of operation and equipment standards;

(4) Trolley buses operated by electric power or other buses furnishing local passenger transportation similar to street railway service, unless and to the extent that the commission shall from time to time find that such an application is necessary to carry out the policy of this subchapter as to safety of operation or standards of equipment, apply to: (A) (i) The transportation of passengers or property wholly within a municipality or between contiguous municipalities or within a commercial zone, as defined in § 23-13-203 , adjacent to, and commercially a part of, any such municipalities, except when the transportation is under a common control, management, or arrangement for a continuous carriage, or shipment to or from a point outside such municipalities or zone, and provided that the motor carrier engaged in such transportation of passengers over regular or irregular routes is also lawfully engaged in the intrastate transportation of passengers over the entire length of the routes in accordance with the laws of this state. (ii) The rights, duties, and privileges of any motor carrier previously granted a certificate of convenience and necessity by the commission to operate in, through, to, or from municipalities or in, through, to, or from a commercial zone or territory contiguous to a municipality shall not be impaired or abridged by reason of the subsequent annexation of the municipality or territory by another municipality, and any such motor carrier shall remain subject to the exclusive jurisdiction and control of the commission; or (B) The occasional or reciprocal transportation of passengers or property for compensation: (i) By any person not engaged in transportation by motor vehicle as a regular occupation or business, except when such transportation is sold, offered for sale, provided, procured, or furnished or arranged for; (ii) By any person who holds himself or herself or itself out as one who sells or offers for sale transportation wholly or partially subject to this subchapter, or negotiates for, or holds himself or herself or itself out, by solicitation, advertisements, or otherwise, as one who sells, provides, furnishes, contracts, or arranges for such transportation; or (iii) By any person or his or her or its agent, servant, or employee who regularly engages in the exempt transportation of passengers for hire;

(A) (i) The transportation of passengers or property wholly within a municipality or between contiguous municipalities or within a commercial zone, as defined in § 23-13-203 , adjacent to, and commercially a part of, any such municipalities, except when the transportation is under a common control, management, or arrangement for a continuous carriage, or shipment to or from a point outside such municipalities or zone, and provided that the motor carrier engaged in such transportation of passengers over regular or irregular routes is also lawfully engaged in the intrastate transportation of passengers over the entire length of the routes in accordance with the laws of this state. (ii) The rights, duties, and privileges of any motor carrier previously granted a certificate of convenience and necessity by the commission to operate in, through, to, or from municipalities or in, through, to, or from a commercial zone or territory contiguous to a municipality shall not be impaired or abridged by reason of the subsequent annexation of the municipality or territory by another municipality, and any such motor carrier shall remain subject to the exclusive jurisdiction and control of the commission; or

(i) The transportation of passengers or property wholly within a municipality or between contiguous municipalities or within a commercial zone, as defined in § 23-13-203 , adjacent to, and commercially a part of, any such municipalities, except when the transportation is under a common control, management, or arrangement for a continuous carriage, or shipment to or from a point outside such municipalities or zone, and provided that the motor carrier engaged in such transportation of passengers over regular or irregular routes is also lawfully engaged in the intrastate transportation of passengers over the entire length of the routes in accordance with the laws of this state.

(ii) The rights, duties, and privileges of any motor carrier previously granted a certificate of convenience and necessity by the commission to operate in, through, to, or from municipalities or in, through, to, or from a commercial zone or territory contiguous to a municipality shall not be impaired or abridged by reason of the subsequent annexation of the municipality or territory by another municipality, and any such motor carrier shall remain subject to the exclusive jurisdiction and control of the commission; or

(B) The occasional or reciprocal transportation of passengers or property for compensation: (i) By any person not engaged in transportation by motor vehicle as a regular occupation or business, except when such transportation is sold, offered for sale, provided, procured, or furnished or arranged for; (ii) By any person who holds himself or herself or itself out as one who sells or offers for sale transportation wholly or partially subject to this subchapter, or negotiates for, or holds himself or herself or itself out, by solicitation, advertisements, or otherwise, as one who sells, provides, furnishes, contracts, or arranges for such transportation; or (iii) By any person or his or her or its agent, servant, or employee who regularly engages in the exempt transportation of passengers for hire;

(i) By any person not engaged in transportation by motor vehicle as a regular occupation or business, except when such transportation is sold, offered for sale, provided, procured, or furnished or arranged for;

(ii) By any person who holds himself or herself or itself out as one who sells or offers for sale transportation wholly or partially subject to this subchapter, or negotiates for, or holds himself or herself or itself out, by solicitation, advertisements, or otherwise, as one who sells, provides, furnishes, contracts, or arranges for such transportation; or

(iii) By any person or his or her or its agent, servant, or employee who regularly engages in the exempt transportation of passengers for hire;

(5) Motor vehicles controlled and operated by an agricultural cooperative association as defined in § 2-2-101 et seq. and §§ 2-2-201 , 2-2-202 , and 2-2-401 - 2-2-428 or any similar act of another state or by the United States Agricultural Marketing Act, as amended, or by a federation of such cooperative associations, if the federation possesses no greater powers or purposes than cooperative associations so defined;

(6) Motor carriers of property, except household goods carriers. Provided, the motor carriers of property shall be subject to all safety of operation and equipment standards provisions prescribed by the commission. Provided, further, all motor carriers of property shall be subject to the provisions of §§ 23-13-252 and 23-13-265 and all rules and regulations made and promulgated by the commission with respect to financial fitness and insurance requirements;

(7) (A) The transportation of passengers by private or public motor carrier either under contract or by cooperative agreement with the State of Arkansas when the transportation is provided exclusively in connection with, or as a result of, federally or state-funded assistance programs serving the public need. (B) Provided, the motor carriers shall be subject to the provisions prescribed, including all rules made and promulgated pursuant to this subchapter, with respect to safety of operation and equipment standards;

(A) The transportation of passengers by private or public motor carrier either under contract or by cooperative agreement with the State of Arkansas when the transportation is provided exclusively in connection with, or as a result of, federally or state-funded assistance programs serving the public need.

(B) Provided, the motor carriers shall be subject to the provisions prescribed, including all rules made and promulgated pursuant to this subchapter, with respect to safety of operation and equipment standards;

(8) The transportation of passengers in a private vehicle with a maximum seating capacity of fifteen (15) passengers, including the driver, provided the transportation is for the purposes of vanpooling or carpooling; and

(9) (A) A commercial motor vehicle operating in intrastate commerce that has a: (i) Gross vehicle weight rating or gross combination weight rating of twenty-six thousand pounds (26,000 lbs.) or less; or (ii) Gross vehicle weight or gross combination weight of twenty-six thousand pounds (26,000 lbs.) or less. (B) Subdivision (a)(9)(A) of this section does not apply to a commercial motor vehicle that is: (i) Designated as transporting hazardous materials under 49 U.S.C. § 5103 , as in effect on January 1, 2021, and is required to be placarded under 49 C.F.R. part 172, subpart F, as in effect on January 1, 2021; or (ii) Designed to transport more than fifteen (15) passengers, including the driver.

(A) A commercial motor vehicle operating in intrastate commerce that has a: (i) Gross vehicle weight rating or gross combination weight rating of twenty-six thousand pounds (26,000 lbs.) or less; or (ii) Gross vehicle weight or gross combination weight of twenty-six thousand pounds (26,000 lbs.) or less.

(i) Gross vehicle weight rating or gross combination weight rating of twenty-six thousand pounds (26,000 lbs.) or less; or

(ii) Gross vehicle weight or gross combination weight of twenty-six thousand pounds (26,000 lbs.) or less.

(B) Subdivision (a)(9)(A) of this section does not apply to a commercial motor vehicle that is: (i) Designated as transporting hazardous materials under 49 U.S.C. § 5103 , as in effect on January 1, 2021, and is required to be placarded under 49 C.F.R. part 172, subpart F, as in effect on January 1, 2021; or (ii) Designed to transport more than fifteen (15) passengers, including the driver.

(i) Designated as transporting hazardous materials under 49 U.S.C. § 5103 , as in effect on January 1, 2021, and is required to be placarded under 49 C.F.R. part 172, subpart F, as in effect on January 1, 2021; or

(ii) Designed to transport more than fifteen (15) passengers, including the driver.

(b) In addition, the following are declared to be exempt from this subchapter except to the extent that the vehicles transporting the following products shall be subject to the safety and equipment standards of the commission: (1) The transportation of live poultry, unmanufactured products of poultry, and related commodities. Poultry, unmanufactured products of poultry, and related commodities include the following: (A) Additives, such as injected butter, gravy, seasoning, etc., in an amount not in excess of five percent (5%) by weight, sold in or along with uncooked poultry; (B) Advertising matter, in reasonable amounts, transported along with poultry and poultry products; (C) Blood of poultry from which corpuscles have been removed by centrifugal force; (D) Carcasses: (i) Raw, in marble-size chunks; (ii) Cut up, raw; (iii) Cut up, precooked or cooked; (iv) Breaded or battered; (v) Cut up, precooked or cooked, marinated, breaded, or battered; (vi) Deboned, cooked or uncooked; and (vii) Deboned, cooked or uncooked, in rolls or diced; (E) Dinners, cooked; (F) Dressed; (G) Eggs, albumen, liquid; (H) Eggs, albumen, liquid, pasteurized; (I) Eggs, dried; (J) Eggs, frozen; (K) Eggs, liquid, whole or separated; (L) Eggs, oiled; (M) Eggs, omelet mix consisting of fresh broken eggs and milk with minute amounts of salt and pepper and seasoning, packaged; (N) Eggs, powder, dried; (O) Eggs, shelled; (P) Eggs, whites; (Q) Eggs, whole, with added yolks, dried; (R) Eggs, whole, with added yolks; (S) Eggs, whole standardized by substraction of whites; (T) Eggs, yolks, dried; (U) Eggs, yolks, liquid; (V) Eggs, yolks; (W) Fat, as removed from poultry, not cooked; (X) Feathers; (Y) Feathers, ground or feather meal; (Z) Feathers, ground, combined with dehydrated poultry offal; (AA) Offal, including blood and natural by-products of the killing and processing of poultry for market; (BB) Picked; (CC) Rolled in batter but uncooked; (DD) Rolls, containing sectioned and deboned poultry, cooked; (EE) Sticks, cooked; (FF) Stuffed; and (GG) Stuffing, packed with, but not in, bird; (2) The transportation of livestock and poultry feed including all materials or supplementary substances necessary or useful to sustaining the life or promoting the growth of livestock or poultry, if such products, excluding products otherwise exempt under this section, are transported to a site of agricultural production or to a business enterprise engaged in the sale to agricultural producers of goods used in agricultural production; (3) The transportation of sawdust, wood shavings, and wood chips; and (4) The transportation of ethylene glycol antifreeze, gasoline, diesel, liquefied petroleum gas, kerosene, aviation gasoline, and jet fuel.

(1) The transportation of live poultry, unmanufactured products of poultry, and related commodities. Poultry, unmanufactured products of poultry, and related commodities include the following: (A) Additives, such as injected butter, gravy, seasoning, etc., in an amount not in excess of five percent (5%) by weight, sold in or along with uncooked poultry; (B) Advertising matter, in reasonable amounts, transported along with poultry and poultry products; (C) Blood of poultry from which corpuscles have been removed by centrifugal force; (D) Carcasses: (i) Raw, in marble-size chunks; (ii) Cut up, raw; (iii) Cut up, precooked or cooked; (iv) Breaded or battered; (v) Cut up, precooked or cooked, marinated, breaded, or battered; (vi) Deboned, cooked or uncooked; and (vii) Deboned, cooked or uncooked, in rolls or diced; (E) Dinners, cooked; (F) Dressed; (G) Eggs, albumen, liquid; (H) Eggs, albumen, liquid, pasteurized; (I) Eggs, dried; (J) Eggs, frozen; (K) Eggs, liquid, whole or separated; (L) Eggs, oiled; (M) Eggs, omelet mix consisting of fresh broken eggs and milk with minute amounts of salt and pepper and seasoning, packaged; (N) Eggs, powder, dried; (O) Eggs, shelled; (P) Eggs, whites; (Q) Eggs, whole, with added yolks, dried; (R) Eggs, whole, with added yolks; (S) Eggs, whole standardized by substraction of whites; (T) Eggs, yolks, dried; (U) Eggs, yolks, liquid; (V) Eggs, yolks; (W) Fat, as removed from poultry, not cooked; (X) Feathers; (Y) Feathers, ground or feather meal; (Z) Feathers, ground, combined with dehydrated poultry offal; (AA) Offal, including blood and natural by-products of the killing and processing of poultry for market; (BB) Picked; (CC) Rolled in batter but uncooked; (DD) Rolls, containing sectioned and deboned poultry, cooked; (EE) Sticks, cooked; (FF) Stuffed; and (GG) Stuffing, packed with, but not in, bird;

(A) Additives, such as injected butter, gravy, seasoning, etc., in an amount not in excess of five percent (5%) by weight, sold in or along with uncooked poultry;

(B) Advertising matter, in reasonable amounts, transported along with poultry and poultry products;

(C) Blood of poultry from which corpuscles have been removed by centrifugal force;

(D) Carcasses: (i) Raw, in marble-size chunks; (ii) Cut up, raw; (iii) Cut up, precooked or cooked; (iv) Breaded or battered; (v) Cut up, precooked or cooked, marinated, breaded, or battered; (vi) Deboned, cooked or uncooked; and (vii) Deboned, cooked or uncooked, in rolls or diced;

(i) Raw, in marble-size chunks;

(ii) Cut up, raw;

(iii) Cut up, precooked or cooked;

(iv) Breaded or battered;

(v) Cut up, precooked or cooked, marinated, breaded, or battered;

(vi) Deboned, cooked or uncooked; and

(vii) Deboned, cooked or uncooked, in rolls or diced;

(E) Dinners, cooked;

(F) Dressed;

(G) Eggs, albumen, liquid;

(H) Eggs, albumen, liquid, pasteurized;

(I) Eggs, dried;

(J) Eggs, frozen;

(K) Eggs, liquid, whole or separated;

(L) Eggs, oiled;

(M) Eggs, omelet mix consisting of fresh broken eggs and milk with minute amounts of salt and pepper and seasoning, packaged;

(N) Eggs, powder, dried;

(O) Eggs, shelled;

(P) Eggs, whites;

(Q) Eggs, whole, with added yolks, dried;

(R) Eggs, whole, with added yolks;

(S) Eggs, whole standardized by substraction of whites;

(T) Eggs, yolks, dried;

(U) Eggs, yolks, liquid;

(V) Eggs, yolks;

(W) Fat, as removed from poultry, not cooked;

(X) Feathers;

(Y) Feathers, ground or feather meal;

(Z) Feathers, ground, combined with dehydrated poultry offal;

(AA) Offal, including blood and natural by-products of the killing and processing of poultry for market;

(BB) Picked;

(CC) Rolled in batter but uncooked;

(DD) Rolls, containing sectioned and deboned poultry, cooked;

(EE) Sticks, cooked;

(FF) Stuffed; and

(GG) Stuffing, packed with, but not in, bird;

(2) The transportation of livestock and poultry feed including all materials or supplementary substances necessary or useful to sustaining the life or promoting the growth of livestock or poultry, if such products, excluding products otherwise exempt under this section, are transported to a site of agricultural production or to a business enterprise engaged in the sale to agricultural producers of goods used in agricultural production;

(3) The transportation of sawdust, wood shavings, and wood chips; and

(4) The transportation of ethylene glycol antifreeze, gasoline, diesel, liquefied petroleum gas, kerosene, aviation gasoline, and jet fuel.

(c) (1) Except as otherwise provided in this subchapter, the transportation of passengers by motor vehicle shall continue to be regulated by the commission. (2) Provided, a carrier of passengers, which carrier proposes strictly charter services or charter operations for the transportation of passengers, upon application with the commission, shall not be required to prove that the proposed charter services or charter operations are required by the present or future public convenience and necessity.

(1) Except as otherwise provided in this subchapter, the transportation of passengers by motor vehicle shall continue to be regulated by the commission.

(2) Provided, a carrier of passengers, which carrier proposes strictly charter services or charter operations for the transportation of passengers, upon application with the commission, shall not be required to prove that the proposed charter services or charter operations are required by the present or future public convenience and necessity.

Amended by Act 2021, No. 389,§ 1, eff. 7/28/2021.

Amended by Act 2019, No. 315,§ 2420, eff. 7/24/2019.

Amended by Act 2019, No. 315,§ 2419, eff. 7/24/2019.

Acts 1955, No. 397, § 5; 1963, No. 89, § 1; 1963, No. 220, § 1; 1971, No. 175, § 1; 1971, No. 335, § 1; 1983, No. 74, § 1; 1985, No. 438, § 1; 1985 (1st Ex. Sess.), No. 23, § 1; 1985 (1st Ex. Sess.), No. 29, § 1; A.S.A. 1947, §§ 73-1758, 73-1758.1; Acts 1991, No. 33, § 1; 1991, No. 296, § 1; 1995, No. 746, § 2.