Ark. Code Ann. § 23-18-513 — AR Code / Title 23 / Chapter 18 / Subchapter 5 / Section 23-18-513
Application for certificate - Service or notice of application
Status: in_force

(a) Each application for a certificate of environmental compatibility and public need shall be accompanied by proof of service of a copy of the application on: (1) The mayor of each municipality; (2) The county judge; (3) The chair of the county planning board, if any; (4) Any head of a governmental agency charged with the duty of protecting the environment or of planning land use, upon which the Arkansas Public Service Commission has by rule or order directed that service be made, in the area in which any portion of such facility is to be located, both as primarily and as alternatively proposed; (5) Each member of the General Assembly in whose district the facility or any alternative location listed in the application is to be located; (6) The office of the Governor; and (7) The director or other administrative head of the following state agencies or departments: (A) Division of Environmental Quality; (B) Department of Health; (C) Arkansas Economic Development Commission; (D) Arkansas Department of Transportation; (E) Arkansas State Game and Fish Commission; (F) Arkansas Natural Heritage Commission; (G) Any state agency which may have the authority to assist in financing the applicant's facility; (H) Any other state agency or department which manages or has jurisdiction over state-owned lands on which all or part of the proposed utility facility is to be or may be located; (I) Department of Finance and Administration; (J) State Energy Conservation and Policy Office [abolished]; (K) Attorney General; and (L) Any other state agency or department designated by Arkansas Public Service Commission rule or order; and (8) Proof that a copy of the application has been made available for public inspection at all public libraries in each county in which the proposed utility facility is to be or may be located. (b) The copy of the application shall be accompanied by a notice specifying the date on or about which the application is to be filed and a notice that interventions or limited appearances must be filed with the Arkansas Public Service Commission within thirty (30) days after the date set forth as the date of filing, unless good cause is shown pursuant to § 23-18-517 . (c) (1) Each application shall also be accompanied by proof that written notice specifying the date on or about which the application is to be filed and the date that interventions or limited appearances must be filed with the Arkansas Public Service Commission, unless good cause is shown pursuant to § 23-18-517 , has been sent by certified mail to each owner of real property on the proposed route selected by the utility on which a major utility facility is to be located or constructed. (2) The written notice required by this subsection shall be directed to the address of the owner of the real property as it appears on the records in the office of the county sheriff or county tax assessor for the mailing of statements for taxes as provided in § 26-35-705 . (d) (1) Each application shall also be accompanied by proof that public notice of the application was given to persons residing in municipalities and counties entitled to receive notice under subsection (a) of this section by the publication in a newspaper having substantial circulation in the municipalities or counties of: (A) A summary of the application; (B) A statement of the date on or about which it is to be filed; and (C) A statement that intervention or limited appearances shall be filed with the Arkansas Public Service Commission within thirty (30) days after the date stated in the notice, unless good cause is shown under § 23-18-517 . (2) (A) For purposes of this subsection, an environmental impact statement submitted as an exhibit to the application need not be summarized, but the published notice shall include a statement that the impact statements are on file at the office of the Arkansas Public Service Commission and available for public inspection or are available electronically on the Arkansas Public Service Commission's website. (B) The applicant shall also cause copies of the environmental impact statement to be furnished to at least one (1) of its local offices, if any, in the counties in which any portion of the major utility facilities are to be located, both as primarily or as alternatively proposed, to be there available for public inspection. (C) The published notice shall contain a statement of the location of the local offices described in subdivision (d)(2)(B) of this section and the times the impact statements will be available for public inspection. (e) Inadvertent failure of service on or notice to any of the municipalities, counties, governmental agencies, or persons identified in subsections (a) and (c) of this section may be cured pursuant to orders of the Arkansas Public Service Commission designed to afford such persons adequate notice to enable their effective participation in the proceedings. (f) In addition, after filing, the Arkansas Public Service Commission may require the applicant to serve notice of the application or copies thereof, or both, upon such other persons and file proof thereof, as the Arkansas Public Service Commission may deem appropriate. (g) Where any personal service or notice is required in this section, the service may be made by any officer authorized by law to serve process, by personal delivery, or by certified mail. Amended by Act 2019, No. 315,§ 2480, eff. 7/24/2019. Amended by Act 2019, No. 315,§ 2479, eff. 7/24/2019. Amended by Act 2019, No. 910,§ 3242, eff. 7/1/2019. Amended by Act 2017, No. 707,§ 265, eff. 8/1/2017. Acts 1973, No. 164, § 5; 1977, No. 866, § 1; A.S.A. 1947, § 73-276.4; Acts 1997, No. 540, § 88; 1999, No. 1164, § 180; 1999, No. 1351, § 1; 2011, No. 910, § 7.

(a) Each application for a certificate of environmental compatibility and public need shall be accompanied by proof of service of a copy of the application on: (1) The mayor of each municipality; (2) The county judge; (3) The chair of the county planning board, if any; (4) Any head of a governmental agency charged with the duty of protecting the environment or of planning land use, upon which the Arkansas Public Service Commission has by rule or order directed that service be made, in the area in which any portion of such facility is to be located, both as primarily and as alternatively proposed; (5) Each member of the General Assembly in whose district the facility or any alternative location listed in the application is to be located; (6) The office of the Governor; and (7) The director or other administrative head of the following state agencies or departments: (A) Division of Environmental Quality; (B) Department of Health; (C) Arkansas Economic Development Commission; (D) Arkansas Department of Transportation; (E) Arkansas State Game and Fish Commission; (F) Arkansas Natural Heritage Commission; (G) Any state agency which may have the authority to assist in financing the applicant's facility; (H) Any other state agency or department which manages or has jurisdiction over state-owned lands on which all or part of the proposed utility facility is to be or may be located; (I) Department of Finance and Administration; (J) State Energy Conservation and Policy Office [abolished]; (K) Attorney General; and (L) Any other state agency or department designated by Arkansas Public Service Commission rule or order; and (8) Proof that a copy of the application has been made available for public inspection at all public libraries in each county in which the proposed utility facility is to be or may be located.

(1) The mayor of each municipality;

(2) The county judge;

(3) The chair of the county planning board, if any;

(4) Any head of a governmental agency charged with the duty of protecting the environment or of planning land use, upon which the Arkansas Public Service Commission has by rule or order directed that service be made, in the area in which any portion of such facility is to be located, both as primarily and as alternatively proposed;

(5) Each member of the General Assembly in whose district the facility or any alternative location listed in the application is to be located;

(6) The office of the Governor; and

(7) The director or other administrative head of the following state agencies or departments: (A) Division of Environmental Quality; (B) Department of Health; (C) Arkansas Economic Development Commission; (D) Arkansas Department of Transportation; (E) Arkansas State Game and Fish Commission; (F) Arkansas Natural Heritage Commission; (G) Any state agency which may have the authority to assist in financing the applicant's facility; (H) Any other state agency or department which manages or has jurisdiction over state-owned lands on which all or part of the proposed utility facility is to be or may be located; (I) Department of Finance and Administration; (J) State Energy Conservation and Policy Office [abolished]; (K) Attorney General; and (L) Any other state agency or department designated by Arkansas Public Service Commission rule or order; and

(A) Division of Environmental Quality;

(B) Department of Health;

(C) Arkansas Economic Development Commission;

(D) Arkansas Department of Transportation;

(E) Arkansas State Game and Fish Commission;

(F) Arkansas Natural Heritage Commission;

(G) Any state agency which may have the authority to assist in financing the applicant's facility;

(H) Any other state agency or department which manages or has jurisdiction over state-owned lands on which all or part of the proposed utility facility is to be or may be located;

(I) Department of Finance and Administration;

(J) State Energy Conservation and Policy Office [abolished];

(K) Attorney General; and

(L) Any other state agency or department designated by Arkansas Public Service Commission rule or order; and

(8) Proof that a copy of the application has been made available for public inspection at all public libraries in each county in which the proposed utility facility is to be or may be located.

(b) The copy of the application shall be accompanied by a notice specifying the date on or about which the application is to be filed and a notice that interventions or limited appearances must be filed with the Arkansas Public Service Commission within thirty (30) days after the date set forth as the date of filing, unless good cause is shown pursuant to § 23-18-517 .

(c) (1) Each application shall also be accompanied by proof that written notice specifying the date on or about which the application is to be filed and the date that interventions or limited appearances must be filed with the Arkansas Public Service Commission, unless good cause is shown pursuant to § 23-18-517 , has been sent by certified mail to each owner of real property on the proposed route selected by the utility on which a major utility facility is to be located or constructed. (2) The written notice required by this subsection shall be directed to the address of the owner of the real property as it appears on the records in the office of the county sheriff or county tax assessor for the mailing of statements for taxes as provided in § 26-35-705 .

(1) Each application shall also be accompanied by proof that written notice specifying the date on or about which the application is to be filed and the date that interventions or limited appearances must be filed with the Arkansas Public Service Commission, unless good cause is shown pursuant to § 23-18-517 , has been sent by certified mail to each owner of real property on the proposed route selected by the utility on which a major utility facility is to be located or constructed.

(2) The written notice required by this subsection shall be directed to the address of the owner of the real property as it appears on the records in the office of the county sheriff or county tax assessor for the mailing of statements for taxes as provided in § 26-35-705 .

(d) (1) Each application shall also be accompanied by proof that public notice of the application was given to persons residing in municipalities and counties entitled to receive notice under subsection (a) of this section by the publication in a newspaper having substantial circulation in the municipalities or counties of: (A) A summary of the application; (B) A statement of the date on or about which it is to be filed; and (C) A statement that intervention or limited appearances shall be filed with the Arkansas Public Service Commission within thirty (30) days after the date stated in the notice, unless good cause is shown under § 23-18-517 . (2) (A) For purposes of this subsection, an environmental impact statement submitted as an exhibit to the application need not be summarized, but the published notice shall include a statement that the impact statements are on file at the office of the Arkansas Public Service Commission and available for public inspection or are available electronically on the Arkansas Public Service Commission's website. (B) The applicant shall also cause copies of the environmental impact statement to be furnished to at least one (1) of its local offices, if any, in the counties in which any portion of the major utility facilities are to be located, both as primarily or as alternatively proposed, to be there available for public inspection. (C) The published notice shall contain a statement of the location of the local offices described in subdivision (d)(2)(B) of this section and the times the impact statements will be available for public inspection.

(1) Each application shall also be accompanied by proof that public notice of the application was given to persons residing in municipalities and counties entitled to receive notice under subsection (a) of this section by the publication in a newspaper having substantial circulation in the municipalities or counties of: (A) A summary of the application; (B) A statement of the date on or about which it is to be filed; and (C) A statement that intervention or limited appearances shall be filed with the Arkansas Public Service Commission within thirty (30) days after the date stated in the notice, unless good cause is shown under § 23-18-517 .

(A) A summary of the application;

(B) A statement of the date on or about which it is to be filed; and

(C) A statement that intervention or limited appearances shall be filed with the Arkansas Public Service Commission within thirty (30) days after the date stated in the notice, unless good cause is shown under § 23-18-517 .

(2) (A) For purposes of this subsection, an environmental impact statement submitted as an exhibit to the application need not be summarized, but the published notice shall include a statement that the impact statements are on file at the office of the Arkansas Public Service Commission and available for public inspection or are available electronically on the Arkansas Public Service Commission's website. (B) The applicant shall also cause copies of the environmental impact statement to be furnished to at least one (1) of its local offices, if any, in the counties in which any portion of the major utility facilities are to be located, both as primarily or as alternatively proposed, to be there available for public inspection. (C) The published notice shall contain a statement of the location of the local offices described in subdivision (d)(2)(B) of this section and the times the impact statements will be available for public inspection.

(A) For purposes of this subsection, an environmental impact statement submitted as an exhibit to the application need not be summarized, but the published notice shall include a statement that the impact statements are on file at the office of the Arkansas Public Service Commission and available for public inspection or are available electronically on the Arkansas Public Service Commission's website.

(B) The applicant shall also cause copies of the environmental impact statement to be furnished to at least one (1) of its local offices, if any, in the counties in which any portion of the major utility facilities are to be located, both as primarily or as alternatively proposed, to be there available for public inspection.

(C) The published notice shall contain a statement of the location of the local offices described in subdivision (d)(2)(B) of this section and the times the impact statements will be available for public inspection.

(e) Inadvertent failure of service on or notice to any of the municipalities, counties, governmental agencies, or persons identified in subsections (a) and (c) of this section may be cured pursuant to orders of the Arkansas Public Service Commission designed to afford such persons adequate notice to enable their effective participation in the proceedings.

(f) In addition, after filing, the Arkansas Public Service Commission may require the applicant to serve notice of the application or copies thereof, or both, upon such other persons and file proof thereof, as the Arkansas Public Service Commission may deem appropriate.

(g) Where any personal service or notice is required in this section, the service may be made by any officer authorized by law to serve process, by personal delivery, or by certified mail.

Amended by Act 2019, No. 315,§ 2480, eff. 7/24/2019.

Amended by Act 2019, No. 315,§ 2479, eff. 7/24/2019.

Amended by Act 2019, No. 910,§ 3242, eff. 7/1/2019.

Amended by Act 2017, No. 707,§ 265, eff. 8/1/2017.

Acts 1973, No. 164, § 5; 1977, No. 866, § 1; A.S.A. 1947, § 73-276.4; Acts 1997, No. 540, § 88; 1999, No. 1164, § 180; 1999, No. 1351, § 1; 2011, No. 910, § 7.
Ark. Code Ann. § 23-75-111 — AR Code / Title 23 / Chapter 75 / Section 23-75-111
Subscription contracts
Status: in_force

(a) (1) All rates charged by the corporation to subscribers or classes of subscribers having contracts covered by §§ 23-85-101 - 23-85-131 , and the form and content of all contracts between the corporation and its subscribers, classes of subscribers, or groups of subscribers, and the certificates issued by the corporation representing their subscribers' agreements shall be subject at all times to the prior approval of the Insurance Commissioner. (2) Application for approval shall be made to the commissioner in such form and shall set forth such information as the commissioner may require. (3) Rates shall not be excessive, inadequate, or unfairly discriminatory in relation to the services offered. (4) (A) Upon the commissioner's review of an application at any time, if the applicant requests a hearing, the commissioner shall hold a hearing before issuing an order of disapproval. The applicant shall be given not less than ten (10) days' written notice of the hearing. The notice shall specify the matters to be considered at the hearing. (B) If after the hearing provided by subdivision (a)(4)(A) of this section the commissioner finds that the application or a part thereof does not meet the requirements of this code, the commissioner shall issue an order specifying in what respects he or she finds that it fails. Notice thereof shall immediately be served on the applicant, either personally or by mail. Within thirty (30) days after the date of such a notice, the applicant may apply to the Pulaski County Circuit Court to show cause why the action of the commissioner should be set aside and the application approved. (b) (1) In any hospital service corporation contract, any medical service corporation contract, or any hospital and medical service corporation contract, whether group or individual, that contains a provision whereby coverage of a dependent in a family group terminates at a specified age, there shall also be a provision that coverage of an unmarried dependent who is incapable of sustaining employment by reason of intellectual and developmental disability or physical disability, who became so incapacitated prior to the attainment of nineteen (19) years of age and who is chiefly dependent upon the contract holder or certificate holder for support and maintenance, shall not terminate, but coverage shall continue so long as the contract or certificate remains in force and so long as the dependent remains in such a condition. (2) At the request and expense of the corporation, proof of the incapacity and dependency must be furnished to the corporation by the contract or certificate holder at least thirty-one (31) days before the child's attainment of the limiting age, and, subsequently, as may be required by the corporation, but not more frequently than annually, after the two-year period following the child's attainment of the limiting age. (c) (1) Each contract shall plainly state the services to which the subscriber is entitled and those to which the subscriber is not entitled under the plan. (2) As to benefits provided on a service, instead of cash indemnity basis, the contract shall constitute a direct obligation of the hospitals and physicians with which or with whom the corporation has contracted for hospital or medical services. (3) A copy of the contract shall be delivered to the subscriber. (d) (1) The commissioner shall review filings as soon as reasonably possible after they have been made in order to determine whether they meet the requirements of this chapter. (2) Each filing shall be on file for a waiting period of thirty (30) days before it becomes effective. The period may be extended by the commissioner for an additional period not to exceed thirty (30) days if the commissioner gives written notice within the waiting period to the insurer which made the filing that the commissioner needs such additional time for the consideration of the filing. (3) Upon written application by the insurer, the commissioner may authorize a filing which the commissioner has reviewed to become effective before the expiration of the waiting period or any extension thereof. (4) A filing shall be deemed to meet the requirements of this chapter unless disapproved by the commissioner within the waiting period or any extension thereof. Amended by Act 2019, No. 1035,§ 50, eff. 7/24/2019. Acts 1959, No. 148, § 678; 1969, No. 263, § 5; 1971, No. 127, § 1; 1975, No. 404, § 4; 1975, No. 642, § 2; 1975, No. 649, § 4, 8; 1979, No. 906, § 1; 1983, No. 522, § 49; A.S.A. 1947, § 66-4908; Acts 1997, No. 208, § 25; 2005, No. 1962, § 108.

(a) (1) All rates charged by the corporation to subscribers or classes of subscribers having contracts covered by §§ 23-85-101 - 23-85-131 , and the form and content of all contracts between the corporation and its subscribers, classes of subscribers, or groups of subscribers, and the certificates issued by the corporation representing their subscribers' agreements shall be subject at all times to the prior approval of the Insurance Commissioner. (2) Application for approval shall be made to the commissioner in such form and shall set forth such information as the commissioner may require. (3) Rates shall not be excessive, inadequate, or unfairly discriminatory in relation to the services offered. (4) (A) Upon the commissioner's review of an application at any time, if the applicant requests a hearing, the commissioner shall hold a hearing before issuing an order of disapproval. The applicant shall be given not less than ten (10) days' written notice of the hearing. The notice shall specify the matters to be considered at the hearing. (B) If after the hearing provided by subdivision (a)(4)(A) of this section the commissioner finds that the application or a part thereof does not meet the requirements of this code, the commissioner shall issue an order specifying in what respects he or she finds that it fails. Notice thereof shall immediately be served on the applicant, either personally or by mail. Within thirty (30) days after the date of such a notice, the applicant may apply to the Pulaski County Circuit Court to show cause why the action of the commissioner should be set aside and the application approved.

(1) All rates charged by the corporation to subscribers or classes of subscribers having contracts covered by §§ 23-85-101 - 23-85-131 , and the form and content of all contracts between the corporation and its subscribers, classes of subscribers, or groups of subscribers, and the certificates issued by the corporation representing their subscribers' agreements shall be subject at all times to the prior approval of the Insurance Commissioner.

(2) Application for approval shall be made to the commissioner in such form and shall set forth such information as the commissioner may require.

(3) Rates shall not be excessive, inadequate, or unfairly discriminatory in relation to the services offered.

(4) (A) Upon the commissioner's review of an application at any time, if the applicant requests a hearing, the commissioner shall hold a hearing before issuing an order of disapproval. The applicant shall be given not less than ten (10) days' written notice of the hearing. The notice shall specify the matters to be considered at the hearing. (B) If after the hearing provided by subdivision (a)(4)(A) of this section the commissioner finds that the application or a part thereof does not meet the requirements of this code, the commissioner shall issue an order specifying in what respects he or she finds that it fails. Notice thereof shall immediately be served on the applicant, either personally or by mail. Within thirty (30) days after the date of such a notice, the applicant may apply to the Pulaski County Circuit Court to show cause why the action of the commissioner should be set aside and the application approved.

(A) Upon the commissioner's review of an application at any time, if the applicant requests a hearing, the commissioner shall hold a hearing before issuing an order of disapproval. The applicant shall be given not less than ten (10) days' written notice of the hearing. The notice shall specify the matters to be considered at the hearing.

(B) If after the hearing provided by subdivision (a)(4)(A) of this section the commissioner finds that the application or a part thereof does not meet the requirements of this code, the commissioner shall issue an order specifying in what respects he or she finds that it fails. Notice thereof shall immediately be served on the applicant, either personally or by mail. Within thirty (30) days after the date of such a notice, the applicant may apply to the Pulaski County Circuit Court to show cause why the action of the commissioner should be set aside and the application approved.

(b) (1) In any hospital service corporation contract, any medical service corporation contract, or any hospital and medical service corporation contract, whether group or individual, that contains a provision whereby coverage of a dependent in a family group terminates at a specified age, there shall also be a provision that coverage of an unmarried dependent who is incapable of sustaining employment by reason of intellectual and developmental disability or physical disability, who became so incapacitated prior to the attainment of nineteen (19) years of age and who is chiefly dependent upon the contract holder or certificate holder for support and maintenance, shall not terminate, but coverage shall continue so long as the contract or certificate remains in force and so long as the dependent remains in such a condition. (2) At the request and expense of the corporation, proof of the incapacity and dependency must be furnished to the corporation by the contract or certificate holder at least thirty-one (31) days before the child's attainment of the limiting age, and, subsequently, as may be required by the corporation, but not more frequently than annually, after the two-year period following the child's attainment of the limiting age.

(1) In any hospital service corporation contract, any medical service corporation contract, or any hospital and medical service corporation contract, whether group or individual, that contains a provision whereby coverage of a dependent in a family group terminates at a specified age, there shall also be a provision that coverage of an unmarried dependent who is incapable of sustaining employment by reason of intellectual and developmental disability or physical disability, who became so incapacitated prior to the attainment of nineteen (19) years of age and who is chiefly dependent upon the contract holder or certificate holder for support and maintenance, shall not terminate, but coverage shall continue so long as the contract or certificate remains in force and so long as the dependent remains in such a condition.

(2) At the request and expense of the corporation, proof of the incapacity and dependency must be furnished to the corporation by the contract or certificate holder at least thirty-one (31) days before the child's attainment of the limiting age, and, subsequently, as may be required by the corporation, but not more frequently than annually, after the two-year period following the child's attainment of the limiting age.

(c) (1) Each contract shall plainly state the services to which the subscriber is entitled and those to which the subscriber is not entitled under the plan. (2) As to benefits provided on a service, instead of cash indemnity basis, the contract shall constitute a direct obligation of the hospitals and physicians with which or with whom the corporation has contracted for hospital or medical services. (3) A copy of the contract shall be delivered to the subscriber.

(1) Each contract shall plainly state the services to which the subscriber is entitled and those to which the subscriber is not entitled under the plan.

(2) As to benefits provided on a service, instead of cash indemnity basis, the contract shall constitute a direct obligation of the hospitals and physicians with which or with whom the corporation has contracted for hospital or medical services.

(3) A copy of the contract shall be delivered to the subscriber.

(d) (1) The commissioner shall review filings as soon as reasonably possible after they have been made in order to determine whether they meet the requirements of this chapter. (2) Each filing shall be on file for a waiting period of thirty (30) days before it becomes effective. The period may be extended by the commissioner for an additional period not to exceed thirty (30) days if the commissioner gives written notice within the waiting period to the insurer which made the filing that the commissioner needs such additional time for the consideration of the filing. (3) Upon written application by the insurer, the commissioner may authorize a filing which the commissioner has reviewed to become effective before the expiration of the waiting period or any extension thereof. (4) A filing shall be deemed to meet the requirements of this chapter unless disapproved by the commissioner within the waiting period or any extension thereof.

(1) The commissioner shall review filings as soon as reasonably possible after they have been made in order to determine whether they meet the requirements of this chapter.

(2) Each filing shall be on file for a waiting period of thirty (30) days before it becomes effective. The period may be extended by the commissioner for an additional period not to exceed thirty (30) days if the commissioner gives written notice within the waiting period to the insurer which made the filing that the commissioner needs such additional time for the consideration of the filing.

(3) Upon written application by the insurer, the commissioner may authorize a filing which the commissioner has reviewed to become effective before the expiration of the waiting period or any extension thereof.

(4) A filing shall be deemed to meet the requirements of this chapter unless disapproved by the commissioner within the waiting period or any extension thereof.

Amended by Act 2019, No. 1035,§ 50, eff. 7/24/2019.

Acts 1959, No. 148, § 678; 1969, No. 263, § 5; 1971, No. 127, § 1; 1975, No. 404, § 4; 1975, No. 642, § 2; 1975, No. 649, § 4, 8; 1979, No. 906, § 1; 1983, No. 522, § 49; A.S.A. 1947, § 66-4908; Acts 1997, No. 208, § 25; 2005, No. 1962, § 108.
Ark. Code Ann. § 23-12-611 — AR Code / Title 23 / Chapter 12 / Subchapter 6 / Section 23-12-611
Discontinuance, dualization, or modification of agency station - Petitions to reestablish
Status: in_force

(a) Any railroad operating in this state may file with the Arkansas Department of Transportation a notice of discontinuance, dualization, or modification of any of its agency stations together with a statement certified by a proper officer of the railroad to the effect that the agency station had been operating at a financial loss according to standard accounting procedures for not less than one (1) year immediately preceding, or that operating economies would result consistent with public convenience and necessity. (b) The agency station may be closed or modified ninety (90) days after the date of filing of the notice of discontinuance, dualization, or modification unless a petition for the reestablishment of the discontinued, dualized, or modified agency station, signed by at least twenty-five (25) qualified electors residing in the city, town, or political subdivision where the agency station is located, is filed with the department within sixty (60) days after the date of filing of the notice. (c) The department is authorized, empowered, and required to hear and consider all petitions for the reestablishment of any agency station discontinued, dualized, or modified by the railroad under authority of this section. The hearing shall be held within sixty (60) days following filing of the petition for reestablishment and following thirty (30) days' written notice of the hearing to the railroad and petitioners. (d) In determining whether an agency station should be discontinued, dualized, or modified, the standard to be employed is whether the railroad has operated the agency station at a financial loss according to standard accounting procedures for not less than one (1) year immediately preceding the filing of the notice of discontinuance, dualization, or modification, or whether operating economies would result therefrom. Amended by Act 2017, No. 707,§ 180, eff. 8/1/2017. Acts 1907, No. 149, § 1, p. 356; 1907, No. 338, § 1, p. 821; C. & M. Dig., § 1638; Pope's Dig., § 1959; Acts 1961, No. 203, § 1; A.S.A. 1947, § 73-809.

(a) Any railroad operating in this state may file with the Arkansas Department of Transportation a notice of discontinuance, dualization, or modification of any of its agency stations together with a statement certified by a proper officer of the railroad to the effect that the agency station had been operating at a financial loss according to standard accounting procedures for not less than one (1) year immediately preceding, or that operating economies would result consistent with public convenience and necessity.

(b) The agency station may be closed or modified ninety (90) days after the date of filing of the notice of discontinuance, dualization, or modification unless a petition for the reestablishment of the discontinued, dualized, or modified agency station, signed by at least twenty-five (25) qualified electors residing in the city, town, or political subdivision where the agency station is located, is filed with the department within sixty (60) days after the date of filing of the notice.

(c) The department is authorized, empowered, and required to hear and consider all petitions for the reestablishment of any agency station discontinued, dualized, or modified by the railroad under authority of this section. The hearing shall be held within sixty (60) days following filing of the petition for reestablishment and following thirty (30) days' written notice of the hearing to the railroad and petitioners.

(d) In determining whether an agency station should be discontinued, dualized, or modified, the standard to be employed is whether the railroad has operated the agency station at a financial loss according to standard accounting procedures for not less than one (1) year immediately preceding the filing of the notice of discontinuance, dualization, or modification, or whether operating economies would result therefrom.

Amended by Act 2017, No. 707,§ 180, eff. 8/1/2017.

Acts 1907, No. 149, § 1, p. 356; 1907, No. 338, § 1, p. 821; C. & M. Dig., § 1638; Pope's Dig., § 1959; Acts 1961, No. 203, § 1; A.S.A. 1947, § 73-809.
Ark. Code Ann. § 23-86-204 — AR Code / Title 23 / Chapter 86 / Subchapter 2 / Section 23-86-204
Restrictions relating to premium rates
Status: in_force

(a) Premium rates for health benefit plans subject to this subchapter shall be subject to the following provisions: (1) The index rate for a rating period for any class of business shall not exceed the index rate for any other class of business by more than twenty percent (20%). This subdivision (a)(1) shall not apply to a class of business if all of the following apply: (A) The class of business is one for which the carrier does not reject, and never has rejected, small employers included within the definition of employers eligible for the class of business or otherwise eligible employees and dependents who enroll on a timely basis, based upon their claim experience or health status; (B) The carrier does not involuntarily transfer, and never has involuntarily transferred, a health benefit plan into or out of the class of business; and (C) The class of business is currently available for purchase; (2) For a class of business, the premium rates charged during a rating period to small employers with similar case characteristics for the same or similar coverage, or the rates which could be charged to such employers under the rating system for that class of business, shall not vary from the index rate by more than twenty-five percent (25%) of the index rate; (3) The percentage increase in the premium rate charged to a small employer for a new rating period may not exceed the sum of the following: (A) (i) The percentage change in the new business premium rate measured from the first day of the prior rating period to the first day of the new rating period. (ii) In the case of a class of business for which the small employer carrier is not issuing new policies, the carrier shall use the percentage change in the base premium rate; (B) An adjustment, not to exceed fifteen percent (15%) annually and adjusted pro rata for rating periods of less than one (1) year, due to the claim experience, health status, or duration of coverage of the employees or dependents of the small employer as determined from the carrier's rate manual for the class of business; and (C) Any adjustment due to change in coverage or change in the case characteristics of the small employer as determined from the carrier's rate manual for the class of business; and (4) In the case of health benefit plans issued prior to January 1, 1992, a premium rate for a rating period may exceed the ranges described in subdivision (a)(1) or subdivision (a)(2) of this section for a period of five (5) years following January 1, 1992. In such a case, the percentage increase in the premium rate charged to a small employer in such a class of business for a new rating period may not exceed the sum of the following: (A) (i) The percentage change in the new business premium rate measured from the first day of the prior rating period to the first day of the new rating period. (ii) In the case of a class of business for which the small employer carrier is not issuing new policies, the carrier shall use the percentage change in the base premium rate; and (B) Any adjustment due to change in coverage or change in the case characteristics of the small employer as determined from the carrier's rate manual for the class of business. (b) (1) Nothing in this section is intended to affect the use by a small employer carrier of legitimate rating factors other than claim experience, health status, or duration of coverage in the determination of premium rates. (2) Small employer carriers shall apply rating factors, including case characteristics, consistently with respect to all small employers in a class of business. (c) (1) A small employer carrier shall not involuntarily transfer a small employer into or out of a class of business. (2) A small employer carrier shall not offer to transfer a small employer into or out of a class of business unless the offer is made to transfer all small employers in the class of business without regard to case characteristics, claim experience, health status, or duration since issue. Acts 1991, No. 1143, § 2.

(a) Premium rates for health benefit plans subject to this subchapter shall be subject to the following provisions: (1) The index rate for a rating period for any class of business shall not exceed the index rate for any other class of business by more than twenty percent (20%). This subdivision (a)(1) shall not apply to a class of business if all of the following apply: (A) The class of business is one for which the carrier does not reject, and never has rejected, small employers included within the definition of employers eligible for the class of business or otherwise eligible employees and dependents who enroll on a timely basis, based upon their claim experience or health status; (B) The carrier does not involuntarily transfer, and never has involuntarily transferred, a health benefit plan into or out of the class of business; and (C) The class of business is currently available for purchase; (2) For a class of business, the premium rates charged during a rating period to small employers with similar case characteristics for the same or similar coverage, or the rates which could be charged to such employers under the rating system for that class of business, shall not vary from the index rate by more than twenty-five percent (25%) of the index rate; (3) The percentage increase in the premium rate charged to a small employer for a new rating period may not exceed the sum of the following: (A) (i) The percentage change in the new business premium rate measured from the first day of the prior rating period to the first day of the new rating period. (ii) In the case of a class of business for which the small employer carrier is not issuing new policies, the carrier shall use the percentage change in the base premium rate; (B) An adjustment, not to exceed fifteen percent (15%) annually and adjusted pro rata for rating periods of less than one (1) year, due to the claim experience, health status, or duration of coverage of the employees or dependents of the small employer as determined from the carrier's rate manual for the class of business; and (C) Any adjustment due to change in coverage or change in the case characteristics of the small employer as determined from the carrier's rate manual for the class of business; and (4) In the case of health benefit plans issued prior to January 1, 1992, a premium rate for a rating period may exceed the ranges described in subdivision (a)(1) or subdivision (a)(2) of this section for a period of five (5) years following January 1, 1992. In such a case, the percentage increase in the premium rate charged to a small employer in such a class of business for a new rating period may not exceed the sum of the following: (A) (i) The percentage change in the new business premium rate measured from the first day of the prior rating period to the first day of the new rating period. (ii) In the case of a class of business for which the small employer carrier is not issuing new policies, the carrier shall use the percentage change in the base premium rate; and (B) Any adjustment due to change in coverage or change in the case characteristics of the small employer as determined from the carrier's rate manual for the class of business.

(1) The index rate for a rating period for any class of business shall not exceed the index rate for any other class of business by more than twenty percent (20%). This subdivision (a)(1) shall not apply to a class of business if all of the following apply: (A) The class of business is one for which the carrier does not reject, and never has rejected, small employers included within the definition of employers eligible for the class of business or otherwise eligible employees and dependents who enroll on a timely basis, based upon their claim experience or health status; (B) The carrier does not involuntarily transfer, and never has involuntarily transferred, a health benefit plan into or out of the class of business; and (C) The class of business is currently available for purchase;

(A) The class of business is one for which the carrier does not reject, and never has rejected, small employers included within the definition of employers eligible for the class of business or otherwise eligible employees and dependents who enroll on a timely basis, based upon their claim experience or health status;

(B) The carrier does not involuntarily transfer, and never has involuntarily transferred, a health benefit plan into or out of the class of business; and

(C) The class of business is currently available for purchase;

(2) For a class of business, the premium rates charged during a rating period to small employers with similar case characteristics for the same or similar coverage, or the rates which could be charged to such employers under the rating system for that class of business, shall not vary from the index rate by more than twenty-five percent (25%) of the index rate;

(3) The percentage increase in the premium rate charged to a small employer for a new rating period may not exceed the sum of the following: (A) (i) The percentage change in the new business premium rate measured from the first day of the prior rating period to the first day of the new rating period. (ii) In the case of a class of business for which the small employer carrier is not issuing new policies, the carrier shall use the percentage change in the base premium rate; (B) An adjustment, not to exceed fifteen percent (15%) annually and adjusted pro rata for rating periods of less than one (1) year, due to the claim experience, health status, or duration of coverage of the employees or dependents of the small employer as determined from the carrier's rate manual for the class of business; and (C) Any adjustment due to change in coverage or change in the case characteristics of the small employer as determined from the carrier's rate manual for the class of business; and

(A) (i) The percentage change in the new business premium rate measured from the first day of the prior rating period to the first day of the new rating period. (ii) In the case of a class of business for which the small employer carrier is not issuing new policies, the carrier shall use the percentage change in the base premium rate;

(i) The percentage change in the new business premium rate measured from the first day of the prior rating period to the first day of the new rating period.

(ii) In the case of a class of business for which the small employer carrier is not issuing new policies, the carrier shall use the percentage change in the base premium rate;

(B) An adjustment, not to exceed fifteen percent (15%) annually and adjusted pro rata for rating periods of less than one (1) year, due to the claim experience, health status, or duration of coverage of the employees or dependents of the small employer as determined from the carrier's rate manual for the class of business; and

(C) Any adjustment due to change in coverage or change in the case characteristics of the small employer as determined from the carrier's rate manual for the class of business; and

(4) In the case of health benefit plans issued prior to January 1, 1992, a premium rate for a rating period may exceed the ranges described in subdivision (a)(1) or subdivision (a)(2) of this section for a period of five (5) years following January 1, 1992. In such a case, the percentage increase in the premium rate charged to a small employer in such a class of business for a new rating period may not exceed the sum of the following: (A) (i) The percentage change in the new business premium rate measured from the first day of the prior rating period to the first day of the new rating period. (ii) In the case of a class of business for which the small employer carrier is not issuing new policies, the carrier shall use the percentage change in the base premium rate; and (B) Any adjustment due to change in coverage or change in the case characteristics of the small employer as determined from the carrier's rate manual for the class of business.

(A) (i) The percentage change in the new business premium rate measured from the first day of the prior rating period to the first day of the new rating period. (ii) In the case of a class of business for which the small employer carrier is not issuing new policies, the carrier shall use the percentage change in the base premium rate; and

(i) The percentage change in the new business premium rate measured from the first day of the prior rating period to the first day of the new rating period.

(ii) In the case of a class of business for which the small employer carrier is not issuing new policies, the carrier shall use the percentage change in the base premium rate; and

(B) Any adjustment due to change in coverage or change in the case characteristics of the small employer as determined from the carrier's rate manual for the class of business.

(b) (1) Nothing in this section is intended to affect the use by a small employer carrier of legitimate rating factors other than claim experience, health status, or duration of coverage in the determination of premium rates. (2) Small employer carriers shall apply rating factors, including case characteristics, consistently with respect to all small employers in a class of business.

(1) Nothing in this section is intended to affect the use by a small employer carrier of legitimate rating factors other than claim experience, health status, or duration of coverage in the determination of premium rates.

(2) Small employer carriers shall apply rating factors, including case characteristics, consistently with respect to all small employers in a class of business.

(c) (1) A small employer carrier shall not involuntarily transfer a small employer into or out of a class of business. (2) A small employer carrier shall not offer to transfer a small employer into or out of a class of business unless the offer is made to transfer all small employers in the class of business without regard to case characteristics, claim experience, health status, or duration since issue.

(1) A small employer carrier shall not involuntarily transfer a small employer into or out of a class of business.

(2) A small employer carrier shall not offer to transfer a small employer into or out of a class of business unless the offer is made to transfer all small employers in the class of business without regard to case characteristics, claim experience, health status, or duration since issue.

Acts 1991, No. 1143, § 2.
Ark. Code Ann. § 23-102-112 — AR Code / Title 23 / Chapter 102 / Section 23-102-112
Funding
Status: in_force

(a) Rates. (1) The Arkansas Earthquake Authority shall establish rates for plan coverage. These rates and rating schedules may be adjusted for appropriate factors such as geographical variation in claim costs, retrofitting, and other mitigation efforts and shall take into consideration appropriate factors in accordance with established actuarial and underwriting practices. (2) The rates charged by the authority shall not compete with voluntary market rates so that the authority functions as a residual market mechanism to provide insurance when insurance cannot be procured in the voluntary market. Rates and schedules shall be submitted to the Insurance Commissioner for approval prior to use. (b) Initial Assessment. Initial operating capital shall be contributed based on the following: (1) All authorized insurers reporting one million dollars ($1,000,000) or more in premium on their most recent annual statement shall pay a maximum initial assessment of up to one thousand dollars ($1,000) plus twenty-five thousandths of one percent (.025%) of their net direct written premium in the State of Arkansas as reported in their most recent annual statement. This assessment may be collected in incremental amounts or as one (1) single assessment; and (2) All authorized insurers reporting less than one million dollars ($1,000,000) in premium on their most recent annual statement shall pay a maximum initial assessment of up to five hundred dollars ($500), plus twenty-five thousandths of one percent (.025%) of their net direct written premium in the State of Arkansas as reported in their most recent annual statement. This assessment may be collected in incremental amounts or as one (1) single assessment. (c) Administrative Assessments. (1) (A) Insurers shall contribute additional assessments as may be reasonable and necessary to meet the authority's annual projected administrative expenses. (B) For the purposes of this section, administrative expenses shall include all reasonable and necessary operating expenses incurred or to be incurred by the authority and may be up to, but not exceeding, an aggregate total of one million dollars ($1,000,000) for all authorized insurers identified in subdivision (c)(2) of this section. (2) (A) These assessments shall be made as the actual need for additional administrative funds arises to ensure that the authority incurs no deficit spending. (B) Assessments shall be apportioned by the Board of the Arkansas Earthquake Authority among authorized insurers writing homeowner, farmowner, fire and allied lines, excluding commercial policies and crop hail, in proportion to the ratio that the total net direct written premium collected in the State of Arkansas by the insurer on its homeowner, farmowner, fire and allied lines during the preceding calendar year bears to the total net direct written premium collected by all insurers on their homeowner, farmowner, fire and allied lines in the State of Arkansas for the preceding calendar year. (C) Each insurer's assessment shall be determined by the board based on annual statements and other reports deemed necessary by the board and filed by the insurer with the board or the commissioner. (3) (A) An insurer may petition the commissioner for an abatement or deferment of all or part of an assessment imposed by the authority. (B) The commissioner may abate or defer, in whole or in part, such an assessment if, in the opinion of the commissioner, payment of the assessment would cause the insurer to be deemed in hazardous financial condition, as defined in § 23-68-102 . (C) (i) In the event an assessment against an insurer is abated or deferred in whole or in part, the amount by which such an assessment is abated or deferred shall be assessed against the other insurers in a manner consistent with the basis for assessments set forth in subsection (a) of this section. (ii) The insurer receiving such an abatement or deferment shall remain liable to the plan for the deficiency for four (4) years. (4) Insurers determined to be insolvent insurers by a court of competent jurisdiction shall be exempt from assessment from and after the date of that determination and until the commissioner determines that the insurer is no longer an insolvent insurer. (5) (A) (i) All assessments shall be due and payable upon receipt and shall be delinquent if not paid within thirty (30) days of the receipt of the notice by the insurer. (ii) Failure to timely pay the assessment will automatically subject the insurer to a ten percent (10%) penalty, which will be due and payable within the next thirty-day period. (B) The board and the commissioner shall have the authority to enforce the collection of the assessment and penalty in accordance with the provisions of this chapter and the Arkansas Insurance Code. (C) The board may waive the penalty authorized by this subsection if it determines that compelling circumstances exist which justify such a waiver. (d) Post-event Assessments. (1) If loss from an event occurs, the authority, in addition to any assessments in subsections (a) and (b) of this section, shall assess all authorized insurers writing homeowner, farmowner, fire and allied lines, excluding commercial policies and crop hail, as may be necessary to produce the additional funds needed to make payment of all covered claims and expenses of the authority. (2) Assessments during a calendar year may be made up to but not in excess of five percent (5%) of each insurer's net direct homeowner, farmowner, fire and allied lines, excluding commercial policies and crop hail, written premium in the State of Arkansas for the preceding calendar year. (3) Insurers shall recover the post-event assessment through a surcharge on homeowner, farmowner, fire and allied lines policyholder, excluding crop hail policyholders, equal to the percentage identified by the board for the insurers' post-event assessment. This surcharge shall be exempt from insurance premium taxes. (4) Pursuant to § 23-102-108 , the board shall establish surcharge policies and guidelines for insurers entering the residential homeowner, farmowner, fire and allied lines and earthquake markets, excluding commercial policies and crop hail, after an event to ensure a fair and competitive market. (5) If the maximum assessment in any calendar year does not provide an amount sufficient for payment of covered claims, the moneys available shall be prorated with the unpaid portion being paid as soon thereafter as moneys become available, with assessments being made in the next and successive calendar years. However, in no event shall the total assessment exceed two hundred fifty million dollars ($250,000,000) in the aggregate, regardless of the frequency or severity of earthquake losses at any and all times subsequent to the creation of the authority. (6) The authority may exempt or defer, in whole or in part, the assessment of any insurer if the assessment would cause the insurer to be deemed in hazardous financial condition, as defined in § 23-68-102 . (7) Insurers determined to be insolvent insurers by a court of competent jurisdiction shall be exempt from assessment from and after the date of that determination and until the commissioner determines that the insurer is no longer an insolvent insurer. (8) It shall be the duty of each insurer to pay the amount of its assessment to the authority within thirty (30) days after it gives notice of the assessment. (e) Failure to Pay Assessments. (1) The commissioner may suspend or revoke, after notice and hearing, the certificate of authority to transact business in this state of any insurer who fails to pay an assessment when due. (2) As an alternative, the commissioner may levy a fine on any insurer which fails to pay an assessment when due. The fine shall not exceed one thousand dollars ($1,000) per day and shall be payable to the authority for use in its operations. (3) In addition, assessments may be collected by the authority through suits brought for that purpose. Venue for suits shall lie in Pulaski County, Arkansas, and the authority shall not be required to give an appeal bond in any cause arising hereunder. (4) Any insurer whose certificate of authority to do business in this state is cancelled or surrendered shall be liable for any unpaid assessments made prior to the date of the cancellation or surrender. Acts 1999, No. 1343, § 12.

(a) Rates. (1) The Arkansas Earthquake Authority shall establish rates for plan coverage. These rates and rating schedules may be adjusted for appropriate factors such as geographical variation in claim costs, retrofitting, and other mitigation efforts and shall take into consideration appropriate factors in accordance with established actuarial and underwriting practices. (2) The rates charged by the authority shall not compete with voluntary market rates so that the authority functions as a residual market mechanism to provide insurance when insurance cannot be procured in the voluntary market. Rates and schedules shall be submitted to the Insurance Commissioner for approval prior to use.

(1) The Arkansas Earthquake Authority shall establish rates for plan coverage. These rates and rating schedules may be adjusted for appropriate factors such as geographical variation in claim costs, retrofitting, and other mitigation efforts and shall take into consideration appropriate factors in accordance with established actuarial and underwriting practices.

(2) The rates charged by the authority shall not compete with voluntary market rates so that the authority functions as a residual market mechanism to provide insurance when insurance cannot be procured in the voluntary market. Rates and schedules shall be submitted to the Insurance Commissioner for approval prior to use.

(b) Initial Assessment. Initial operating capital shall be contributed based on the following: (1) All authorized insurers reporting one million dollars ($1,000,000) or more in premium on their most recent annual statement shall pay a maximum initial assessment of up to one thousand dollars ($1,000) plus twenty-five thousandths of one percent (.025%) of their net direct written premium in the State of Arkansas as reported in their most recent annual statement. This assessment may be collected in incremental amounts or as one (1) single assessment; and (2) All authorized insurers reporting less than one million dollars ($1,000,000) in premium on their most recent annual statement shall pay a maximum initial assessment of up to five hundred dollars ($500), plus twenty-five thousandths of one percent (.025%) of their net direct written premium in the State of Arkansas as reported in their most recent annual statement. This assessment may be collected in incremental amounts or as one (1) single assessment.

(1) All authorized insurers reporting one million dollars ($1,000,000) or more in premium on their most recent annual statement shall pay a maximum initial assessment of up to one thousand dollars ($1,000) plus twenty-five thousandths of one percent (.025%) of their net direct written premium in the State of Arkansas as reported in their most recent annual statement. This assessment may be collected in incremental amounts or as one (1) single assessment; and

(2) All authorized insurers reporting less than one million dollars ($1,000,000) in premium on their most recent annual statement shall pay a maximum initial assessment of up to five hundred dollars ($500), plus twenty-five thousandths of one percent (.025%) of their net direct written premium in the State of Arkansas as reported in their most recent annual statement. This assessment may be collected in incremental amounts or as one (1) single assessment.

(c) Administrative Assessments. (1) (A) Insurers shall contribute additional assessments as may be reasonable and necessary to meet the authority's annual projected administrative expenses. (B) For the purposes of this section, administrative expenses shall include all reasonable and necessary operating expenses incurred or to be incurred by the authority and may be up to, but not exceeding, an aggregate total of one million dollars ($1,000,000) for all authorized insurers identified in subdivision (c)(2) of this section. (2) (A) These assessments shall be made as the actual need for additional administrative funds arises to ensure that the authority incurs no deficit spending. (B) Assessments shall be apportioned by the Board of the Arkansas Earthquake Authority among authorized insurers writing homeowner, farmowner, fire and allied lines, excluding commercial policies and crop hail, in proportion to the ratio that the total net direct written premium collected in the State of Arkansas by the insurer on its homeowner, farmowner, fire and allied lines during the preceding calendar year bears to the total net direct written premium collected by all insurers on their homeowner, farmowner, fire and allied lines in the State of Arkansas for the preceding calendar year. (C) Each insurer's assessment shall be determined by the board based on annual statements and other reports deemed necessary by the board and filed by the insurer with the board or the commissioner. (3) (A) An insurer may petition the commissioner for an abatement or deferment of all or part of an assessment imposed by the authority. (B) The commissioner may abate or defer, in whole or in part, such an assessment if, in the opinion of the commissioner, payment of the assessment would cause the insurer to be deemed in hazardous financial condition, as defined in § 23-68-102 . (C) (i) In the event an assessment against an insurer is abated or deferred in whole or in part, the amount by which such an assessment is abated or deferred shall be assessed against the other insurers in a manner consistent with the basis for assessments set forth in subsection (a) of this section. (ii) The insurer receiving such an abatement or deferment shall remain liable to the plan for the deficiency for four (4) years. (4) Insurers determined to be insolvent insurers by a court of competent jurisdiction shall be exempt from assessment from and after the date of that determination and until the commissioner determines that the insurer is no longer an insolvent insurer. (5) (A) (i) All assessments shall be due and payable upon receipt and shall be delinquent if not paid within thirty (30) days of the receipt of the notice by the insurer. (ii) Failure to timely pay the assessment will automatically subject the insurer to a ten percent (10%) penalty, which will be due and payable within the next thirty-day period. (B) The board and the commissioner shall have the authority to enforce the collection of the assessment and penalty in accordance with the provisions of this chapter and the Arkansas Insurance Code. (C) The board may waive the penalty authorized by this subsection if it determines that compelling circumstances exist which justify such a waiver.

(1) (A) Insurers shall contribute additional assessments as may be reasonable and necessary to meet the authority's annual projected administrative expenses. (B) For the purposes of this section, administrative expenses shall include all reasonable and necessary operating expenses incurred or to be incurred by the authority and may be up to, but not exceeding, an aggregate total of one million dollars ($1,000,000) for all authorized insurers identified in subdivision (c)(2) of this section.

(A) Insurers shall contribute additional assessments as may be reasonable and necessary to meet the authority's annual projected administrative expenses.

(B) For the purposes of this section, administrative expenses shall include all reasonable and necessary operating expenses incurred or to be incurred by the authority and may be up to, but not exceeding, an aggregate total of one million dollars ($1,000,000) for all authorized insurers identified in subdivision (c)(2) of this section.

(2) (A) These assessments shall be made as the actual need for additional administrative funds arises to ensure that the authority incurs no deficit spending. (B) Assessments shall be apportioned by the Board of the Arkansas Earthquake Authority among authorized insurers writing homeowner, farmowner, fire and allied lines, excluding commercial policies and crop hail, in proportion to the ratio that the total net direct written premium collected in the State of Arkansas by the insurer on its homeowner, farmowner, fire and allied lines during the preceding calendar year bears to the total net direct written premium collected by all insurers on their homeowner, farmowner, fire and allied lines in the State of Arkansas for the preceding calendar year. (C) Each insurer's assessment shall be determined by the board based on annual statements and other reports deemed necessary by the board and filed by the insurer with the board or the commissioner.

(A) These assessments shall be made as the actual need for additional administrative funds arises to ensure that the authority incurs no deficit spending.

(B) Assessments shall be apportioned by the Board of the Arkansas Earthquake Authority among authorized insurers writing homeowner, farmowner, fire and allied lines, excluding commercial policies and crop hail, in proportion to the ratio that the total net direct written premium collected in the State of Arkansas by the insurer on its homeowner, farmowner, fire and allied lines during the preceding calendar year bears to the total net direct written premium collected by all insurers on their homeowner, farmowner, fire and allied lines in the State of Arkansas for the preceding calendar year.

(C) Each insurer's assessment shall be determined by the board based on annual statements and other reports deemed necessary by the board and filed by the insurer with the board or the commissioner.

(3) (A) An insurer may petition the commissioner for an abatement or deferment of all or part of an assessment imposed by the authority. (B) The commissioner may abate or defer, in whole or in part, such an assessment if, in the opinion of the commissioner, payment of the assessment would cause the insurer to be deemed in hazardous financial condition, as defined in § 23-68-102 . (C) (i) In the event an assessment against an insurer is abated or deferred in whole or in part, the amount by which such an assessment is abated or deferred shall be assessed against the other insurers in a manner consistent with the basis for assessments set forth in subsection (a) of this section. (ii) The insurer receiving such an abatement or deferment shall remain liable to the plan for the deficiency for four (4) years.

(A) An insurer may petition the commissioner for an abatement or deferment of all or part of an assessment imposed by the authority.

(B) The commissioner may abate or defer, in whole or in part, such an assessment if, in the opinion of the commissioner, payment of the assessment would cause the insurer to be deemed in hazardous financial condition, as defined in § 23-68-102 .

(C) (i) In the event an assessment against an insurer is abated or deferred in whole or in part, the amount by which such an assessment is abated or deferred shall be assessed against the other insurers in a manner consistent with the basis for assessments set forth in subsection (a) of this section. (ii) The insurer receiving such an abatement or deferment shall remain liable to the plan for the deficiency for four (4) years.

(i) In the event an assessment against an insurer is abated or deferred in whole or in part, the amount by which such an assessment is abated or deferred shall be assessed against the other insurers in a manner consistent with the basis for assessments set forth in subsection (a) of this section.

(ii) The insurer receiving such an abatement or deferment shall remain liable to the plan for the deficiency for four (4) years.

(4) Insurers determined to be insolvent insurers by a court of competent jurisdiction shall be exempt from assessment from and after the date of that determination and until the commissioner determines that the insurer is no longer an insolvent insurer.

(5) (A) (i) All assessments shall be due and payable upon receipt and shall be delinquent if not paid within thirty (30) days of the receipt of the notice by the insurer. (ii) Failure to timely pay the assessment will automatically subject the insurer to a ten percent (10%) penalty, which will be due and payable within the next thirty-day period. (B) The board and the commissioner shall have the authority to enforce the collection of the assessment and penalty in accordance with the provisions of this chapter and the Arkansas Insurance Code. (C) The board may waive the penalty authorized by this subsection if it determines that compelling circumstances exist which justify such a waiver.

(A) (i) All assessments shall be due and payable upon receipt and shall be delinquent if not paid within thirty (30) days of the receipt of the notice by the insurer. (ii) Failure to timely pay the assessment will automatically subject the insurer to a ten percent (10%) penalty, which will be due and payable within the next thirty-day period.

(i) All assessments shall be due and payable upon receipt and shall be delinquent if not paid within thirty (30) days of the receipt of the notice by the insurer.

(ii) Failure to timely pay the assessment will automatically subject the insurer to a ten percent (10%) penalty, which will be due and payable within the next thirty-day period.

(B) The board and the commissioner shall have the authority to enforce the collection of the assessment and penalty in accordance with the provisions of this chapter and the Arkansas Insurance Code.

(C) The board may waive the penalty authorized by this subsection if it determines that compelling circumstances exist which justify such a waiver.

(d) Post-event Assessments. (1) If loss from an event occurs, the authority, in addition to any assessments in subsections (a) and (b) of this section, shall assess all authorized insurers writing homeowner, farmowner, fire and allied lines, excluding commercial policies and crop hail, as may be necessary to produce the additional funds needed to make payment of all covered claims and expenses of the authority. (2) Assessments during a calendar year may be made up to but not in excess of five percent (5%) of each insurer's net direct homeowner, farmowner, fire and allied lines, excluding commercial policies and crop hail, written premium in the State of Arkansas for the preceding calendar year. (3) Insurers shall recover the post-event assessment through a surcharge on homeowner, farmowner, fire and allied lines policyholder, excluding crop hail policyholders, equal to the percentage identified by the board for the insurers' post-event assessment. This surcharge shall be exempt from insurance premium taxes. (4) Pursuant to § 23-102-108 , the board shall establish surcharge policies and guidelines for insurers entering the residential homeowner, farmowner, fire and allied lines and earthquake markets, excluding commercial policies and crop hail, after an event to ensure a fair and competitive market. (5) If the maximum assessment in any calendar year does not provide an amount sufficient for payment of covered claims, the moneys available shall be prorated with the unpaid portion being paid as soon thereafter as moneys become available, with assessments being made in the next and successive calendar years. However, in no event shall the total assessment exceed two hundred fifty million dollars ($250,000,000) in the aggregate, regardless of the frequency or severity of earthquake losses at any and all times subsequent to the creation of the authority. (6) The authority may exempt or defer, in whole or in part, the assessment of any insurer if the assessment would cause the insurer to be deemed in hazardous financial condition, as defined in § 23-68-102 . (7) Insurers determined to be insolvent insurers by a court of competent jurisdiction shall be exempt from assessment from and after the date of that determination and until the commissioner determines that the insurer is no longer an insolvent insurer. (8) It shall be the duty of each insurer to pay the amount of its assessment to the authority within thirty (30) days after it gives notice of the assessment.

(1) If loss from an event occurs, the authority, in addition to any assessments in subsections (a) and (b) of this section, shall assess all authorized insurers writing homeowner, farmowner, fire and allied lines, excluding commercial policies and crop hail, as may be necessary to produce the additional funds needed to make payment of all covered claims and expenses of the authority.

(2) Assessments during a calendar year may be made up to but not in excess of five percent (5%) of each insurer's net direct homeowner, farmowner, fire and allied lines, excluding commercial policies and crop hail, written premium in the State of Arkansas for the preceding calendar year.

(3) Insurers shall recover the post-event assessment through a surcharge on homeowner, farmowner, fire and allied lines policyholder, excluding crop hail policyholders, equal to the percentage identified by the board for the insurers' post-event assessment. This surcharge shall be exempt from insurance premium taxes.

(4) Pursuant to § 23-102-108 , the board shall establish surcharge policies and guidelines for insurers entering the residential homeowner, farmowner, fire and allied lines and earthquake markets, excluding commercial policies and crop hail, after an event to ensure a fair and competitive market.

(5) If the maximum assessment in any calendar year does not provide an amount sufficient for payment of covered claims, the moneys available shall be prorated with the unpaid portion being paid as soon thereafter as moneys become available, with assessments being made in the next and successive calendar years. However, in no event shall the total assessment exceed two hundred fifty million dollars ($250,000,000) in the aggregate, regardless of the frequency or severity of earthquake losses at any and all times subsequent to the creation of the authority.

(6) The authority may exempt or defer, in whole or in part, the assessment of any insurer if the assessment would cause the insurer to be deemed in hazardous financial condition, as defined in § 23-68-102 .

(7) Insurers determined to be insolvent insurers by a court of competent jurisdiction shall be exempt from assessment from and after the date of that determination and until the commissioner determines that the insurer is no longer an insolvent insurer.

(8) It shall be the duty of each insurer to pay the amount of its assessment to the authority within thirty (30) days after it gives notice of the assessment.

(e) Failure to Pay Assessments. (1) The commissioner may suspend or revoke, after notice and hearing, the certificate of authority to transact business in this state of any insurer who fails to pay an assessment when due. (2) As an alternative, the commissioner may levy a fine on any insurer which fails to pay an assessment when due. The fine shall not exceed one thousand dollars ($1,000) per day and shall be payable to the authority for use in its operations. (3) In addition, assessments may be collected by the authority through suits brought for that purpose. Venue for suits shall lie in Pulaski County, Arkansas, and the authority shall not be required to give an appeal bond in any cause arising hereunder. (4) Any insurer whose certificate of authority to do business in this state is cancelled or surrendered shall be liable for any unpaid assessments made prior to the date of the cancellation or surrender.

(1) The commissioner may suspend or revoke, after notice and hearing, the certificate of authority to transact business in this state of any insurer who fails to pay an assessment when due.

(2) As an alternative, the commissioner may levy a fine on any insurer which fails to pay an assessment when due. The fine shall not exceed one thousand dollars ($1,000) per day and shall be payable to the authority for use in its operations.

(3) In addition, assessments may be collected by the authority through suits brought for that purpose. Venue for suits shall lie in Pulaski County, Arkansas, and the authority shall not be required to give an appeal bond in any cause arising hereunder.

(4) Any insurer whose certificate of authority to do business in this state is cancelled or surrendered shall be liable for any unpaid assessments made prior to the date of the cancellation or surrender.

Acts 1999, No. 1343, § 12.
Ark. Code Ann. § 23-63-1101 — AR Code / Title 23 / Chapter 63 / Subchapter 11 / Section 23-63-1101
Title
Status: in_force

This subchapter may be cited as the "Business Transacted with Producer Controlled Property and Casualty Insurer Act". Acts 1993, No. 526, § 1.

This subchapter may be cited as the "Business Transacted with Producer Controlled Property and Casualty Insurer Act".

Acts 1993, No. 526, § 1.
Ark. Code Ann. § 23-63-114 — AR Code / Title 23 / Chapter 63 / Subchapter 1 / Section 23-63-114
Written management and service agreements
Status: in_force

No domestic insurance carrier, health maintenance organization, farmers' mutual aid association, hospital and medical service corporation, stipulated premium insurer, or fraternal benefit society shall enter into a management or service agreement unless the agreement is in writing. Acts 2007, No. 496, § 7.

No domestic insurance carrier, health maintenance organization, farmers' mutual aid association, hospital and medical service corporation, stipulated premium insurer, or fraternal benefit society shall enter into a management or service agreement unless the agreement is in writing.

Acts 2007, No. 496, § 7.
Ark. Code Ann. § 23-42-201 — AR Code / Title 23 / Chapter 42 / Subchapter 2 / Section 23-42-201
Administration by Securities Commissioner - Conflicts of interest
Status: in_force

(a) (1) This chapter shall be administered by the Securities Commissioner. (2) Except as provided in subdivision (a)(3) of this section, the Securities Commissioner shall: (A) Be appointed by the Governor and serve at the pleasure of the Governor; and (B) Report to the Bank Commissioner. (3) The Bank Commissioner may act as the Securities Commissioner. (b) (1) There is created within the Department of Commerce the State Securities Department. (2) The State Securities Department shall have all the powers and duties assigned pursuant to Acts 1983, No. 691, and all subsequent delegations of authority. (c) No person shall serve in the State Securities Department or in the Department of Commerce working for the State Securities Department in any capacity who engages in any activities regulated under the provisions of this chapter. Amended by Act 2023, No. 475,§ 7, eff. 8/1/2023. Amended by Act 2019, No. 910,§ 575, eff. 7/1/2019. Acts 1959, No. 254, §§ 18, 30; 1961, No. 248, § 10; 1973, No. 471, § 2; A.S.A. 1947, §§ 67-1252, 67-1262.

(a) (1) This chapter shall be administered by the Securities Commissioner. (2) Except as provided in subdivision (a)(3) of this section, the Securities Commissioner shall: (A) Be appointed by the Governor and serve at the pleasure of the Governor; and (B) Report to the Bank Commissioner. (3) The Bank Commissioner may act as the Securities Commissioner.

(1) This chapter shall be administered by the Securities Commissioner.

(2) Except as provided in subdivision (a)(3) of this section, the Securities Commissioner shall: (A) Be appointed by the Governor and serve at the pleasure of the Governor; and (B) Report to the Bank Commissioner.

(A) Be appointed by the Governor and serve at the pleasure of the Governor; and

(B) Report to the Bank Commissioner.

(3) The Bank Commissioner may act as the Securities Commissioner.

(b) (1) There is created within the Department of Commerce the State Securities Department. (2) The State Securities Department shall have all the powers and duties assigned pursuant to Acts 1983, No. 691, and all subsequent delegations of authority.

(1) There is created within the Department of Commerce the State Securities Department.

(2) The State Securities Department shall have all the powers and duties assigned pursuant to Acts 1983, No. 691, and all subsequent delegations of authority.

(c) No person shall serve in the State Securities Department or in the Department of Commerce working for the State Securities Department in any capacity who engages in any activities regulated under the provisions of this chapter.

Amended by Act 2023, No. 475,§ 7, eff. 8/1/2023.

Amended by Act 2019, No. 910,§ 575, eff. 7/1/2019.

Acts 1959, No. 254, §§ 18, 30; 1961, No. 248, § 10; 1973, No. 471, § 2; A.S.A. 1947, §§ 67-1252, 67-1262.
Ark. Code Ann. § 23-51-113 — AR Code / Title 23 / Chapter 51 / Section 23-51-113
Trust companies chartered under prior law
Status: in_force

The charter of a corporation which was previously a trust company incorporated under any laws of this state prior to the adoption of the Arkansas Banking Code of 1997 may be converted to a state trust company under this chapter, if the charter, or evidence satisfactory to the Bank Commissioner that the corporation is still in existence and in good standing, is presented to the State Bank Department within six (6) months of enactment of this chapter for substitution of a charter issued under this chapter. Acts 1997, No. 940, § 13.

The charter of a corporation which was previously a trust company incorporated under any laws of this state prior to the adoption of the Arkansas Banking Code of 1997 may be converted to a state trust company under this chapter, if the charter, or evidence satisfactory to the Bank Commissioner that the corporation is still in existence and in good standing, is presented to the State Bank Department within six (6) months of enactment of this chapter for substitution of a charter issued under this chapter.

Acts 1997, No. 940, § 13.
Ark. Code Ann. § 23-65-308 — AR Code / Title 23 / Chapter 65 / Subchapter 3 / Section 23-65-308
Licensing of surplus lines broker
Status: in_force

(a) If an insured's home state is this state, a person shall not procure a contract of surplus lines insurance with a nonadmitted insurer unless the insurer possesses a current surplus lines broker's license issued by the Insurance Commissioner. (b) A person, while licensed as a resident insurance producer of this state as to property, casualty, surety, and marine insurance, who has held the license in this or another state, or both, for three (3) years before application for a surplus lines broker's license, and who is deemed by the commissioner to be competent and trustworthy, or a nonresident applicant holding a surplus lines broker license in his or her country of residency, may be licensed as a surplus lines broker as follows: (1) Application to the commissioner for the license shall be made on forms furnished by the commissioner; (2) The license fee shall be: (A) In the amount stated in § 23-61-401(10) for each license year during any part of which the license is in force; and (B) Paid to the commissioner; (3) The license year shall be from the date of issuance of the license to January 1 next after its issue; (4) (A) Before issuance of the license, a resident applicant shall file with the commissioner securities acceptable to the commissioner in favor of the State of Arkansas in the penal sum of fifty thousand dollars ($50,000), aggregate liability, with unaffiliated entities approved by the commissioner. Thereafter for as long as the license remains in effect, the resident applicant shall keep the securities in force and unimpaired. (B) The securities shall be conditioned that the broker shall conduct business under the license according to the provisions of this subchapter and that he or she will promptly remit the taxes provided by the law. (C) Securities shall not be terminated unless at least sixty (60) days' prior written notice is filed with the commissioner. (D) Securities shall not be required of a nonresident applicant licensed in the applicant's state of residency; (5) (A) (i) Before issuance of the license, the commissioner shall require the applicant to pass a written examination as to his or her competence to act as a surplus lines broker. (ii) An examination shall not be required of a nonresident applicant duly licensed in the applicant's state of residency. (B) The commissioner shall give, conduct, and grade all examinations, or he or she may arrange to have examinations administered and graded by an independent testing service as specified by contract in a fair and impartial manner and without unfair discrimination between individuals examined. (C) The commissioner may require a reasonable waiting period before reexamination of an applicant who failed to pass a previous similar examination. (D) The examination fee shall be the same as that charged an applicant for license as an agent, broker, or solicitor under § 23-61-401 . (c) The commissioner may utilize the national insurance producer database of the National Association of Insurance Commissioners or any other equivalent uniform national database for the licensure and renewal of an individual or entity as a surplus lines broker for the purposes of carrying out the Nonadmitted and Reinsurance Reform Act of 2010, Pub. L. No. 111-203. Acts 1959, No. 148, § 194; 1977, No. 789, § 4; 1985, No. 804, § 10; A.S.A. 1947, § 66-2914; Acts 1989, No. 772, § 6; 1999, No. 657, § 10; 2001, No. 1555, § 6; 2003, No. 1203, § 13; 2011, No. 1055, § 2.

(a) If an insured's home state is this state, a person shall not procure a contract of surplus lines insurance with a nonadmitted insurer unless the insurer possesses a current surplus lines broker's license issued by the Insurance Commissioner.

(b) A person, while licensed as a resident insurance producer of this state as to property, casualty, surety, and marine insurance, who has held the license in this or another state, or both, for three (3) years before application for a surplus lines broker's license, and who is deemed by the commissioner to be competent and trustworthy, or a nonresident applicant holding a surplus lines broker license in his or her country of residency, may be licensed as a surplus lines broker as follows: (1) Application to the commissioner for the license shall be made on forms furnished by the commissioner; (2) The license fee shall be: (A) In the amount stated in § 23-61-401(10) for each license year during any part of which the license is in force; and (B) Paid to the commissioner; (3) The license year shall be from the date of issuance of the license to January 1 next after its issue; (4) (A) Before issuance of the license, a resident applicant shall file with the commissioner securities acceptable to the commissioner in favor of the State of Arkansas in the penal sum of fifty thousand dollars ($50,000), aggregate liability, with unaffiliated entities approved by the commissioner. Thereafter for as long as the license remains in effect, the resident applicant shall keep the securities in force and unimpaired. (B) The securities shall be conditioned that the broker shall conduct business under the license according to the provisions of this subchapter and that he or she will promptly remit the taxes provided by the law. (C) Securities shall not be terminated unless at least sixty (60) days' prior written notice is filed with the commissioner. (D) Securities shall not be required of a nonresident applicant licensed in the applicant's state of residency; (5) (A) (i) Before issuance of the license, the commissioner shall require the applicant to pass a written examination as to his or her competence to act as a surplus lines broker. (ii) An examination shall not be required of a nonresident applicant duly licensed in the applicant's state of residency. (B) The commissioner shall give, conduct, and grade all examinations, or he or she may arrange to have examinations administered and graded by an independent testing service as specified by contract in a fair and impartial manner and without unfair discrimination between individuals examined. (C) The commissioner may require a reasonable waiting period before reexamination of an applicant who failed to pass a previous similar examination. (D) The examination fee shall be the same as that charged an applicant for license as an agent, broker, or solicitor under § 23-61-401 .

(1) Application to the commissioner for the license shall be made on forms furnished by the commissioner;

(2) The license fee shall be: (A) In the amount stated in § 23-61-401(10) for each license year during any part of which the license is in force; and (B) Paid to the commissioner;

(A) In the amount stated in § 23-61-401(10) for each license year during any part of which the license is in force; and

(B) Paid to the commissioner;

(3) The license year shall be from the date of issuance of the license to January 1 next after its issue;

(4) (A) Before issuance of the license, a resident applicant shall file with the commissioner securities acceptable to the commissioner in favor of the State of Arkansas in the penal sum of fifty thousand dollars ($50,000), aggregate liability, with unaffiliated entities approved by the commissioner. Thereafter for as long as the license remains in effect, the resident applicant shall keep the securities in force and unimpaired. (B) The securities shall be conditioned that the broker shall conduct business under the license according to the provisions of this subchapter and that he or she will promptly remit the taxes provided by the law. (C) Securities shall not be terminated unless at least sixty (60) days' prior written notice is filed with the commissioner. (D) Securities shall not be required of a nonresident applicant licensed in the applicant's state of residency;

(A) Before issuance of the license, a resident applicant shall file with the commissioner securities acceptable to the commissioner in favor of the State of Arkansas in the penal sum of fifty thousand dollars ($50,000), aggregate liability, with unaffiliated entities approved by the commissioner. Thereafter for as long as the license remains in effect, the resident applicant shall keep the securities in force and unimpaired.

(B) The securities shall be conditioned that the broker shall conduct business under the license according to the provisions of this subchapter and that he or she will promptly remit the taxes provided by the law.

(C) Securities shall not be terminated unless at least sixty (60) days' prior written notice is filed with the commissioner.

(D) Securities shall not be required of a nonresident applicant licensed in the applicant's state of residency;

(5) (A) (i) Before issuance of the license, the commissioner shall require the applicant to pass a written examination as to his or her competence to act as a surplus lines broker. (ii) An examination shall not be required of a nonresident applicant duly licensed in the applicant's state of residency. (B) The commissioner shall give, conduct, and grade all examinations, or he or she may arrange to have examinations administered and graded by an independent testing service as specified by contract in a fair and impartial manner and without unfair discrimination between individuals examined. (C) The commissioner may require a reasonable waiting period before reexamination of an applicant who failed to pass a previous similar examination. (D) The examination fee shall be the same as that charged an applicant for license as an agent, broker, or solicitor under § 23-61-401 .

(A) (i) Before issuance of the license, the commissioner shall require the applicant to pass a written examination as to his or her competence to act as a surplus lines broker. (ii) An examination shall not be required of a nonresident applicant duly licensed in the applicant's state of residency.

(i) Before issuance of the license, the commissioner shall require the applicant to pass a written examination as to his or her competence to act as a surplus lines broker.

(ii) An examination shall not be required of a nonresident applicant duly licensed in the applicant's state of residency.

(B) The commissioner shall give, conduct, and grade all examinations, or he or she may arrange to have examinations administered and graded by an independent testing service as specified by contract in a fair and impartial manner and without unfair discrimination between individuals examined.

(C) The commissioner may require a reasonable waiting period before reexamination of an applicant who failed to pass a previous similar examination.

(D) The examination fee shall be the same as that charged an applicant for license as an agent, broker, or solicitor under § 23-61-401 .

(c) The commissioner may utilize the national insurance producer database of the National Association of Insurance Commissioners or any other equivalent uniform national database for the licensure and renewal of an individual or entity as a surplus lines broker for the purposes of carrying out the Nonadmitted and Reinsurance Reform Act of 2010, Pub. L. No. 111-203.

Acts 1959, No. 148, § 194; 1977, No. 789, § 4; 1985, No. 804, § 10; A.S.A. 1947, § 66-2914; Acts 1989, No. 772, § 6; 1999, No. 657, § 10; 2001, No. 1555, § 6; 2003, No. 1203, § 13; 2011, No. 1055, § 2.
Ark. Code Ann. § 23-79-2801 — AR Code / Title 23 / Chapter 79 / Subchapter 28 / Section 23-79-2801
Definitions
Status: in_force

As used in this subchapter: (1) (A) "Health benefit plan" means: (i) An individual, blanket, or group plan or a policy or contract for healthcare services issued or delivered by a healthcare insurer; and (ii) Any health benefit program receiving state or federal appropriations from the State of Arkansas, including the Arkansas Medicaid Program and the Arkansas Health and Opportunity for Me Program, or any successor program. (B) "Health benefit plan" includes: (i) Indemnity and managed care plans; and (ii) Nonfederal governmental plans as defined in 29 U.S.C. § 1002(32) , as it existed on January 1, 2024. (C) "Health benefit plan" does not include: (i) A disability income plan; (ii) A credit insurance plan; (iii) Insurance coverage issued as a supplement to liability insurance; (iv) A medical payment under automobile or homeowners insurance plans; (v) A health benefit plan provided under Arkansas Constitution, Article 5, § 32, the Workers' Compensation Law, § 11-9-101 et seq., or the Public Employee Workers' Compensation Act, § 21-5-601 et seq.; (vi) A plan that provides only indemnity for hospital confinement; (vii) An accident-only plan; (viii) A long-term-care-only plan; (ix) A vision-only plan; or (x) A dental-only plan; and (2) "Healthcare insurer" means an entity subject to the insurance laws of this state or the jurisdiction of the Insurance Commissioner that contracts or offers to contract to provide health insurance coverage, including without limitation an insurance company, a health maintenance organization, a hospital medical service corporation, a self-insured governmental or church plan in this state, or the Arkansas Medicaid Program. Added by Act 2023, No. 494,§ 2, eff. 8/1/2023.

As used in this subchapter:

(1) (A) "Health benefit plan" means: (i) An individual, blanket, or group plan or a policy or contract for healthcare services issued or delivered by a healthcare insurer; and (ii) Any health benefit program receiving state or federal appropriations from the State of Arkansas, including the Arkansas Medicaid Program and the Arkansas Health and Opportunity for Me Program, or any successor program. (B) "Health benefit plan" includes: (i) Indemnity and managed care plans; and (ii) Nonfederal governmental plans as defined in 29 U.S.C. § 1002(32) , as it existed on January 1, 2024. (C) "Health benefit plan" does not include: (i) A disability income plan; (ii) A credit insurance plan; (iii) Insurance coverage issued as a supplement to liability insurance; (iv) A medical payment under automobile or homeowners insurance plans; (v) A health benefit plan provided under Arkansas Constitution, Article 5, § 32, the Workers' Compensation Law, § 11-9-101 et seq., or the Public Employee Workers' Compensation Act, § 21-5-601 et seq.; (vi) A plan that provides only indemnity for hospital confinement; (vii) An accident-only plan; (viii) A long-term-care-only plan; (ix) A vision-only plan; or (x) A dental-only plan; and

(A) "Health benefit plan" means: (i) An individual, blanket, or group plan or a policy or contract for healthcare services issued or delivered by a healthcare insurer; and (ii) Any health benefit program receiving state or federal appropriations from the State of Arkansas, including the Arkansas Medicaid Program and the Arkansas Health and Opportunity for Me Program, or any successor program.

(i) An individual, blanket, or group plan or a policy or contract for healthcare services issued or delivered by a healthcare insurer; and

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

(B) "Health benefit plan" includes: (i) Indemnity and managed care plans; and (ii) Nonfederal governmental plans as defined in 29 U.S.C. § 1002(32) , as it existed on January 1, 2024.

(i) Indemnity and managed care plans; and

(ii) Nonfederal governmental plans as defined in 29 U.S.C. § 1002(32) , as it existed on January 1, 2024.

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

(i) A disability income plan;

(ii) A credit insurance plan;

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

(iv) A medical payment under automobile or homeowners insurance plans;

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

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

(vii) An accident-only plan;

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

(ix) A vision-only plan; or

(x) A dental-only plan; and

(2) "Healthcare insurer" means an entity subject to the insurance laws of this state or the jurisdiction of the Insurance Commissioner that contracts or offers to contract to provide health insurance coverage, including without limitation an insurance company, a health maintenance organization, a hospital medical service corporation, a self-insured governmental or church plan in this state, or the Arkansas Medicaid Program.

Added by Act 2023, No. 494,§ 2, eff. 8/1/2023.
Ark. Code Ann. § 23-42-504 — AR Code / Title 23 / Chapter 42 / Subchapter 5 / Section 23-42-504
Exempted transactions
Status: in_force

(a) The following transactions are exempted from §§ 23-42-501 and 23-42-502 : (1) Any isolated nonissuer transactions, whether effected through a broker-dealer or not, provided that repeated or successive transactions shall be prima facie evidence that the transactions are not isolated nonissuer transactions; (2) Any nonissuer transaction by a registered agent of a registered broker-dealer, and any resale transaction by a sponsor of a unit investment trust registered under the Investment Company Act of 1940, in a security of a class that has been outstanding in the hands of the public for at least ninety (90) days, provided at the time of the transaction: (A) The issuer of the security is actually engaged in business and not in the organization stage or in bankruptcy or receivership and is not a blank check, blind pool, or shell company whose primary plan of business is to engage in a merger or combination of the business with, or an acquisition of, an unidentified person or persons; (B) The security is sold at a price reasonably related to the current market price of the security; (C) The security does not constitute the whole or part of an unsold allotment to, or a subscription or participation by, the broker-dealer as an underwriter of the security; (D) A nationally recognized securities manual designated by rule or order of the Securities Commissioner or a document filed with the United States Securities and Exchange Commission is publicly available through the United States Securities and Exchange Commission's Electronic Data Gathering, Analysis, and Retrieval system and contains: (i) A description of the business and operations of the issuer; (ii) The names of the issuer's officers and directors, if any, or, in the case of an issuer not domiciled in the United States, the corporate equivalents of such persons in the issuer's country of domicile; (iii) An audited balance sheet of the issuer as of a date within eighteen (18) months or, in the case of a reorganization or merger when the parties to the reorganization or merger had such audited balance sheets, a pro forma balance sheet; and (iv) An audited income statement for each of the issuer's immediately preceding two (2) fiscal years, or for the period of existence of the issuer, if in existence for less than two (2) years, or, in the case of a reorganization or merger when the parties to the reorganization or merger had such audited income statements, a pro forma income statement; and (E) The issuer of the security has a class of equity securities listed on a national securities exchange registered under the Securities Exchange Act of 1934, 15 U.S.C. § 78a et seq., as it existed on January 1, 2011, unless: (i) The issuer of the security is a unit investment trust registered under the Investment Company Act of 1940, 15 U.S.C. § 80a-1 et seq., as it existed on January 1, 2011; (ii) The issuer and predecessors of the issuer of the security have been engaged in continuous business for at least three (3) years; or (iii) The issuer of the security has total assets of at least two million dollars ($2,000,000) based on: (a) An audited balance sheet dated within the past eighteen (18) months; or (b) In the case of a reorganization or merger of parties with audited balance sheets dated within the past eighteen (18) months showing total assets of at least two million dollars ($2,000,000), a pro forma balance sheet; (3) Any transaction between the issuer or other person on whose behalf the offering is made and an underwriter, or among underwriters; (4) Any transaction in a bond or other evidence of indebtedness secured by a real or chattel mortgage or deed of trust, or by an agreement for the sale of real estate or chattels if the entire mortgage, deed of trust, or agreement, together with all the bonds or other evidences of indebtedness secured thereby, is offered and sold as a unit; (5) Any transactions by an executor, administrator, sheriff, marshal, receiver, trustee in bankruptcy, guardian, or conservator; (6) Any transaction executed by a bona fide pledgee without any purpose of evading this chapter; (7) A transaction by a person exempted from registration under § 23-42-102(3)(B)(v) if the transaction would be lawful in the place of residence of the offeree or purchaser had it occurred there instead of in this state; (8) (A) Any offer or sale to a bank, savings institution, trust company, insurance company, investment company as defined in the Investment Company Act of 1940, pension or profit-sharing trust, or other financial institution or institutional buyer, or to a broker-dealer, whether the purchaser is acting for itself or in some fiduciary capacity. (B) The commissioner may by order, upon petition by any person, determine if the petitioner may be deemed, upon the basis of knowledge, experience, volume, and number of transactions, and other securities background, an "institutional buyer" for purposes of subdivision (a)(8)(A) of this section; (9) (A) Any transaction pursuant to an offer and sale to not more than thirty-five (35) purchasers other than those designated in subdivision (a)(8) of this section during any period of twelve (12) consecutive months, if: (i) The seller reasonably believes that all the buyers are purchasing for investment; and (ii) A commission or other remuneration shall not be paid or given directly or indirectly for soliciting any prospective buyer in this state unless the person receiving any such commission or remuneration is registered under § 23-42-301 . (B) However, the commissioner may by rule or order, as to any security or transaction or any type of security or transaction, withdraw or further condition this exemption, or increase or decrease the number of purchasers permitted, or waive the conditions in subdivisions (a)(9)(A)(i) and (ii) of this section with or without the substitution of a limitation on remuneration; (10) Any transaction pursuant to an offer to existing security holders of the issuer, including persons who at the time of the transaction are holders of convertible securities or warrants, if no commission or other remuneration, other than a standby commission, is paid or given directly or indirectly for soliciting any security holder in this state, unless the commissioner shall, upon written application, permit the payment of a commission or other remuneration with or without the substitution of a limitation on remuneration; (11) Any offer, but not a sale, of a security for which registration statements have been filed under both this chapter and the Securities Act of 1933 if no order or refusal order is in effect and no public proceeding or examination looking toward such an order is pending under either act; (12) An offer or sale of a security by an issuer if: (A) Either of the following applies: (i) The issuer of the security is a corporation or other business entity organized and operating under the laws of this state and has its principal place of business in Arkansas and the transaction meets the requirements of the federal exemption for intrastate offerings in section 3(a)(11) of the Securities Act of 1933, 15 U.S.C. § 77c(a)(11) , as it existed on January 1, 2017, and Rule 147 of the United States Securities and Exchange Commission, 17 C.F.R. § 230.147 , as it existed on January 1, 2017, and as such, the securities shall be offered to and sold only to persons who are residents of this state at the time of purchase; or (ii) The issuer of the security is a corporation or other business entity with its principal place of business in Arkansas and the transaction meets the requirements of the federal exemption for intrastate offerings in section 28 of the Securities Exchange Act of 1933, 15 U.S.C. § 77z-3 , as it existed on January 1, 2017, and Rule 147A of the United States Securities and Exchange Commission, 17 C.F.R. § 230.147A , as it existed on January 1, 2017, and as such, the securities shall be sold only to persons who are residents of this state at the time of purchase; (B) The sum of all cash and other consideration to be received for all sales of the security in reliance upon the exemption described in this subdivision (a)(12) shall not exceed one million dollars ($1,000,000), less the aggregate amount received for all sales of securities by the issuer within six (6) months after the completion of the offering; (C) The issuer shall not accept more than five thousand dollars ($5,000) from any single purchaser unless the purchaser is an accredited investor as defined by Rule 501 of United States Securities and Exchange Commission Regulation D, 17 C.F.R. § 230.501 , as it existed on January 1, 2017; (D) The issuer should reasonably believe that all purchasers of securities are purchasing for investment and not for sale in connection with a distribution of the security; (E) A commission or remuneration shall not be paid or given, directly or indirectly, for a person's participation in the offer or sale of securities for the issuer unless the person is registered as a broker-dealer or agent under this chapter; (F) The commissioner may by rule or order, as to any security or transaction or any type of security or transaction, withdraw or further condition the exemption under this subdivision (a)(12); and (G) A filing fee of one hundred dollars ($100) shall be paid to the commissioner for every proof of exemption filed with the commissioner under this subdivision (a)(12); (13) Any other transaction that the commissioner by rule or order exempts as not being necessary or appropriate in the public interest for the protection of investors; and (14) An offer or sale of a security to a person who is not a resident of this state and is not present in this state, if the offer or sale is not: (A) A violation of the laws of the state or foreign jurisdiction in which the offeree or purchaser is present; and (B) Part of an unlawful plan or scheme to evade this chapter. (b) (1) Before any transaction shall be executed as an exempted transaction under subdivision (a)(9) or subdivision (a)(10) of this section, except, in the case of dividend reinvestment and stock purchase programs pursuant to subdivision (a)(10) of this section, a proof of exemption must first be filed with the commissioner and the commissioner by order shall not have disallowed the exemption within the next ten (10) full business days. Before any dividend reinvestment and stock purchase program shall be executed as an exempt transaction under subdivision (a)(10) of this section, an initial proof of exemption shall be filed. Thereafter, in every fifth year a proof of exemption must be filed with the commissioner, and the commissioner by order must not have disallowed the exemption within the next ten (10) full business days. (2) The proof of exemption shall contain a statement of the grounds upon which the exemption is claimed and a designation of the subsection of this section under which the exemption is claimed. (3) Proofs of exemption which have not been completed within a period of one hundred eighty (180) days after filing with the commissioner may be deemed abandoned and considered withdrawn by the applicant, provided the applicant has been notified of the deficiencies to the proof and afforded a reasonable opportunity to correct such deficiencies. (4) (A) For every proof of exemption filed with the commissioner under subdivision (a)(9) of this section, there shall be paid to the commissioner a filing fee of one-tenth percent (0.1%) of the maximum aggregate offering price at which the securities are to be offered in this state, but the fee shall in no case be less than twenty-five dollars ($25.00) or more than five hundred dollars ($500). (B) For every proof of exemption filed with the commissioner under subdivision (a)(10) of this section, there shall be paid to the commissioner a filing fee of fifty dollars ($50.00). (C) The commissioner shall have authority under this subsection to amend or rescind the filing fees by rule or order if the commissioner determines that the fee is excessive under the circumstances. Amended by Act 2019, No. 110,§ 4, eff. 7/24/2019. Amended by Act 2019, No. 110,§ 3, eff. 7/24/2019. Amended by Act 2017, No. 668,§ 23, eff. 8/1/2017. Amended by Act 2013, No. 460,§ 13, eff. 8/16/2013. Acts 1959, No. 254, § 14; 1961, No. 248, § 7; 1963, No. 512, § 1; 1971, No. 131, § 4; 1973, No. 47, §§ 13, 15; 1975, No. 844, §§ 9, 10, 12; 1977, No. 493, § 8; 1983, No. 836, §§ 20, 25; 1985, No. 610, § 1; 1985, No. 939, § 8; A.S.A. 1947, § 67-1248; Acts 1995, No. 845, § 27; 1997, No. 173, § 21; 1999, No. 363, § 3; 2005, No. 420, § 3; 2009, No. 462, § 12; 2011, No. 339, § 14.

(a) The following transactions are exempted from §§ 23-42-501 and 23-42-502 : (1) Any isolated nonissuer transactions, whether effected through a broker-dealer or not, provided that repeated or successive transactions shall be prima facie evidence that the transactions are not isolated nonissuer transactions; (2) Any nonissuer transaction by a registered agent of a registered broker-dealer, and any resale transaction by a sponsor of a unit investment trust registered under the Investment Company Act of 1940, in a security of a class that has been outstanding in the hands of the public for at least ninety (90) days, provided at the time of the transaction: (A) The issuer of the security is actually engaged in business and not in the organization stage or in bankruptcy or receivership and is not a blank check, blind pool, or shell company whose primary plan of business is to engage in a merger or combination of the business with, or an acquisition of, an unidentified person or persons; (B) The security is sold at a price reasonably related to the current market price of the security; (C) The security does not constitute the whole or part of an unsold allotment to, or a subscription or participation by, the broker-dealer as an underwriter of the security; (D) A nationally recognized securities manual designated by rule or order of the Securities Commissioner or a document filed with the United States Securities and Exchange Commission is publicly available through the United States Securities and Exchange Commission's Electronic Data Gathering, Analysis, and Retrieval system and contains: (i) A description of the business and operations of the issuer; (ii) The names of the issuer's officers and directors, if any, or, in the case of an issuer not domiciled in the United States, the corporate equivalents of such persons in the issuer's country of domicile; (iii) An audited balance sheet of the issuer as of a date within eighteen (18) months or, in the case of a reorganization or merger when the parties to the reorganization or merger had such audited balance sheets, a pro forma balance sheet; and (iv) An audited income statement for each of the issuer's immediately preceding two (2) fiscal years, or for the period of existence of the issuer, if in existence for less than two (2) years, or, in the case of a reorganization or merger when the parties to the reorganization or merger had such audited income statements, a pro forma income statement; and (E) The issuer of the security has a class of equity securities listed on a national securities exchange registered under the Securities Exchange Act of 1934, 15 U.S.C. § 78a et seq., as it existed on January 1, 2011, unless: (i) The issuer of the security is a unit investment trust registered under the Investment Company Act of 1940, 15 U.S.C. § 80a-1 et seq., as it existed on January 1, 2011; (ii) The issuer and predecessors of the issuer of the security have been engaged in continuous business for at least three (3) years; or (iii) The issuer of the security has total assets of at least two million dollars ($2,000,000) based on: (a) An audited balance sheet dated within the past eighteen (18) months; or (b) In the case of a reorganization or merger of parties with audited balance sheets dated within the past eighteen (18) months showing total assets of at least two million dollars ($2,000,000), a pro forma balance sheet; (3) Any transaction between the issuer or other person on whose behalf the offering is made and an underwriter, or among underwriters; (4) Any transaction in a bond or other evidence of indebtedness secured by a real or chattel mortgage or deed of trust, or by an agreement for the sale of real estate or chattels if the entire mortgage, deed of trust, or agreement, together with all the bonds or other evidences of indebtedness secured thereby, is offered and sold as a unit; (5) Any transactions by an executor, administrator, sheriff, marshal, receiver, trustee in bankruptcy, guardian, or conservator; (6) Any transaction executed by a bona fide pledgee without any purpose of evading this chapter; (7) A transaction by a person exempted from registration under § 23-42-102(3)(B)(v) if the transaction would be lawful in the place of residence of the offeree or purchaser had it occurred there instead of in this state; (8) (A) Any offer or sale to a bank, savings institution, trust company, insurance company, investment company as defined in the Investment Company Act of 1940, pension or profit-sharing trust, or other financial institution or institutional buyer, or to a broker-dealer, whether the purchaser is acting for itself or in some fiduciary capacity. (B) The commissioner may by order, upon petition by any person, determine if the petitioner may be deemed, upon the basis of knowledge, experience, volume, and number of transactions, and other securities background, an "institutional buyer" for purposes of subdivision (a)(8)(A) of this section; (9) (A) Any transaction pursuant to an offer and sale to not more than thirty-five (35) purchasers other than those designated in subdivision (a)(8) of this section during any period of twelve (12) consecutive months, if: (i) The seller reasonably believes that all the buyers are purchasing for investment; and (ii) A commission or other remuneration shall not be paid or given directly or indirectly for soliciting any prospective buyer in this state unless the person receiving any such commission or remuneration is registered under § 23-42-301 . (B) However, the commissioner may by rule or order, as to any security or transaction or any type of security or transaction, withdraw or further condition this exemption, or increase or decrease the number of purchasers permitted, or waive the conditions in subdivisions (a)(9)(A)(i) and (ii) of this section with or without the substitution of a limitation on remuneration; (10) Any transaction pursuant to an offer to existing security holders of the issuer, including persons who at the time of the transaction are holders of convertible securities or warrants, if no commission or other remuneration, other than a standby commission, is paid or given directly or indirectly for soliciting any security holder in this state, unless the commissioner shall, upon written application, permit the payment of a commission or other remuneration with or without the substitution of a limitation on remuneration; (11) Any offer, but not a sale, of a security for which registration statements have been filed under both this chapter and the Securities Act of 1933 if no order or refusal order is in effect and no public proceeding or examination looking toward such an order is pending under either act; (12) An offer or sale of a security by an issuer if: (A) Either of the following applies: (i) The issuer of the security is a corporation or other business entity organized and operating under the laws of this state and has its principal place of business in Arkansas and the transaction meets the requirements of the federal exemption for intrastate offerings in section 3(a)(11) of the Securities Act of 1933, 15 U.S.C. § 77c(a)(11) , as it existed on January 1, 2017, and Rule 147 of the United States Securities and Exchange Commission, 17 C.F.R. § 230.147 , as it existed on January 1, 2017, and as such, the securities shall be offered to and sold only to persons who are residents of this state at the time of purchase; or (ii) The issuer of the security is a corporation or other business entity with its principal place of business in Arkansas and the transaction meets the requirements of the federal exemption for intrastate offerings in section 28 of the Securities Exchange Act of 1933, 15 U.S.C. § 77z-3 , as it existed on January 1, 2017, and Rule 147A of the United States Securities and Exchange Commission, 17 C.F.R. § 230.147A , as it existed on January 1, 2017, and as such, the securities shall be sold only to persons who are residents of this state at the time of purchase; (B) The sum of all cash and other consideration to be received for all sales of the security in reliance upon the exemption described in this subdivision (a)(12) shall not exceed one million dollars ($1,000,000), less the aggregate amount received for all sales of securities by the issuer within six (6) months after the completion of the offering; (C) The issuer shall not accept more than five thousand dollars ($5,000) from any single purchaser unless the purchaser is an accredited investor as defined by Rule 501 of United States Securities and Exchange Commission Regulation D, 17 C.F.R. § 230.501 , as it existed on January 1, 2017; (D) The issuer should reasonably believe that all purchasers of securities are purchasing for investment and not for sale in connection with a distribution of the security; (E) A commission or remuneration shall not be paid or given, directly or indirectly, for a person's participation in the offer or sale of securities for the issuer unless the person is registered as a broker-dealer or agent under this chapter; (F) The commissioner may by rule or order, as to any security or transaction or any type of security or transaction, withdraw or further condition the exemption under this subdivision (a)(12); and (G) A filing fee of one hundred dollars ($100) shall be paid to the commissioner for every proof of exemption filed with the commissioner under this subdivision (a)(12); (13) Any other transaction that the commissioner by rule or order exempts as not being necessary or appropriate in the public interest for the protection of investors; and (14) An offer or sale of a security to a person who is not a resident of this state and is not present in this state, if the offer or sale is not: (A) A violation of the laws of the state or foreign jurisdiction in which the offeree or purchaser is present; and (B) Part of an unlawful plan or scheme to evade this chapter.

(1) Any isolated nonissuer transactions, whether effected through a broker-dealer or not, provided that repeated or successive transactions shall be prima facie evidence that the transactions are not isolated nonissuer transactions;

(2) Any nonissuer transaction by a registered agent of a registered broker-dealer, and any resale transaction by a sponsor of a unit investment trust registered under the Investment Company Act of 1940, in a security of a class that has been outstanding in the hands of the public for at least ninety (90) days, provided at the time of the transaction: (A) The issuer of the security is actually engaged in business and not in the organization stage or in bankruptcy or receivership and is not a blank check, blind pool, or shell company whose primary plan of business is to engage in a merger or combination of the business with, or an acquisition of, an unidentified person or persons; (B) The security is sold at a price reasonably related to the current market price of the security; (C) The security does not constitute the whole or part of an unsold allotment to, or a subscription or participation by, the broker-dealer as an underwriter of the security; (D) A nationally recognized securities manual designated by rule or order of the Securities Commissioner or a document filed with the United States Securities and Exchange Commission is publicly available through the United States Securities and Exchange Commission's Electronic Data Gathering, Analysis, and Retrieval system and contains: (i) A description of the business and operations of the issuer; (ii) The names of the issuer's officers and directors, if any, or, in the case of an issuer not domiciled in the United States, the corporate equivalents of such persons in the issuer's country of domicile; (iii) An audited balance sheet of the issuer as of a date within eighteen (18) months or, in the case of a reorganization or merger when the parties to the reorganization or merger had such audited balance sheets, a pro forma balance sheet; and (iv) An audited income statement for each of the issuer's immediately preceding two (2) fiscal years, or for the period of existence of the issuer, if in existence for less than two (2) years, or, in the case of a reorganization or merger when the parties to the reorganization or merger had such audited income statements, a pro forma income statement; and (E) The issuer of the security has a class of equity securities listed on a national securities exchange registered under the Securities Exchange Act of 1934, 15 U.S.C. § 78a et seq., as it existed on January 1, 2011, unless: (i) The issuer of the security is a unit investment trust registered under the Investment Company Act of 1940, 15 U.S.C. § 80a-1 et seq., as it existed on January 1, 2011; (ii) The issuer and predecessors of the issuer of the security have been engaged in continuous business for at least three (3) years; or (iii) The issuer of the security has total assets of at least two million dollars ($2,000,000) based on: (a) An audited balance sheet dated within the past eighteen (18) months; or (b) In the case of a reorganization or merger of parties with audited balance sheets dated within the past eighteen (18) months showing total assets of at least two million dollars ($2,000,000), a pro forma balance sheet;

(A) The issuer of the security is actually engaged in business and not in the organization stage or in bankruptcy or receivership and is not a blank check, blind pool, or shell company whose primary plan of business is to engage in a merger or combination of the business with, or an acquisition of, an unidentified person or persons;

(B) The security is sold at a price reasonably related to the current market price of the security;

(C) The security does not constitute the whole or part of an unsold allotment to, or a subscription or participation by, the broker-dealer as an underwriter of the security;

(D) A nationally recognized securities manual designated by rule or order of the Securities Commissioner or a document filed with the United States Securities and Exchange Commission is publicly available through the United States Securities and Exchange Commission's Electronic Data Gathering, Analysis, and Retrieval system and contains: (i) A description of the business and operations of the issuer; (ii) The names of the issuer's officers and directors, if any, or, in the case of an issuer not domiciled in the United States, the corporate equivalents of such persons in the issuer's country of domicile; (iii) An audited balance sheet of the issuer as of a date within eighteen (18) months or, in the case of a reorganization or merger when the parties to the reorganization or merger had such audited balance sheets, a pro forma balance sheet; and (iv) An audited income statement for each of the issuer's immediately preceding two (2) fiscal years, or for the period of existence of the issuer, if in existence for less than two (2) years, or, in the case of a reorganization or merger when the parties to the reorganization or merger had such audited income statements, a pro forma income statement; and

(i) A description of the business and operations of the issuer;

(ii) The names of the issuer's officers and directors, if any, or, in the case of an issuer not domiciled in the United States, the corporate equivalents of such persons in the issuer's country of domicile;

(iii) An audited balance sheet of the issuer as of a date within eighteen (18) months or, in the case of a reorganization or merger when the parties to the reorganization or merger had such audited balance sheets, a pro forma balance sheet; and

(iv) An audited income statement for each of the issuer's immediately preceding two (2) fiscal years, or for the period of existence of the issuer, if in existence for less than two (2) years, or, in the case of a reorganization or merger when the parties to the reorganization or merger had such audited income statements, a pro forma income statement; and

(E) The issuer of the security has a class of equity securities listed on a national securities exchange registered under the Securities Exchange Act of 1934, 15 U.S.C. § 78a et seq., as it existed on January 1, 2011, unless: (i) The issuer of the security is a unit investment trust registered under the Investment Company Act of 1940, 15 U.S.C. § 80a-1 et seq., as it existed on January 1, 2011; (ii) The issuer and predecessors of the issuer of the security have been engaged in continuous business for at least three (3) years; or (iii) The issuer of the security has total assets of at least two million dollars ($2,000,000) based on: (a) An audited balance sheet dated within the past eighteen (18) months; or (b) In the case of a reorganization or merger of parties with audited balance sheets dated within the past eighteen (18) months showing total assets of at least two million dollars ($2,000,000), a pro forma balance sheet;

(i) The issuer of the security is a unit investment trust registered under the Investment Company Act of 1940, 15 U.S.C. § 80a-1 et seq., as it existed on January 1, 2011;

(ii) The issuer and predecessors of the issuer of the security have been engaged in continuous business for at least three (3) years; or

(iii) The issuer of the security has total assets of at least two million dollars ($2,000,000) based on: (a) An audited balance sheet dated within the past eighteen (18) months; or (b) In the case of a reorganization or merger of parties with audited balance sheets dated within the past eighteen (18) months showing total assets of at least two million dollars ($2,000,000), a pro forma balance sheet;

(a) An audited balance sheet dated within the past eighteen (18) months; or

(b) In the case of a reorganization or merger of parties with audited balance sheets dated within the past eighteen (18) months showing total assets of at least two million dollars ($2,000,000), a pro forma balance sheet;

(3) Any transaction between the issuer or other person on whose behalf the offering is made and an underwriter, or among underwriters;

(4) Any transaction in a bond or other evidence of indebtedness secured by a real or chattel mortgage or deed of trust, or by an agreement for the sale of real estate or chattels if the entire mortgage, deed of trust, or agreement, together with all the bonds or other evidences of indebtedness secured thereby, is offered and sold as a unit;

(5) Any transactions by an executor, administrator, sheriff, marshal, receiver, trustee in bankruptcy, guardian, or conservator;

(6) Any transaction executed by a bona fide pledgee without any purpose of evading this chapter;

(7) A transaction by a person exempted from registration under § 23-42-102(3)(B)(v) if the transaction would be lawful in the place of residence of the offeree or purchaser had it occurred there instead of in this state;

(8) (A) Any offer or sale to a bank, savings institution, trust company, insurance company, investment company as defined in the Investment Company Act of 1940, pension or profit-sharing trust, or other financial institution or institutional buyer, or to a broker-dealer, whether the purchaser is acting for itself or in some fiduciary capacity. (B) The commissioner may by order, upon petition by any person, determine if the petitioner may be deemed, upon the basis of knowledge, experience, volume, and number of transactions, and other securities background, an "institutional buyer" for purposes of subdivision (a)(8)(A) of this section;

(A) Any offer or sale to a bank, savings institution, trust company, insurance company, investment company as defined in the Investment Company Act of 1940, pension or profit-sharing trust, or other financial institution or institutional buyer, or to a broker-dealer, whether the purchaser is acting for itself or in some fiduciary capacity.

(B) The commissioner may by order, upon petition by any person, determine if the petitioner may be deemed, upon the basis of knowledge, experience, volume, and number of transactions, and other securities background, an "institutional buyer" for purposes of subdivision (a)(8)(A) of this section;

(9) (A) Any transaction pursuant to an offer and sale to not more than thirty-five (35) purchasers other than those designated in subdivision (a)(8) of this section during any period of twelve (12) consecutive months, if: (i) The seller reasonably believes that all the buyers are purchasing for investment; and (ii) A commission or other remuneration shall not be paid or given directly or indirectly for soliciting any prospective buyer in this state unless the person receiving any such commission or remuneration is registered under § 23-42-301 . (B) However, the commissioner may by rule or order, as to any security or transaction or any type of security or transaction, withdraw or further condition this exemption, or increase or decrease the number of purchasers permitted, or waive the conditions in subdivisions (a)(9)(A)(i) and (ii) of this section with or without the substitution of a limitation on remuneration;

(A) Any transaction pursuant to an offer and sale to not more than thirty-five (35) purchasers other than those designated in subdivision (a)(8) of this section during any period of twelve (12) consecutive months, if: (i) The seller reasonably believes that all the buyers are purchasing for investment; and (ii) A commission or other remuneration shall not be paid or given directly or indirectly for soliciting any prospective buyer in this state unless the person receiving any such commission or remuneration is registered under § 23-42-301 .

(i) The seller reasonably believes that all the buyers are purchasing for investment; and

(ii) A commission or other remuneration shall not be paid or given directly or indirectly for soliciting any prospective buyer in this state unless the person receiving any such commission or remuneration is registered under § 23-42-301 .

(B) However, the commissioner may by rule or order, as to any security or transaction or any type of security or transaction, withdraw or further condition this exemption, or increase or decrease the number of purchasers permitted, or waive the conditions in subdivisions (a)(9)(A)(i) and (ii) of this section with or without the substitution of a limitation on remuneration;

(10) Any transaction pursuant to an offer to existing security holders of the issuer, including persons who at the time of the transaction are holders of convertible securities or warrants, if no commission or other remuneration, other than a standby commission, is paid or given directly or indirectly for soliciting any security holder in this state, unless the commissioner shall, upon written application, permit the payment of a commission or other remuneration with or without the substitution of a limitation on remuneration;

(11) Any offer, but not a sale, of a security for which registration statements have been filed under both this chapter and the Securities Act of 1933 if no order or refusal order is in effect and no public proceeding or examination looking toward such an order is pending under either act;

(12) An offer or sale of a security by an issuer if: (A) Either of the following applies: (i) The issuer of the security is a corporation or other business entity organized and operating under the laws of this state and has its principal place of business in Arkansas and the transaction meets the requirements of the federal exemption for intrastate offerings in section 3(a)(11) of the Securities Act of 1933, 15 U.S.C. § 77c(a)(11) , as it existed on January 1, 2017, and Rule 147 of the United States Securities and Exchange Commission, 17 C.F.R. § 230.147 , as it existed on January 1, 2017, and as such, the securities shall be offered to and sold only to persons who are residents of this state at the time of purchase; or (ii) The issuer of the security is a corporation or other business entity with its principal place of business in Arkansas and the transaction meets the requirements of the federal exemption for intrastate offerings in section 28 of the Securities Exchange Act of 1933, 15 U.S.C. § 77z-3 , as it existed on January 1, 2017, and Rule 147A of the United States Securities and Exchange Commission, 17 C.F.R. § 230.147A , as it existed on January 1, 2017, and as such, the securities shall be sold only to persons who are residents of this state at the time of purchase; (B) The sum of all cash and other consideration to be received for all sales of the security in reliance upon the exemption described in this subdivision (a)(12) shall not exceed one million dollars ($1,000,000), less the aggregate amount received for all sales of securities by the issuer within six (6) months after the completion of the offering; (C) The issuer shall not accept more than five thousand dollars ($5,000) from any single purchaser unless the purchaser is an accredited investor as defined by Rule 501 of United States Securities and Exchange Commission Regulation D, 17 C.F.R. § 230.501 , as it existed on January 1, 2017; (D) The issuer should reasonably believe that all purchasers of securities are purchasing for investment and not for sale in connection with a distribution of the security; (E) A commission or remuneration shall not be paid or given, directly or indirectly, for a person's participation in the offer or sale of securities for the issuer unless the person is registered as a broker-dealer or agent under this chapter; (F) The commissioner may by rule or order, as to any security or transaction or any type of security or transaction, withdraw or further condition the exemption under this subdivision (a)(12); and (G) A filing fee of one hundred dollars ($100) shall be paid to the commissioner for every proof of exemption filed with the commissioner under this subdivision (a)(12);

(A) Either of the following applies: (i) The issuer of the security is a corporation or other business entity organized and operating under the laws of this state and has its principal place of business in Arkansas and the transaction meets the requirements of the federal exemption for intrastate offerings in section 3(a)(11) of the Securities Act of 1933, 15 U.S.C. § 77c(a)(11) , as it existed on January 1, 2017, and Rule 147 of the United States Securities and Exchange Commission, 17 C.F.R. § 230.147 , as it existed on January 1, 2017, and as such, the securities shall be offered to and sold only to persons who are residents of this state at the time of purchase; or (ii) The issuer of the security is a corporation or other business entity with its principal place of business in Arkansas and the transaction meets the requirements of the federal exemption for intrastate offerings in section 28 of the Securities Exchange Act of 1933, 15 U.S.C. § 77z-3 , as it existed on January 1, 2017, and Rule 147A of the United States Securities and Exchange Commission, 17 C.F.R. § 230.147A , as it existed on January 1, 2017, and as such, the securities shall be sold only to persons who are residents of this state at the time of purchase;

(i) The issuer of the security is a corporation or other business entity organized and operating under the laws of this state and has its principal place of business in Arkansas and the transaction meets the requirements of the federal exemption for intrastate offerings in section 3(a)(11) of the Securities Act of 1933, 15 U.S.C. § 77c(a)(11) , as it existed on January 1, 2017, and Rule 147 of the United States Securities and Exchange Commission, 17 C.F.R. § 230.147 , as it existed on January 1, 2017, and as such, the securities shall be offered to and sold only to persons who are residents of this state at the time of purchase; or

(ii) The issuer of the security is a corporation or other business entity with its principal place of business in Arkansas and the transaction meets the requirements of the federal exemption for intrastate offerings in section 28 of the Securities Exchange Act of 1933, 15 U.S.C. § 77z-3 , as it existed on January 1, 2017, and Rule 147A of the United States Securities and Exchange Commission, 17 C.F.R. § 230.147A , as it existed on January 1, 2017, and as such, the securities shall be sold only to persons who are residents of this state at the time of purchase;

(B) The sum of all cash and other consideration to be received for all sales of the security in reliance upon the exemption described in this subdivision (a)(12) shall not exceed one million dollars ($1,000,000), less the aggregate amount received for all sales of securities by the issuer within six (6) months after the completion of the offering;

(C) The issuer shall not accept more than five thousand dollars ($5,000) from any single purchaser unless the purchaser is an accredited investor as defined by Rule 501 of United States Securities and Exchange Commission Regulation D, 17 C.F.R. § 230.501 , as it existed on January 1, 2017;

(D) The issuer should reasonably believe that all purchasers of securities are purchasing for investment and not for sale in connection with a distribution of the security;

(E) A commission or remuneration shall not be paid or given, directly or indirectly, for a person's participation in the offer or sale of securities for the issuer unless the person is registered as a broker-dealer or agent under this chapter;

(F) The commissioner may by rule or order, as to any security or transaction or any type of security or transaction, withdraw or further condition the exemption under this subdivision (a)(12); and

(G) A filing fee of one hundred dollars ($100) shall be paid to the commissioner for every proof of exemption filed with the commissioner under this subdivision (a)(12);

(13) Any other transaction that the commissioner by rule or order exempts as not being necessary or appropriate in the public interest for the protection of investors; and

(14) An offer or sale of a security to a person who is not a resident of this state and is not present in this state, if the offer or sale is not: (A) A violation of the laws of the state or foreign jurisdiction in which the offeree or purchaser is present; and (B) Part of an unlawful plan or scheme to evade this chapter.

(A) A violation of the laws of the state or foreign jurisdiction in which the offeree or purchaser is present; and

(B) Part of an unlawful plan or scheme to evade this chapter.

(b) (1) Before any transaction shall be executed as an exempted transaction under subdivision (a)(9) or subdivision (a)(10) of this section, except, in the case of dividend reinvestment and stock purchase programs pursuant to subdivision (a)(10) of this section, a proof of exemption must first be filed with the commissioner and the commissioner by order shall not have disallowed the exemption within the next ten (10) full business days. Before any dividend reinvestment and stock purchase program shall be executed as an exempt transaction under subdivision (a)(10) of this section, an initial proof of exemption shall be filed. Thereafter, in every fifth year a proof of exemption must be filed with the commissioner, and the commissioner by order must not have disallowed the exemption within the next ten (10) full business days. (2) The proof of exemption shall contain a statement of the grounds upon which the exemption is claimed and a designation of the subsection of this section under which the exemption is claimed. (3) Proofs of exemption which have not been completed within a period of one hundred eighty (180) days after filing with the commissioner may be deemed abandoned and considered withdrawn by the applicant, provided the applicant has been notified of the deficiencies to the proof and afforded a reasonable opportunity to correct such deficiencies. (4) (A) For every proof of exemption filed with the commissioner under subdivision (a)(9) of this section, there shall be paid to the commissioner a filing fee of one-tenth percent (0.1%) of the maximum aggregate offering price at which the securities are to be offered in this state, but the fee shall in no case be less than twenty-five dollars ($25.00) or more than five hundred dollars ($500). (B) For every proof of exemption filed with the commissioner under subdivision (a)(10) of this section, there shall be paid to the commissioner a filing fee of fifty dollars ($50.00). (C) The commissioner shall have authority under this subsection to amend or rescind the filing fees by rule or order if the commissioner determines that the fee is excessive under the circumstances.

(1) Before any transaction shall be executed as an exempted transaction under subdivision (a)(9) or subdivision (a)(10) of this section, except, in the case of dividend reinvestment and stock purchase programs pursuant to subdivision (a)(10) of this section, a proof of exemption must first be filed with the commissioner and the commissioner by order shall not have disallowed the exemption within the next ten (10) full business days. Before any dividend reinvestment and stock purchase program shall be executed as an exempt transaction under subdivision (a)(10) of this section, an initial proof of exemption shall be filed. Thereafter, in every fifth year a proof of exemption must be filed with the commissioner, and the commissioner by order must not have disallowed the exemption within the next ten (10) full business days.

(2) The proof of exemption shall contain a statement of the grounds upon which the exemption is claimed and a designation of the subsection of this section under which the exemption is claimed.

(3) Proofs of exemption which have not been completed within a period of one hundred eighty (180) days after filing with the commissioner may be deemed abandoned and considered withdrawn by the applicant, provided the applicant has been notified of the deficiencies to the proof and afforded a reasonable opportunity to correct such deficiencies.

(4) (A) For every proof of exemption filed with the commissioner under subdivision (a)(9) of this section, there shall be paid to the commissioner a filing fee of one-tenth percent (0.1%) of the maximum aggregate offering price at which the securities are to be offered in this state, but the fee shall in no case be less than twenty-five dollars ($25.00) or more than five hundred dollars ($500). (B) For every proof of exemption filed with the commissioner under subdivision (a)(10) of this section, there shall be paid to the commissioner a filing fee of fifty dollars ($50.00). (C) The commissioner shall have authority under this subsection to amend or rescind the filing fees by rule or order if the commissioner determines that the fee is excessive under the circumstances.

(A) For every proof of exemption filed with the commissioner under subdivision (a)(9) of this section, there shall be paid to the commissioner a filing fee of one-tenth percent (0.1%) of the maximum aggregate offering price at which the securities are to be offered in this state, but the fee shall in no case be less than twenty-five dollars ($25.00) or more than five hundred dollars ($500).

(B) For every proof of exemption filed with the commissioner under subdivision (a)(10) of this section, there shall be paid to the commissioner a filing fee of fifty dollars ($50.00).

(C) The commissioner shall have authority under this subsection to amend or rescind the filing fees by rule or order if the commissioner determines that the fee is excessive under the circumstances.

Amended by Act 2019, No. 110,§ 4, eff. 7/24/2019.

Amended by Act 2019, No. 110,§ 3, eff. 7/24/2019.

Amended by Act 2017, No. 668,§ 23, eff. 8/1/2017.

Amended by Act 2013, No. 460,§ 13, eff. 8/16/2013.

Acts 1959, No. 254, § 14; 1961, No. 248, § 7; 1963, No. 512, § 1; 1971, No. 131, § 4; 1973, No. 47, §§ 13, 15; 1975, No. 844, §§ 9, 10, 12; 1977, No. 493, § 8; 1983, No. 836, §§ 20, 25; 1985, No. 610, § 1; 1985, No. 939, § 8; A.S.A. 1947, § 67-1248; Acts 1995, No. 845, § 27; 1997, No. 173, § 21; 1999, No. 363, § 3; 2005, No. 420, § 3; 2009, No. 462, § 12; 2011, No. 339, § 14.
Ark. Code Ann. § 23-17-105 — AR Code / Title 23 / Chapter 17 / Subchapter 1 / Section 23-17-105
Contract for exclusive privileges prohibited
Status: in_force

No telegraph or telephone corporation organized by virtue of the laws of this state or doing business in this state by virtue of the laws of any other state, or of the United States, shall have the power to contract with the owners of lands or the right in lands, or with any person or corporation, for the rights to erect, operate, or maintain telegraph, telephone, or other lines or works for the speedy transmission of intelligence over his or her or its lands, privileges, rights, or easements to the exclusion of other persons or corporations authorized to erect and operate lines and works for speedy transmission of intelligence. Acts 1885, No. 107, § 4, p. 176; C. & M. Dig., § 10241; Pope's Dig., § 14250; A.S.A. 1947, § 73-1805.

No telegraph or telephone corporation organized by virtue of the laws of this state or doing business in this state by virtue of the laws of any other state, or of the United States, shall have the power to contract with the owners of lands or the right in lands, or with any person or corporation, for the rights to erect, operate, or maintain telegraph, telephone, or other lines or works for the speedy transmission of intelligence over his or her or its lands, privileges, rights, or easements to the exclusion of other persons or corporations authorized to erect and operate lines and works for speedy transmission of intelligence.

Acts 1885, No. 107, § 4, p. 176; C. & M. Dig., § 10241; Pope's Dig., § 14250; A.S.A. 1947, § 73-1805.
Ark. Code Ann. § 23-87-107 — AR Code / Title 23 / Chapter 87 / Section 23-87-107
Policy forms
Status: in_force

Credit life insurance and credit disability insurance shall be issued only in the following forms: (1) Individual policies of life insurance issued to debtors on the term plan; (2) Individual policies of disability insurance issued to debtors on a term plan, or disability provisions in individual life policies to provide coverage; (3) Group policies of life insurance issued to creditors providing insurance upon the lives of debtors on the term plan; and (4) Group policies of disability insurance issued to creditors on a term plan insuring debtors, or disability provisions in group life policies to provide coverage. Acts 1959, No. 148, § 431; A.S.A. 1947, § 66-3805.

Credit life insurance and credit disability insurance shall be issued only in the following forms:

(1) Individual policies of life insurance issued to debtors on the term plan;

(2) Individual policies of disability insurance issued to debtors on a term plan, or disability provisions in individual life policies to provide coverage;

(3) Group policies of life insurance issued to creditors providing insurance upon the lives of debtors on the term plan; and

(4) Group policies of disability insurance issued to creditors on a term plan insuring debtors, or disability provisions in group life policies to provide coverage.

Acts 1959, No. 148, § 431; A.S.A. 1947, § 66-3805.
Ark. Code Ann. § 23-96-105 — AR Code / Title 23 / Chapter 96 / Section 23-96-105
Advertisement of association act in insurance sales - Notice to policy owners
Status: in_force

(a) (1) A person, including a member insurer, agent, or affiliate of a member insurer, shall not make, publish, disseminate, circulate, or place before the public, or cause, directly or indirectly, to be made, published, disseminated, circulated, or placed before the public, in any newspaper, magazine, or other publication, or in the form of a notice, circular, pamphlet, letter, or poster, or over any radio station or television station, or in any other way, any advertisement, announcement, or statement, written or oral, which uses the existence of the Arkansas Life and Health Insurance Guaranty Association for the purpose of sales, solicitation, or inducement to purchase any form of insurance or other coverage covered by this chapter, except in conformity with the rules of the Insurance Commissioner. (2) In adopting such rules, the commissioner, in consultation with the Board of Directors of the Arkansas Life and Health Insurance Guaranty Association, shall take into consideration the following factors: (A) The need of the public to have confidence in the financial soundness of insurance and health maintenance organization products offered for sale in this state; (B) The financial integrity of member insurers doing business in this state; and (C) The role of the association in serving as a safety net for policy owners, contract owners, insureds, certificate holders, enrollees, and beneficiaries of impaired insurers or insolvent insurers in this state. (3) This section shall not apply to the association or any other entity which does not sell or solicit insurance or coverage by a health maintenance organization. (b) (1) (A) Within one hundred eighty (180) days of March 9, 1989, the association shall prepare a summary document describing the general purpose and current limitations of this chapter and complying with subsection (c) of this section. (B) The summary document required under subdivision (b)(1)(A) of this section shall be submitted to the commissioner for approval. (C) Sixty (60) days after receiving such approval, a member insurer shall not deliver a policy or contract described in § 23-96-107(b) to a policy owner, contract owner, certificate holder, or enrollee unless the summary document is delivered to the policy owner, contract owner, certificate holder, or enrollee at the time of delivery of the policy or contract unless § 23-96-107(c) applies. (2) (A) The document should also be available upon request by a policy owner, contract owner, certificate holder, or enrollee. (B) The distribution, delivery, or contents or interpretation of this document does not guarantee that either the policy or the contract or the policy owner, contract owner, certificate holder, or enrollee thereof is covered in the event of the impairment or insolvency of a member insurer. (C) The description document shall be revised by the association as amendments to this chapter may require. (D) Failure to receive this document does not give the policy owner, contract owner, certificate holder, enrollee, or insured any greater rights than those stated in this chapter. (c) (1) The document prepared under subsection (b) of this section shall contain a clear and conspicuous disclaimer on its face. (2) The commissioner shall establish the form and content of the disclaimer. (3) The disclaimer shall: (A) State the name and address of the association and the State Insurance Department; (B) Prominently warn the policy owner, contract owner, certificate holder, or enrollee that the association may not cover the policy or contract or, if coverage is available, that the coverage will be subject to substantial limitations, exclusions, and conditioned on continued residence in this state; (C) State the types of policies or contracts for which guaranty funds will provide coverage; (D) State that the member insurer and its agents are prohibited by law from using the existence of the association for the purpose of sales, solicitation, or inducement to purchase any form of insurance or health maintenance organization product; (E) State that the policy owner, contract owner, certificate holder, or enrollee should not rely on coverage under the association when selecting an insurer or health maintenance organization; (F) Explain rights available and procedures for filing a complaint of a violation of any provisions of this chapter; and (G) Provide other information as directed by the commissioner, including without limitation sources of information about financial conditions of member insurers, if the information is not proprietary and is subject to disclosure under that state's public records law. Amended by Act 2019, No. 315,§ 2788, eff. 7/24/2019. Amended by Act 2019, No. 520,§ 2, eff. 7/24/2019. Acts 1989, No. 444, § 19; 1997, No. 950, § 1; 2001, No. 1603, §§ 50, 51.

(a) (1) A person, including a member insurer, agent, or affiliate of a member insurer, shall not make, publish, disseminate, circulate, or place before the public, or cause, directly or indirectly, to be made, published, disseminated, circulated, or placed before the public, in any newspaper, magazine, or other publication, or in the form of a notice, circular, pamphlet, letter, or poster, or over any radio station or television station, or in any other way, any advertisement, announcement, or statement, written or oral, which uses the existence of the Arkansas Life and Health Insurance Guaranty Association for the purpose of sales, solicitation, or inducement to purchase any form of insurance or other coverage covered by this chapter, except in conformity with the rules of the Insurance Commissioner. (2) In adopting such rules, the commissioner, in consultation with the Board of Directors of the Arkansas Life and Health Insurance Guaranty Association, shall take into consideration the following factors: (A) The need of the public to have confidence in the financial soundness of insurance and health maintenance organization products offered for sale in this state; (B) The financial integrity of member insurers doing business in this state; and (C) The role of the association in serving as a safety net for policy owners, contract owners, insureds, certificate holders, enrollees, and beneficiaries of impaired insurers or insolvent insurers in this state. (3) This section shall not apply to the association or any other entity which does not sell or solicit insurance or coverage by a health maintenance organization.

(1) A person, including a member insurer, agent, or affiliate of a member insurer, shall not make, publish, disseminate, circulate, or place before the public, or cause, directly or indirectly, to be made, published, disseminated, circulated, or placed before the public, in any newspaper, magazine, or other publication, or in the form of a notice, circular, pamphlet, letter, or poster, or over any radio station or television station, or in any other way, any advertisement, announcement, or statement, written or oral, which uses the existence of the Arkansas Life and Health Insurance Guaranty Association for the purpose of sales, solicitation, or inducement to purchase any form of insurance or other coverage covered by this chapter, except in conformity with the rules of the Insurance Commissioner.

(2) In adopting such rules, the commissioner, in consultation with the Board of Directors of the Arkansas Life and Health Insurance Guaranty Association, shall take into consideration the following factors: (A) The need of the public to have confidence in the financial soundness of insurance and health maintenance organization products offered for sale in this state; (B) The financial integrity of member insurers doing business in this state; and (C) The role of the association in serving as a safety net for policy owners, contract owners, insureds, certificate holders, enrollees, and beneficiaries of impaired insurers or insolvent insurers in this state.

(A) The need of the public to have confidence in the financial soundness of insurance and health maintenance organization products offered for sale in this state;

(B) The financial integrity of member insurers doing business in this state; and

(C) The role of the association in serving as a safety net for policy owners, contract owners, insureds, certificate holders, enrollees, and beneficiaries of impaired insurers or insolvent insurers in this state.

(3) This section shall not apply to the association or any other entity which does not sell or solicit insurance or coverage by a health maintenance organization.

(b) (1) (A) Within one hundred eighty (180) days of March 9, 1989, the association shall prepare a summary document describing the general purpose and current limitations of this chapter and complying with subsection (c) of this section. (B) The summary document required under subdivision (b)(1)(A) of this section shall be submitted to the commissioner for approval. (C) Sixty (60) days after receiving such approval, a member insurer shall not deliver a policy or contract described in § 23-96-107(b) to a policy owner, contract owner, certificate holder, or enrollee unless the summary document is delivered to the policy owner, contract owner, certificate holder, or enrollee at the time of delivery of the policy or contract unless § 23-96-107(c) applies. (2) (A) The document should also be available upon request by a policy owner, contract owner, certificate holder, or enrollee. (B) The distribution, delivery, or contents or interpretation of this document does not guarantee that either the policy or the contract or the policy owner, contract owner, certificate holder, or enrollee thereof is covered in the event of the impairment or insolvency of a member insurer. (C) The description document shall be revised by the association as amendments to this chapter may require. (D) Failure to receive this document does not give the policy owner, contract owner, certificate holder, enrollee, or insured any greater rights than those stated in this chapter.

(1) (A) Within one hundred eighty (180) days of March 9, 1989, the association shall prepare a summary document describing the general purpose and current limitations of this chapter and complying with subsection (c) of this section. (B) The summary document required under subdivision (b)(1)(A) of this section shall be submitted to the commissioner for approval. (C) Sixty (60) days after receiving such approval, a member insurer shall not deliver a policy or contract described in § 23-96-107(b) to a policy owner, contract owner, certificate holder, or enrollee unless the summary document is delivered to the policy owner, contract owner, certificate holder, or enrollee at the time of delivery of the policy or contract unless § 23-96-107(c) applies.

(A) Within one hundred eighty (180) days of March 9, 1989, the association shall prepare a summary document describing the general purpose and current limitations of this chapter and complying with subsection (c) of this section.

(B) The summary document required under subdivision (b)(1)(A) of this section shall be submitted to the commissioner for approval.

(C) Sixty (60) days after receiving such approval, a member insurer shall not deliver a policy or contract described in § 23-96-107(b) to a policy owner, contract owner, certificate holder, or enrollee unless the summary document is delivered to the policy owner, contract owner, certificate holder, or enrollee at the time of delivery of the policy or contract unless § 23-96-107(c) applies.

(2) (A) The document should also be available upon request by a policy owner, contract owner, certificate holder, or enrollee. (B) The distribution, delivery, or contents or interpretation of this document does not guarantee that either the policy or the contract or the policy owner, contract owner, certificate holder, or enrollee thereof is covered in the event of the impairment or insolvency of a member insurer. (C) The description document shall be revised by the association as amendments to this chapter may require. (D) Failure to receive this document does not give the policy owner, contract owner, certificate holder, enrollee, or insured any greater rights than those stated in this chapter.

(A) The document should also be available upon request by a policy owner, contract owner, certificate holder, or enrollee.

(B) The distribution, delivery, or contents or interpretation of this document does not guarantee that either the policy or the contract or the policy owner, contract owner, certificate holder, or enrollee thereof is covered in the event of the impairment or insolvency of a member insurer.

(C) The description document shall be revised by the association as amendments to this chapter may require.

(D) Failure to receive this document does not give the policy owner, contract owner, certificate holder, enrollee, or insured any greater rights than those stated in this chapter.

(c) (1) The document prepared under subsection (b) of this section shall contain a clear and conspicuous disclaimer on its face. (2) The commissioner shall establish the form and content of the disclaimer. (3) The disclaimer shall: (A) State the name and address of the association and the State Insurance Department; (B) Prominently warn the policy owner, contract owner, certificate holder, or enrollee that the association may not cover the policy or contract or, if coverage is available, that the coverage will be subject to substantial limitations, exclusions, and conditioned on continued residence in this state; (C) State the types of policies or contracts for which guaranty funds will provide coverage; (D) State that the member insurer and its agents are prohibited by law from using the existence of the association for the purpose of sales, solicitation, or inducement to purchase any form of insurance or health maintenance organization product; (E) State that the policy owner, contract owner, certificate holder, or enrollee should not rely on coverage under the association when selecting an insurer or health maintenance organization; (F) Explain rights available and procedures for filing a complaint of a violation of any provisions of this chapter; and (G) Provide other information as directed by the commissioner, including without limitation sources of information about financial conditions of member insurers, if the information is not proprietary and is subject to disclosure under that state's public records law.

(1) The document prepared under subsection (b) of this section shall contain a clear and conspicuous disclaimer on its face.

(2) The commissioner shall establish the form and content of the disclaimer.

(3) The disclaimer shall: (A) State the name and address of the association and the State Insurance Department; (B) Prominently warn the policy owner, contract owner, certificate holder, or enrollee that the association may not cover the policy or contract or, if coverage is available, that the coverage will be subject to substantial limitations, exclusions, and conditioned on continued residence in this state; (C) State the types of policies or contracts for which guaranty funds will provide coverage; (D) State that the member insurer and its agents are prohibited by law from using the existence of the association for the purpose of sales, solicitation, or inducement to purchase any form of insurance or health maintenance organization product; (E) State that the policy owner, contract owner, certificate holder, or enrollee should not rely on coverage under the association when selecting an insurer or health maintenance organization; (F) Explain rights available and procedures for filing a complaint of a violation of any provisions of this chapter; and (G) Provide other information as directed by the commissioner, including without limitation sources of information about financial conditions of member insurers, if the information is not proprietary and is subject to disclosure under that state's public records law.

(A) State the name and address of the association and the State Insurance Department;

(B) Prominently warn the policy owner, contract owner, certificate holder, or enrollee that the association may not cover the policy or contract or, if coverage is available, that the coverage will be subject to substantial limitations, exclusions, and conditioned on continued residence in this state;

(C) State the types of policies or contracts for which guaranty funds will provide coverage;

(D) State that the member insurer and its agents are prohibited by law from using the existence of the association for the purpose of sales, solicitation, or inducement to purchase any form of insurance or health maintenance organization product;

(E) State that the policy owner, contract owner, certificate holder, or enrollee should not rely on coverage under the association when selecting an insurer or health maintenance organization;

(F) Explain rights available and procedures for filing a complaint of a violation of any provisions of this chapter; and

(G) Provide other information as directed by the commissioner, including without limitation sources of information about financial conditions of member insurers, if the information is not proprietary and is subject to disclosure under that state's public records law.

Amended by Act 2019, No. 315,§ 2788, eff. 7/24/2019.

Amended by Act 2019, No. 520,§ 2, eff. 7/24/2019.

Acts 1989, No. 444, § 19; 1997, No. 950, § 1; 2001, No. 1603, §§ 50, 51.
Ark. Code Ann. § 23-17-207 — AR Code / Title 23 / Chapter 17 / Subchapter 2 / Section 23-17-207
Incorporators
Status: in_force

Any three (3) or more natural persons of the age of twenty-one (21) or more who are residents of this state may act as incorporators of a cooperative to be organized under this subchapter by executing articles of incorporation as provided in § 23-17-210 . Acts 1951, No. 51, § 5; A.S.A. 1947, § 77-1605.

Any three (3) or more natural persons of the age of twenty-one (21) or more who are residents of this state may act as incorporators of a cooperative to be organized under this subchapter by executing articles of incorporation as provided in § 23-17-210 .

Acts 1951, No. 51, § 5; A.S.A. 1947, § 77-1605.
Ark. Code Ann. § 23-66-508 — AR Code / Title 23 / Chapter 66 / Subchapter 5 / Section 23-66-508
Creation and purpose of Criminal Investigation Division
Status: in_force

(a) (1) The Criminal Investigation Division is established within the State Insurance Department and is designated a law enforcement agency. (2) (A) The Insurance Commissioner shall appoint the full-time supervisory and investigative personnel of the division, who shall be qualified by training and experience to perform the duties of their positions. (B) A person designated and employed as an investigator for the division shall: (i) Be a certified law enforcement officer under § 12-9-101 et seq.; and (ii) Have statewide law enforcement jurisdiction and authority. (3) (A) The commissioner shall designate the personnel assigned to the division who shall conduct investigations under § 23-66-504 and any criminal violations related to those investigations. (B) Personnel hired as law enforcement officers shall be state-certified in law enforcement or have equivalent national or military law enforcement experience as approved by the Arkansas Commission on Law Enforcement Standards and Training. (4) The commissioner shall also appoint clerical and other staff necessary for the division to carry out its duties and responsibilities under this subchapter. (b) It shall be the duty of the division to: (1) Initiate independent inquiries and conduct independent investigations when the division has cause to believe that a fraudulent insurance act may be, is being, or has been committed; (2) Review reports or complaints of alleged fraudulent insurance activities from federal, state, and local law enforcement and regulatory agencies, persons engaged in the business of insurance, and the public to determine whether the reports require further investigation and to conduct these investigations; and (3) Conduct independent examinations of alleged fraudulent insurance acts and undertake independent studies to determine the extent of fraudulent insurance acts. (c) The division shall have the authority to: (1) (A) Issue subpoenas to examine any individual under oath and to compel the production of records, books, papers, contracts, and other documents. (B) Subpoenas shall be served in the same manner as if issued by a circuit court. (C) If any individual fails to obey a subpoena issued and served pursuant to this subsection, upon application of the division, the Pulaski County Circuit Court or the circuit court of the county where the subpoena was served may issue an order requiring the individual to comply with the subpoena. (D) Any failure to obey the order of the court may be punished by the court as contempt thereof; (2) Administer oaths and affirmations; (3) Share records and evidence with federal, state, or local law enforcement or regulatory agencies; (4) (A) Make criminal referrals to prosecuting authorities. (B) The prosecuting attorney of the judicial district where a criminal referral has been made shall have, for the purpose of assisting in the prosecution, the authority to appoint as special deputy prosecuting attorneys licensed attorneys in the employment of the division. (C) The prosecuting attorney shall have the right and discretion to proceed against any person or organization on criminal referrals made hereunder, both organizational and individual liability being intended; and (5) (A) Conduct investigations outside of this state. (B) If the information the division seeks to obtain is located outside this state, the person from whom the information is sought may make the information available to the division to examine at the place where the information is located. (C) The division may designate representatives, including officials of the state where the matter is located, to inspect the information on behalf of the division, and the division may respond to similar requests from officials of other states. Amended by Act 2015, No. 1164,§ 2, eff. 7/22/2015. Amended by Act 2013, No. 984,§ 2, eff. 8/16/2013. Acts 1997, No. 217, § 1; 2001, No. 743, § 2; 2005, No. 1697, § 16.

(a) (1) The Criminal Investigation Division is established within the State Insurance Department and is designated a law enforcement agency. (2) (A) The Insurance Commissioner shall appoint the full-time supervisory and investigative personnel of the division, who shall be qualified by training and experience to perform the duties of their positions. (B) A person designated and employed as an investigator for the division shall: (i) Be a certified law enforcement officer under § 12-9-101 et seq.; and (ii) Have statewide law enforcement jurisdiction and authority. (3) (A) The commissioner shall designate the personnel assigned to the division who shall conduct investigations under § 23-66-504 and any criminal violations related to those investigations. (B) Personnel hired as law enforcement officers shall be state-certified in law enforcement or have equivalent national or military law enforcement experience as approved by the Arkansas Commission on Law Enforcement Standards and Training. (4) The commissioner shall also appoint clerical and other staff necessary for the division to carry out its duties and responsibilities under this subchapter.

(1) The Criminal Investigation Division is established within the State Insurance Department and is designated a law enforcement agency.

(2) (A) The Insurance Commissioner shall appoint the full-time supervisory and investigative personnel of the division, who shall be qualified by training and experience to perform the duties of their positions. (B) A person designated and employed as an investigator for the division shall: (i) Be a certified law enforcement officer under § 12-9-101 et seq.; and (ii) Have statewide law enforcement jurisdiction and authority.

(A) The Insurance Commissioner shall appoint the full-time supervisory and investigative personnel of the division, who shall be qualified by training and experience to perform the duties of their positions.

(B) A person designated and employed as an investigator for the division shall: (i) Be a certified law enforcement officer under § 12-9-101 et seq.; and (ii) Have statewide law enforcement jurisdiction and authority.

(i) Be a certified law enforcement officer under § 12-9-101 et seq.; and

(ii) Have statewide law enforcement jurisdiction and authority.

(3) (A) The commissioner shall designate the personnel assigned to the division who shall conduct investigations under § 23-66-504 and any criminal violations related to those investigations. (B) Personnel hired as law enforcement officers shall be state-certified in law enforcement or have equivalent national or military law enforcement experience as approved by the Arkansas Commission on Law Enforcement Standards and Training.

(A) The commissioner shall designate the personnel assigned to the division who shall conduct investigations under § 23-66-504 and any criminal violations related to those investigations.

(B) Personnel hired as law enforcement officers shall be state-certified in law enforcement or have equivalent national or military law enforcement experience as approved by the Arkansas Commission on Law Enforcement Standards and Training.

(4) The commissioner shall also appoint clerical and other staff necessary for the division to carry out its duties and responsibilities under this subchapter.

(b) It shall be the duty of the division to: (1) Initiate independent inquiries and conduct independent investigations when the division has cause to believe that a fraudulent insurance act may be, is being, or has been committed; (2) Review reports or complaints of alleged fraudulent insurance activities from federal, state, and local law enforcement and regulatory agencies, persons engaged in the business of insurance, and the public to determine whether the reports require further investigation and to conduct these investigations; and (3) Conduct independent examinations of alleged fraudulent insurance acts and undertake independent studies to determine the extent of fraudulent insurance acts.

(1) Initiate independent inquiries and conduct independent investigations when the division has cause to believe that a fraudulent insurance act may be, is being, or has been committed;

(2) Review reports or complaints of alleged fraudulent insurance activities from federal, state, and local law enforcement and regulatory agencies, persons engaged in the business of insurance, and the public to determine whether the reports require further investigation and to conduct these investigations; and

(3) Conduct independent examinations of alleged fraudulent insurance acts and undertake independent studies to determine the extent of fraudulent insurance acts.

(c) The division shall have the authority to: (1) (A) Issue subpoenas to examine any individual under oath and to compel the production of records, books, papers, contracts, and other documents. (B) Subpoenas shall be served in the same manner as if issued by a circuit court. (C) If any individual fails to obey a subpoena issued and served pursuant to this subsection, upon application of the division, the Pulaski County Circuit Court or the circuit court of the county where the subpoena was served may issue an order requiring the individual to comply with the subpoena. (D) Any failure to obey the order of the court may be punished by the court as contempt thereof; (2) Administer oaths and affirmations; (3) Share records and evidence with federal, state, or local law enforcement or regulatory agencies; (4) (A) Make criminal referrals to prosecuting authorities. (B) The prosecuting attorney of the judicial district where a criminal referral has been made shall have, for the purpose of assisting in the prosecution, the authority to appoint as special deputy prosecuting attorneys licensed attorneys in the employment of the division. (C) The prosecuting attorney shall have the right and discretion to proceed against any person or organization on criminal referrals made hereunder, both organizational and individual liability being intended; and (5) (A) Conduct investigations outside of this state. (B) If the information the division seeks to obtain is located outside this state, the person from whom the information is sought may make the information available to the division to examine at the place where the information is located. (C) The division may designate representatives, including officials of the state where the matter is located, to inspect the information on behalf of the division, and the division may respond to similar requests from officials of other states.

(1) (A) Issue subpoenas to examine any individual under oath and to compel the production of records, books, papers, contracts, and other documents. (B) Subpoenas shall be served in the same manner as if issued by a circuit court. (C) If any individual fails to obey a subpoena issued and served pursuant to this subsection, upon application of the division, the Pulaski County Circuit Court or the circuit court of the county where the subpoena was served may issue an order requiring the individual to comply with the subpoena. (D) Any failure to obey the order of the court may be punished by the court as contempt thereof;

(A) Issue subpoenas to examine any individual under oath and to compel the production of records, books, papers, contracts, and other documents.

(B) Subpoenas shall be served in the same manner as if issued by a circuit court.

(C) If any individual fails to obey a subpoena issued and served pursuant to this subsection, upon application of the division, the Pulaski County Circuit Court or the circuit court of the county where the subpoena was served may issue an order requiring the individual to comply with the subpoena.

(D) Any failure to obey the order of the court may be punished by the court as contempt thereof;

(2) Administer oaths and affirmations;

(3) Share records and evidence with federal, state, or local law enforcement or regulatory agencies;

(4) (A) Make criminal referrals to prosecuting authorities. (B) The prosecuting attorney of the judicial district where a criminal referral has been made shall have, for the purpose of assisting in the prosecution, the authority to appoint as special deputy prosecuting attorneys licensed attorneys in the employment of the division. (C) The prosecuting attorney shall have the right and discretion to proceed against any person or organization on criminal referrals made hereunder, both organizational and individual liability being intended; and

(A) Make criminal referrals to prosecuting authorities.

(B) The prosecuting attorney of the judicial district where a criminal referral has been made shall have, for the purpose of assisting in the prosecution, the authority to appoint as special deputy prosecuting attorneys licensed attorneys in the employment of the division.

(C) The prosecuting attorney shall have the right and discretion to proceed against any person or organization on criminal referrals made hereunder, both organizational and individual liability being intended; and

(5) (A) Conduct investigations outside of this state. (B) If the information the division seeks to obtain is located outside this state, the person from whom the information is sought may make the information available to the division to examine at the place where the information is located. (C) The division may designate representatives, including officials of the state where the matter is located, to inspect the information on behalf of the division, and the division may respond to similar requests from officials of other states.

(A) Conduct investigations outside of this state.

(B) If the information the division seeks to obtain is located outside this state, the person from whom the information is sought may make the information available to the division to examine at the place where the information is located.

(C) The division may designate representatives, including officials of the state where the matter is located, to inspect the information on behalf of the division, and the division may respond to similar requests from officials of other states.

Amended by Act 2015, No. 1164,§ 2, eff. 7/22/2015.

Amended by Act 2013, No. 984,§ 2, eff. 8/16/2013.

Acts 1997, No. 217, § 1; 2001, No. 743, § 2; 2005, No. 1697, § 16.
Ark. Code Ann. § 23-1-110 — AR Code / Title 23 / Chapter 1 / Section 23-1-110
Actions tried without jury - Exceptions
Status: in_force

All actions brought under the terms of this act by or against the commission in any circuit court, except those to recover penalties, forfeitures, and fees, shall be tried and determined by the court without the intervention of a jury. Acts 1935, No. 324, § 66; Pope's Dig., § 2126; A.S.A. 1947, § 73-262.

All actions brought under the terms of this act by or against the commission in any circuit court, except those to recover penalties, forfeitures, and fees, shall be tried and determined by the court without the intervention of a jury.

Acts 1935, No. 324, § 66; Pope's Dig., § 2126; A.S.A. 1947, § 73-262.