Ark. Code Ann. § 23-81-103 — AR Code / Title 23 / Chapter 81 / Subchapter 1 / Section 23-81-103
Life insurance - Standard provisions required
Status: in_force

(a) No policy of life insurance, other than credit life, industrial, group, and pure endowments with or without return of premiums or of premiums and interest, shall be delivered or issued for delivery in this state unless it contains in substance each of the provisions required by §§ 23-81-101 and 23-81-104 - 23-81-112 . (b) This section shall not apply to annuity contracts nor to any provision of a life insurance policy, or contract supplemental thereto, relating to disability benefits or to additional benefits in the event of death by accident or accidental means. (c) Any of the provisions or portions thereof not applicable to single premium or term policies shall to that extent not be incorporated therein. Acts 1959, No. 148, § 311; A.S.A. 1947, § 66-3302.

(a) No policy of life insurance, other than credit life, industrial, group, and pure endowments with or without return of premiums or of premiums and interest, shall be delivered or issued for delivery in this state unless it contains in substance each of the provisions required by §§ 23-81-101 and 23-81-104 - 23-81-112 .

(b) This section shall not apply to annuity contracts nor to any provision of a life insurance policy, or contract supplemental thereto, relating to disability benefits or to additional benefits in the event of death by accident or accidental means.

(c) Any of the provisions or portions thereof not applicable to single premium or term policies shall to that extent not be incorporated therein.

Acts 1959, No. 148, § 311; A.S.A. 1947, § 66-3302.
Ark. Code Ann. § 23-48-508 — AR Code / Title 23 / Chapter 48 / Subchapter 5 / Section 23-48-508
Resulting state bank - Time for conformance with state law
Status: in_force

If a party to a merger or converting bank has assets which do not conform to the requirements of state law for the resulting state bank or if it carries on business activities which are not permitted for the resulting state bank, the Bank Commissioner may permit a reasonable time in which to conform with state law. Acts 1997, No. 89, § 1.

If a party to a merger or converting bank has assets which do not conform to the requirements of state law for the resulting state bank or if it carries on business activities which are not permitted for the resulting state bank, the Bank Commissioner may permit a reasonable time in which to conform with state law.

Acts 1997, No. 89, § 1.
Ark. Code Ann. § 23-84-110 — AR Code / Title 23 / Chapter 84 / Section 23-84-110
Calculation of reserves - Certain life insurance policies and contracts
Status: in_force

(a) If in any contract year the gross premium charged by a company on any policy or contract is less than the valuation net premium for the policy or contract calculated by the method used in calculating the reserve thereon, but using the minimum valuation standards of mortality and rate of interest, the minimum reserve required for the policy or contract shall be the greater of either the reserve calculated according to the mortality table, rate of interest, and method actually used for the policy or contract, or the reserve calculated by the method actually used for the policy or contract but using the minimum valuation standards of mortality and rate of interest and replacing the valuation net premium by the actual gross premium in each contract year for which the valuation net premium exceeds the actual gross premium. The minimum valuation standards of mortality and rate of interest referred to in this section are those standards stated in §§ 23-84-103 and 23-84-104 . (b) (1) However, for any life insurance policy issued on or after January 1, 1985, for which the gross premium in the first policy year exceeds that of the second year and for which no comparable additional benefit is provided in the first year for the excess and which provides an endowment benefit or a cash surrender value, or a combination thereof, in an amount greater than the excess premium, the provisions of subsection (a) of this section shall be applied as if the method actually used in calculating the reserve for the policy was the method described in § 23-84-106 , ignoring § 23-84-106(b) . (2) The minimum reserve at each policy anniversary of the policy shall be the greater of the minimum reserve calculated in accordance with § 23-84-106 , including § 23-84-106(b) , and the minimum reserve calculated in accordance with this section. Amended by Act 2015, No. 1223,§ 43, eff. 7/22/2015. Acts 1959, No. 148, § 92; 1977, No. 551, § 6; 1981, No. 535, § 1; A.S.A. 1947, § 66-2511.

(a) If in any contract year the gross premium charged by a company on any policy or contract is less than the valuation net premium for the policy or contract calculated by the method used in calculating the reserve thereon, but using the minimum valuation standards of mortality and rate of interest, the minimum reserve required for the policy or contract shall be the greater of either the reserve calculated according to the mortality table, rate of interest, and method actually used for the policy or contract, or the reserve calculated by the method actually used for the policy or contract but using the minimum valuation standards of mortality and rate of interest and replacing the valuation net premium by the actual gross premium in each contract year for which the valuation net premium exceeds the actual gross premium. The minimum valuation standards of mortality and rate of interest referred to in this section are those standards stated in §§ 23-84-103 and 23-84-104 .

(b) (1) However, for any life insurance policy issued on or after January 1, 1985, for which the gross premium in the first policy year exceeds that of the second year and for which no comparable additional benefit is provided in the first year for the excess and which provides an endowment benefit or a cash surrender value, or a combination thereof, in an amount greater than the excess premium, the provisions of subsection (a) of this section shall be applied as if the method actually used in calculating the reserve for the policy was the method described in § 23-84-106 , ignoring § 23-84-106(b) . (2) The minimum reserve at each policy anniversary of the policy shall be the greater of the minimum reserve calculated in accordance with § 23-84-106 , including § 23-84-106(b) , and the minimum reserve calculated in accordance with this section.

(1) However, for any life insurance policy issued on or after January 1, 1985, for which the gross premium in the first policy year exceeds that of the second year and for which no comparable additional benefit is provided in the first year for the excess and which provides an endowment benefit or a cash surrender value, or a combination thereof, in an amount greater than the excess premium, the provisions of subsection (a) of this section shall be applied as if the method actually used in calculating the reserve for the policy was the method described in § 23-84-106 , ignoring § 23-84-106(b) .

(2) The minimum reserve at each policy anniversary of the policy shall be the greater of the minimum reserve calculated in accordance with § 23-84-106 , including § 23-84-106(b) , and the minimum reserve calculated in accordance with this section.

Amended by Act 2015, No. 1223,§ 43, eff. 7/22/2015.

Acts 1959, No. 148, § 92; 1977, No. 551, § 6; 1981, No. 535, § 1; A.S.A. 1947, § 66-2511.
Ark. Code Ann. § 23-66-604 — AR Code / Title 23 / Chapter 66 / Subchapter 6 / Section 23-66-604
Exemption
Status: in_force

The provisions of § 23-66-606 shall not apply to or affect in any way a broker-dealer licensed by the State of Arkansas when such a broker-dealer is conducting insurance sales activities on premises other than a depository institution or an affiliate of a depository institution premises. Acts 1997, No. 900, § 7; 2001, No. 1728, § 3.

The provisions of § 23-66-606 shall not apply to or affect in any way a broker-dealer licensed by the State of Arkansas when such a broker-dealer is conducting insurance sales activities on premises other than a depository institution or an affiliate of a depository institution premises.

Acts 1997, No. 900, § 7; 2001, No. 1728, § 3.
Ark. Code Ann. § 23-11-214 — AR Code / Title 23 / Chapter 11 / Subchapter 2 / Section 23-11-214
Board of directors - Meetings
Status: in_force

(a) Except as may be otherwise provided by law or by the bylaws, a majority of the board shall constitute a quorum for the transaction of business. (b) The board of directors shall hold one (1) regular annual meeting within or without the State of Arkansas on the date fixed by the bylaws. Acts 1959, No. 30, § 14; A.S.A. 1947, § 73-328.1.

(a) Except as may be otherwise provided by law or by the bylaws, a majority of the board shall constitute a quorum for the transaction of business.

(b) The board of directors shall hold one (1) regular annual meeting within or without the State of Arkansas on the date fixed by the bylaws.

Acts 1959, No. 30, § 14; A.S.A. 1947, § 73-328.1.
Ark. Code Ann. § 23-69-124 — AR Code / Title 23 / Chapter 69 / Subchapter 1 / Section 23-69-124
Contingent liability of nonlife mutual members
Status: in_force

(a) (1) Each member of a domestic mutual insurer other than a life insurer shall, except as otherwise hereinafter provided with respect to nonassessable policies, have a contingent liability, pro rata and not one for another, for the discharge of its obligations, which contingent liability shall be expressed in the policy and be in such maximum amount as is specified in the insurer's articles of incorporation. (2) Termination of the policy of any member shall not relieve the member of contingent liability for his or her proportion, if any, of the obligations of the insurer which accrued while the policy was in force. (3) Unrealized contingent liability of members does not constitute an asset of the insurer in any determination of its financial condition. (b) (1) If at any time the assets of a domestic mutual insurer other than a life insurer are less than its liabilities and the minimum amount of surplus required to be maintained by it by the Arkansas Insurance Code for authority to transact the kinds of insurance being transacted, and the deficiency is not cured from other sources, its directors shall levy an assessment only upon its members who held policies providing for contingent liability at any time within the twelve (12) months preceding the date notice of the assessment was mailed to them, and the members shall be liable to the insurer for the amount so assessed. (2) The assessment shall be for such an amount as is required to cure the deficiency and to provide a reasonable amount of working funds above the minimum amount of surplus, but working funds so provided shall not exceed five percent (5%) of the insurer's liabilities as of the date as of which the amount of the deficiency was determined. (3) In levying an assessment on policies providing for contingent liability, the assessment shall be computed on the basis of premiums earned on the policies. (4) No member shall have an offset against any assessment for which he or she is liable, on account of any claim for unearned premium or loss payable. Acts 1959, No. 148, §§ 475, 476; A.S.A. 1947, §§ 66-4223, 66-4224.

(a) (1) Each member of a domestic mutual insurer other than a life insurer shall, except as otherwise hereinafter provided with respect to nonassessable policies, have a contingent liability, pro rata and not one for another, for the discharge of its obligations, which contingent liability shall be expressed in the policy and be in such maximum amount as is specified in the insurer's articles of incorporation. (2) Termination of the policy of any member shall not relieve the member of contingent liability for his or her proportion, if any, of the obligations of the insurer which accrued while the policy was in force. (3) Unrealized contingent liability of members does not constitute an asset of the insurer in any determination of its financial condition.

(1) Each member of a domestic mutual insurer other than a life insurer shall, except as otherwise hereinafter provided with respect to nonassessable policies, have a contingent liability, pro rata and not one for another, for the discharge of its obligations, which contingent liability shall be expressed in the policy and be in such maximum amount as is specified in the insurer's articles of incorporation.

(2) Termination of the policy of any member shall not relieve the member of contingent liability for his or her proportion, if any, of the obligations of the insurer which accrued while the policy was in force.

(3) Unrealized contingent liability of members does not constitute an asset of the insurer in any determination of its financial condition.

(b) (1) If at any time the assets of a domestic mutual insurer other than a life insurer are less than its liabilities and the minimum amount of surplus required to be maintained by it by the Arkansas Insurance Code for authority to transact the kinds of insurance being transacted, and the deficiency is not cured from other sources, its directors shall levy an assessment only upon its members who held policies providing for contingent liability at any time within the twelve (12) months preceding the date notice of the assessment was mailed to them, and the members shall be liable to the insurer for the amount so assessed. (2) The assessment shall be for such an amount as is required to cure the deficiency and to provide a reasonable amount of working funds above the minimum amount of surplus, but working funds so provided shall not exceed five percent (5%) of the insurer's liabilities as of the date as of which the amount of the deficiency was determined. (3) In levying an assessment on policies providing for contingent liability, the assessment shall be computed on the basis of premiums earned on the policies. (4) No member shall have an offset against any assessment for which he or she is liable, on account of any claim for unearned premium or loss payable.

(1) If at any time the assets of a domestic mutual insurer other than a life insurer are less than its liabilities and the minimum amount of surplus required to be maintained by it by the Arkansas Insurance Code for authority to transact the kinds of insurance being transacted, and the deficiency is not cured from other sources, its directors shall levy an assessment only upon its members who held policies providing for contingent liability at any time within the twelve (12) months preceding the date notice of the assessment was mailed to them, and the members shall be liable to the insurer for the amount so assessed.

(2) The assessment shall be for such an amount as is required to cure the deficiency and to provide a reasonable amount of working funds above the minimum amount of surplus, but working funds so provided shall not exceed five percent (5%) of the insurer's liabilities as of the date as of which the amount of the deficiency was determined.

(3) In levying an assessment on policies providing for contingent liability, the assessment shall be computed on the basis of premiums earned on the policies.

(4) No member shall have an offset against any assessment for which he or she is liable, on account of any claim for unearned premium or loss payable.

Acts 1959, No. 148, §§ 475, 476; A.S.A. 1947, §§ 66-4223, 66-4224.
Ark. Code Ann. § 23-35-609 — AR Code / Title 23 / Chapter 35 / Subchapter 6 / Section 23-35-609
Fiscal year
Status: in_force

The fiscal year of all credit unions subject to the provisions of this chapter shall end on December 31. Acts 1971, No. 132, § 9; A.S.A. 1947, § 67-909.

The fiscal year of all credit unions subject to the provisions of this chapter shall end on December 31.

Acts 1971, No. 132, § 9; A.S.A. 1947, § 67-909.
Ark. Code Ann. § 23-11-205 — AR Code / Title 23 / Chapter 11 / Subchapter 2 / Section 23-11-205
Application for incorporation - Hearing - Order of department
Status: in_force

(a) Promptly after the filing of an application for the organization of a railroad corporation, the Arkansas Department of Transportation, under and in accordance with rules and regulations to be established by the department, shall set a date for a hearing upon the application and shall provide that notice of the hearing shall be given to all persons whose interest may be adversely affected by the granting of the application. (b) The department shall issue its order authorizing the granting of a charter to the proposed corporation if after the hearing the department finds that: (1) A need exists for the formation of the railroad corporation; (2) The public good and convenience will be served thereby; and (3) The proposed financing of the corporation is adequate to permit and enable the corporation to provide all of the services and facilities proposed and to protect the public interest. (c) A copy of the department's order, together with verified copies of the articles of incorporation, shall be filed in the office of the Secretary of State. Amended by Act 2017, No. 707,§ 159, eff. 8/1/2017. Acts 1959, No. 30, § 4; A.S.A. 1947, § 73-308.1.

(a) Promptly after the filing of an application for the organization of a railroad corporation, the Arkansas Department of Transportation, under and in accordance with rules and regulations to be established by the department, shall set a date for a hearing upon the application and shall provide that notice of the hearing shall be given to all persons whose interest may be adversely affected by the granting of the application.

(b) The department shall issue its order authorizing the granting of a charter to the proposed corporation if after the hearing the department finds that: (1) A need exists for the formation of the railroad corporation; (2) The public good and convenience will be served thereby; and (3) The proposed financing of the corporation is adequate to permit and enable the corporation to provide all of the services and facilities proposed and to protect the public interest.

(1) A need exists for the formation of the railroad corporation;

(2) The public good and convenience will be served thereby; and

(3) The proposed financing of the corporation is adequate to permit and enable the corporation to provide all of the services and facilities proposed and to protect the public interest.

(c) A copy of the department's order, together with verified copies of the articles of incorporation, shall be filed in the office of the Secretary of State.

Amended by Act 2017, No. 707,§ 159, eff. 8/1/2017.

Acts 1959, No. 30, § 4; A.S.A. 1947, § 73-308.1.
Ark. Code Ann. § 23-92-412 — AR Code / Title 23 / Chapter 92 / Subchapter 4 / Section 23-92-412
Penalties
Status: in_force

(a) Any person who engages in the business of a professional employer organization or acts as a professional employer organization without first procuring a license or who otherwise violates any of the provisions under this subchapter shall be liable for a civil penalty of not less than two hundred fifty dollars ($250) nor more than five thousand dollars ($5,000) for each day that it engages in the business of providing professional employer services without a license. (b) (1) Any person who violates any of the provisions under this subchapter or who violates any rules promulgated by the Insurance Commissioner under this subchapter shall be liable for a civil penalty for each offense of not less than two hundred fifty dollars ($250) nor more than five thousand dollars ($5,000) for each violation. (2) For any violation affecting two (2) or more employees covered by a professional employer organization agreement, the fine shall be multiplied by the number of employees affected by the violation. (c) The commissioner shall have the statutory power to enjoin or restrain by bringing an action in the Pulaski County Circuit Court against any person who engages in the business of or acts as a professional employer organization without having first procured a license for engaging in the business of a professional employer organization or acting as a professional employer organization. Amended by Act 2019, No. 315,§ 2778, eff. 7/24/2019. Acts 2003, No. 1750, § 1.

(a) Any person who engages in the business of a professional employer organization or acts as a professional employer organization without first procuring a license or who otherwise violates any of the provisions under this subchapter shall be liable for a civil penalty of not less than two hundred fifty dollars ($250) nor more than five thousand dollars ($5,000) for each day that it engages in the business of providing professional employer services without a license.

(b) (1) Any person who violates any of the provisions under this subchapter or who violates any rules promulgated by the Insurance Commissioner under this subchapter shall be liable for a civil penalty for each offense of not less than two hundred fifty dollars ($250) nor more than five thousand dollars ($5,000) for each violation. (2) For any violation affecting two (2) or more employees covered by a professional employer organization agreement, the fine shall be multiplied by the number of employees affected by the violation.

(1) Any person who violates any of the provisions under this subchapter or who violates any rules promulgated by the Insurance Commissioner under this subchapter shall be liable for a civil penalty for each offense of not less than two hundred fifty dollars ($250) nor more than five thousand dollars ($5,000) for each violation.

(2) For any violation affecting two (2) or more employees covered by a professional employer organization agreement, the fine shall be multiplied by the number of employees affected by the violation.

(c) The commissioner shall have the statutory power to enjoin or restrain by bringing an action in the Pulaski County Circuit Court against any person who engages in the business of or acts as a professional employer organization without having first procured a license for engaging in the business of a professional employer organization or acting as a professional employer organization.

Amended by Act 2019, No. 315,§ 2778, eff. 7/24/2019.

Acts 2003, No. 1750, § 1.
Ark. Code Ann. § 23-42-404 — AR Code / Title 23 / Chapter 42 / Subchapter 4 / Section 23-42-404
Registration statements generally
Status: in_force

(a) A registration statement may be filed by the issuer, any other person on whose behalf the offering is to be made, or a registered broker-dealer. (b) (1) Every person filing a registration statement shall pay a filing fee of one-tenth percent (0.1%) of the maximum aggregate offering price at which the registered securities are to be offered in this state, but the fee shall in no case be less than one hundred fifty dollars ($150) nor more than two thousand dollars ($2,000). Any portion of the fee in excess of one thousand dollars ($1,000) shall be designated as special revenues and shall be deposited into the Securities Department Fund. When a registration statement is withdrawn before the effective date or a preeffective stop order is entered under § 23-42-405 , the Securities Commissioner shall retain one hundred fifty dollars ($150) of the filing fee. (2) Sales of securities in excess of the amount of securities to have been offered in this state shall require the person filing the registration statement to pay a filing fee, calculated in the manner specified in subdivision (b)(1) of this section, for all securities sold. In addition, if the sales are in excess of one hundred five percent (105%) of the amount to have been offered, the person filing the registration statement shall pay a penalty fee of two hundred dollars ($200). (c) Every registration statement shall specify: (1) The amount of securities to be offered in this state; (2) The states in which a registration statement or similar document in connection with the offering has been or is to be filed; and (3) Any adverse order, judgment, or decree entered in connection with the offering by the regulatory authorities in each state or by any court or the United States Securities and Exchange Commission. (d) Any document filed under this chapter or a predecessor act, within five (5) years preceding the filing of a registration statement, may be incorporated by reference in the registration statement to the extent that the document is currently accurate. (e) The commissioner may by rule or otherwise permit the omission of any item of information or document from any registration statement. (f) In the case of a nonissuer distribution, information may not be required under § 23-42-403 or subsection (m) of this section unless it is known to the person filing the registration statement or to the persons on whose behalf the distribution is to be made, or can be furnished by them without unreasonable effort or expense. (g) (1) The commissioner may, by rule or order, require as a condition of registration by qualification or coordination that: (A) Any security issued within the past three (3) years or to be issued to a promoter for a consideration substantially different from the public offering price, or to any person for a consideration other than cash, be deposited in escrow; (B) The proceeds from the sale of the registered security be impounded until the issuer receives a specified amount. (2) The commissioner may by rule or order determine the conditions of any escrow or impounding required hereunder, but he or she may not reject a depository solely because of location in another state. (h) The commissioner may require the issuer, as a condition of registration by qualification, to escrow up to ten percent (10%) of the maximum aggregate price of the offering, from the offering proceeds under such terms and conditions as he or she deems appropriate for up to three (3) years from the date of termination of the offering, or to post a corporate surety bond for up to ten percent (10%) of the maximum aggregate price of the offering for up to (3) years from the date of termination of the offering. Any security holder having a right under this chapter against the issuer shall have a right of action against the escrow or corporate surety bond. (i) The commissioner may by rule or order require as a condition of registration that any security registered by qualification or coordination be sold only on an approved form of subscription or sale contract and that a signed or conformed copy of each subscription or sale contract be filed with the commissioner or preserved for any period up to three (3) years specified in the rule or order. (j) Every registration statement is effective for one (1) year from its effective date and, upon renewal, for any longer period during which the security is being offered or distributed in a nonexempted transaction, except during the time a stop order is in effect. (k) Renewal registration for the succeeding twelve-month period may be issued upon written application and upon payment of fees as provided by this section for original registration, even though the maximum fee was paid the preceding period, without filing of further statements or furnishing any further information except as requested by the commissioner. All applications for renewal received after the expiration of the previous registration shall be treated as original applications. (l) (1) All outstanding securities of the same class as a registered security are considered to be registered for the purpose of any nonissuer transactions: (A) So long as the registration statement is effective, whether by original or renewal registration; and (B) Between the thirtieth day after the entry of any stop order suspending or revoking the effectiveness of the registration statement under § 23-42-405 , if the registration statement did not relate in whole or in part to a nonissuer distribution, and one (1) year from the effective date of the registration statement. (2) A registration statement may not be withdrawn for one (1) year from its effective date if any securities of the same class are outstanding. A registration statement may be withdrawn otherwise only in the discretion of the commissioner. (m) So long as a registration statement is effective, the commissioner may by rule or order require the person who filed the registration to keep reasonably current the information contained in the registration statement and to disclose the progress of the offering. (n) A registration statement relating to a security may be amended after its effective date so as to increase the securities specified as proposed to be offered. The amendment becomes effective when the commissioner so orders. Every person filing such an amendment shall pay a filing fee, calculated in the manner specified in subsection (b) of this section, with respect to the additional securities proposed to be offered. (o) The State Securities Department is hereby authorized to promulgate such rules necessary to administer the fees, rates, tolls, or charges for services established by this section and § 23-42-304 and is directed to prescribe and collect the fees, rates, tolls, or charges for the services by the department in the manner that may be necessary to support the programs of the department as directed by the Governor and the General Assembly. (p) The commissioner may consider a registration statement abandoned and withdrawn by the applicant if the: (1) Registration statement has not been completed within one hundred eighty (180) days after filing with the commissioner; and (2) Applicant has been notified of the deficiencies in the application and provided a reasonable opportunity to correct the deficiencies. Amended by Act 2019, No. 315,§ 2515, eff. 7/24/2019. Acts 1959, No. 254, § 11; 1961, No. 248, § 5; 1971, No. 131, § 1; 1973, No. 47, § 9; 1977, No. 493, § 3; 1979, No. 754, § 1; 1983, No. 836, §§ 22-24; A.S.A. 1947, § 67-1245; Acts 1987, No. 449, § 2; 1993, No. 659, §§ 3, 5; 1993, No. 850, § 3, 5; 1995, No. 845, § 23; 1997, No. 173, § 17; 2011, No. 339, § 11.

(a) A registration statement may be filed by the issuer, any other person on whose behalf the offering is to be made, or a registered broker-dealer.

(b) (1) Every person filing a registration statement shall pay a filing fee of one-tenth percent (0.1%) of the maximum aggregate offering price at which the registered securities are to be offered in this state, but the fee shall in no case be less than one hundred fifty dollars ($150) nor more than two thousand dollars ($2,000). Any portion of the fee in excess of one thousand dollars ($1,000) shall be designated as special revenues and shall be deposited into the Securities Department Fund. When a registration statement is withdrawn before the effective date or a preeffective stop order is entered under § 23-42-405 , the Securities Commissioner shall retain one hundred fifty dollars ($150) of the filing fee. (2) Sales of securities in excess of the amount of securities to have been offered in this state shall require the person filing the registration statement to pay a filing fee, calculated in the manner specified in subdivision (b)(1) of this section, for all securities sold. In addition, if the sales are in excess of one hundred five percent (105%) of the amount to have been offered, the person filing the registration statement shall pay a penalty fee of two hundred dollars ($200).

(1) Every person filing a registration statement shall pay a filing fee of one-tenth percent (0.1%) of the maximum aggregate offering price at which the registered securities are to be offered in this state, but the fee shall in no case be less than one hundred fifty dollars ($150) nor more than two thousand dollars ($2,000). Any portion of the fee in excess of one thousand dollars ($1,000) shall be designated as special revenues and shall be deposited into the Securities Department Fund. When a registration statement is withdrawn before the effective date or a preeffective stop order is entered under § 23-42-405 , the Securities Commissioner shall retain one hundred fifty dollars ($150) of the filing fee.

(2) Sales of securities in excess of the amount of securities to have been offered in this state shall require the person filing the registration statement to pay a filing fee, calculated in the manner specified in subdivision (b)(1) of this section, for all securities sold. In addition, if the sales are in excess of one hundred five percent (105%) of the amount to have been offered, the person filing the registration statement shall pay a penalty fee of two hundred dollars ($200).

(c) Every registration statement shall specify: (1) The amount of securities to be offered in this state; (2) The states in which a registration statement or similar document in connection with the offering has been or is to be filed; and (3) Any adverse order, judgment, or decree entered in connection with the offering by the regulatory authorities in each state or by any court or the United States Securities and Exchange Commission.

(1) The amount of securities to be offered in this state;

(2) The states in which a registration statement or similar document in connection with the offering has been or is to be filed; and

(3) Any adverse order, judgment, or decree entered in connection with the offering by the regulatory authorities in each state or by any court or the United States Securities and Exchange Commission.

(d) Any document filed under this chapter or a predecessor act, within five (5) years preceding the filing of a registration statement, may be incorporated by reference in the registration statement to the extent that the document is currently accurate.

(e) The commissioner may by rule or otherwise permit the omission of any item of information or document from any registration statement.

(f) In the case of a nonissuer distribution, information may not be required under § 23-42-403 or subsection (m) of this section unless it is known to the person filing the registration statement or to the persons on whose behalf the distribution is to be made, or can be furnished by them without unreasonable effort or expense.

(g) (1) The commissioner may, by rule or order, require as a condition of registration by qualification or coordination that: (A) Any security issued within the past three (3) years or to be issued to a promoter for a consideration substantially different from the public offering price, or to any person for a consideration other than cash, be deposited in escrow; (B) The proceeds from the sale of the registered security be impounded until the issuer receives a specified amount. (2) The commissioner may by rule or order determine the conditions of any escrow or impounding required hereunder, but he or she may not reject a depository solely because of location in another state.

(1) The commissioner may, by rule or order, require as a condition of registration by qualification or coordination that: (A) Any security issued within the past three (3) years or to be issued to a promoter for a consideration substantially different from the public offering price, or to any person for a consideration other than cash, be deposited in escrow; (B) The proceeds from the sale of the registered security be impounded until the issuer receives a specified amount.

(A) Any security issued within the past three (3) years or to be issued to a promoter for a consideration substantially different from the public offering price, or to any person for a consideration other than cash, be deposited in escrow;

(B) The proceeds from the sale of the registered security be impounded until the issuer receives a specified amount.

(2) The commissioner may by rule or order determine the conditions of any escrow or impounding required hereunder, but he or she may not reject a depository solely because of location in another state.

(h) The commissioner may require the issuer, as a condition of registration by qualification, to escrow up to ten percent (10%) of the maximum aggregate price of the offering, from the offering proceeds under such terms and conditions as he or she deems appropriate for up to three (3) years from the date of termination of the offering, or to post a corporate surety bond for up to ten percent (10%) of the maximum aggregate price of the offering for up to (3) years from the date of termination of the offering. Any security holder having a right under this chapter against the issuer shall have a right of action against the escrow or corporate surety bond.

(i) The commissioner may by rule or order require as a condition of registration that any security registered by qualification or coordination be sold only on an approved form of subscription or sale contract and that a signed or conformed copy of each subscription or sale contract be filed with the commissioner or preserved for any period up to three (3) years specified in the rule or order.

(j) Every registration statement is effective for one (1) year from its effective date and, upon renewal, for any longer period during which the security is being offered or distributed in a nonexempted transaction, except during the time a stop order is in effect.

(k) Renewal registration for the succeeding twelve-month period may be issued upon written application and upon payment of fees as provided by this section for original registration, even though the maximum fee was paid the preceding period, without filing of further statements or furnishing any further information except as requested by the commissioner. All applications for renewal received after the expiration of the previous registration shall be treated as original applications.

(l) (1) All outstanding securities of the same class as a registered security are considered to be registered for the purpose of any nonissuer transactions: (A) So long as the registration statement is effective, whether by original or renewal registration; and (B) Between the thirtieth day after the entry of any stop order suspending or revoking the effectiveness of the registration statement under § 23-42-405 , if the registration statement did not relate in whole or in part to a nonissuer distribution, and one (1) year from the effective date of the registration statement. (2) A registration statement may not be withdrawn for one (1) year from its effective date if any securities of the same class are outstanding. A registration statement may be withdrawn otherwise only in the discretion of the commissioner.

(1) All outstanding securities of the same class as a registered security are considered to be registered for the purpose of any nonissuer transactions: (A) So long as the registration statement is effective, whether by original or renewal registration; and (B) Between the thirtieth day after the entry of any stop order suspending or revoking the effectiveness of the registration statement under § 23-42-405 , if the registration statement did not relate in whole or in part to a nonissuer distribution, and one (1) year from the effective date of the registration statement.

(A) So long as the registration statement is effective, whether by original or renewal registration; and

(B) Between the thirtieth day after the entry of any stop order suspending or revoking the effectiveness of the registration statement under § 23-42-405 , if the registration statement did not relate in whole or in part to a nonissuer distribution, and one (1) year from the effective date of the registration statement.

(2) A registration statement may not be withdrawn for one (1) year from its effective date if any securities of the same class are outstanding. A registration statement may be withdrawn otherwise only in the discretion of the commissioner.

(m) So long as a registration statement is effective, the commissioner may by rule or order require the person who filed the registration to keep reasonably current the information contained in the registration statement and to disclose the progress of the offering.

(n) A registration statement relating to a security may be amended after its effective date so as to increase the securities specified as proposed to be offered. The amendment becomes effective when the commissioner so orders. Every person filing such an amendment shall pay a filing fee, calculated in the manner specified in subsection (b) of this section, with respect to the additional securities proposed to be offered.

(o) The State Securities Department is hereby authorized to promulgate such rules necessary to administer the fees, rates, tolls, or charges for services established by this section and § 23-42-304 and is directed to prescribe and collect the fees, rates, tolls, or charges for the services by the department in the manner that may be necessary to support the programs of the department as directed by the Governor and the General Assembly.

(p) The commissioner may consider a registration statement abandoned and withdrawn by the applicant if the: (1) Registration statement has not been completed within one hundred eighty (180) days after filing with the commissioner; and (2) Applicant has been notified of the deficiencies in the application and provided a reasonable opportunity to correct the deficiencies.

(1) Registration statement has not been completed within one hundred eighty (180) days after filing with the commissioner; and

(2) Applicant has been notified of the deficiencies in the application and provided a reasonable opportunity to correct the deficiencies.

Amended by Act 2019, No. 315,§ 2515, eff. 7/24/2019.

Acts 1959, No. 254, § 11; 1961, No. 248, § 5; 1971, No. 131, § 1; 1973, No. 47, § 9; 1977, No. 493, § 3; 1979, No. 754, § 1; 1983, No. 836, §§ 22-24; A.S.A. 1947, § 67-1245; Acts 1987, No. 449, § 2; 1993, No. 659, §§ 3, 5; 1993, No. 850, § 3, 5; 1995, No. 845, § 23; 1997, No. 173, § 17; 2011, No. 339, § 11.
Ark. Code Ann. § 23-115-404 — AR Code / Title 23 / Chapter 115 / Subchapter 4 / Section 23-115-404
Confidential information - Definition
Status: in_force

(a) (1) Except as otherwise provided in this subsection, the Office of the Arkansas Lottery shall comply with the Freedom of Information Act of 1967, § 25-19-101 et seq. (2) The following records or information shall be treated as confidential and are exempt from public disclosure under the Freedom of Information Act of 1967, § 25-19-101 et seq.: (A) Information pertaining to the security of lottery games and lottery operations, including without limitation: (i) Security measures, systems, or procedures; and (ii) Security reports; and (B) Any records exempt from disclosure under the Freedom of Information Act of 1967, § 25-19-101 et seq. (3) (A) Except as provided under subdivision (a)(3)(B) of this section, if a lottery winner who wins more than five hundred thousand dollars ($500,000) requests that his or her records or information filed with the Office of the Arkansas Lottery remain confidential, the records or information filed with the Office of the Arkansas Lottery shall be treated as confidential and are exempt from public disclosure under the Freedom of Information Act of 1967, § 25-19-101 et seq. (B) (i) However, the records or information of a lottery winner shall remain confidential under subdivision (a)(3)(A) of this section for only six (6) months if the lottery winner is an elected official or an individual who is related in the second degree of consanguinity to an elected official. (ii) As used in subdivision (a)(3)(B)(i) of this section, "elected official" means a person who holds an elected office of a governmental body, whether elected or appointed to the office. (C) Records or information filed with the Office of the Arkansas Lottery and treated as confidential under subdivision (a)(3)(A) of this section shall become public after three (3) years. (b) Arkansas Legislative Audit shall have full access to the records of the Office of the Arkansas Lottery. Amended by Act 2021, No. 889,§ 1, eff. 7/28/2021. Amended by Act 2015, No. 218,§ 25, eff. 2/26/2015. Acts 2009, No. 605, § 1; 2009, No. 606, § 1; 2009, No. 1405, § 37.

(a) (1) Except as otherwise provided in this subsection, the Office of the Arkansas Lottery shall comply with the Freedom of Information Act of 1967, § 25-19-101 et seq. (2) The following records or information shall be treated as confidential and are exempt from public disclosure under the Freedom of Information Act of 1967, § 25-19-101 et seq.: (A) Information pertaining to the security of lottery games and lottery operations, including without limitation: (i) Security measures, systems, or procedures; and (ii) Security reports; and (B) Any records exempt from disclosure under the Freedom of Information Act of 1967, § 25-19-101 et seq. (3) (A) Except as provided under subdivision (a)(3)(B) of this section, if a lottery winner who wins more than five hundred thousand dollars ($500,000) requests that his or her records or information filed with the Office of the Arkansas Lottery remain confidential, the records or information filed with the Office of the Arkansas Lottery shall be treated as confidential and are exempt from public disclosure under the Freedom of Information Act of 1967, § 25-19-101 et seq. (B) (i) However, the records or information of a lottery winner shall remain confidential under subdivision (a)(3)(A) of this section for only six (6) months if the lottery winner is an elected official or an individual who is related in the second degree of consanguinity to an elected official. (ii) As used in subdivision (a)(3)(B)(i) of this section, "elected official" means a person who holds an elected office of a governmental body, whether elected or appointed to the office. (C) Records or information filed with the Office of the Arkansas Lottery and treated as confidential under subdivision (a)(3)(A) of this section shall become public after three (3) years.

(1) Except as otherwise provided in this subsection, the Office of the Arkansas Lottery shall comply with the Freedom of Information Act of 1967, § 25-19-101 et seq.

(2) The following records or information shall be treated as confidential and are exempt from public disclosure under the Freedom of Information Act of 1967, § 25-19-101 et seq.: (A) Information pertaining to the security of lottery games and lottery operations, including without limitation: (i) Security measures, systems, or procedures; and (ii) Security reports; and (B) Any records exempt from disclosure under the Freedom of Information Act of 1967, § 25-19-101 et seq.

(A) Information pertaining to the security of lottery games and lottery operations, including without limitation: (i) Security measures, systems, or procedures; and (ii) Security reports; and

(i) Security measures, systems, or procedures; and

(ii) Security reports; and

(B) Any records exempt from disclosure under the Freedom of Information Act of 1967, § 25-19-101 et seq.

(3) (A) Except as provided under subdivision (a)(3)(B) of this section, if a lottery winner who wins more than five hundred thousand dollars ($500,000) requests that his or her records or information filed with the Office of the Arkansas Lottery remain confidential, the records or information filed with the Office of the Arkansas Lottery shall be treated as confidential and are exempt from public disclosure under the Freedom of Information Act of 1967, § 25-19-101 et seq. (B) (i) However, the records or information of a lottery winner shall remain confidential under subdivision (a)(3)(A) of this section for only six (6) months if the lottery winner is an elected official or an individual who is related in the second degree of consanguinity to an elected official. (ii) As used in subdivision (a)(3)(B)(i) of this section, "elected official" means a person who holds an elected office of a governmental body, whether elected or appointed to the office. (C) Records or information filed with the Office of the Arkansas Lottery and treated as confidential under subdivision (a)(3)(A) of this section shall become public after three (3) years.

(A) Except as provided under subdivision (a)(3)(B) of this section, if a lottery winner who wins more than five hundred thousand dollars ($500,000) requests that his or her records or information filed with the Office of the Arkansas Lottery remain confidential, the records or information filed with the Office of the Arkansas Lottery shall be treated as confidential and are exempt from public disclosure under the Freedom of Information Act of 1967, § 25-19-101 et seq.

(B) (i) However, the records or information of a lottery winner shall remain confidential under subdivision (a)(3)(A) of this section for only six (6) months if the lottery winner is an elected official or an individual who is related in the second degree of consanguinity to an elected official. (ii) As used in subdivision (a)(3)(B)(i) of this section, "elected official" means a person who holds an elected office of a governmental body, whether elected or appointed to the office.

(i) However, the records or information of a lottery winner shall remain confidential under subdivision (a)(3)(A) of this section for only six (6) months if the lottery winner is an elected official or an individual who is related in the second degree of consanguinity to an elected official.

(ii) As used in subdivision (a)(3)(B)(i) of this section, "elected official" means a person who holds an elected office of a governmental body, whether elected or appointed to the office.

(C) Records or information filed with the Office of the Arkansas Lottery and treated as confidential under subdivision (a)(3)(A) of this section shall become public after three (3) years.

(b) Arkansas Legislative Audit shall have full access to the records of the Office of the Arkansas Lottery.

Amended by Act 2021, No. 889,§ 1, eff. 7/28/2021.

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

Acts 2009, No. 605, § 1; 2009, No. 606, § 1; 2009, No. 1405, § 37.
Ark. Code Ann. § 23-47-508 — AR Code / Title 23 / Chapter 47 / Subchapter 5 / Section 23-47-508
Disposition of real estate acquired through debt collection
Status: in_force

(a) Except as provided in subsection (b) of this section, real estate acquired through the collection of debts previously contracted in the ordinary course of business shall not be held by the state bank as an asset for a longer period than five (5) years. (b) The Bank Commissioner is authorized to grant an extension of the holding period not to exceed five (5) additional years, or for shorter periods as circumstances warrant, based upon his or her discretion. (c) Real estate held pursuant to this section shall be considered an asset of the bank. The value of the asset shall be based upon fair market value supported by an appraisal or appropriate evaluation when the bank acquires ownership of the property or as established by rule of the commissioner. Amended by Act 2019, No. 315,§ 2533, eff. 7/24/2019. Acts 1997, No. 89, § 1; 2001, No. 62, § 2.

(a) Except as provided in subsection (b) of this section, real estate acquired through the collection of debts previously contracted in the ordinary course of business shall not be held by the state bank as an asset for a longer period than five (5) years.

(b) The Bank Commissioner is authorized to grant an extension of the holding period not to exceed five (5) additional years, or for shorter periods as circumstances warrant, based upon his or her discretion.

(c) Real estate held pursuant to this section shall be considered an asset of the bank. The value of the asset shall be based upon fair market value supported by an appraisal or appropriate evaluation when the bank acquires ownership of the property or as established by rule of the commissioner.

Amended by Act 2019, No. 315,§ 2533, eff. 7/24/2019.

Acts 1997, No. 89, § 1; 2001, No. 62, § 2.
Ark. Code Ann. § 23-75-116 — AR Code / Title 23 / Chapter 75 / Section 23-75-116
Nonliability
Status: in_force

No liability shall attach to any corporation holding a certificate of authority under this chapter by reason of the failure on the part of any hospital or physician to render service to any of its subscribers, nor for the negligence, malpractice, or other acts of hospitals or physicians. Acts 1959, No. 148, § 683; A.S.A. 1947, § 66-4913.

No liability shall attach to any corporation holding a certificate of authority under this chapter by reason of the failure on the part of any hospital or physician to render service to any of its subscribers, nor for the negligence, malpractice, or other acts of hospitals or physicians.

Acts 1959, No. 148, § 683; A.S.A. 1947, § 66-4913.
Ark. Code Ann. § 23-63-910 — AR Code / Title 23 / Chapter 63 / Subchapter 9 / Section 23-63-910
Deficiency
Status: in_force

(a) (1) If for any reason the market value of assets and securities of an insurer held on deposit in this state under § 23-63-206 or under the retaliatory provision, §§ 23-63-102 - 23-63-104 , falls below the amount so required, then the insurer shall promptly deposit other or additional assets or securities eligible for deposit sufficient to cure the deficiency. (2) If the insurer has failed to cure the deficiency within thirty (30) days after receipt of notice of deficiency by registered mail from the Insurance Commissioner, the commissioner shall revoke the insurer's certificate of authority. (b) (1) If for any reason the market value of assets and securities of a domestic life insurer, representing deposit of the reserves of certain of its outstanding policies and annuity contracts under § 23-81-130 , falls below the amount so required and as determined from the insurer's most recent annual statement or most recent examination of the insurer by the commissioner, then the insurer shall promptly deposit other or additional assets or securities eligible for deposit sufficient to cure the deficiency. (2) If the insurer has failed to cure the deficiency, after the commissioner has given the insurer notice of deficiency by registered mail, within such reasonable time, not exceeding ninety (90) days, as may be allowed by the commissioner and so specified in his or her notice, the insurer shall be deemed to be insolvent. The commissioner shall then revoke its certificate of authority and institute delinquency proceedings against the insurer under §§ 23-68-101 - 23-68-113 and 23-68-115 - 23-68-132 . Acts 1959, No. 148, § 141; A.S.A. 1947, § 66-2710; Acts 2001, No. 1604, § 41.

(a) (1) If for any reason the market value of assets and securities of an insurer held on deposit in this state under § 23-63-206 or under the retaliatory provision, §§ 23-63-102 - 23-63-104 , falls below the amount so required, then the insurer shall promptly deposit other or additional assets or securities eligible for deposit sufficient to cure the deficiency. (2) If the insurer has failed to cure the deficiency within thirty (30) days after receipt of notice of deficiency by registered mail from the Insurance Commissioner, the commissioner shall revoke the insurer's certificate of authority.

(1) If for any reason the market value of assets and securities of an insurer held on deposit in this state under § 23-63-206 or under the retaliatory provision, §§ 23-63-102 - 23-63-104 , falls below the amount so required, then the insurer shall promptly deposit other or additional assets or securities eligible for deposit sufficient to cure the deficiency.

(2) If the insurer has failed to cure the deficiency within thirty (30) days after receipt of notice of deficiency by registered mail from the Insurance Commissioner, the commissioner shall revoke the insurer's certificate of authority.

(b) (1) If for any reason the market value of assets and securities of a domestic life insurer, representing deposit of the reserves of certain of its outstanding policies and annuity contracts under § 23-81-130 , falls below the amount so required and as determined from the insurer's most recent annual statement or most recent examination of the insurer by the commissioner, then the insurer shall promptly deposit other or additional assets or securities eligible for deposit sufficient to cure the deficiency. (2) If the insurer has failed to cure the deficiency, after the commissioner has given the insurer notice of deficiency by registered mail, within such reasonable time, not exceeding ninety (90) days, as may be allowed by the commissioner and so specified in his or her notice, the insurer shall be deemed to be insolvent. The commissioner shall then revoke its certificate of authority and institute delinquency proceedings against the insurer under §§ 23-68-101 - 23-68-113 and 23-68-115 - 23-68-132 .

(1) If for any reason the market value of assets and securities of a domestic life insurer, representing deposit of the reserves of certain of its outstanding policies and annuity contracts under § 23-81-130 , falls below the amount so required and as determined from the insurer's most recent annual statement or most recent examination of the insurer by the commissioner, then the insurer shall promptly deposit other or additional assets or securities eligible for deposit sufficient to cure the deficiency.

(2) If the insurer has failed to cure the deficiency, after the commissioner has given the insurer notice of deficiency by registered mail, within such reasonable time, not exceeding ninety (90) days, as may be allowed by the commissioner and so specified in his or her notice, the insurer shall be deemed to be insolvent. The commissioner shall then revoke its certificate of authority and institute delinquency proceedings against the insurer under §§ 23-68-101 - 23-68-113 and 23-68-115 - 23-68-132 .

Acts 1959, No. 148, § 141; A.S.A. 1947, § 66-2710; Acts 2001, No. 1604, § 41.
Ark. Code Ann. § 23-88-103 — AR Code / Title 23 / Chapter 88 / Subchapter 1 / Section 23-88-103
Rate credits or reduced rates in rural fire protection districts or areas
Status: in_force

(a) (1) It is found and determined by the General Assembly that: (A) Rural fire protection districts are beneficial to all property owners in the districts; (B) Many of the districts are financed wholly or in part by dues or subscription payments made by members of the district; (C) Some owners of property in the districts fail or refuse to become members of and pay the dues or subscription charges to the district and that under present law insurance companies are permitted to give nonmember property owners the same rate credit as is granted to paying members of the district; and (D) The giving of equal rate credit to paying and nonpaying property owners in the district is most inequitable and should be corrected. (2) Therefore, it is the intent and purpose of this section to prohibit insurers from giving nonpaying property owners in rural fire protection districts the rate credit given paying members of the district. (b) Any property or casualty insurance company which gives any rate credit or any special reduced rates on risks located in a rural fire protection district or in any area protected by a rural fire department, which district or department is wholly or partially funded by assessments, dues, or subscription payments paid by owners of property located in the district or property owners who are members of an association supporting the rural fire department, shall give the rate credit or reduced rate only on risks insured by persons who pay the appropriate assessment, dues, or subscription payments for support of the district or department. (c) (1) (A) It is unlawful for any insurance agent or company to knowingly write an initial policy of fire insurance coverage on any risk located in a rural fire protection district or in any area protected by a rural fire department at any special reduced rate or with any rate credit based on the location of the risk in such a district or area without having first obtained from the insured or from the fire department providing service in the district or area evidence showing that a current assessment, dues, or subscription payments for the property to be insured have been paid to the fire department serving the area in which the insured property is located. (B) The evidence required by the insurer may be, but is not limited to, a receipt, cancelled check, or other valid proof of payment provided by the insured. (2) (A) If any agent is found by the Insurance Commissioner to have violated the provisions of this subsection, the agent shall be liable for an administrative penalty of one hundred dollars ($100) for the first violation and five hundred dollars ($500) for the second violation. (B) For any subsequent violation, the agent shall be liable for an administrative penalty of five hundred dollars ($500) plus an amount equal to the difference between the amount of the premium actually charged on the particular policy involved based on the special rate and the amount of premium which would have been charged if the special rate had not been applied. Acts 1985, No. 485, §§ 1, 2; 1985 (1st Ex. Sess.), No. 37, § 1; 1985 (1st Ex. Sess.), No. 38, § 1; A.S.A. 1947, §§ 66-3139, 66-3140; Acts 1997, No. 1178, § 1.

(a) (1) It is found and determined by the General Assembly that: (A) Rural fire protection districts are beneficial to all property owners in the districts; (B) Many of the districts are financed wholly or in part by dues or subscription payments made by members of the district; (C) Some owners of property in the districts fail or refuse to become members of and pay the dues or subscription charges to the district and that under present law insurance companies are permitted to give nonmember property owners the same rate credit as is granted to paying members of the district; and (D) The giving of equal rate credit to paying and nonpaying property owners in the district is most inequitable and should be corrected. (2) Therefore, it is the intent and purpose of this section to prohibit insurers from giving nonpaying property owners in rural fire protection districts the rate credit given paying members of the district.

(1) It is found and determined by the General Assembly that: (A) Rural fire protection districts are beneficial to all property owners in the districts; (B) Many of the districts are financed wholly or in part by dues or subscription payments made by members of the district; (C) Some owners of property in the districts fail or refuse to become members of and pay the dues or subscription charges to the district and that under present law insurance companies are permitted to give nonmember property owners the same rate credit as is granted to paying members of the district; and (D) The giving of equal rate credit to paying and nonpaying property owners in the district is most inequitable and should be corrected.

(A) Rural fire protection districts are beneficial to all property owners in the districts;

(B) Many of the districts are financed wholly or in part by dues or subscription payments made by members of the district;

(C) Some owners of property in the districts fail or refuse to become members of and pay the dues or subscription charges to the district and that under present law insurance companies are permitted to give nonmember property owners the same rate credit as is granted to paying members of the district; and

(D) The giving of equal rate credit to paying and nonpaying property owners in the district is most inequitable and should be corrected.

(2) Therefore, it is the intent and purpose of this section to prohibit insurers from giving nonpaying property owners in rural fire protection districts the rate credit given paying members of the district.

(b) Any property or casualty insurance company which gives any rate credit or any special reduced rates on risks located in a rural fire protection district or in any area protected by a rural fire department, which district or department is wholly or partially funded by assessments, dues, or subscription payments paid by owners of property located in the district or property owners who are members of an association supporting the rural fire department, shall give the rate credit or reduced rate only on risks insured by persons who pay the appropriate assessment, dues, or subscription payments for support of the district or department.

(c) (1) (A) It is unlawful for any insurance agent or company to knowingly write an initial policy of fire insurance coverage on any risk located in a rural fire protection district or in any area protected by a rural fire department at any special reduced rate or with any rate credit based on the location of the risk in such a district or area without having first obtained from the insured or from the fire department providing service in the district or area evidence showing that a current assessment, dues, or subscription payments for the property to be insured have been paid to the fire department serving the area in which the insured property is located. (B) The evidence required by the insurer may be, but is not limited to, a receipt, cancelled check, or other valid proof of payment provided by the insured. (2) (A) If any agent is found by the Insurance Commissioner to have violated the provisions of this subsection, the agent shall be liable for an administrative penalty of one hundred dollars ($100) for the first violation and five hundred dollars ($500) for the second violation. (B) For any subsequent violation, the agent shall be liable for an administrative penalty of five hundred dollars ($500) plus an amount equal to the difference between the amount of the premium actually charged on the particular policy involved based on the special rate and the amount of premium which would have been charged if the special rate had not been applied.

(1) (A) It is unlawful for any insurance agent or company to knowingly write an initial policy of fire insurance coverage on any risk located in a rural fire protection district or in any area protected by a rural fire department at any special reduced rate or with any rate credit based on the location of the risk in such a district or area without having first obtained from the insured or from the fire department providing service in the district or area evidence showing that a current assessment, dues, or subscription payments for the property to be insured have been paid to the fire department serving the area in which the insured property is located. (B) The evidence required by the insurer may be, but is not limited to, a receipt, cancelled check, or other valid proof of payment provided by the insured.

(A) It is unlawful for any insurance agent or company to knowingly write an initial policy of fire insurance coverage on any risk located in a rural fire protection district or in any area protected by a rural fire department at any special reduced rate or with any rate credit based on the location of the risk in such a district or area without having first obtained from the insured or from the fire department providing service in the district or area evidence showing that a current assessment, dues, or subscription payments for the property to be insured have been paid to the fire department serving the area in which the insured property is located.

(B) The evidence required by the insurer may be, but is not limited to, a receipt, cancelled check, or other valid proof of payment provided by the insured.

(2) (A) If any agent is found by the Insurance Commissioner to have violated the provisions of this subsection, the agent shall be liable for an administrative penalty of one hundred dollars ($100) for the first violation and five hundred dollars ($500) for the second violation. (B) For any subsequent violation, the agent shall be liable for an administrative penalty of five hundred dollars ($500) plus an amount equal to the difference between the amount of the premium actually charged on the particular policy involved based on the special rate and the amount of premium which would have been charged if the special rate had not been applied.

(A) If any agent is found by the Insurance Commissioner to have violated the provisions of this subsection, the agent shall be liable for an administrative penalty of one hundred dollars ($100) for the first violation and five hundred dollars ($500) for the second violation.

(B) For any subsequent violation, the agent shall be liable for an administrative penalty of five hundred dollars ($500) plus an amount equal to the difference between the amount of the premium actually charged on the particular policy involved based on the special rate and the amount of premium which would have been charged if the special rate had not been applied.

Acts 1985, No. 485, §§ 1, 2; 1985 (1st Ex. Sess.), No. 37, § 1; 1985 (1st Ex. Sess.), No. 38, § 1; A.S.A. 1947, §§ 66-3139, 66-3140; Acts 1997, No. 1178, § 1.
Ark. Code Ann. § 23-99-1705 — AR Code / Title 23 / Chapter 99 / Subchapter 17 / Section 23-99-1705
Claims
Status: in_force

(a) A contracting entity shall pay a claim for ambulance services for which prior authorization was received regardless of the terminology used by the transportation benefit manager or health benefit plan within thirty (30) days of receipt of the claim from an ambulance provider, unless: (1) Authorized ambulance services were never performed; or (2) There is specific information available for review by the appropriate state or federal agency that the subscriber or ambulance provider has engaged in material misrepresentation, fraud, or abuse regarding the claim for the authorized ambulance services. (b) (1) A healthcare insurer or transportation benefit manager shall pay two hundred fifty percent (250%) of the Medicare Ambulance Fee Schedule, Rural Rate for a claim for ambulance services to an ambulance provider. (2) An ambulance provider shall accept the payment under subdivision (b)(1) of this section as payment in full for services provided to the subscriber. (3) An ambulance provider shall not balance bill or otherwise demand a payment from the subscriber other than a deductible, copayment, or coinsurance required under the subscriber's health benefit plan. (c) Ambulance services authorized or guaranteed for payment under this section for which the prior authorization is not rescinded or reversed under subsection (a) of this section are not subject to audit recoupment. (d) A claim submitted by an ambulance provider shall include any information as required by the Insurance Commissioner. Added by Act 2023, No. 578,§ 1, eff. 8/1/2023.

(a) A contracting entity shall pay a claim for ambulance services for which prior authorization was received regardless of the terminology used by the transportation benefit manager or health benefit plan within thirty (30) days of receipt of the claim from an ambulance provider, unless: (1) Authorized ambulance services were never performed; or (2) There is specific information available for review by the appropriate state or federal agency that the subscriber or ambulance provider has engaged in material misrepresentation, fraud, or abuse regarding the claim for the authorized ambulance services.

(1) Authorized ambulance services were never performed; or

(2) There is specific information available for review by the appropriate state or federal agency that the subscriber or ambulance provider has engaged in material misrepresentation, fraud, or abuse regarding the claim for the authorized ambulance services.

(b) (1) A healthcare insurer or transportation benefit manager shall pay two hundred fifty percent (250%) of the Medicare Ambulance Fee Schedule, Rural Rate for a claim for ambulance services to an ambulance provider. (2) An ambulance provider shall accept the payment under subdivision (b)(1) of this section as payment in full for services provided to the subscriber. (3) An ambulance provider shall not balance bill or otherwise demand a payment from the subscriber other than a deductible, copayment, or coinsurance required under the subscriber's health benefit plan.

(1) A healthcare insurer or transportation benefit manager shall pay two hundred fifty percent (250%) of the Medicare Ambulance Fee Schedule, Rural Rate for a claim for ambulance services to an ambulance provider.

(2) An ambulance provider shall accept the payment under subdivision (b)(1) of this section as payment in full for services provided to the subscriber.

(3) An ambulance provider shall not balance bill or otherwise demand a payment from the subscriber other than a deductible, copayment, or coinsurance required under the subscriber's health benefit plan.

(c) Ambulance services authorized or guaranteed for payment under this section for which the prior authorization is not rescinded or reversed under subsection (a) of this section are not subject to audit recoupment.

(d) A claim submitted by an ambulance provider shall include any information as required by the Insurance Commissioner.

Added by Act 2023, No. 578,§ 1, eff. 8/1/2023.
Ark. Code Ann. § 23-63-1105 — AR Code / Title 23 / Chapter 63 / Subchapter 11 / Section 23-63-1105
Minimum standards
Status: in_force

(a) (1) The provisions of this section shall apply if, in any calendar year, the aggregate amount of gross premiums on business placed with a controlled insurer by a controlling producer is equal to or greater than five percent (5%) of the admitted assets of the controlled insurer, as reported in the controlled insurer's quarterly statement filed as of September 30 of the prior year. (2) Notwithstanding subdivision (a)(1) of this section, the provisions of this section shall not apply if: (A) The controlling producer: (i) Places insurance only with the controlled insurer, or only with the controlled insurer and a member or members of the controlled insurer's holding company system, or the controlled insurer's parent, affiliate, or subsidiary and receives no compensation based upon the amount of premiums written in connection with such insurance; and (ii) Accepts insurance placements only from nonaffiliated subproducers, and not directly from insureds; and (B) The controlled insurer, except for insurance business written through a residual market facility, accepts insurance business only from a controlling producer, a producer controlled by the controlled insurer, or a producer that is a subsidiary of the controlled insurer. (b) A controlled insurer shall not accept business from a controlling producer and a controlling producer shall not place business with a controlled insurer unless there is a written contract between the controlling producer and the controlled insurer specifying the responsibilities of each party and the contract has been approved by the board of directors of the controlled insurer and contains the following minimum provisions: (1) (A) The controlled insurer may terminate the contract for cause, upon written notice to the controlling producer. (B) The controlled insurer shall suspend the authority of the controlling producer to write business during the pendency of any dispute regarding the cause for the termination; (2) The controlling producer shall render accounts to the controlled insurer detailing all material transactions, including information necessary to support all commissions, charges, and other fees received by, or owing to, the controlling producer; (3) (A) The controlling producer shall remit all funds due under the terms of the contract to the controlled insurer on at least a monthly basis. (B) The due date shall be fixed so that premiums or installments thereof collected shall be remitted no later than ninety (90) days after the effective date of any policy placed with the controlled insurer under the contract; (4) (A) All funds collected for the controlled insurer's account shall be held by the controlling producer in a fiduciary capacity in one (1) or more appropriately identified bank accounts in banks that are members of the Federal Reserve System. (B) However, funds of a controlled producer not required to be licensed in this state shall be maintained in compliance with the requirements of the controlling producer's domicile; (5) The controlling producer shall maintain separately identifiable records of business written for the controlled insurer; (6) The contract shall not be assigned in whole or in part by the controlling producer; (7) (A) The controlled insurer shall provide the controlling producer with its underwriting standards, rules, and procedures, manuals setting forth the rates to be charged, and the conditions for the acceptance or rejection of risks. (B) (i) The controlling producer shall adhere to the standards, rules, procedures, rates, and conditions. (ii) The standards, rules, procedures, rates, and conditions shall be the same as those applicable to comparable business placed with the controlled insurer by a producer other than a controlling producer; (8) (A) The rates and terms of the controlling producer's commissions, charges, or other fees and the purposes for those charges or fees. (B) (i) The rates of the commissions, charges, and other fees shall be no greater than those applicable to comparable business placed with the controlled insurer by producers other than controlling producers. (ii) For purposes of this subdivision (b)(8) and subdivision (b)(7) of this section, examples of "comparable business" include the same lines of insurance, same kinds of insurance, same kinds of risks, similar policy limits, and similar quality of business; (9) (A) If the contract provides that the controlling producer on insurance business placed with the insurer is to be compensated contingent upon the insurer's profits on that business, then such a commission shall not be determined and paid until at least five (5) years after the premiums on liability insurance are earned and at least one (1) year after the premiums are earned on any other insurance. (B) In no event shall the commissions be paid until the adequacy of the controlled insurer's reserves on remaining claims has been independently verified pursuant to subsection (c) of this section; (10) (A) A limit on the controlling producer's writings in relation to the controlled insurer's surplus and total writings. (B) The insurer may establish a different limit for each line or subline of business. (C) (i) The controlled insurer shall notify the controlling producer when the applicable limit is approached and shall not accept business from the controlling producer if the limit is reached. (ii) The controlling producer shall not place business with the controlled insurer if it has been notified by the controlled insurer that the limit has been reached; and (11) The controlling producer may negotiate but shall not bind reinsurance on behalf of the controlled insurer on business the controlling producer places with the controlled insurer, except that the controlling producer may bind facultative agreements if the contract with the controlled insurer contains underwriting guidelines including, for reinsurance both assumed and ceded, a list of reinsurers with which such automatic agreements are in effect, the coverages and amounts or percentages that may be reinsured, and commission schedules. (c) (1) Every controlled insurer shall have an audit committee of the board of directors, composed of independent directors. (2) The audit committee shall annually meet with management, the insurer's independent certified public accountants, and an independent casualty actuary or other independent loss reserve specialist acceptable to the Insurance Commissioner to review the adequacy of the insurer's loss reserves. (d) (1) In addition to any other required loss certification, the controlled insurer shall annually, on April 1 of each year, file with the commissioner an opinion of an independent casualty actuary, or such other independent loss reserve specialist acceptable to the commissioner, reporting loss ratios for each line of business written and attesting to the adequacy of loss reserves established for losses incurred and outstanding as of the year's end, including losses incurred but not reported, on business placed by the producer. (2) The controlled insurer shall annually report to the commissioner the amount of commissions paid to the producer, the percentage such an amount represents of the net premiums written, and comparable amounts and percentages paid to noncontrolling producers for placements of the same kinds of insurance. Acts 1993, No. 526, § 1; 2009, No. 726, § 22.

(a) (1) The provisions of this section shall apply if, in any calendar year, the aggregate amount of gross premiums on business placed with a controlled insurer by a controlling producer is equal to or greater than five percent (5%) of the admitted assets of the controlled insurer, as reported in the controlled insurer's quarterly statement filed as of September 30 of the prior year. (2) Notwithstanding subdivision (a)(1) of this section, the provisions of this section shall not apply if: (A) The controlling producer: (i) Places insurance only with the controlled insurer, or only with the controlled insurer and a member or members of the controlled insurer's holding company system, or the controlled insurer's parent, affiliate, or subsidiary and receives no compensation based upon the amount of premiums written in connection with such insurance; and (ii) Accepts insurance placements only from nonaffiliated subproducers, and not directly from insureds; and (B) The controlled insurer, except for insurance business written through a residual market facility, accepts insurance business only from a controlling producer, a producer controlled by the controlled insurer, or a producer that is a subsidiary of the controlled insurer.

(1) The provisions of this section shall apply if, in any calendar year, the aggregate amount of gross premiums on business placed with a controlled insurer by a controlling producer is equal to or greater than five percent (5%) of the admitted assets of the controlled insurer, as reported in the controlled insurer's quarterly statement filed as of September 30 of the prior year.

(2) Notwithstanding subdivision (a)(1) of this section, the provisions of this section shall not apply if: (A) The controlling producer: (i) Places insurance only with the controlled insurer, or only with the controlled insurer and a member or members of the controlled insurer's holding company system, or the controlled insurer's parent, affiliate, or subsidiary and receives no compensation based upon the amount of premiums written in connection with such insurance; and (ii) Accepts insurance placements only from nonaffiliated subproducers, and not directly from insureds; and (B) The controlled insurer, except for insurance business written through a residual market facility, accepts insurance business only from a controlling producer, a producer controlled by the controlled insurer, or a producer that is a subsidiary of the controlled insurer.

(A) The controlling producer: (i) Places insurance only with the controlled insurer, or only with the controlled insurer and a member or members of the controlled insurer's holding company system, or the controlled insurer's parent, affiliate, or subsidiary and receives no compensation based upon the amount of premiums written in connection with such insurance; and (ii) Accepts insurance placements only from nonaffiliated subproducers, and not directly from insureds; and

(i) Places insurance only with the controlled insurer, or only with the controlled insurer and a member or members of the controlled insurer's holding company system, or the controlled insurer's parent, affiliate, or subsidiary and receives no compensation based upon the amount of premiums written in connection with such insurance; and

(ii) Accepts insurance placements only from nonaffiliated subproducers, and not directly from insureds; and

(B) The controlled insurer, except for insurance business written through a residual market facility, accepts insurance business only from a controlling producer, a producer controlled by the controlled insurer, or a producer that is a subsidiary of the controlled insurer.

(b) A controlled insurer shall not accept business from a controlling producer and a controlling producer shall not place business with a controlled insurer unless there is a written contract between the controlling producer and the controlled insurer specifying the responsibilities of each party and the contract has been approved by the board of directors of the controlled insurer and contains the following minimum provisions: (1) (A) The controlled insurer may terminate the contract for cause, upon written notice to the controlling producer. (B) The controlled insurer shall suspend the authority of the controlling producer to write business during the pendency of any dispute regarding the cause for the termination; (2) The controlling producer shall render accounts to the controlled insurer detailing all material transactions, including information necessary to support all commissions, charges, and other fees received by, or owing to, the controlling producer; (3) (A) The controlling producer shall remit all funds due under the terms of the contract to the controlled insurer on at least a monthly basis. (B) The due date shall be fixed so that premiums or installments thereof collected shall be remitted no later than ninety (90) days after the effective date of any policy placed with the controlled insurer under the contract; (4) (A) All funds collected for the controlled insurer's account shall be held by the controlling producer in a fiduciary capacity in one (1) or more appropriately identified bank accounts in banks that are members of the Federal Reserve System. (B) However, funds of a controlled producer not required to be licensed in this state shall be maintained in compliance with the requirements of the controlling producer's domicile; (5) The controlling producer shall maintain separately identifiable records of business written for the controlled insurer; (6) The contract shall not be assigned in whole or in part by the controlling producer; (7) (A) The controlled insurer shall provide the controlling producer with its underwriting standards, rules, and procedures, manuals setting forth the rates to be charged, and the conditions for the acceptance or rejection of risks. (B) (i) The controlling producer shall adhere to the standards, rules, procedures, rates, and conditions. (ii) The standards, rules, procedures, rates, and conditions shall be the same as those applicable to comparable business placed with the controlled insurer by a producer other than a controlling producer; (8) (A) The rates and terms of the controlling producer's commissions, charges, or other fees and the purposes for those charges or fees. (B) (i) The rates of the commissions, charges, and other fees shall be no greater than those applicable to comparable business placed with the controlled insurer by producers other than controlling producers. (ii) For purposes of this subdivision (b)(8) and subdivision (b)(7) of this section, examples of "comparable business" include the same lines of insurance, same kinds of insurance, same kinds of risks, similar policy limits, and similar quality of business; (9) (A) If the contract provides that the controlling producer on insurance business placed with the insurer is to be compensated contingent upon the insurer's profits on that business, then such a commission shall not be determined and paid until at least five (5) years after the premiums on liability insurance are earned and at least one (1) year after the premiums are earned on any other insurance. (B) In no event shall the commissions be paid until the adequacy of the controlled insurer's reserves on remaining claims has been independently verified pursuant to subsection (c) of this section; (10) (A) A limit on the controlling producer's writings in relation to the controlled insurer's surplus and total writings. (B) The insurer may establish a different limit for each line or subline of business. (C) (i) The controlled insurer shall notify the controlling producer when the applicable limit is approached and shall not accept business from the controlling producer if the limit is reached. (ii) The controlling producer shall not place business with the controlled insurer if it has been notified by the controlled insurer that the limit has been reached; and (11) The controlling producer may negotiate but shall not bind reinsurance on behalf of the controlled insurer on business the controlling producer places with the controlled insurer, except that the controlling producer may bind facultative agreements if the contract with the controlled insurer contains underwriting guidelines including, for reinsurance both assumed and ceded, a list of reinsurers with which such automatic agreements are in effect, the coverages and amounts or percentages that may be reinsured, and commission schedules.

(1) (A) The controlled insurer may terminate the contract for cause, upon written notice to the controlling producer. (B) The controlled insurer shall suspend the authority of the controlling producer to write business during the pendency of any dispute regarding the cause for the termination;

(A) The controlled insurer may terminate the contract for cause, upon written notice to the controlling producer.

(B) The controlled insurer shall suspend the authority of the controlling producer to write business during the pendency of any dispute regarding the cause for the termination;

(2) The controlling producer shall render accounts to the controlled insurer detailing all material transactions, including information necessary to support all commissions, charges, and other fees received by, or owing to, the controlling producer;

(3) (A) The controlling producer shall remit all funds due under the terms of the contract to the controlled insurer on at least a monthly basis. (B) The due date shall be fixed so that premiums or installments thereof collected shall be remitted no later than ninety (90) days after the effective date of any policy placed with the controlled insurer under the contract;

(A) The controlling producer shall remit all funds due under the terms of the contract to the controlled insurer on at least a monthly basis.

(B) The due date shall be fixed so that premiums or installments thereof collected shall be remitted no later than ninety (90) days after the effective date of any policy placed with the controlled insurer under the contract;

(4) (A) All funds collected for the controlled insurer's account shall be held by the controlling producer in a fiduciary capacity in one (1) or more appropriately identified bank accounts in banks that are members of the Federal Reserve System. (B) However, funds of a controlled producer not required to be licensed in this state shall be maintained in compliance with the requirements of the controlling producer's domicile;

(A) All funds collected for the controlled insurer's account shall be held by the controlling producer in a fiduciary capacity in one (1) or more appropriately identified bank accounts in banks that are members of the Federal Reserve System.

(B) However, funds of a controlled producer not required to be licensed in this state shall be maintained in compliance with the requirements of the controlling producer's domicile;

(5) The controlling producer shall maintain separately identifiable records of business written for the controlled insurer;

(6) The contract shall not be assigned in whole or in part by the controlling producer;

(7) (A) The controlled insurer shall provide the controlling producer with its underwriting standards, rules, and procedures, manuals setting forth the rates to be charged, and the conditions for the acceptance or rejection of risks. (B) (i) The controlling producer shall adhere to the standards, rules, procedures, rates, and conditions. (ii) The standards, rules, procedures, rates, and conditions shall be the same as those applicable to comparable business placed with the controlled insurer by a producer other than a controlling producer;

(A) The controlled insurer shall provide the controlling producer with its underwriting standards, rules, and procedures, manuals setting forth the rates to be charged, and the conditions for the acceptance or rejection of risks.

(B) (i) The controlling producer shall adhere to the standards, rules, procedures, rates, and conditions. (ii) The standards, rules, procedures, rates, and conditions shall be the same as those applicable to comparable business placed with the controlled insurer by a producer other than a controlling producer;

(i) The controlling producer shall adhere to the standards, rules, procedures, rates, and conditions.

(ii) The standards, rules, procedures, rates, and conditions shall be the same as those applicable to comparable business placed with the controlled insurer by a producer other than a controlling producer;

(8) (A) The rates and terms of the controlling producer's commissions, charges, or other fees and the purposes for those charges or fees. (B) (i) The rates of the commissions, charges, and other fees shall be no greater than those applicable to comparable business placed with the controlled insurer by producers other than controlling producers. (ii) For purposes of this subdivision (b)(8) and subdivision (b)(7) of this section, examples of "comparable business" include the same lines of insurance, same kinds of insurance, same kinds of risks, similar policy limits, and similar quality of business;

(A) The rates and terms of the controlling producer's commissions, charges, or other fees and the purposes for those charges or fees.

(B) (i) The rates of the commissions, charges, and other fees shall be no greater than those applicable to comparable business placed with the controlled insurer by producers other than controlling producers. (ii) For purposes of this subdivision (b)(8) and subdivision (b)(7) of this section, examples of "comparable business" include the same lines of insurance, same kinds of insurance, same kinds of risks, similar policy limits, and similar quality of business;

(i) The rates of the commissions, charges, and other fees shall be no greater than those applicable to comparable business placed with the controlled insurer by producers other than controlling producers.

(ii) For purposes of this subdivision (b)(8) and subdivision (b)(7) of this section, examples of "comparable business" include the same lines of insurance, same kinds of insurance, same kinds of risks, similar policy limits, and similar quality of business;

(9) (A) If the contract provides that the controlling producer on insurance business placed with the insurer is to be compensated contingent upon the insurer's profits on that business, then such a commission shall not be determined and paid until at least five (5) years after the premiums on liability insurance are earned and at least one (1) year after the premiums are earned on any other insurance. (B) In no event shall the commissions be paid until the adequacy of the controlled insurer's reserves on remaining claims has been independently verified pursuant to subsection (c) of this section;

(A) If the contract provides that the controlling producer on insurance business placed with the insurer is to be compensated contingent upon the insurer's profits on that business, then such a commission shall not be determined and paid until at least five (5) years after the premiums on liability insurance are earned and at least one (1) year after the premiums are earned on any other insurance.

(B) In no event shall the commissions be paid until the adequacy of the controlled insurer's reserves on remaining claims has been independently verified pursuant to subsection (c) of this section;

(10) (A) A limit on the controlling producer's writings in relation to the controlled insurer's surplus and total writings. (B) The insurer may establish a different limit for each line or subline of business. (C) (i) The controlled insurer shall notify the controlling producer when the applicable limit is approached and shall not accept business from the controlling producer if the limit is reached. (ii) The controlling producer shall not place business with the controlled insurer if it has been notified by the controlled insurer that the limit has been reached; and

(A) A limit on the controlling producer's writings in relation to the controlled insurer's surplus and total writings.

(B) The insurer may establish a different limit for each line or subline of business.

(C) (i) The controlled insurer shall notify the controlling producer when the applicable limit is approached and shall not accept business from the controlling producer if the limit is reached. (ii) The controlling producer shall not place business with the controlled insurer if it has been notified by the controlled insurer that the limit has been reached; and

(i) The controlled insurer shall notify the controlling producer when the applicable limit is approached and shall not accept business from the controlling producer if the limit is reached.

(ii) The controlling producer shall not place business with the controlled insurer if it has been notified by the controlled insurer that the limit has been reached; and

(11) The controlling producer may negotiate but shall not bind reinsurance on behalf of the controlled insurer on business the controlling producer places with the controlled insurer, except that the controlling producer may bind facultative agreements if the contract with the controlled insurer contains underwriting guidelines including, for reinsurance both assumed and ceded, a list of reinsurers with which such automatic agreements are in effect, the coverages and amounts or percentages that may be reinsured, and commission schedules.

(c) (1) Every controlled insurer shall have an audit committee of the board of directors, composed of independent directors. (2) The audit committee shall annually meet with management, the insurer's independent certified public accountants, and an independent casualty actuary or other independent loss reserve specialist acceptable to the Insurance Commissioner to review the adequacy of the insurer's loss reserves.

(1) Every controlled insurer shall have an audit committee of the board of directors, composed of independent directors.

(2) The audit committee shall annually meet with management, the insurer's independent certified public accountants, and an independent casualty actuary or other independent loss reserve specialist acceptable to the Insurance Commissioner to review the adequacy of the insurer's loss reserves.

(d) (1) In addition to any other required loss certification, the controlled insurer shall annually, on April 1 of each year, file with the commissioner an opinion of an independent casualty actuary, or such other independent loss reserve specialist acceptable to the commissioner, reporting loss ratios for each line of business written and attesting to the adequacy of loss reserves established for losses incurred and outstanding as of the year's end, including losses incurred but not reported, on business placed by the producer. (2) The controlled insurer shall annually report to the commissioner the amount of commissions paid to the producer, the percentage such an amount represents of the net premiums written, and comparable amounts and percentages paid to noncontrolling producers for placements of the same kinds of insurance.

(1) In addition to any other required loss certification, the controlled insurer shall annually, on April 1 of each year, file with the commissioner an opinion of an independent casualty actuary, or such other independent loss reserve specialist acceptable to the commissioner, reporting loss ratios for each line of business written and attesting to the adequacy of loss reserves established for losses incurred and outstanding as of the year's end, including losses incurred but not reported, on business placed by the producer.

(2) The controlled insurer shall annually report to the commissioner the amount of commissions paid to the producer, the percentage such an amount represents of the net premiums written, and comparable amounts and percentages paid to noncontrolling producers for placements of the same kinds of insurance.

Acts 1993, No. 526, § 1; 2009, No. 726, § 22.
Ark. Code Ann. § 23-63-1615 — AR Code / Title 23 / Chapter 63 / Subchapter 16 / Section 23-63-1615
Rules
Status: in_force

(a) The Insurance Commissioner may promulgate rules relating to captive insurance companies as are necessary to carry out this subchapter. (b) (1) The commissioner may promulgate rules establishing standards to ensure that a parent or affiliated company is able to exercise control of the risk management function of any controlled unaffiliated business to be insured by the pure captive insurance company or participant in a sponsored captive insurance company. (2) Prior to these rules' being promulgated, the commissioner may grant, by temporary order, authority to a pure captive insurance company to insure risks. Amended by Act 2019, No. 315,§ 2642, eff. 7/24/2019. Amended by Act 2019, No. 521,§ 11, eff. 7/24/2019. Acts 2001, No. 1391, § 15.

(a) The Insurance Commissioner may promulgate rules relating to captive insurance companies as are necessary to carry out this subchapter.

(b) (1) The commissioner may promulgate rules establishing standards to ensure that a parent or affiliated company is able to exercise control of the risk management function of any controlled unaffiliated business to be insured by the pure captive insurance company or participant in a sponsored captive insurance company. (2) Prior to these rules' being promulgated, the commissioner may grant, by temporary order, authority to a pure captive insurance company to insure risks.

(1) The commissioner may promulgate rules establishing standards to ensure that a parent or affiliated company is able to exercise control of the risk management function of any controlled unaffiliated business to be insured by the pure captive insurance company or participant in a sponsored captive insurance company.

(2) Prior to these rules' being promulgated, the commissioner may grant, by temporary order, authority to a pure captive insurance company to insure risks.

Amended by Act 2019, No. 315,§ 2642, eff. 7/24/2019.

Amended by Act 2019, No. 521,§ 11, eff. 7/24/2019.

Acts 2001, No. 1391, § 15.
Ark. Code Ann. § 23-115-405 — AR Code / Title 23 / Chapter 115 / Subchapter 4 / Section 23-115-405
Intelligence sharing, reciprocal use, or restricted use agreements
Status: in_force

(a) The Office of the Arkansas Lottery may enter into an intelligence sharing, reciprocal use, or restricted use agreement with the United States Government, law enforcement agencies, lottery regulation agencies, and gaming enforcement agencies of other jurisdictions that provide for and regulate the use of information provided and received under the agreement. (b) Records, documents, and information in the possession of the office received under subsection (a) of this section are exempt from the Freedom of Information Act of 1967, § 25-19-101 et seq., and shall not be released without the permission of the person or agency providing the records, documents, and information. Amended by Act 2015, No. 218,§ 25, eff. 2/26/2015. Acts 2009, No. 605, § 1; 2009, No. 606, § 1.

(a) The Office of the Arkansas Lottery may enter into an intelligence sharing, reciprocal use, or restricted use agreement with the United States Government, law enforcement agencies, lottery regulation agencies, and gaming enforcement agencies of other jurisdictions that provide for and regulate the use of information provided and received under the agreement.

(b) Records, documents, and information in the possession of the office received under subsection (a) of this section are exempt from the Freedom of Information Act of 1967, § 25-19-101 et seq., and shall not be released without the permission of the person or agency providing the records, documents, and information.

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

Acts 2009, No. 605, § 1; 2009, No. 606, § 1.
Ark. Code Ann. § 23-4-112 — AR Code / Title 23 / Chapter 4 / Subchapter 1 / Section 23-4-112
Reserve accounting for storm restoration costs
Status: in_force

(a) This section applies to storm restoration costs incurred on or after January 1, 2009. (b) Upon application by an electric public utility and after notice and hearing, the Arkansas Public Service Commission shall permit an electric public utility to establish a storm cost reserve account consistent with the then-current Federal Energy Regulatory Commission Uniform System of Accounts, as modified to allow a debit balance to reflect the excess of storm restoration costs over the amount recovered in rates or otherwise credited to the storm cost reserve account. (c) The use of reserve accounting under this section is subject to the following: (1) (A) The initial amount included in the storm cost reserve account for an electric public utility shall be the amount included in the electric public utility's currently approved rates for storm restoration costs. (B) Thereafter, in future rate proceedings, the Arkansas Public Service Commission shall determine the appropriate level of the storm cost reserve account considering the electric public utility's historical costs associated with normal storm damage and other factors; (2) As a condition of an electric public utility's recovery of storm restoration costs through rates or inclusion of storm restoration costs in the storm cost reserve account, the Arkansas Public Service Commission shall audit, analyze, examine, and adjust all storm restoration costs to ensure that only reasonable and prudent storm restoration costs are included in the storm cost reserve account or are recoverable through rates; (3) Simple interest on any balance, credit, or debit in the storm cost reserve account shall accrue at a rate equal to the electric public utility's last approved rate-base rate of return; (4) (A) An electric public utility shall only charge operations and maintenance storm restoration costs that are not otherwise recovered against the balance in the storm cost reserve account. (B) The Arkansas Public Service Commission shall ensure that the storm restoration costs charged to the storm cost reserve account are: (i) Timely; (ii) Specific to restoring retail electric service in Arkansas; and (iii) Subject to any ratemaking adjustments of the types of expenses included in the storm restoration costs that are consistent with the determination in the electric public utility's most recent application for a general change in rates. (C) An electric public utility shall: (i) File a quarterly report with the Arkansas Public Service Commission identifying each instance in which the electric public utility records storm restoration costs in the storm cost reserve account; and (ii) Provide with the quarterly report required by this subdivision (c)(4)(C) supporting documentation prescribed by the Arkansas Public Service Commission that includes without limitation: (a) Vegetation management spending; and (b) Labor costs; (5) (A) If an electric public utility spends less on storm restoration costs than the amount included in the electric public utility's currently approved rates for storm restoration costs in any calendar year, the electric public utility shall credit to the storm cost reserve account any difference between the amount in rates and the amount actually spent on storm restoration costs during that calendar year. (B) If an electric public utility has received any of the following payments to offset storm restoration costs, the electric public utility shall credit those payments to the storm cost reserve account: (i) Insurance payments; (ii) Payments from a governmental entity; or (iii) Any other third-party payments; and (6) (A) The Arkansas Public Service Commission shall determine the following in the electric public utility's next application for a general change in rates: (i) The recovery of any debit balance in the electric public utility's storm cost reserve account through the electric public utility's rates and charges over a reasonable period; or (ii) The appropriate ratemaking treatment of any credit balance in the electric public utility's storm cost reserve account. (B) After notice and hearing and a finding that it is in the public interest, the Arkansas Public Service Commission may approve other ratemaking treatment otherwise allowed by law of any balance, credit, or debit in the electric public utility's storm cost reserve account. (C) The Arkansas Public Service Commission shall establish the method of recovery of a debit balance in the electric public utility's storm cost reserve account and may impose conditions to ensure that amounts recovered through rates are reasonable and prudent. (d) This section: (1) Does not prevent the Arkansas Public Service Commission from adjusting an electric public utility's rate of return associated with the increased certainty of recovery of the electric public utility's storm restoration costs as a result of establishing a storm cost reserve account under this section; and (2) Does not prevent an electric utility from petitioning the Arkansas Public Service Commission to approve other methods of addressing storm restoration costs and the recovery of storm restoration costs through rates as allowed by law. Acts 2009, No. 434, § 1.

(a) This section applies to storm restoration costs incurred on or after January 1, 2009.

(b) Upon application by an electric public utility and after notice and hearing, the Arkansas Public Service Commission shall permit an electric public utility to establish a storm cost reserve account consistent with the then-current Federal Energy Regulatory Commission Uniform System of Accounts, as modified to allow a debit balance to reflect the excess of storm restoration costs over the amount recovered in rates or otherwise credited to the storm cost reserve account.

(c) The use of reserve accounting under this section is subject to the following: (1) (A) The initial amount included in the storm cost reserve account for an electric public utility shall be the amount included in the electric public utility's currently approved rates for storm restoration costs. (B) Thereafter, in future rate proceedings, the Arkansas Public Service Commission shall determine the appropriate level of the storm cost reserve account considering the electric public utility's historical costs associated with normal storm damage and other factors; (2) As a condition of an electric public utility's recovery of storm restoration costs through rates or inclusion of storm restoration costs in the storm cost reserve account, the Arkansas Public Service Commission shall audit, analyze, examine, and adjust all storm restoration costs to ensure that only reasonable and prudent storm restoration costs are included in the storm cost reserve account or are recoverable through rates; (3) Simple interest on any balance, credit, or debit in the storm cost reserve account shall accrue at a rate equal to the electric public utility's last approved rate-base rate of return; (4) (A) An electric public utility shall only charge operations and maintenance storm restoration costs that are not otherwise recovered against the balance in the storm cost reserve account. (B) The Arkansas Public Service Commission shall ensure that the storm restoration costs charged to the storm cost reserve account are: (i) Timely; (ii) Specific to restoring retail electric service in Arkansas; and (iii) Subject to any ratemaking adjustments of the types of expenses included in the storm restoration costs that are consistent with the determination in the electric public utility's most recent application for a general change in rates. (C) An electric public utility shall: (i) File a quarterly report with the Arkansas Public Service Commission identifying each instance in which the electric public utility records storm restoration costs in the storm cost reserve account; and (ii) Provide with the quarterly report required by this subdivision (c)(4)(C) supporting documentation prescribed by the Arkansas Public Service Commission that includes without limitation: (a) Vegetation management spending; and (b) Labor costs; (5) (A) If an electric public utility spends less on storm restoration costs than the amount included in the electric public utility's currently approved rates for storm restoration costs in any calendar year, the electric public utility shall credit to the storm cost reserve account any difference between the amount in rates and the amount actually spent on storm restoration costs during that calendar year. (B) If an electric public utility has received any of the following payments to offset storm restoration costs, the electric public utility shall credit those payments to the storm cost reserve account: (i) Insurance payments; (ii) Payments from a governmental entity; or (iii) Any other third-party payments; and (6) (A) The Arkansas Public Service Commission shall determine the following in the electric public utility's next application for a general change in rates: (i) The recovery of any debit balance in the electric public utility's storm cost reserve account through the electric public utility's rates and charges over a reasonable period; or (ii) The appropriate ratemaking treatment of any credit balance in the electric public utility's storm cost reserve account. (B) After notice and hearing and a finding that it is in the public interest, the Arkansas Public Service Commission may approve other ratemaking treatment otherwise allowed by law of any balance, credit, or debit in the electric public utility's storm cost reserve account. (C) The Arkansas Public Service Commission shall establish the method of recovery of a debit balance in the electric public utility's storm cost reserve account and may impose conditions to ensure that amounts recovered through rates are reasonable and prudent.

(1) (A) The initial amount included in the storm cost reserve account for an electric public utility shall be the amount included in the electric public utility's currently approved rates for storm restoration costs. (B) Thereafter, in future rate proceedings, the Arkansas Public Service Commission shall determine the appropriate level of the storm cost reserve account considering the electric public utility's historical costs associated with normal storm damage and other factors;

(A) The initial amount included in the storm cost reserve account for an electric public utility shall be the amount included in the electric public utility's currently approved rates for storm restoration costs.

(B) Thereafter, in future rate proceedings, the Arkansas Public Service Commission shall determine the appropriate level of the storm cost reserve account considering the electric public utility's historical costs associated with normal storm damage and other factors;

(2) As a condition of an electric public utility's recovery of storm restoration costs through rates or inclusion of storm restoration costs in the storm cost reserve account, the Arkansas Public Service Commission shall audit, analyze, examine, and adjust all storm restoration costs to ensure that only reasonable and prudent storm restoration costs are included in the storm cost reserve account or are recoverable through rates;

(3) Simple interest on any balance, credit, or debit in the storm cost reserve account shall accrue at a rate equal to the electric public utility's last approved rate-base rate of return;

(4) (A) An electric public utility shall only charge operations and maintenance storm restoration costs that are not otherwise recovered against the balance in the storm cost reserve account. (B) The Arkansas Public Service Commission shall ensure that the storm restoration costs charged to the storm cost reserve account are: (i) Timely; (ii) Specific to restoring retail electric service in Arkansas; and (iii) Subject to any ratemaking adjustments of the types of expenses included in the storm restoration costs that are consistent with the determination in the electric public utility's most recent application for a general change in rates. (C) An electric public utility shall: (i) File a quarterly report with the Arkansas Public Service Commission identifying each instance in which the electric public utility records storm restoration costs in the storm cost reserve account; and (ii) Provide with the quarterly report required by this subdivision (c)(4)(C) supporting documentation prescribed by the Arkansas Public Service Commission that includes without limitation: (a) Vegetation management spending; and (b) Labor costs;

(A) An electric public utility shall only charge operations and maintenance storm restoration costs that are not otherwise recovered against the balance in the storm cost reserve account.

(B) The Arkansas Public Service Commission shall ensure that the storm restoration costs charged to the storm cost reserve account are: (i) Timely; (ii) Specific to restoring retail electric service in Arkansas; and (iii) Subject to any ratemaking adjustments of the types of expenses included in the storm restoration costs that are consistent with the determination in the electric public utility's most recent application for a general change in rates.

(i) Timely;

(ii) Specific to restoring retail electric service in Arkansas; and

(iii) Subject to any ratemaking adjustments of the types of expenses included in the storm restoration costs that are consistent with the determination in the electric public utility's most recent application for a general change in rates.

(C) An electric public utility shall: (i) File a quarterly report with the Arkansas Public Service Commission identifying each instance in which the electric public utility records storm restoration costs in the storm cost reserve account; and (ii) Provide with the quarterly report required by this subdivision (c)(4)(C) supporting documentation prescribed by the Arkansas Public Service Commission that includes without limitation: (a) Vegetation management spending; and (b) Labor costs;

(i) File a quarterly report with the Arkansas Public Service Commission identifying each instance in which the electric public utility records storm restoration costs in the storm cost reserve account; and

(ii) Provide with the quarterly report required by this subdivision (c)(4)(C) supporting documentation prescribed by the Arkansas Public Service Commission that includes without limitation: (a) Vegetation management spending; and (b) Labor costs;

(a) Vegetation management spending; and

(b) Labor costs;

(5) (A) If an electric public utility spends less on storm restoration costs than the amount included in the electric public utility's currently approved rates for storm restoration costs in any calendar year, the electric public utility shall credit to the storm cost reserve account any difference between the amount in rates and the amount actually spent on storm restoration costs during that calendar year. (B) If an electric public utility has received any of the following payments to offset storm restoration costs, the electric public utility shall credit those payments to the storm cost reserve account: (i) Insurance payments; (ii) Payments from a governmental entity; or (iii) Any other third-party payments; and

(A) If an electric public utility spends less on storm restoration costs than the amount included in the electric public utility's currently approved rates for storm restoration costs in any calendar year, the electric public utility shall credit to the storm cost reserve account any difference between the amount in rates and the amount actually spent on storm restoration costs during that calendar year.

(B) If an electric public utility has received any of the following payments to offset storm restoration costs, the electric public utility shall credit those payments to the storm cost reserve account: (i) Insurance payments; (ii) Payments from a governmental entity; or (iii) Any other third-party payments; and

(i) Insurance payments;

(ii) Payments from a governmental entity; or

(iii) Any other third-party payments; and

(6) (A) The Arkansas Public Service Commission shall determine the following in the electric public utility's next application for a general change in rates: (i) The recovery of any debit balance in the electric public utility's storm cost reserve account through the electric public utility's rates and charges over a reasonable period; or (ii) The appropriate ratemaking treatment of any credit balance in the electric public utility's storm cost reserve account. (B) After notice and hearing and a finding that it is in the public interest, the Arkansas Public Service Commission may approve other ratemaking treatment otherwise allowed by law of any balance, credit, or debit in the electric public utility's storm cost reserve account. (C) The Arkansas Public Service Commission shall establish the method of recovery of a debit balance in the electric public utility's storm cost reserve account and may impose conditions to ensure that amounts recovered through rates are reasonable and prudent.

(A) The Arkansas Public Service Commission shall determine the following in the electric public utility's next application for a general change in rates: (i) The recovery of any debit balance in the electric public utility's storm cost reserve account through the electric public utility's rates and charges over a reasonable period; or (ii) The appropriate ratemaking treatment of any credit balance in the electric public utility's storm cost reserve account.

(i) The recovery of any debit balance in the electric public utility's storm cost reserve account through the electric public utility's rates and charges over a reasonable period; or

(ii) The appropriate ratemaking treatment of any credit balance in the electric public utility's storm cost reserve account.

(B) After notice and hearing and a finding that it is in the public interest, the Arkansas Public Service Commission may approve other ratemaking treatment otherwise allowed by law of any balance, credit, or debit in the electric public utility's storm cost reserve account.

(C) The Arkansas Public Service Commission shall establish the method of recovery of a debit balance in the electric public utility's storm cost reserve account and may impose conditions to ensure that amounts recovered through rates are reasonable and prudent.

(d) This section: (1) Does not prevent the Arkansas Public Service Commission from adjusting an electric public utility's rate of return associated with the increased certainty of recovery of the electric public utility's storm restoration costs as a result of establishing a storm cost reserve account under this section; and (2) Does not prevent an electric utility from petitioning the Arkansas Public Service Commission to approve other methods of addressing storm restoration costs and the recovery of storm restoration costs through rates as allowed by law.

(1) Does not prevent the Arkansas Public Service Commission from adjusting an electric public utility's rate of return associated with the increased certainty of recovery of the electric public utility's storm restoration costs as a result of establishing a storm cost reserve account under this section; and

(2) Does not prevent an electric utility from petitioning the Arkansas Public Service Commission to approve other methods of addressing storm restoration costs and the recovery of storm restoration costs through rates as allowed by law.

Acts 2009, No. 434, § 1.
Ark. Code Ann. § 23-81-109 — AR Code / Title 23 / Chapter 81 / Subchapter 1 / Section 23-81-109
Life insurance - Adjustment of loan interest rates provision
Status: in_force

(a) Purpose. The purpose of this section is to permit and set guidelines for life insurers to include in life insurance policies issued after June 17, 1981, a provision for periodic adjustment of policy loan interest rates. (b) Definitions. For purposes of this section, the "published monthly average" means: (1) Moody's Corporate Bond Yield Average - Monthly Average Corporates as published by Moody's Investors Service, Inc., or any successor thereto; or (2) In the event that Moody's Corporate Bond Yield Average - Monthly Average Corporates is no longer published, a substantially similar average, established by regulation issued by the Insurance Commissioner. (c) Maximum Rate of Interest on Policy Loans. (1) Policies issued on or after June 17, 1981, shall provide for policy loan interest rates as follows: (A) A provision permitting a maximum interest rate of not more than eight percent (8%) per annum; or (B) A provision permitting an adjustable maximum interest rate established from time to time by the life insurer as permitted by law and subject to any applicable usury limitation. (2) The rate of interest charged on a policy loan made under subdivision (c)(1)(B) of this section shall not exceed the higher of the following: (A) The published monthly average for the calendar month ending two (2) months before the date on which the rate is determined; or (B) The rate used to compute the cash surrender values under the policy during the applicable period plus one percent (1%) per annum. (3) If the maximum rate of interest is determined pursuant to subdivision (c)(1)(B) of this section, the policy shall contain a provision setting forth the frequency at which the rate is to be determined for that policy. (4) The maximum rate for each policy must be determined at regular intervals at least one (1) time every twelve (12) months, but not more frequently than one (1) time in any three-month period. At the intervals specified in the policy: (A) The rate being charged may be increased whenever the increase as determined under subdivision (c)(2) of this section would increase that rate by one-half of one percent (1/2 of 1%) or more per annum; and (B) The rate being charged must be reduced whenever a reduction as determined under subdivision (c)(2) of this section would decrease that rate by one-half of one percent (1/2 of 1%) or more per annum. (5) The life insurer shall: (A) Notify the policyholder at the time a cash loan is made of the initial rate of interest on the loan; (B) Notify the policyholder with respect to premium loans of the initial rate of interest on the loan as soon as it is reasonably practical to do so after making the initial loan. Notice need not be given to the policyholder when a further premium loan is added, except as provided in subdivision (c)(5)(C) of this section; (C) Send to policyholders with loans reasonable advance notice of any increase in the rate; and (D) Include in the notices required in this subdivision (c)(5) the substance of the pertinent provisions of subdivisions (c)(1) and (c)(3) of this section. (6) (A) The loan value of the policy shall be at least equal to the cash surrender value at the end of the then-current policy year, provided that the insurer may deduct, either from the loan value or from the proceeds of the loan, any existing indebtedness not already deducted in determining the cash surrender value including any interest then accrued but not due, any unpaid balance of the premium for the current policy year, and interest on the loan to the end of the current policy year. (B) No policy shall terminate in a policy year as the sole result of change in the interest rate during that policy year, and the life insurer shall maintain coverage during that policy year until the time at which it would otherwise have terminated if there had been no change during that policy year. (7) The substance of the pertinent provisions of subdivisions (c)(1) and (c)(3) of this section shall be set forth in the policies to which they apply. (d) Definitions. For purposes of this section: (1) The rate of interest on policy loans permitted under this section includes the interest rate charged on reinstatement of policy loans for the period during and after any lapse of a policy; (2) The term "policy loan" includes any premium loan made under a policy to pay one (1) or more premiums that were not paid to the life insurer as they fell due; (3) The term "policyholder" includes the owner of the policy or the person designated to pay premiums as shown on the records of the life insurer; and (4) The term "policy" includes certificates issued by a fraternal benefit society and annuity contracts which provide for policy loans. (e) Other Provisions. No other provision of law shall apply to policy loan interest rates unless made specifically applicable to the rates. (f) Applicability to Existing Policies. The provisions of this section shall not apply to any insurance contract issued before June 17, 1981. Acts 1959, No. 148, § 317; 1977, No. 279, § 1; 1981, No. 915, § 1; 1983, No. 522, §§ 28, 29; A.S.A. 1947, § 66-3308.

(a) Purpose. The purpose of this section is to permit and set guidelines for life insurers to include in life insurance policies issued after June 17, 1981, a provision for periodic adjustment of policy loan interest rates.

(b) Definitions. For purposes of this section, the "published monthly average" means: (1) Moody's Corporate Bond Yield Average - Monthly Average Corporates as published by Moody's Investors Service, Inc., or any successor thereto; or (2) In the event that Moody's Corporate Bond Yield Average - Monthly Average Corporates is no longer published, a substantially similar average, established by regulation issued by the Insurance Commissioner.

(1) Moody's Corporate Bond Yield Average - Monthly Average Corporates as published by Moody's Investors Service, Inc., or any successor thereto; or

(2) In the event that Moody's Corporate Bond Yield Average - Monthly Average Corporates is no longer published, a substantially similar average, established by regulation issued by the Insurance Commissioner.

(c) Maximum Rate of Interest on Policy Loans. (1) Policies issued on or after June 17, 1981, shall provide for policy loan interest rates as follows: (A) A provision permitting a maximum interest rate of not more than eight percent (8%) per annum; or (B) A provision permitting an adjustable maximum interest rate established from time to time by the life insurer as permitted by law and subject to any applicable usury limitation. (2) The rate of interest charged on a policy loan made under subdivision (c)(1)(B) of this section shall not exceed the higher of the following: (A) The published monthly average for the calendar month ending two (2) months before the date on which the rate is determined; or (B) The rate used to compute the cash surrender values under the policy during the applicable period plus one percent (1%) per annum. (3) If the maximum rate of interest is determined pursuant to subdivision (c)(1)(B) of this section, the policy shall contain a provision setting forth the frequency at which the rate is to be determined for that policy. (4) The maximum rate for each policy must be determined at regular intervals at least one (1) time every twelve (12) months, but not more frequently than one (1) time in any three-month period. At the intervals specified in the policy: (A) The rate being charged may be increased whenever the increase as determined under subdivision (c)(2) of this section would increase that rate by one-half of one percent (1/2 of 1%) or more per annum; and (B) The rate being charged must be reduced whenever a reduction as determined under subdivision (c)(2) of this section would decrease that rate by one-half of one percent (1/2 of 1%) or more per annum. (5) The life insurer shall: (A) Notify the policyholder at the time a cash loan is made of the initial rate of interest on the loan; (B) Notify the policyholder with respect to premium loans of the initial rate of interest on the loan as soon as it is reasonably practical to do so after making the initial loan. Notice need not be given to the policyholder when a further premium loan is added, except as provided in subdivision (c)(5)(C) of this section; (C) Send to policyholders with loans reasonable advance notice of any increase in the rate; and (D) Include in the notices required in this subdivision (c)(5) the substance of the pertinent provisions of subdivisions (c)(1) and (c)(3) of this section. (6) (A) The loan value of the policy shall be at least equal to the cash surrender value at the end of the then-current policy year, provided that the insurer may deduct, either from the loan value or from the proceeds of the loan, any existing indebtedness not already deducted in determining the cash surrender value including any interest then accrued but not due, any unpaid balance of the premium for the current policy year, and interest on the loan to the end of the current policy year. (B) No policy shall terminate in a policy year as the sole result of change in the interest rate during that policy year, and the life insurer shall maintain coverage during that policy year until the time at which it would otherwise have terminated if there had been no change during that policy year. (7) The substance of the pertinent provisions of subdivisions (c)(1) and (c)(3) of this section shall be set forth in the policies to which they apply.

(1) Policies issued on or after June 17, 1981, shall provide for policy loan interest rates as follows: (A) A provision permitting a maximum interest rate of not more than eight percent (8%) per annum; or (B) A provision permitting an adjustable maximum interest rate established from time to time by the life insurer as permitted by law and subject to any applicable usury limitation.

(A) A provision permitting a maximum interest rate of not more than eight percent (8%) per annum; or

(B) A provision permitting an adjustable maximum interest rate established from time to time by the life insurer as permitted by law and subject to any applicable usury limitation.

(2) The rate of interest charged on a policy loan made under subdivision (c)(1)(B) of this section shall not exceed the higher of the following: (A) The published monthly average for the calendar month ending two (2) months before the date on which the rate is determined; or (B) The rate used to compute the cash surrender values under the policy during the applicable period plus one percent (1%) per annum.

(A) The published monthly average for the calendar month ending two (2) months before the date on which the rate is determined; or

(B) The rate used to compute the cash surrender values under the policy during the applicable period plus one percent (1%) per annum.

(3) If the maximum rate of interest is determined pursuant to subdivision (c)(1)(B) of this section, the policy shall contain a provision setting forth the frequency at which the rate is to be determined for that policy.

(4) The maximum rate for each policy must be determined at regular intervals at least one (1) time every twelve (12) months, but not more frequently than one (1) time in any three-month period. At the intervals specified in the policy: (A) The rate being charged may be increased whenever the increase as determined under subdivision (c)(2) of this section would increase that rate by one-half of one percent (1/2 of 1%) or more per annum; and (B) The rate being charged must be reduced whenever a reduction as determined under subdivision (c)(2) of this section would decrease that rate by one-half of one percent (1/2 of 1%) or more per annum.

(A) The rate being charged may be increased whenever the increase as determined under subdivision (c)(2) of this section would increase that rate by one-half of one percent (1/2 of 1%) or more per annum; and

(B) The rate being charged must be reduced whenever a reduction as determined under subdivision (c)(2) of this section would decrease that rate by one-half of one percent (1/2 of 1%) or more per annum.

(5) The life insurer shall: (A) Notify the policyholder at the time a cash loan is made of the initial rate of interest on the loan; (B) Notify the policyholder with respect to premium loans of the initial rate of interest on the loan as soon as it is reasonably practical to do so after making the initial loan. Notice need not be given to the policyholder when a further premium loan is added, except as provided in subdivision (c)(5)(C) of this section; (C) Send to policyholders with loans reasonable advance notice of any increase in the rate; and (D) Include in the notices required in this subdivision (c)(5) the substance of the pertinent provisions of subdivisions (c)(1) and (c)(3) of this section.

(A) Notify the policyholder at the time a cash loan is made of the initial rate of interest on the loan;

(B) Notify the policyholder with respect to premium loans of the initial rate of interest on the loan as soon as it is reasonably practical to do so after making the initial loan. Notice need not be given to the policyholder when a further premium loan is added, except as provided in subdivision (c)(5)(C) of this section;

(C) Send to policyholders with loans reasonable advance notice of any increase in the rate; and

(D) Include in the notices required in this subdivision (c)(5) the substance of the pertinent provisions of subdivisions (c)(1) and (c)(3) of this section.

(6) (A) The loan value of the policy shall be at least equal to the cash surrender value at the end of the then-current policy year, provided that the insurer may deduct, either from the loan value or from the proceeds of the loan, any existing indebtedness not already deducted in determining the cash surrender value including any interest then accrued but not due, any unpaid balance of the premium for the current policy year, and interest on the loan to the end of the current policy year. (B) No policy shall terminate in a policy year as the sole result of change in the interest rate during that policy year, and the life insurer shall maintain coverage during that policy year until the time at which it would otherwise have terminated if there had been no change during that policy year.

(A) The loan value of the policy shall be at least equal to the cash surrender value at the end of the then-current policy year, provided that the insurer may deduct, either from the loan value or from the proceeds of the loan, any existing indebtedness not already deducted in determining the cash surrender value including any interest then accrued but not due, any unpaid balance of the premium for the current policy year, and interest on the loan to the end of the current policy year.

(B) No policy shall terminate in a policy year as the sole result of change in the interest rate during that policy year, and the life insurer shall maintain coverage during that policy year until the time at which it would otherwise have terminated if there had been no change during that policy year.

(7) The substance of the pertinent provisions of subdivisions (c)(1) and (c)(3) of this section shall be set forth in the policies to which they apply.

(d) Definitions. For purposes of this section: (1) The rate of interest on policy loans permitted under this section includes the interest rate charged on reinstatement of policy loans for the period during and after any lapse of a policy; (2) The term "policy loan" includes any premium loan made under a policy to pay one (1) or more premiums that were not paid to the life insurer as they fell due; (3) The term "policyholder" includes the owner of the policy or the person designated to pay premiums as shown on the records of the life insurer; and (4) The term "policy" includes certificates issued by a fraternal benefit society and annuity contracts which provide for policy loans.

(1) The rate of interest on policy loans permitted under this section includes the interest rate charged on reinstatement of policy loans for the period during and after any lapse of a policy;

(2) The term "policy loan" includes any premium loan made under a policy to pay one (1) or more premiums that were not paid to the life insurer as they fell due;

(3) The term "policyholder" includes the owner of the policy or the person designated to pay premiums as shown on the records of the life insurer; and

(4) The term "policy" includes certificates issued by a fraternal benefit society and annuity contracts which provide for policy loans.

(e) Other Provisions. No other provision of law shall apply to policy loan interest rates unless made specifically applicable to the rates.

(f) Applicability to Existing Policies. The provisions of this section shall not apply to any insurance contract issued before June 17, 1981.

Acts 1959, No. 148, § 317; 1977, No. 279, § 1; 1981, No. 915, § 1; 1983, No. 522, §§ 28, 29; A.S.A. 1947, § 66-3308.
Ark. Code Ann. § 23-3-701 — AR Code / Title 23 / Chapter 3 / Subchapter 7 / Section 23-3-701
Legislative determination
Status: in_force

(a) It is declared to be the policy of this state that while the development of qualifying cogeneration and small power production facilities should be encouraged, electric utilities should not be required to purchase power from the facilities at excessive rates which would result in an increase in the cost of providing electrical service to customers of the electric utility. (b) In furtherance of this declared policy, it is recognized that the Arkansas Public Service Commission has adopted cogeneraton rules and it shall continue to provide for electric utilities to purchase electric energy or capacity from qualifying facilities at rates which are just and reasonable to the electric consumer of the electric utility, which do not increase the cost of providing electrical service to customers of the electric utility, are in the public interest, which do not discriminate against qualifying facilities, and which do not exceed avoided costs. Acts 1987, No. 796, § 1.

(a) It is declared to be the policy of this state that while the development of qualifying cogeneration and small power production facilities should be encouraged, electric utilities should not be required to purchase power from the facilities at excessive rates which would result in an increase in the cost of providing electrical service to customers of the electric utility.

(b) In furtherance of this declared policy, it is recognized that the Arkansas Public Service Commission has adopted cogeneraton rules and it shall continue to provide for electric utilities to purchase electric energy or capacity from qualifying facilities at rates which are just and reasonable to the electric consumer of the electric utility, which do not increase the cost of providing electrical service to customers of the electric utility, are in the public interest, which do not discriminate against qualifying facilities, and which do not exceed avoided costs.

Acts 1987, No. 796, § 1.
Ark. Code Ann. § 23-37-802 — AR Code / Title 23 / Chapter 37 / Subchapter 8 / Section 23-37-802
Definitions
Status: in_force

As used in this subchapter, unless the context otherwise requires: (1) "Acquire", as applied to an association or a savings and loan holding company, means any of the following actions or transactions: (A) The merger or consolidation of an association with another association or with a savings and loan holding company; (B) The acquisition of the direct or indirect ownership or control of voting shares of another association or savings and loan holding company if, after the acquisition, the acquiring association or savings and loan holding company will directly or indirectly own or control more than ten percent (10%) of any class of voting shares of the acquired association or savings and loan holding company; (C) The direct or indirect acquisition of all or substantially all of the assets of another association or savings and loan holding company; or (D) The taking of any other action that would result in the direct or indirect control of another association or savings and loan holding company; (2) "Arkansas association" means an association organized under the laws of the State of Arkansas or under the laws of the United States and which: (A) Has its principal place of business in Arkansas; (B) If controlled by an organization, the organization is either an Arkansas association, southern region association, Arkansas savings and loan holding company, or a southern region savings and loan holding company; and (C) Has more than eighty percent (80%) of its total deposits, other than deposits located in branch offices pursuant to § 23-37-811(a) , in its branch offices located in one (1) or more of the southern region states; (3) "Arkansas savings and loan holding company" means a savings and loan holding company which has: (A) Its principal place of business in Arkansas; (B) Total deposits of its southern region association subsidiaries and Arkansas association subsidiaries that exceed eighty percent (80%) of the total deposits of all association subsidiaries of the savings and loan holding company other than those association subsidiaries held under § 23-37-811(a) ; (4) "Association" means a mutual or capital stock savings and loan association, savings association, building and loan association, or savings bank chartered under the laws of any one of the states or by the Federal Home Loan Bank Board [abolished], pursuant to the Home Owner's Loan Act of 1933, and whose deposits are eligible to be insured by the Federal Savings and Loan Insurance Corporation [abolished]; (5) "Board" means the Savings and Loan Association Board [abolished]; (6) "Branch office" means any office at which an association accepts deposits. The term "branch office" does not include: (A) Unmanned automatic teller machines, point-of-sale terminals, or similar unmanned electronic banking facilities at which deposits may be accepted; (B) Offices located outside the United States; and (C) Loan production offices, representative offices, service corporation offices, or other offices at which deposits are not accepted; (7) "Company" means any company under the Savings and Loan Holding Company Amendments of 1967; (8) "Control" means that which is set forth in the Savings and Loan Holding Company Amendments of 1967; (9) "Deposits" means, with respect to an association, withdrawable or repurchaseable shares, investment certificates, deposits, or other savings accounts in an association held by individuals, partnerships, corporations, the United States Government, states and political subdivisions of the United States, and other entities, exclusive of deposits by foreign governments and foreign official institutions, and by other associations. Determination of deposits must be made by reference to regulatory reports of condition or similar reports filed by the association with applicable state or federal regulatory authorities; (10) "Federal association" means an association chartered by the Federal Home Loan Bank Board [abolished] pursuant to § 5 of the Home Owner's Loan Act of 1933; (11) "Principal place of business" of an association means the state in which the aggregate deposits of the association are the largest. For the purposes of this section, the principal place of business of a savings and loan holding company is the state where the aggregate deposits of the association subsidiaries of the holding company are the largest; (12) "Savings and loan holding company" means that which is set forth in the Savings and Loan Holding Company Amendments of 1967; (13) "Service corporation" means any corporation, the majority of the capital stock of which is owned by one (1) or more associations and which engages, directly or indirectly, in any activities similar to activities which may be engaged in by a service corporation in which an association may invest under the laws of one (1) of the states or under the laws of the United States; (14) "Southern region association" means an association other than an Arkansas association organized under the laws of one (1) of the southern region states or under the laws of the United States and which: (A) Has its principal place of business only in a southern region state other than Arkansas; (B) If controlled by an organization, the organization is either a southern region association or a southern region savings and loan holding company; and (C) Has more than eighty percent (80%) of its total deposits other than deposits located in branch offices pursuant to § 23-37-811(a) in its branch offices located in one (1) or more of the southern region states; (15) "Southern region savings and loan holding company" means a savings and loan holding company which has: (A) Its principal place of business in a southern region state other than Arkansas; (B) Total deposits of its southern region association subsidiaries and Arkansas association subsidiaries that exceed eighty percent (80%) of the total deposits of all association subsidiaries of the savings and loan holding company other than those association subsidiaries held under § 23-37-811(a) ; (16) "Southern region states" means the states of Arkansas, Tennessee, Missouri, Mississippi, Texas, Louisiana, Oklahoma, Alabama, Florida, Georgia, Maryland, North Carolina, South Carolina, Virginia and the District of Columbia; (17) "State" means any one (1) of the states of the Union or the District of Columbia; (18) "State association" means an association organized under the laws of one (1) of the states; and (19) "Subsidiary" means that which is set forth in the Savings and Loan Holding Company Amendments of 1967. Acts 1987, No. 45, § 2; 1987, No. 825, § 1.

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

(1) "Acquire", as applied to an association or a savings and loan holding company, means any of the following actions or transactions: (A) The merger or consolidation of an association with another association or with a savings and loan holding company; (B) The acquisition of the direct or indirect ownership or control of voting shares of another association or savings and loan holding company if, after the acquisition, the acquiring association or savings and loan holding company will directly or indirectly own or control more than ten percent (10%) of any class of voting shares of the acquired association or savings and loan holding company; (C) The direct or indirect acquisition of all or substantially all of the assets of another association or savings and loan holding company; or (D) The taking of any other action that would result in the direct or indirect control of another association or savings and loan holding company;

(A) The merger or consolidation of an association with another association or with a savings and loan holding company;

(B) The acquisition of the direct or indirect ownership or control of voting shares of another association or savings and loan holding company if, after the acquisition, the acquiring association or savings and loan holding company will directly or indirectly own or control more than ten percent (10%) of any class of voting shares of the acquired association or savings and loan holding company;

(C) The direct or indirect acquisition of all or substantially all of the assets of another association or savings and loan holding company; or

(D) The taking of any other action that would result in the direct or indirect control of another association or savings and loan holding company;

(2) "Arkansas association" means an association organized under the laws of the State of Arkansas or under the laws of the United States and which: (A) Has its principal place of business in Arkansas; (B) If controlled by an organization, the organization is either an Arkansas association, southern region association, Arkansas savings and loan holding company, or a southern region savings and loan holding company; and (C) Has more than eighty percent (80%) of its total deposits, other than deposits located in branch offices pursuant to § 23-37-811(a) , in its branch offices located in one (1) or more of the southern region states;

(A) Has its principal place of business in Arkansas;

(B) If controlled by an organization, the organization is either an Arkansas association, southern region association, Arkansas savings and loan holding company, or a southern region savings and loan holding company; and

(C) Has more than eighty percent (80%) of its total deposits, other than deposits located in branch offices pursuant to § 23-37-811(a) , in its branch offices located in one (1) or more of the southern region states;

(3) "Arkansas savings and loan holding company" means a savings and loan holding company which has: (A) Its principal place of business in Arkansas; (B) Total deposits of its southern region association subsidiaries and Arkansas association subsidiaries that exceed eighty percent (80%) of the total deposits of all association subsidiaries of the savings and loan holding company other than those association subsidiaries held under § 23-37-811(a) ;

(A) Its principal place of business in Arkansas;

(B) Total deposits of its southern region association subsidiaries and Arkansas association subsidiaries that exceed eighty percent (80%) of the total deposits of all association subsidiaries of the savings and loan holding company other than those association subsidiaries held under § 23-37-811(a) ;

(4) "Association" means a mutual or capital stock savings and loan association, savings association, building and loan association, or savings bank chartered under the laws of any one of the states or by the Federal Home Loan Bank Board [abolished], pursuant to the Home Owner's Loan Act of 1933, and whose deposits are eligible to be insured by the Federal Savings and Loan Insurance Corporation [abolished];

(5) "Board" means the Savings and Loan Association Board [abolished];

(6) "Branch office" means any office at which an association accepts deposits. The term "branch office" does not include: (A) Unmanned automatic teller machines, point-of-sale terminals, or similar unmanned electronic banking facilities at which deposits may be accepted; (B) Offices located outside the United States; and (C) Loan production offices, representative offices, service corporation offices, or other offices at which deposits are not accepted;

(A) Unmanned automatic teller machines, point-of-sale terminals, or similar unmanned electronic banking facilities at which deposits may be accepted;

(B) Offices located outside the United States; and

(C) Loan production offices, representative offices, service corporation offices, or other offices at which deposits are not accepted;

(7) "Company" means any company under the Savings and Loan Holding Company Amendments of 1967;

(8) "Control" means that which is set forth in the Savings and Loan Holding Company Amendments of 1967;

(9) "Deposits" means, with respect to an association, withdrawable or repurchaseable shares, investment certificates, deposits, or other savings accounts in an association held by individuals, partnerships, corporations, the United States Government, states and political subdivisions of the United States, and other entities, exclusive of deposits by foreign governments and foreign official institutions, and by other associations. Determination of deposits must be made by reference to regulatory reports of condition or similar reports filed by the association with applicable state or federal regulatory authorities;

(10) "Federal association" means an association chartered by the Federal Home Loan Bank Board [abolished] pursuant to § 5 of the Home Owner's Loan Act of 1933;

(11) "Principal place of business" of an association means the state in which the aggregate deposits of the association are the largest. For the purposes of this section, the principal place of business of a savings and loan holding company is the state where the aggregate deposits of the association subsidiaries of the holding company are the largest;

(12) "Savings and loan holding company" means that which is set forth in the Savings and Loan Holding Company Amendments of 1967;

(13) "Service corporation" means any corporation, the majority of the capital stock of which is owned by one (1) or more associations and which engages, directly or indirectly, in any activities similar to activities which may be engaged in by a service corporation in which an association may invest under the laws of one (1) of the states or under the laws of the United States;

(14) "Southern region association" means an association other than an Arkansas association organized under the laws of one (1) of the southern region states or under the laws of the United States and which: (A) Has its principal place of business only in a southern region state other than Arkansas; (B) If controlled by an organization, the organization is either a southern region association or a southern region savings and loan holding company; and (C) Has more than eighty percent (80%) of its total deposits other than deposits located in branch offices pursuant to § 23-37-811(a) in its branch offices located in one (1) or more of the southern region states;

(A) Has its principal place of business only in a southern region state other than Arkansas;

(B) If controlled by an organization, the organization is either a southern region association or a southern region savings and loan holding company; and

(C) Has more than eighty percent (80%) of its total deposits other than deposits located in branch offices pursuant to § 23-37-811(a) in its branch offices located in one (1) or more of the southern region states;

(15) "Southern region savings and loan holding company" means a savings and loan holding company which has: (A) Its principal place of business in a southern region state other than Arkansas; (B) Total deposits of its southern region association subsidiaries and Arkansas association subsidiaries that exceed eighty percent (80%) of the total deposits of all association subsidiaries of the savings and loan holding company other than those association subsidiaries held under § 23-37-811(a) ;

(A) Its principal place of business in a southern region state other than Arkansas;

(B) Total deposits of its southern region association subsidiaries and Arkansas association subsidiaries that exceed eighty percent (80%) of the total deposits of all association subsidiaries of the savings and loan holding company other than those association subsidiaries held under § 23-37-811(a) ;

(16) "Southern region states" means the states of Arkansas, Tennessee, Missouri, Mississippi, Texas, Louisiana, Oklahoma, Alabama, Florida, Georgia, Maryland, North Carolina, South Carolina, Virginia and the District of Columbia;

(17) "State" means any one (1) of the states of the Union or the District of Columbia;

(18) "State association" means an association organized under the laws of one (1) of the states; and

(19) "Subsidiary" means that which is set forth in the Savings and Loan Holding Company Amendments of 1967.

Acts 1987, No. 45, § 2; 1987, No. 825, § 1.
Ark. Code Ann. § 23-61-606 — AR Code / Title 23 / Chapter 61 / Subchapter 6 / Section 23-61-606
Procurement of insurance or surety bonding
Status: in_force

(a) The State Procurement Director shall procure insurance or surety bonding in accordance with the Arkansas Procurement Law, § 19-11-201 et seq., unless the risk manager determines that it is in the best interest of the state for the director to procure insurance or surety bonding by negotiation, or for any state agency to procure all or part of its own insurance or surety bonding. (b) When the Administrator of the Risk Management Division authorizes state agencies to procure insurance or surety bonding, the authorization shall be made in writing and approved by the Insurance Commissioner. The authorization may be made for, but not limited to, purchases not exceeding an amount established by rules, particular lines of insurance, and purchases by state agencies with a demonstrated expertise in the field of risk management. (c) Upon approval of the risk manager and the director, a state agency may be authorized to procure insurance or surety bonding under emergency conditions. Emergency conditions exist when life, health, welfare, assets, or functional operations of an agency are or may be threatened or impaired. (d) The director shall not have jurisdiction over the procurement of surety bonding or insurance coverage for state agencies except as provided by this subchapter. Amended by Act 2019, No. 315,§ 2618, eff. 7/24/2019. Acts 1981, No. 272, §§ 7-10; 1983, No. 522, §§ 41, 42; A.S.A. 1947, §§ 66-5707 -- 66-5710.

(a) The State Procurement Director shall procure insurance or surety bonding in accordance with the Arkansas Procurement Law, § 19-11-201 et seq., unless the risk manager determines that it is in the best interest of the state for the director to procure insurance or surety bonding by negotiation, or for any state agency to procure all or part of its own insurance or surety bonding.

(b) When the Administrator of the Risk Management Division authorizes state agencies to procure insurance or surety bonding, the authorization shall be made in writing and approved by the Insurance Commissioner. The authorization may be made for, but not limited to, purchases not exceeding an amount established by rules, particular lines of insurance, and purchases by state agencies with a demonstrated expertise in the field of risk management.

(c) Upon approval of the risk manager and the director, a state agency may be authorized to procure insurance or surety bonding under emergency conditions. Emergency conditions exist when life, health, welfare, assets, or functional operations of an agency are or may be threatened or impaired.

(d) The director shall not have jurisdiction over the procurement of surety bonding or insurance coverage for state agencies except as provided by this subchapter.

Amended by Act 2019, No. 315,§ 2618, eff. 7/24/2019.

Acts 1981, No. 272, §§ 7-10; 1983, No. 522, §§ 41, 42; A.S.A. 1947, §§ 66-5707 -- 66-5710.
Ark. Code Ann. § 23-10-418 — AR Code / Title 23 / Chapter 10 / Subchapter 4 / Section 23-10-418
Receipt and transport of freight - Time restraints
Status: in_force

(a) When freight in carloads or less is tendered to a railroad company and correct shipping instructions are given, the railroad agent must immediately receive the freight for shipment and issue bills of lading for it. (b) (1) Whenever shipments have been received as provided in subsection (a) of this section by any railroad company, they must be carried forward at the rate of not less than fifty (50) miles per day of twenty-four (24) hours, computing from 7:00 a.m. of the day following receipt of shipment. (2) In computing the time of freight in transit, there shall be allowed twenty-four (24) hours at each point where transferring from one (1) railroad to another or rehandling of freight is involved. In all computation of time between shippers and carriers, Sundays and legal holidays are to be excluded. (3) In the transportation of cattle, sheep, swine, and other animals, the carrier shall be governed by the provisions of the federal statutes in watering, feeding, and rest of the animals, and the delay shall be counted as free time. (4) The period during which the movement of freight is suspended on account of accident or any cause not within the power of the railroad company to prevent shall be added to the free time allowed in this section and counted as additional free time. (c) For failure to receive and transport shipments within the time prescribed, the railroad company so offending shall forfeit and pay to the shipper the sum of five dollars ($5.00) per car per day or fraction of a day on all carload freight, and one cent (1¢) per one hundred pounds (100 lbs.) per day or fraction of a day on freight in less than carloads, with a minimum charge of five cents (5¢) for any one (1) package, upon demand in writing by the shipper or another party whose interest is affected by the delay. Acts 1907, No. 193, § 2, p. 453; C. & M. Dig., § 896; Pope's Dig., § 1100; A.S.A. 1947, § 73-1311.

(a) When freight in carloads or less is tendered to a railroad company and correct shipping instructions are given, the railroad agent must immediately receive the freight for shipment and issue bills of lading for it.

(b) (1) Whenever shipments have been received as provided in subsection (a) of this section by any railroad company, they must be carried forward at the rate of not less than fifty (50) miles per day of twenty-four (24) hours, computing from 7:00 a.m. of the day following receipt of shipment. (2) In computing the time of freight in transit, there shall be allowed twenty-four (24) hours at each point where transferring from one (1) railroad to another or rehandling of freight is involved. In all computation of time between shippers and carriers, Sundays and legal holidays are to be excluded. (3) In the transportation of cattle, sheep, swine, and other animals, the carrier shall be governed by the provisions of the federal statutes in watering, feeding, and rest of the animals, and the delay shall be counted as free time. (4) The period during which the movement of freight is suspended on account of accident or any cause not within the power of the railroad company to prevent shall be added to the free time allowed in this section and counted as additional free time.

(1) Whenever shipments have been received as provided in subsection (a) of this section by any railroad company, they must be carried forward at the rate of not less than fifty (50) miles per day of twenty-four (24) hours, computing from 7:00 a.m. of the day following receipt of shipment.

(2) In computing the time of freight in transit, there shall be allowed twenty-four (24) hours at each point where transferring from one (1) railroad to another or rehandling of freight is involved. In all computation of time between shippers and carriers, Sundays and legal holidays are to be excluded.

(3) In the transportation of cattle, sheep, swine, and other animals, the carrier shall be governed by the provisions of the federal statutes in watering, feeding, and rest of the animals, and the delay shall be counted as free time.

(4) The period during which the movement of freight is suspended on account of accident or any cause not within the power of the railroad company to prevent shall be added to the free time allowed in this section and counted as additional free time.

(c) For failure to receive and transport shipments within the time prescribed, the railroad company so offending shall forfeit and pay to the shipper the sum of five dollars ($5.00) per car per day or fraction of a day on all carload freight, and one cent (1¢) per one hundred pounds (100 lbs.) per day or fraction of a day on freight in less than carloads, with a minimum charge of five cents (5¢) for any one (1) package, upon demand in writing by the shipper or another party whose interest is affected by the delay.

Acts 1907, No. 193, § 2, p. 453; C. & M. Dig., § 896; Pope's Dig., § 1100; A.S.A. 1947, § 73-1311.
Ark. Code Ann. § 23-15-215 — AR Code / Title 23 / Chapter 15 / Subchapter 2 / Section 23-15-215
Legislative intent concerning section 23-15-214
Status: in_force

(a) It is the purpose and intent of the General Assembly in enacting § 23-15-214 to specifically authorize the Arkansas Public Service Commission to make assessments upon interstate pipelines operating within this state and to provide funds to initiate and carry out an effective gas pipeline safety inspection program in order to properly protect the public health and safety of the citizens of this state. (b) In enacting this section, the General Assembly is aware that: (1) Recent federal court decisions have specifically upheld the right of states to impose safety assessments upon interstate pipelines; (2) The United States Department of Transportation has recently designated the commission as its agent for inspection of interstate pipeline facilities located in Arkansas; (3) The Sixty-Ninth General Assembly, in House Concurrent Resolution No. 95, specifically recognized and declared that the commission can provide effective public safety inspections of interstate gas transmission facilities at far less cost than this service can be provided by federal inspectors and that the future safety of the residents of the State of Arkansas requires the support of the General Assembly to ensure a safety inspection program for such pipelines located in Arkansas; and (4) Legislation enacted by the United States Congress authorizes federal funds for reimbursement of up to fifty percent (50%) of the annual cost to the state which initiates such a program. Acts 1975, No. 877, § 1; A.S.A. 1947, § 73-1915n.

(a) It is the purpose and intent of the General Assembly in enacting § 23-15-214 to specifically authorize the Arkansas Public Service Commission to make assessments upon interstate pipelines operating within this state and to provide funds to initiate and carry out an effective gas pipeline safety inspection program in order to properly protect the public health and safety of the citizens of this state.

(b) In enacting this section, the General Assembly is aware that: (1) Recent federal court decisions have specifically upheld the right of states to impose safety assessments upon interstate pipelines; (2) The United States Department of Transportation has recently designated the commission as its agent for inspection of interstate pipeline facilities located in Arkansas; (3) The Sixty-Ninth General Assembly, in House Concurrent Resolution No. 95, specifically recognized and declared that the commission can provide effective public safety inspections of interstate gas transmission facilities at far less cost than this service can be provided by federal inspectors and that the future safety of the residents of the State of Arkansas requires the support of the General Assembly to ensure a safety inspection program for such pipelines located in Arkansas; and (4) Legislation enacted by the United States Congress authorizes federal funds for reimbursement of up to fifty percent (50%) of the annual cost to the state which initiates such a program.

(1) Recent federal court decisions have specifically upheld the right of states to impose safety assessments upon interstate pipelines;

(2) The United States Department of Transportation has recently designated the commission as its agent for inspection of interstate pipeline facilities located in Arkansas;

(3) The Sixty-Ninth General Assembly, in House Concurrent Resolution No. 95, specifically recognized and declared that the commission can provide effective public safety inspections of interstate gas transmission facilities at far less cost than this service can be provided by federal inspectors and that the future safety of the residents of the State of Arkansas requires the support of the General Assembly to ensure a safety inspection program for such pipelines located in Arkansas; and

(4) Legislation enacted by the United States Congress authorizes federal funds for reimbursement of up to fifty percent (50%) of the annual cost to the state which initiates such a program.

Acts 1975, No. 877, § 1; A.S.A. 1947, § 73-1915n.
Ark. Code Ann. § 23-86-118 — AR Code / Title 23 / Chapter 86 / Subchapter 1 / Section 23-86-118
In vitro fertilization coverage required
Status: in_force

(a) All accident and health insurance companies doing business in this state shall include, as a covered expense, in vitro fertilization. (b) Pursuant to the applicable provisions of the Arkansas Insurance Code, the Insurance Commissioner may suspend or revoke the certificate of authority of any insurance company failing to comply with the provisions of this section. (c) After conducting appropriate studies and public hearings, the commissioner shall establish minimum and maximum levels of coverage to be provided by the accident and health insurance companies. (d) Coverage required under this section shall include services performed at a medical facility licensed or certified by the Department of Health, those performed at a facility certified by the department that conforms to the American College of Obstetricians and Gynecologists guidelines for in vitro fertilization clinics, or those performed at a facility certified by the department that meets the American Society for Reproductive Medicine minimal standards for programs of in vitro fertilization. Acts 1987, No. 779, § 1; 1991, No. 920, § 2; 2001, No. 1063, § 18.

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

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

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

(d) Coverage required under this section shall include services performed at a medical facility licensed or certified by the Department of Health, those performed at a facility certified by the department that conforms to the American College of Obstetricians and Gynecologists guidelines for in vitro fertilization clinics, or those performed at a facility certified by the department that meets the American Society for Reproductive Medicine minimal standards for programs of in vitro fertilization.

Acts 1987, No. 779, § 1; 1991, No. 920, § 2; 2001, No. 1063, § 18.
Ark. Code Ann. § 23-35-404 — AR Code / Title 23 / Chapter 35 / Subchapter 4 / Section 23-35-404
Expulsion of members
Status: in_force

(a) A member of a credit union may be expelled by the board of directors of the credit union, but only after he or she has been given an opportunity to be heard regarding the purpose of the expulsion. A written notice of this hearing, setting forth the time, place, and date for the meeting, shall be forwarded to the member by the board together with the charges which serve as the basis for the expulsion. (b) The member may be expelled for: (1) Failure to meet the conditions of his or her membership; (2) Failure to carry out his or her obligations to the credit union; (3) Conviction of a felony; (4) Neglect or refusal to comply with the laws and bylaws under which the credit union operates; (5) Habitual neglect to pay obligations; (6) Insolvency; or (7) Bankruptcy. (c) If the board votes to expel the member, he or she shall remain liable for any sums owed to the credit union for loans or other purposes. (d) The credit union may require sixty (60) days' written notice to withdraw shares or deposits by the member, as funds become available. Acts 1971, No. 132, § 8; A.S.A. 1947, § 67-908.

(a) A member of a credit union may be expelled by the board of directors of the credit union, but only after he or she has been given an opportunity to be heard regarding the purpose of the expulsion. A written notice of this hearing, setting forth the time, place, and date for the meeting, shall be forwarded to the member by the board together with the charges which serve as the basis for the expulsion.

(b) The member may be expelled for: (1) Failure to meet the conditions of his or her membership; (2) Failure to carry out his or her obligations to the credit union; (3) Conviction of a felony; (4) Neglect or refusal to comply with the laws and bylaws under which the credit union operates; (5) Habitual neglect to pay obligations; (6) Insolvency; or (7) Bankruptcy.

(1) Failure to meet the conditions of his or her membership;

(2) Failure to carry out his or her obligations to the credit union;

(3) Conviction of a felony;

(4) Neglect or refusal to comply with the laws and bylaws under which the credit union operates;

(5) Habitual neglect to pay obligations;

(6) Insolvency; or

(7) Bankruptcy.

(c) If the board votes to expel the member, he or she shall remain liable for any sums owed to the credit union for loans or other purposes.

(d) The credit union may require sixty (60) days' written notice to withdraw shares or deposits by the member, as funds become available.

Acts 1971, No. 132, § 8; A.S.A. 1947, § 67-908.
Ark. Code Ann. § 23-18-408 — AR Code / Title 23 / Chapter 18 / Subchapter 4 / Section 23-18-408
Power for public use - Sale to private parties
Status: in_force

(a) The power shall be for public use and shall be sold to private parties desiring it in the order of their application and upon equal terms. (b) The power shall be furnished by the person or corporation or its principal powerhouse or central station. (c) The power may be applied directly by water or through the instrumentality of electricity or such other agencies as the person or corporation may elect. Acts 1927, No. 121, § 5; Pope's Dig., § 14477; A.S.A. 1947, § 73-2005.

(a) The power shall be for public use and shall be sold to private parties desiring it in the order of their application and upon equal terms.

(b) The power shall be furnished by the person or corporation or its principal powerhouse or central station.

(c) The power may be applied directly by water or through the instrumentality of electricity or such other agencies as the person or corporation may elect.

Acts 1927, No. 121, § 5; Pope's Dig., § 14477; A.S.A. 1947, § 73-2005.
Ark. Code Ann. § 23-112-1014 — AR Code / Title 23 / Chapter 112 / Subchapter 10 / Section 23-112-1014
Sale of remaining inventory after termination
Status: in_force

(a) A dealer is not prohibited from selling the remaining in-stock inventory of a particular line-make after a dealer agreement has been terminated or not renewed under § 23-112-1012 . (b) If recreational vehicles of a line-make are not returned or required to be returned to the manufacturer or distributor, the dealer may continue to sell all line-makes that were subject to the dealer agreement and are currently in stock until those line-makes are no longer in the dealer's inventory. Added by Act 2013, No. 1043,§ 10, eff. 1/1/2014.

(a) A dealer is not prohibited from selling the remaining in-stock inventory of a particular line-make after a dealer agreement has been terminated or not renewed under § 23-112-1012 .

(b) If recreational vehicles of a line-make are not returned or required to be returned to the manufacturer or distributor, the dealer may continue to sell all line-makes that were subject to the dealer agreement and are currently in stock until those line-makes are no longer in the dealer's inventory.

Added by Act 2013, No. 1043,§ 10, eff. 1/1/2014.
Ark. Code Ann. § 23-114-507 — AR Code / Title 23 / Chapter 114 / Subchapter 5 / Section 23-114-507
Expenses paid from bingo and raffle account
Status: in_force

The following items of expenses incurred or paid in connection with the conduct of games of bingo or raffles must be paid from a licensed authorized organization's bingo and raffle account if the licensed authorized organization is required under § 23-114-501 to maintain such an account: (1) Advertising, including the cost of printing bingo and raffle gift certificates; (2) Repairs to premises and equipment; (3) Bingo and raffle supplies and equipment; (4) Prizes; (5) Stated rental or mortgage and insurance expenses; (6) Bookkeeping or accounting services; and (7) License fees. Acts 2007, No. 388, § 1.

The following items of expenses incurred or paid in connection with the conduct of games of bingo or raffles must be paid from a licensed authorized organization's bingo and raffle account if the licensed authorized organization is required under § 23-114-501 to maintain such an account:

(1) Advertising, including the cost of printing bingo and raffle gift certificates;

(2) Repairs to premises and equipment;

(3) Bingo and raffle supplies and equipment;

(4) Prizes;

(5) Stated rental or mortgage and insurance expenses;

(6) Bookkeeping or accounting services; and

(7) License fees.

Acts 2007, No. 388, § 1.
Ark. Code Ann. § 23-32-304 — AR Code / Title 23 / Chapter 32 / Subchapter 3 / Section 23-32-304
Construction
Status: in_force

Nothing in this subchapter shall be construed to: (1) Prevent a state or federal savings and loan association from electing or agreeing to furnish bond at its own cost; (2) Prevent any other party of interest, desiring protection in a business transaction with a state or federal savings and loan association, from electing to secure and pay for a bond covering the state or federal savings and loan association to the benefit of such a party to the transaction; and (3) Amend or repeal any law pertaining to: (A) Corporate surety or indemnity bonds covering directors, officers, or employees of a state or federal savings and loan association; (B) Foreign corporations, associations, or institutions not authorized to do business in this state; (C) Actions available against state or federal savings and loan associations for injury or damage; and (D) Bonding requirements involving fiduciary activities of a guardian, executor, administrator, personal representative, trustee, agent, or other fiduciary under the Probate Code or under any other laws covering fiduciary activities. Acts 1997, No. 84, § 4.

Nothing in this subchapter shall be construed to:

(1) Prevent a state or federal savings and loan association from electing or agreeing to furnish bond at its own cost;

(2) Prevent any other party of interest, desiring protection in a business transaction with a state or federal savings and loan association, from electing to secure and pay for a bond covering the state or federal savings and loan association to the benefit of such a party to the transaction; and

(3) Amend or repeal any law pertaining to: (A) Corporate surety or indemnity bonds covering directors, officers, or employees of a state or federal savings and loan association; (B) Foreign corporations, associations, or institutions not authorized to do business in this state; (C) Actions available against state or federal savings and loan associations for injury or damage; and (D) Bonding requirements involving fiduciary activities of a guardian, executor, administrator, personal representative, trustee, agent, or other fiduciary under the Probate Code or under any other laws covering fiduciary activities.

(A) Corporate surety or indemnity bonds covering directors, officers, or employees of a state or federal savings and loan association;

(B) Foreign corporations, associations, or institutions not authorized to do business in this state;

(C) Actions available against state or federal savings and loan associations for injury or damage; and

(D) Bonding requirements involving fiduciary activities of a guardian, executor, administrator, personal representative, trustee, agent, or other fiduciary under the Probate Code or under any other laws covering fiduciary activities.

Acts 1997, No. 84, § 4.
Ark. Code Ann. § 23-51-181 — AR Code / Title 23 / Chapter 51 / Section 23-51-181
Examinations - Periodic reports - Cooperative agreements - Assessment of fees
Status: in_force

(a) To the extent consistent with subsection (c) of this section, the Bank Commissioner may make such examinations of any office established and maintained in this state pursuant to this chapter by an out-of-state trust institution as the commissioner may deem necessary to determine whether the office is being operated in compliance with the laws of this state and in accordance with safe and sound banking practices. The provisions of the Arkansas Banking Code of 1997 shall apply to such examinations. (b) The commissioner may require periodic reports regarding any out-of-state trust institution that has established and maintained an office in this state pursuant to this chapter. The required reports shall be provided by the trust institution or by the home state regulator. Any reporting requirements prescribed by the commissioner under this subsection shall be consistent with the reporting requirements applicable to state trust companies and appropriate for the purpose of enabling the commissioner to carry out his or her responsibilities under this chapter. (c) The commissioner may enter into cooperative, coordinating, and information-sharing agreements with any other bank supervisory agencies or any organization affiliated with or representing one (1) or more bank supervisory agencies with respect to the periodic examination or other supervision of any office in this state of an out-of-state trust institution, or any office of a state trust institution in any host state, and the commissioner may accept such a party's report of examination and report of investigation in lieu of conducting his or her own examination or investigation. (d) The commissioner may enter into contracts with any bank supervisory agency that has concurrent jurisdiction over a state trust institution or an out-of-state trust institution maintaining an office in this state to engage the services of the agency's examiners at a reasonable rate of compensation, or to provide the services of the commissioner's examiners to the agency at a reasonable rate of compensation. Any such contract shall be deemed a sole source contract under § 19-11-232 . (e) The commissioner may enter into joint examinations or joint enforcement actions with other bank supervisory agencies having concurrent jurisdiction over any office established and maintained in this state by an out-of-state trust institution or any office established and maintained by a state trust institution in any host state, provided that the commissioner may at any time take such actions independently if the commissioner deems such actions to be necessary or appropriate to carry out his or her responsibilities under this chapter or to ensure compliance with the laws of this state, but provided further that in the case of an out-of-state trust institution, the commissioner shall recognize the exclusive authority of the home state regulator over corporate governance matters and the primary responsibility of the home state regulator with respect to safety and soundness matters. (f) Each out-of-state trust institution that maintains one (1) or more offices in this state may be assessed and, if assessed, shall pay supervisory and examination fees in accordance with the laws of this state and rules of the commissioner. The fees may be shared with other bank supervisory agencies or any organization affiliated with or representing one (1) or more bank supervisory agencies in accordance with agreements between such parties and the commissioner. Amended by Act 2019, No. 315,§ 2601, eff. 7/24/2019. Acts 1997, No. 940, § 81.

(a) To the extent consistent with subsection (c) of this section, the Bank Commissioner may make such examinations of any office established and maintained in this state pursuant to this chapter by an out-of-state trust institution as the commissioner may deem necessary to determine whether the office is being operated in compliance with the laws of this state and in accordance with safe and sound banking practices. The provisions of the Arkansas Banking Code of 1997 shall apply to such examinations.

(b) The commissioner may require periodic reports regarding any out-of-state trust institution that has established and maintained an office in this state pursuant to this chapter. The required reports shall be provided by the trust institution or by the home state regulator. Any reporting requirements prescribed by the commissioner under this subsection shall be consistent with the reporting requirements applicable to state trust companies and appropriate for the purpose of enabling the commissioner to carry out his or her responsibilities under this chapter.

(c) The commissioner may enter into cooperative, coordinating, and information-sharing agreements with any other bank supervisory agencies or any organization affiliated with or representing one (1) or more bank supervisory agencies with respect to the periodic examination or other supervision of any office in this state of an out-of-state trust institution, or any office of a state trust institution in any host state, and the commissioner may accept such a party's report of examination and report of investigation in lieu of conducting his or her own examination or investigation.

(d) The commissioner may enter into contracts with any bank supervisory agency that has concurrent jurisdiction over a state trust institution or an out-of-state trust institution maintaining an office in this state to engage the services of the agency's examiners at a reasonable rate of compensation, or to provide the services of the commissioner's examiners to the agency at a reasonable rate of compensation. Any such contract shall be deemed a sole source contract under § 19-11-232 .

(e) The commissioner may enter into joint examinations or joint enforcement actions with other bank supervisory agencies having concurrent jurisdiction over any office established and maintained in this state by an out-of-state trust institution or any office established and maintained by a state trust institution in any host state, provided that the commissioner may at any time take such actions independently if the commissioner deems such actions to be necessary or appropriate to carry out his or her responsibilities under this chapter or to ensure compliance with the laws of this state, but provided further that in the case of an out-of-state trust institution, the commissioner shall recognize the exclusive authority of the home state regulator over corporate governance matters and the primary responsibility of the home state regulator with respect to safety and soundness matters.

(f) Each out-of-state trust institution that maintains one (1) or more offices in this state may be assessed and, if assessed, shall pay supervisory and examination fees in accordance with the laws of this state and rules of the commissioner. The fees may be shared with other bank supervisory agencies or any organization affiliated with or representing one (1) or more bank supervisory agencies in accordance with agreements between such parties and the commissioner.

Amended by Act 2019, No. 315,§ 2601, eff. 7/24/2019.

Acts 1997, No. 940, § 81.
Ark. Code Ann. § 23-2-420 — AR Code / Title 23 / Chapter 2 / Subchapter 4 / Section 23-2-420
Orders, findings, rules, certificates, etc., under Acts 1935, No. 324, to be in writing - Copies as evidence
Status: in_force

(a) Every order, finding, authorization, rule, or certificate issued or approved by the commission under any provisions of this act shall be in writing and entered on the records of the commission, all of which shall be public records. (b) A certificate under the seal of the commission that any such order, finding, authorization, rule, or certificate has not been modified, stayed, suspended, or revoked shall be received as evidence in all courts as to the facts therein stated. Amended by Act 2019, No. 315,§ 2377, eff. 7/24/2019. Acts 1935, No. 324, § 32; Pope's Dig., § 2095; A.S.A. 1947, § 73-231.

(a) Every order, finding, authorization, rule, or certificate issued or approved by the commission under any provisions of this act shall be in writing and entered on the records of the commission, all of which shall be public records.

(b) A certificate under the seal of the commission that any such order, finding, authorization, rule, or certificate has not been modified, stayed, suspended, or revoked shall be received as evidence in all courts as to the facts therein stated.

Amended by Act 2019, No. 315,§ 2377, eff. 7/24/2019.

Acts 1935, No. 324, § 32; Pope's Dig., § 2095; A.S.A. 1947, § 73-231.