Ark. Code Ann. § 23-10-436 — AR Code / Title 23 / Chapter 10 / Subchapter 4 / Section 23-10-436
Penalty for gross negligence in not furnishing or exchanging cars - Fee of prosecuting attorney
Status: in_force

(a) (1) Every railroad company which willfully, by its own gross negligence or by the gross negligence of its agents having charge and management of the matter of furnishing cars, fails or refuses to furnish or exchange cars as provided for in this section and §§ 23-10-401 , 23-10-432 - 23-10-435 , 23-10-437 , and 23-12-605 or to transport or deliver the cars within the time prescribed by the Arkansas Department of Transportation as to freight carried between points wholly within this state, or if not so prescribed, then within a reasonable time, shall, in addition to other liabilities provided for in this section and §§ 23-10-401 , 23-10-432 - 23-10-435 , 23-10-437 , and 23-12-605 forfeit to the State of Arkansas, for each of the violations, not less than one dollar ($1.00) nor more than one hundred dollars ($100). (2) Each day of failure or neglect as to each car which the railroad company by willful or gross negligence fails or refuses to furnish or exchange shall be treated as a separate offense. (b) (1) Penalties are to be recovered in an action instituted by the department through the prosecuting attorney of the proper district. (2) No such suit shall be dismissed or compromised without the consent of the court and the department. (3) (A) The prosecuting attorney shall be allowed a fee by the court not to exceed twenty-five percent (25%) of the amount collected. (B) If any prosecuting attorney neglects for fifteen (15) days after notice to bring suit, the department may employ some other attorney at law to bring the suit, who shall be allowed a fee therefor to be fixed by the court, not to exceed twenty-five percent (25%) of the amount collected, and in such case the prosecuting attorney shall not interfere. Amended by Act 2017, No. 707,§ 151, eff. 8/1/2017. Acts 1909, No. 277, § 3, p. 814; C. & M. Dig., § 1636; Pope's Dig., § 1957; A.S.A. 1947, § 73-1307.

(a) (1) Every railroad company which willfully, by its own gross negligence or by the gross negligence of its agents having charge and management of the matter of furnishing cars, fails or refuses to furnish or exchange cars as provided for in this section and §§ 23-10-401 , 23-10-432 - 23-10-435 , 23-10-437 , and 23-12-605 or to transport or deliver the cars within the time prescribed by the Arkansas Department of Transportation as to freight carried between points wholly within this state, or if not so prescribed, then within a reasonable time, shall, in addition to other liabilities provided for in this section and §§ 23-10-401 , 23-10-432 - 23-10-435 , 23-10-437 , and 23-12-605 forfeit to the State of Arkansas, for each of the violations, not less than one dollar ($1.00) nor more than one hundred dollars ($100). (2) Each day of failure or neglect as to each car which the railroad company by willful or gross negligence fails or refuses to furnish or exchange shall be treated as a separate offense.

(1) Every railroad company which willfully, by its own gross negligence or by the gross negligence of its agents having charge and management of the matter of furnishing cars, fails or refuses to furnish or exchange cars as provided for in this section and §§ 23-10-401 , 23-10-432 - 23-10-435 , 23-10-437 , and 23-12-605 or to transport or deliver the cars within the time prescribed by the Arkansas Department of Transportation as to freight carried between points wholly within this state, or if not so prescribed, then within a reasonable time, shall, in addition to other liabilities provided for in this section and §§ 23-10-401 , 23-10-432 - 23-10-435 , 23-10-437 , and 23-12-605 forfeit to the State of Arkansas, for each of the violations, not less than one dollar ($1.00) nor more than one hundred dollars ($100).

(2) Each day of failure or neglect as to each car which the railroad company by willful or gross negligence fails or refuses to furnish or exchange shall be treated as a separate offense.

(b) (1) Penalties are to be recovered in an action instituted by the department through the prosecuting attorney of the proper district. (2) No such suit shall be dismissed or compromised without the consent of the court and the department. (3) (A) The prosecuting attorney shall be allowed a fee by the court not to exceed twenty-five percent (25%) of the amount collected. (B) If any prosecuting attorney neglects for fifteen (15) days after notice to bring suit, the department may employ some other attorney at law to bring the suit, who shall be allowed a fee therefor to be fixed by the court, not to exceed twenty-five percent (25%) of the amount collected, and in such case the prosecuting attorney shall not interfere.

(1) Penalties are to be recovered in an action instituted by the department through the prosecuting attorney of the proper district.

(2) No such suit shall be dismissed or compromised without the consent of the court and the department.

(3) (A) The prosecuting attorney shall be allowed a fee by the court not to exceed twenty-five percent (25%) of the amount collected. (B) If any prosecuting attorney neglects for fifteen (15) days after notice to bring suit, the department may employ some other attorney at law to bring the suit, who shall be allowed a fee therefor to be fixed by the court, not to exceed twenty-five percent (25%) of the amount collected, and in such case the prosecuting attorney shall not interfere.

(A) The prosecuting attorney shall be allowed a fee by the court not to exceed twenty-five percent (25%) of the amount collected.

(B) If any prosecuting attorney neglects for fifteen (15) days after notice to bring suit, the department may employ some other attorney at law to bring the suit, who shall be allowed a fee therefor to be fixed by the court, not to exceed twenty-five percent (25%) of the amount collected, and in such case the prosecuting attorney shall not interfere.

Amended by Act 2017, No. 707,§ 151, eff. 8/1/2017.

Acts 1909, No. 277, § 3, p. 814; C. & M. Dig., § 1636; Pope's Dig., § 1957; A.S.A. 1947, § 73-1307.
Ark. Code Ann. § 23-18-306 — AR Code / Title 23 / Chapter 18 / Subchapter 3 / Section 23-18-306
Purposes of cooperatives
Status: in_force

(a) Organization. Cooperative, nonprofit membership corporations may be organized under this subchapter for the purpose of any one (1) or more of the following: (1) The furnishing of electricity to persons; (2) Assisting in the wiring of the premises of persons in rural areas or the acquisition, supply, or installation of electrical or plumbing equipment therein; and (3) The furnishing of electricity, wiring facilities, or electrical or plumbing equipment or services to any other corporation organized under this subchapter or to the members thereof. (b) Powers. Once properly organized pursuant to subsection (a) of this section, a corporation may engage in any other lawful business activity directly or through one (1) or more affiliates, which its board of directors determines to be beneficial to its members or nonmembers. Acts 1937, No. 342, § 3; Pope's Dig., § 2317; A.S.A. 1947, § 77-1103; 1999, No. 1556, § 12.

(a) Organization. Cooperative, nonprofit membership corporations may be organized under this subchapter for the purpose of any one (1) or more of the following: (1) The furnishing of electricity to persons; (2) Assisting in the wiring of the premises of persons in rural areas or the acquisition, supply, or installation of electrical or plumbing equipment therein; and (3) The furnishing of electricity, wiring facilities, or electrical or plumbing equipment or services to any other corporation organized under this subchapter or to the members thereof.

(1) The furnishing of electricity to persons;

(2) Assisting in the wiring of the premises of persons in rural areas or the acquisition, supply, or installation of electrical or plumbing equipment therein; and

(3) The furnishing of electricity, wiring facilities, or electrical or plumbing equipment or services to any other corporation organized under this subchapter or to the members thereof.

(b) Powers. Once properly organized pursuant to subsection (a) of this section, a corporation may engage in any other lawful business activity directly or through one (1) or more affiliates, which its board of directors determines to be beneficial to its members or nonmembers.

Acts 1937, No. 342, § 3; Pope's Dig., § 2317; A.S.A. 1947, § 77-1103; 1999, No. 1556, § 12.
Ark. Code Ann. § 23-35-401 — AR Code / Title 23 / Chapter 35 / Subchapter 4 / Section 23-35-401
Membership requirements
Status: in_force

(a) The membership of a credit union shall be limited to and consist of the subscribers to the articles of incorporation and such other persons, having the common bond set forth in the bylaws, as have been admitted as members, have paid the entrance fee as provided in the bylaws, have prescribed and paid for one (1) or more shares, and have complied with such other requirements as the articles of incorporation and bylaws may specify. (b) (1) Credit union organizations, other than central credit unions, shall be limited to: (A) Groups having a common bond of occupation; (B) Associations; (C) Residents within a well-defined neighborhood, community, or rural district; (D) Employees of a common employer, or an affiliate of a subsidiary of a common employer; (E) Members of a bona fide fraternal, religious, cooperative, labor, rural, educational, or similar organization; and (F) (i) Members of the immediate family of such persons. (ii) "Members of the immediate family" shall include the wife, husband, children, parents, grandparents, and grandchildren of a member. (2) Societies and associations composed of individuals who are eligible for membership may be admitted to membership in the same manner and under the same conditions as individuals but may not borrow in excess of their shareholdings. (c) Membership in credit unions organized as central credit unions shall be limited to: (1) Credit unions organized under this chapter and federally chartered credit unions located in Arkansas; (2) A member of a credit union organized under this chapter or a federally chartered credit union located in Arkansas, if the credit union of which he or she is a member agrees to the membership and will provide an affidavit that at the time the member applies for membership in a central credit union the member has: (A) Reached the loan limit at his or her own credit union, and the credit union of which he or she is a member will substantiate in writing the member's loan credibility under such rules and forms as the State Credit Union Supervisor shall prescribe; (B) Reached the maximum share limit at his or her own credit union; or (C) Reached the maximum share limit at his or her own credit union which is covered by life savings insurance, and the central credit union also provides life savings insurance; (3) (A) With the approval of the supervisor, employees of an employer with insufficient employees to form and conduct the affairs of a separate credit union and persons in the field of membership of liquidating credit unions and the immediate families of those persons. (B) In making his or her determination under this subsection, the supervisor may disregard the common bond requirements of this chapter if he or she finds that the affiliation would benefit the members and be consistent with the purposes of this chapter. (C) If the membership of a liquidating credit union is seeking to merge with a central credit union under the provisions of this subdivision (c)(3), all provisions of § 23-35-701 shall apply except for the common bond requirements. (D) Each employer or liquidating credit union whose employees or members are approved as members of a central credit union shall be specifically named in the common bond section of the bylaws; (4) Employees of the credit union; (5) Current members of the credit union if it is converting to a central credit union; and (6) Employees of the Arkansas Credit Union League. Acts 1971, No. 132, § 7; 1975, No. 530, §§ 5, 6; 1979, No. 206, § 2; A.S.A. 1947, § 67-907.

(a) The membership of a credit union shall be limited to and consist of the subscribers to the articles of incorporation and such other persons, having the common bond set forth in the bylaws, as have been admitted as members, have paid the entrance fee as provided in the bylaws, have prescribed and paid for one (1) or more shares, and have complied with such other requirements as the articles of incorporation and bylaws may specify.

(b) (1) Credit union organizations, other than central credit unions, shall be limited to: (A) Groups having a common bond of occupation; (B) Associations; (C) Residents within a well-defined neighborhood, community, or rural district; (D) Employees of a common employer, or an affiliate of a subsidiary of a common employer; (E) Members of a bona fide fraternal, religious, cooperative, labor, rural, educational, or similar organization; and (F) (i) Members of the immediate family of such persons. (ii) "Members of the immediate family" shall include the wife, husband, children, parents, grandparents, and grandchildren of a member. (2) Societies and associations composed of individuals who are eligible for membership may be admitted to membership in the same manner and under the same conditions as individuals but may not borrow in excess of their shareholdings.

(1) Credit union organizations, other than central credit unions, shall be limited to: (A) Groups having a common bond of occupation; (B) Associations; (C) Residents within a well-defined neighborhood, community, or rural district; (D) Employees of a common employer, or an affiliate of a subsidiary of a common employer; (E) Members of a bona fide fraternal, religious, cooperative, labor, rural, educational, or similar organization; and (F) (i) Members of the immediate family of such persons. (ii) "Members of the immediate family" shall include the wife, husband, children, parents, grandparents, and grandchildren of a member.

(A) Groups having a common bond of occupation;

(B) Associations;

(C) Residents within a well-defined neighborhood, community, or rural district;

(D) Employees of a common employer, or an affiliate of a subsidiary of a common employer;

(E) Members of a bona fide fraternal, religious, cooperative, labor, rural, educational, or similar organization; and

(F) (i) Members of the immediate family of such persons. (ii) "Members of the immediate family" shall include the wife, husband, children, parents, grandparents, and grandchildren of a member.

(i) Members of the immediate family of such persons.

(ii) "Members of the immediate family" shall include the wife, husband, children, parents, grandparents, and grandchildren of a member.

(2) Societies and associations composed of individuals who are eligible for membership may be admitted to membership in the same manner and under the same conditions as individuals but may not borrow in excess of their shareholdings.

(c) Membership in credit unions organized as central credit unions shall be limited to: (1) Credit unions organized under this chapter and federally chartered credit unions located in Arkansas; (2) A member of a credit union organized under this chapter or a federally chartered credit union located in Arkansas, if the credit union of which he or she is a member agrees to the membership and will provide an affidavit that at the time the member applies for membership in a central credit union the member has: (A) Reached the loan limit at his or her own credit union, and the credit union of which he or she is a member will substantiate in writing the member's loan credibility under such rules and forms as the State Credit Union Supervisor shall prescribe; (B) Reached the maximum share limit at his or her own credit union; or (C) Reached the maximum share limit at his or her own credit union which is covered by life savings insurance, and the central credit union also provides life savings insurance; (3) (A) With the approval of the supervisor, employees of an employer with insufficient employees to form and conduct the affairs of a separate credit union and persons in the field of membership of liquidating credit unions and the immediate families of those persons. (B) In making his or her determination under this subsection, the supervisor may disregard the common bond requirements of this chapter if he or she finds that the affiliation would benefit the members and be consistent with the purposes of this chapter. (C) If the membership of a liquidating credit union is seeking to merge with a central credit union under the provisions of this subdivision (c)(3), all provisions of § 23-35-701 shall apply except for the common bond requirements. (D) Each employer or liquidating credit union whose employees or members are approved as members of a central credit union shall be specifically named in the common bond section of the bylaws; (4) Employees of the credit union; (5) Current members of the credit union if it is converting to a central credit union; and (6) Employees of the Arkansas Credit Union League.

(1) Credit unions organized under this chapter and federally chartered credit unions located in Arkansas;

(2) A member of a credit union organized under this chapter or a federally chartered credit union located in Arkansas, if the credit union of which he or she is a member agrees to the membership and will provide an affidavit that at the time the member applies for membership in a central credit union the member has: (A) Reached the loan limit at his or her own credit union, and the credit union of which he or she is a member will substantiate in writing the member's loan credibility under such rules and forms as the State Credit Union Supervisor shall prescribe; (B) Reached the maximum share limit at his or her own credit union; or (C) Reached the maximum share limit at his or her own credit union which is covered by life savings insurance, and the central credit union also provides life savings insurance;

(A) Reached the loan limit at his or her own credit union, and the credit union of which he or she is a member will substantiate in writing the member's loan credibility under such rules and forms as the State Credit Union Supervisor shall prescribe;

(B) Reached the maximum share limit at his or her own credit union; or

(C) Reached the maximum share limit at his or her own credit union which is covered by life savings insurance, and the central credit union also provides life savings insurance;

(3) (A) With the approval of the supervisor, employees of an employer with insufficient employees to form and conduct the affairs of a separate credit union and persons in the field of membership of liquidating credit unions and the immediate families of those persons. (B) In making his or her determination under this subsection, the supervisor may disregard the common bond requirements of this chapter if he or she finds that the affiliation would benefit the members and be consistent with the purposes of this chapter. (C) If the membership of a liquidating credit union is seeking to merge with a central credit union under the provisions of this subdivision (c)(3), all provisions of § 23-35-701 shall apply except for the common bond requirements. (D) Each employer or liquidating credit union whose employees or members are approved as members of a central credit union shall be specifically named in the common bond section of the bylaws;

(A) With the approval of the supervisor, employees of an employer with insufficient employees to form and conduct the affairs of a separate credit union and persons in the field of membership of liquidating credit unions and the immediate families of those persons.

(B) In making his or her determination under this subsection, the supervisor may disregard the common bond requirements of this chapter if he or she finds that the affiliation would benefit the members and be consistent with the purposes of this chapter.

(C) If the membership of a liquidating credit union is seeking to merge with a central credit union under the provisions of this subdivision (c)(3), all provisions of § 23-35-701 shall apply except for the common bond requirements.

(D) Each employer or liquidating credit union whose employees or members are approved as members of a central credit union shall be specifically named in the common bond section of the bylaws;

(4) Employees of the credit union;

(5) Current members of the credit union if it is converting to a central credit union; and

(6) Employees of the Arkansas Credit Union League.

Acts 1971, No. 132, § 7; 1975, No. 530, §§ 5, 6; 1979, No. 206, § 2; A.S.A. 1947, § 67-907.
Ark. Code Ann. § 23-81-203 — AR Code / Title 23 / Chapter 81 / Subchapter 2 / Section 23-81-203
Nonforfeiture provisions
Status: in_force

(a) In the case of policies issued on and after the operative date as defined in § 23-81-213(a) , no policy of life insurance, except as stated in § 23-81-202 , shall be delivered or issued for delivery in this state unless it shall contain in substance the following provisions, or corresponding provisions which in the opinion of the Insurance Commissioner are at least as favorable to the defaulting or surrendering policyholder as are the minimum requirements specified in this section and are essentially in compliance with § 23-81-212 : (1) In the event of default in any premium payment, the insurer will grant, upon proper request not later than sixty (60) days after the due date of the premium in default, a paid-up nonforfeiture benefit on a plan stipulated in the policy, effective as of the due date, of such amount as may be specified. In lieu of the stipulated paid-up nonforfeiture benefit, the insurer may substitute, upon proper request not later than sixty (60) days after the due date of the premium in default, an actuarially equivalent alternative paid-up nonforfeiture benefit which provides a greater amount or longer period of death benefits or, if applicable, a greater amount or earlier payment of endowment benefits; (2) Upon surrender of the policy within sixty (60) days after the due date of any premium payment in default after premiums have been paid for at least three (3) full years in the case of ordinary insurance or five (5) full years in the case of industrial insurance, the insurer will pay, in lieu of any paid-up nonforfeiture benefit, a cash surrender value of such amount as may be specified; (3) A specified paid-up nonforfeiture benefit shall become effective as specified in the policy unless the person entitled to make such an election elects another available option not later than sixty (60) days after the due date of the premium in default; (4) If the policy shall have become paid up by completion of all premium payments or if it is continued under any paid-up nonforfeiture benefit which became effective on or after the third policy anniversary in the case of ordinary insurance or the fifth policy anniversary in the case of industrial insurance, the insurer will pay, upon surrender of the policy within thirty (30) days after any policy anniversary, a cash surrender value of the amount as may be specified; (5) (A) In the case of policies which cause on a basis guaranteed in the policy unscheduled changes in benefits or premiums, or which provide an option for changes in benefits or premiums other than a change to a new policy, a statement of the mortality table, interest rate, and method used in calculating cash surrender values and the paid-up nonforfeiture benefits available under the policy and, in the case of all other policies, a statement of the mortality table and interest rate used in calculating the cash surrender values and the paid-up nonforfeiture benefits available under the policy, together with a table showing the cash surrender value, if any, and paid-up nonforfeiture benefit, if any, available under the policy on each policy anniversary either during the first twenty (20) policy years or during the term of the policy, whichever is shorter. (B) The values and benefits shall be calculated upon the assumption that there are no dividends or paid-up additions credited to the policy and that there is no indebtedness to the insurer on the policy; and (6) A statement that the cash surrender values and the paid-up nonforfeiture benefits available under the policy are not less than the minimum values and benefits required by or pursuant to the insurance law of the state in which the policy is delivered, an explanation of the manner in which the cash surrender values and the paid-up nonforfeiture benefits are altered by the existence of any paid-up additions credited to the policy or any indebtedness to the insurer on the policy, if a detailed statement of the method of computation of the values and benefits shown in the policy is not stated therein, a statement that the method of computation has been filed with the insurance supervisory official of the state in which the policy is delivered, and a statement of the method to be used in calculating the cash surrender value and paid-up nonforfeiture benefit available under the policy on any policy anniversary beyond the last anniversary for which the values and benefits are consecutively shown in the policy. (b) Any of the provisions or portions thereof of subsection (a) of this section not applicable by reason of the plan of insurance may, to the extent inapplicable, be omitted from the policy. (c) The insurer shall reserve the right to defer the payment of any cash surrender value for a period of six (6) months after demand therefor with surrender of the policy. Acts 1959, No. 148, § 336; 1981, No. 535, § 2; A.S.A. 1947, § 66-3327.

(a) In the case of policies issued on and after the operative date as defined in § 23-81-213(a) , no policy of life insurance, except as stated in § 23-81-202 , shall be delivered or issued for delivery in this state unless it shall contain in substance the following provisions, or corresponding provisions which in the opinion of the Insurance Commissioner are at least as favorable to the defaulting or surrendering policyholder as are the minimum requirements specified in this section and are essentially in compliance with § 23-81-212 : (1) In the event of default in any premium payment, the insurer will grant, upon proper request not later than sixty (60) days after the due date of the premium in default, a paid-up nonforfeiture benefit on a plan stipulated in the policy, effective as of the due date, of such amount as may be specified. In lieu of the stipulated paid-up nonforfeiture benefit, the insurer may substitute, upon proper request not later than sixty (60) days after the due date of the premium in default, an actuarially equivalent alternative paid-up nonforfeiture benefit which provides a greater amount or longer period of death benefits or, if applicable, a greater amount or earlier payment of endowment benefits; (2) Upon surrender of the policy within sixty (60) days after the due date of any premium payment in default after premiums have been paid for at least three (3) full years in the case of ordinary insurance or five (5) full years in the case of industrial insurance, the insurer will pay, in lieu of any paid-up nonforfeiture benefit, a cash surrender value of such amount as may be specified; (3) A specified paid-up nonforfeiture benefit shall become effective as specified in the policy unless the person entitled to make such an election elects another available option not later than sixty (60) days after the due date of the premium in default; (4) If the policy shall have become paid up by completion of all premium payments or if it is continued under any paid-up nonforfeiture benefit which became effective on or after the third policy anniversary in the case of ordinary insurance or the fifth policy anniversary in the case of industrial insurance, the insurer will pay, upon surrender of the policy within thirty (30) days after any policy anniversary, a cash surrender value of the amount as may be specified; (5) (A) In the case of policies which cause on a basis guaranteed in the policy unscheduled changes in benefits or premiums, or which provide an option for changes in benefits or premiums other than a change to a new policy, a statement of the mortality table, interest rate, and method used in calculating cash surrender values and the paid-up nonforfeiture benefits available under the policy and, in the case of all other policies, a statement of the mortality table and interest rate used in calculating the cash surrender values and the paid-up nonforfeiture benefits available under the policy, together with a table showing the cash surrender value, if any, and paid-up nonforfeiture benefit, if any, available under the policy on each policy anniversary either during the first twenty (20) policy years or during the term of the policy, whichever is shorter. (B) The values and benefits shall be calculated upon the assumption that there are no dividends or paid-up additions credited to the policy and that there is no indebtedness to the insurer on the policy; and (6) A statement that the cash surrender values and the paid-up nonforfeiture benefits available under the policy are not less than the minimum values and benefits required by or pursuant to the insurance law of the state in which the policy is delivered, an explanation of the manner in which the cash surrender values and the paid-up nonforfeiture benefits are altered by the existence of any paid-up additions credited to the policy or any indebtedness to the insurer on the policy, if a detailed statement of the method of computation of the values and benefits shown in the policy is not stated therein, a statement that the method of computation has been filed with the insurance supervisory official of the state in which the policy is delivered, and a statement of the method to be used in calculating the cash surrender value and paid-up nonforfeiture benefit available under the policy on any policy anniversary beyond the last anniversary for which the values and benefits are consecutively shown in the policy.

(1) In the event of default in any premium payment, the insurer will grant, upon proper request not later than sixty (60) days after the due date of the premium in default, a paid-up nonforfeiture benefit on a plan stipulated in the policy, effective as of the due date, of such amount as may be specified. In lieu of the stipulated paid-up nonforfeiture benefit, the insurer may substitute, upon proper request not later than sixty (60) days after the due date of the premium in default, an actuarially equivalent alternative paid-up nonforfeiture benefit which provides a greater amount or longer period of death benefits or, if applicable, a greater amount or earlier payment of endowment benefits;

(2) Upon surrender of the policy within sixty (60) days after the due date of any premium payment in default after premiums have been paid for at least three (3) full years in the case of ordinary insurance or five (5) full years in the case of industrial insurance, the insurer will pay, in lieu of any paid-up nonforfeiture benefit, a cash surrender value of such amount as may be specified;

(3) A specified paid-up nonforfeiture benefit shall become effective as specified in the policy unless the person entitled to make such an election elects another available option not later than sixty (60) days after the due date of the premium in default;

(4) If the policy shall have become paid up by completion of all premium payments or if it is continued under any paid-up nonforfeiture benefit which became effective on or after the third policy anniversary in the case of ordinary insurance or the fifth policy anniversary in the case of industrial insurance, the insurer will pay, upon surrender of the policy within thirty (30) days after any policy anniversary, a cash surrender value of the amount as may be specified;

(5) (A) In the case of policies which cause on a basis guaranteed in the policy unscheduled changes in benefits or premiums, or which provide an option for changes in benefits or premiums other than a change to a new policy, a statement of the mortality table, interest rate, and method used in calculating cash surrender values and the paid-up nonforfeiture benefits available under the policy and, in the case of all other policies, a statement of the mortality table and interest rate used in calculating the cash surrender values and the paid-up nonforfeiture benefits available under the policy, together with a table showing the cash surrender value, if any, and paid-up nonforfeiture benefit, if any, available under the policy on each policy anniversary either during the first twenty (20) policy years or during the term of the policy, whichever is shorter. (B) The values and benefits shall be calculated upon the assumption that there are no dividends or paid-up additions credited to the policy and that there is no indebtedness to the insurer on the policy; and

(A) In the case of policies which cause on a basis guaranteed in the policy unscheduled changes in benefits or premiums, or which provide an option for changes in benefits or premiums other than a change to a new policy, a statement of the mortality table, interest rate, and method used in calculating cash surrender values and the paid-up nonforfeiture benefits available under the policy and, in the case of all other policies, a statement of the mortality table and interest rate used in calculating the cash surrender values and the paid-up nonforfeiture benefits available under the policy, together with a table showing the cash surrender value, if any, and paid-up nonforfeiture benefit, if any, available under the policy on each policy anniversary either during the first twenty (20) policy years or during the term of the policy, whichever is shorter.

(B) The values and benefits shall be calculated upon the assumption that there are no dividends or paid-up additions credited to the policy and that there is no indebtedness to the insurer on the policy; and

(6) A statement that the cash surrender values and the paid-up nonforfeiture benefits available under the policy are not less than the minimum values and benefits required by or pursuant to the insurance law of the state in which the policy is delivered, an explanation of the manner in which the cash surrender values and the paid-up nonforfeiture benefits are altered by the existence of any paid-up additions credited to the policy or any indebtedness to the insurer on the policy, if a detailed statement of the method of computation of the values and benefits shown in the policy is not stated therein, a statement that the method of computation has been filed with the insurance supervisory official of the state in which the policy is delivered, and a statement of the method to be used in calculating the cash surrender value and paid-up nonforfeiture benefit available under the policy on any policy anniversary beyond the last anniversary for which the values and benefits are consecutively shown in the policy.

(b) Any of the provisions or portions thereof of subsection (a) of this section not applicable by reason of the plan of insurance may, to the extent inapplicable, be omitted from the policy.

(c) The insurer shall reserve the right to defer the payment of any cash surrender value for a period of six (6) months after demand therefor with surrender of the policy.

Acts 1959, No. 148, § 336; 1981, No. 535, § 2; A.S.A. 1947, § 66-3327.
Ark. Code Ann. § 23-99-413 — AR Code / Title 23 / Chapter 99 / Subchapter 4 / Section 23-99-413
Disclosure requirements
Status: in_force

Upon request, healthcare insurers must provide the following information in a clear and understandable form to all prospective policyholders, policyholders, and covered persons. Insurers shall notify policyholders and covered persons of their right to request the information, which must include: (1) Coverage provisions, benefits, and exclusions by category of service and provider; (2) A description of the prior authorization, precertification, and referral requirements; (3) The existence of prescription drug formularies and prior approval requirements for prescription drugs; (4) The name, number, type, specialty, and geographic location of participating providers; and (5) (A) Criteria by which providers are evaluated for network participation. (B) Proprietary information shall not be disclosed. (C) Criteria may include, but are not limited to, geographic limitations, geographic distribution of patients, specialty limitation, anticipated numbers and types of providers needed, and economic considerations. This information shall also be made available to providers upon request. Acts 1997, No. 1196, § 13.

Upon request, healthcare insurers must provide the following information in a clear and understandable form to all prospective policyholders, policyholders, and covered persons. Insurers shall notify policyholders and covered persons of their right to request the information, which must include:

(1) Coverage provisions, benefits, and exclusions by category of service and provider;

(2) A description of the prior authorization, precertification, and referral requirements;

(3) The existence of prescription drug formularies and prior approval requirements for prescription drugs;

(4) The name, number, type, specialty, and geographic location of participating providers; and

(5) (A) Criteria by which providers are evaluated for network participation. (B) Proprietary information shall not be disclosed. (C) Criteria may include, but are not limited to, geographic limitations, geographic distribution of patients, specialty limitation, anticipated numbers and types of providers needed, and economic considerations. This information shall also be made available to providers upon request.

(A) Criteria by which providers are evaluated for network participation.

(B) Proprietary information shall not be disclosed.

(C) Criteria may include, but are not limited to, geographic limitations, geographic distribution of patients, specialty limitation, anticipated numbers and types of providers needed, and economic considerations. This information shall also be made available to providers upon request.

Acts 1997, No. 1196, § 13.
Ark. Code Ann. § 23-13-309 — AR Code / Title 23 / Chapter 13 / Subchapter 3 / Section 23-13-309
Order or subpoena of department enforceable upon application to court
Status: in_force

In case of failure on the part of any person to comply with any lawful order of the Arkansas Department of Transportation, or with any subpoena or subpoena duces tecum, or to testify concerning any matter on which he or she may be lawfully interrogated, any court of record of general jurisdiction or a judge thereof upon application of the department may compel obedience by proceedings for contempt as in the case of disobedience of the requirements of a subpoena issued from the court, or of the refusal to testify therein. Amended by Act 2017, No. 707,§ 228, eff. 8/1/2017. Acts 1939, No. 315, § 8; A.S.A. 1947, § 73-1737.

In case of failure on the part of any person to comply with any lawful order of the Arkansas Department of Transportation, or with any subpoena or subpoena duces tecum, or to testify concerning any matter on which he or she may be lawfully interrogated, any court of record of general jurisdiction or a judge thereof upon application of the department may compel obedience by proceedings for contempt as in the case of disobedience of the requirements of a subpoena issued from the court, or of the refusal to testify therein.

Amended by Act 2017, No. 707,§ 228, eff. 8/1/2017.

Acts 1939, No. 315, § 8; A.S.A. 1947, § 73-1737.
Ark. Code Ann. § 23-51-176 — AR Code / Title 23 / Chapter 51 / Section 23-51-176
Establishing an interstate trust office
Status: in_force

(a) An out-of-state trust institution that does not operate a trust office in this state and that meets the requirements of this chapter may establish and maintain a new trust office in this state. (b) An out-of-state trust institution may not establish a new trust office in this state unless a similar institution chartered under the laws of this state to act as a fiduciary, is permitted to establish a new trust office that may engage in activities substantially similar to those permitted to trust offices of out-of-state trust institutions under § 23-51-175 , in the state where the out-of-state trust institution has its principal office. Acts 1997, No. 940, § 76.

(a) An out-of-state trust institution that does not operate a trust office in this state and that meets the requirements of this chapter may establish and maintain a new trust office in this state.

(b) An out-of-state trust institution may not establish a new trust office in this state unless a similar institution chartered under the laws of this state to act as a fiduciary, is permitted to establish a new trust office that may engage in activities substantially similar to those permitted to trust offices of out-of-state trust institutions under § 23-51-175 , in the state where the out-of-state trust institution has its principal office.

Acts 1997, No. 940, § 76.
Ark. Code Ann. § 23-81-401 — AR Code / Title 23 / Chapter 81 / Subchapter 4 / Section 23-81-401
Exceptions from Arkansas Insurance Code
Status: in_force

(a) (1) All pertinent provisions of the Arkansas Insurance Code shall apply to separate accounts and contracts relating to those accounts, except: (A) Sections 23-81-122 , 23-81-127 , and 23-81-128 in the case of a variable annuity contract; (B) Sections 23-81-104 , 23-81-109 - 23-81-111 , and the Standard Nonforfeiture Law for Life Insurance, § 23-81-201 et seq., in the case of a variable life insurance policy; (C) Section 23-83-109 in the case of group variable life insurance; and (D) As otherwise provided in this subchapter. (2) Any group or individual variable life insurance contract or annuity contract delivered or issued for delivery in this state shall contain grace, reinstatement, and nonforfeiture provisions appropriate to the contract. (b) The reserve liability for variable contracts shall be established in accordance with actuarial procedures that recognize the variable nature of the benefits provided and any mortality guaranteed. Acts 1975, No. 728, § 5; A.S.A 1947, § 66-3341; Acts 2007, No. 827, § 187.

(a) (1) All pertinent provisions of the Arkansas Insurance Code shall apply to separate accounts and contracts relating to those accounts, except: (A) Sections 23-81-122 , 23-81-127 , and 23-81-128 in the case of a variable annuity contract; (B) Sections 23-81-104 , 23-81-109 - 23-81-111 , and the Standard Nonforfeiture Law for Life Insurance, § 23-81-201 et seq., in the case of a variable life insurance policy; (C) Section 23-83-109 in the case of group variable life insurance; and (D) As otherwise provided in this subchapter. (2) Any group or individual variable life insurance contract or annuity contract delivered or issued for delivery in this state shall contain grace, reinstatement, and nonforfeiture provisions appropriate to the contract.

(1) All pertinent provisions of the Arkansas Insurance Code shall apply to separate accounts and contracts relating to those accounts, except: (A) Sections 23-81-122 , 23-81-127 , and 23-81-128 in the case of a variable annuity contract; (B) Sections 23-81-104 , 23-81-109 - 23-81-111 , and the Standard Nonforfeiture Law for Life Insurance, § 23-81-201 et seq., in the case of a variable life insurance policy; (C) Section 23-83-109 in the case of group variable life insurance; and (D) As otherwise provided in this subchapter.

(A) Sections 23-81-122 , 23-81-127 , and 23-81-128 in the case of a variable annuity contract;

(B) Sections 23-81-104 , 23-81-109 - 23-81-111 , and the Standard Nonforfeiture Law for Life Insurance, § 23-81-201 et seq., in the case of a variable life insurance policy;

(C) Section 23-83-109 in the case of group variable life insurance; and

(D) As otherwise provided in this subchapter.

(2) Any group or individual variable life insurance contract or annuity contract delivered or issued for delivery in this state shall contain grace, reinstatement, and nonforfeiture provisions appropriate to the contract.

(b) The reserve liability for variable contracts shall be established in accordance with actuarial procedures that recognize the variable nature of the benefits provided and any mortality guaranteed.

Acts 1975, No. 728, § 5; A.S.A 1947, § 66-3341; Acts 2007, No. 827, § 187.
Ark. Code Ann. § 23-16-407 — AR Code / Title 23 / Chapter 16 / Subchapter 4 / Section 23-16-407
[Repealed]
Status: repealed

Repealed by Act 2021, No. 805,§ 1, eff. 7/28/2021. Amended by Act 2019, No. 315,§ 2462, eff. 7/24/2019. Acts 2005, No. 2289, § 1.

Repealed by Act 2021, No. 805,§ 1, eff. 7/28/2021.

Amended by Act 2019, No. 315,§ 2462, eff. 7/24/2019.

Acts 2005, No. 2289, § 1.
Ark. Code Ann. § 23-85-111 — AR Code / Title 23 / Chapter 85 / Section 23-85-111
Claim forms provision
Status: in_force

There shall be a provision as follows: "Claim Forms: The insurer, upon receipt of a notice of claim, will furnish to the claimant such forms as are usually furnished by it for filing proofs of loss. If such forms are not furnished within fifteen (15) days after the giving of such notice the claimant shall be deemed to have complied with the requirements of this policy as to proof of loss upon submitting, within the time fixed in the policy for filing proofs of loss, written proof covering the occurrence, the character, and the extent of the loss for which claim is made." Acts 1959, No. 148, § 394; A.S.A. 1947, § 66-3609.

There shall be a provision as follows:

"Claim Forms: The insurer, upon receipt of a notice of claim, will furnish to the claimant such forms as are usually furnished by it for filing proofs of loss. If such forms are not furnished within fifteen (15) days after the giving of such notice the claimant shall be deemed to have complied with the requirements of this policy as to proof of loss upon submitting, within the time fixed in the policy for filing proofs of loss, written proof covering the occurrence, the character, and the extent of the loss for which claim is made."

Acts 1959, No. 148, § 394; A.S.A. 1947, § 66-3609.
Ark. Code Ann. § 23-12-402 — AR Code / Title 23 / Chapter 12 / Subchapter 4 / Section 23-12-402
Locomotives to have headlights of requisite candlepower
Status: in_force

(a) Any company, corporation, or officer of court, owning or operating a railroad over fifty (50) miles in length, which is in whole or in part within this state, shall be required to equip, maintain, and use on each and every locomotive being operated in road service in this state in the nighttime a headlight of power and brilliancy of one thousand five hundred (1,500) candlepower. (b) Any company, corporation, or officer of court owning or operating a railroad over fifty (50) miles in length, which is in whole or in part within this state, violating the provisions of this section, shall be liable on conviction to a penalty of a fine of not less than three hundred dollars ($300) nor more than five hundred dollars ($500) for each separate offense. The amount shall be recovered in a civil action in the name of the state. (c) It is made the duty of any prosecuting attorney of any district in this state to enforce the provisions of this section when a complaint is properly filed in his or her office. Acts 1907, No. 402, §§ 1-3, p. 1018; C. & M. Dig., §§ 8493-8495; Pope's Dig., §§ 11069-11071; A.S.A. 1947, §§ 73-704 -- 73-706.

(a) Any company, corporation, or officer of court, owning or operating a railroad over fifty (50) miles in length, which is in whole or in part within this state, shall be required to equip, maintain, and use on each and every locomotive being operated in road service in this state in the nighttime a headlight of power and brilliancy of one thousand five hundred (1,500) candlepower.

(b) Any company, corporation, or officer of court owning or operating a railroad over fifty (50) miles in length, which is in whole or in part within this state, violating the provisions of this section, shall be liable on conviction to a penalty of a fine of not less than three hundred dollars ($300) nor more than five hundred dollars ($500) for each separate offense. The amount shall be recovered in a civil action in the name of the state.

(c) It is made the duty of any prosecuting attorney of any district in this state to enforce the provisions of this section when a complaint is properly filed in his or her office.

Acts 1907, No. 402, §§ 1-3, p. 1018; C. & M. Dig., §§ 8493-8495; Pope's Dig., §§ 11069-11071; A.S.A. 1947, §§ 73-704 -- 73-706.
Ark. Code Ann. § 23-96-112 — AR Code / Title 23 / Chapter 96 / Section 23-96-112
Insolvent insurers
Status: in_force

(a) If a member insurer is an insolvent insurer, the Arkansas Life and Health Insurance Guaranty Association, in its discretion, shall: (1) Do both of the following: (A) Guarantee, assume, reissue, or reinsure, or cause to be guaranteed, assumed, reissued, or reinsured, the policies or contracts of the insolvent insurer or assure payment of the contractual obligations of the insolvent insurer; and (B) Provide the moneys, pledges, loans, notes, guarantees, or other means as are reasonably necessary to discharge such duties; or (2) Provide benefits and coverages in accordance with § 23-96-113 . (b) (1) All proceedings in which the insolvent insurer is a party in any court in this state shall be stayed sixty (60) days from the date an order of liquidation, rehabilitation, or conservation is final to permit proper legal action by the association on any matters germane to its powers or duties. (2) As to judgment under any decision, order, verdict, or finding based on default, the association may apply to have the judgment set aside by the same court that made the judgment and shall be permitted to defend against the suit on the merits. Amended by Act 2019, No. 520,§ 2, eff. 7/24/2019. Acts 1989, No. 444, §§ 8, 18; 1997, No. 950, § 1.

(a) If a member insurer is an insolvent insurer, the Arkansas Life and Health Insurance Guaranty Association, in its discretion, shall: (1) Do both of the following: (A) Guarantee, assume, reissue, or reinsure, or cause to be guaranteed, assumed, reissued, or reinsured, the policies or contracts of the insolvent insurer or assure payment of the contractual obligations of the insolvent insurer; and (B) Provide the moneys, pledges, loans, notes, guarantees, or other means as are reasonably necessary to discharge such duties; or (2) Provide benefits and coverages in accordance with § 23-96-113 .

(1) Do both of the following: (A) Guarantee, assume, reissue, or reinsure, or cause to be guaranteed, assumed, reissued, or reinsured, the policies or contracts of the insolvent insurer or assure payment of the contractual obligations of the insolvent insurer; and (B) Provide the moneys, pledges, loans, notes, guarantees, or other means as are reasonably necessary to discharge such duties; or

(A) Guarantee, assume, reissue, or reinsure, or cause to be guaranteed, assumed, reissued, or reinsured, the policies or contracts of the insolvent insurer or assure payment of the contractual obligations of the insolvent insurer; and

(B) Provide the moneys, pledges, loans, notes, guarantees, or other means as are reasonably necessary to discharge such duties; or

(2) Provide benefits and coverages in accordance with § 23-96-113 .

(b) (1) All proceedings in which the insolvent insurer is a party in any court in this state shall be stayed sixty (60) days from the date an order of liquidation, rehabilitation, or conservation is final to permit proper legal action by the association on any matters germane to its powers or duties. (2) As to judgment under any decision, order, verdict, or finding based on default, the association may apply to have the judgment set aside by the same court that made the judgment and shall be permitted to defend against the suit on the merits.

(1) All proceedings in which the insolvent insurer is a party in any court in this state shall be stayed sixty (60) days from the date an order of liquidation, rehabilitation, or conservation is final to permit proper legal action by the association on any matters germane to its powers or duties.

(2) As to judgment under any decision, order, verdict, or finding based on default, the association may apply to have the judgment set aside by the same court that made the judgment and shall be permitted to defend against the suit on the merits.

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

Acts 1989, No. 444, §§ 8, 18; 1997, No. 950, § 1.
Ark. Code Ann. § 23-89-404 — AR Code / Title 23 / Chapter 89 / Subchapter 4 / Section 23-89-404
Uninsured motorist property damage coverage
Status: in_force

(a) Every insured purchasing uninsured motorist bodily injury coverage shall be provided an opportunity to include uninsured motorist property damage coverage, subject to provisions filed with and approved by the Insurance Commissioner, applicable to losses in excess of two hundred dollars ($200). However, the deductible of two hundred dollars ($200) shall not apply if: (1) The vehicle involved in the accident is insured by the same insurer for both collision and uninsured motorist property damage coverage; and (2) The operator of the other vehicle has been positively identified and is solely at fault. (b) No insurer shall be required to offer limits of uninsured motorist property damage coverage greater in amount than the property damage liability limits purchased by the insured. (c) (1) After the uninsured motorist property damage coverage has been made available to an insured one (1) time and has been rejected in writing, it need not again be made available in any continuation, renewal, reinstatement, or replacement of the policy or the transfer of vehicles insured under the policy, unless the insured makes a written request for the coverage. (2) However, whenever a new application is submitted in connection with any renewal, reinstatement, or replacement transaction, the provisions of this section shall apply in the same manner as when a new policy is being issued. (d) As used in this section, "property damage" means damage to the insured vehicle, plus a reasonable allowance for loss of use of the vehicle. Acts 1965, No. 464, § 1; 1977, No. 532, § 1; 1983, No. 732, § 1; 1985, No. 713, § 1; A.S.A. 1947, § 66-4003; Acts 2005, No. 1697, § 21.

(a) Every insured purchasing uninsured motorist bodily injury coverage shall be provided an opportunity to include uninsured motorist property damage coverage, subject to provisions filed with and approved by the Insurance Commissioner, applicable to losses in excess of two hundred dollars ($200). However, the deductible of two hundred dollars ($200) shall not apply if: (1) The vehicle involved in the accident is insured by the same insurer for both collision and uninsured motorist property damage coverage; and (2) The operator of the other vehicle has been positively identified and is solely at fault.

(1) The vehicle involved in the accident is insured by the same insurer for both collision and uninsured motorist property damage coverage; and

(2) The operator of the other vehicle has been positively identified and is solely at fault.

(b) No insurer shall be required to offer limits of uninsured motorist property damage coverage greater in amount than the property damage liability limits purchased by the insured.

(c) (1) After the uninsured motorist property damage coverage has been made available to an insured one (1) time and has been rejected in writing, it need not again be made available in any continuation, renewal, reinstatement, or replacement of the policy or the transfer of vehicles insured under the policy, unless the insured makes a written request for the coverage. (2) However, whenever a new application is submitted in connection with any renewal, reinstatement, or replacement transaction, the provisions of this section shall apply in the same manner as when a new policy is being issued.

(1) After the uninsured motorist property damage coverage has been made available to an insured one (1) time and has been rejected in writing, it need not again be made available in any continuation, renewal, reinstatement, or replacement of the policy or the transfer of vehicles insured under the policy, unless the insured makes a written request for the coverage.

(2) However, whenever a new application is submitted in connection with any renewal, reinstatement, or replacement transaction, the provisions of this section shall apply in the same manner as when a new policy is being issued.

(d) As used in this section, "property damage" means damage to the insured vehicle, plus a reasonable allowance for loss of use of the vehicle.

Acts 1965, No. 464, § 1; 1977, No. 532, § 1; 1983, No. 732, § 1; 1985, No. 713, § 1; A.S.A. 1947, § 66-4003; Acts 2005, No. 1697, § 21.
Ark. Code Ann. § 23-103-402 — AR Code / Title 23 / Chapter 103 / Subchapter 4 / Section 23-103-402
Definitions
Status: in_force

As used in this subchapter: (1) "Closing" means the collection and disbursement of funds and title insurance premiums out of escrow in connection with a transaction involving either personal or real property, including the transfer of title or creation of a lien on the title; (2) "Closing agent" means a person that facilitates a closing; (3) "Depositor" means the person providing funds or documents for delivery to a depository in connection with a transaction involving real property; (4) "Depository" means a title insurer, title insurance agency, closing agent, or qualified financial institution receiving a deposit of funds or documents; (5) "Escrow" means the act or process of providing closing services or services pursuant to an escrow agreement; (6) "Escrow account" means the demand deposit account maintained by a title insurer or title insurance agency at a qualified financial institution into which the title insurer or title insurance agency deposits and disburses funds collected from any person that is or will be a party to a transaction involving real property; (7) "Person" means an individual or any partnership, association, cooperative, corporation, firm, trust, limited liability company, or other legal entity; (8) "Qualified financial institution" means a bank, credit union, or savings and loan association regulated, supervised, or examined by federal or state authorities having regulatory authority over banks and trust companies; (9) "Risks" means the danger or hazards of a loss by encumbrance, a defective or invalid title, or adverse claim to title covered under a title insurance policy; (10) "Title insurance agency" means a person that has an agency contract under § 23-103-407 with a title insurer; (11) (A) "Title insurance agent" means an individual affiliated with a title insurance agency who is authorized on behalf of a title insurer to issue a title insurance report or title insurance policy and is: (i) A resident of the State of Arkansas licensed under § 23-64-101 et seq.; or (ii) A nonresident individual licensed under § 23-64-101 et seq. and employed by a resident licensee. (B) "Title insurance agent" does not include: (i) An individual employed by a title insurance agency that does not sell or negotiate title insurance but who performs marketing duties under the supervision of a title insurance agent; (ii) An individual employed by a title insurance agency that is a closing agent and does not solicit, sell, or negotiate title insurance; or (iii) A closing agent that provides closing services but does not otherwise engage in title insurance business in the State of Arkansas; (12) (A) "Title insurance business" means: (i) Issuing or offering to issue as an insurer a title insurance policy or closing protection letter; (ii) Transacting or proposing to transact any of the following activities when conducted or performed in contemplation of or in conjunction with the issuance of a title insurance report or policy: (a) Guaranteeing, warranting, or otherwise insuring the status of title, liens, encumbrances, or other matters of record; (b) Executing title insurance policies; (c) Effecting contracts of reinsurance; (d) Underwriting titles; or (e) Collecting, disbursing, or receiving title insurance premiums, unless incidental to serving as a closing agent; or (iii) Doing or proposing to do any business substantially equivalent to the matters described in this subdivision (12) in a manner designed to evade this subchapter. (B) "Title insurance business" does not include: (i) A closing or escrow; or (ii) The activities of a closing agent or other party performing a closing or escrow; (13) "Title insurance policy" means a contract, including any coverage, enhancements to coverage, or endorsements, insuring or indemnifying owners of or other persons lawfully interested in personal or real property against loss or damage arising from any of the following conditions existing on, before, or subsequent to the policy date and not specifically excepted or excluded: (A) Defects in or liens or encumbrances on the insured title; (B) Unmarketability of the insured title; (C) Invalidity or unenforceability of liens or encumbrances on the insured title of the personal or real property; (D) Title being vested other than as stated in the policy; (E) Lack of a legal right of access to the land that is part of the insured title in a policy relating to real property; (F) Lack of priority of the lien of any insured mortgage over any statutory lien for services, labor, or materials as specifically described in the policy; (G) Invalidity or unenforceability of any assignment of an insured mortgage subject to certain conditions; or (H) The priority of any lien or encumbrance over the lien of an insured mortgage; (14) (A) "Title insurance premium" means the funds paid to the title insurer and to an appointed title insurance agency as consideration for the amount of liability assumed by a title insurer under a title insurance policy, including all amounts retained by the title insurance agency pursuant to the title insurance agency's contract with the title insurer. (B) "Title insurance premium" does not include charges for the performance of services related or incidental to title insurance or closings that are disclosed to the person charged, including without limitation: (i) Title search, abstracting, or title examination fees; (ii) Title opinion fees; (iii) Document preparation fees; (iv) Escrow or closing fees; (v) Notary fees; (vi) Attorney's fees; (vii) Fees incurred to cure defects in title; (viii) Tax report or tax certification fees; (ix) Title report fees; (x) Processing fees; (xi) Courier fees; and (xii) Fees incident to the issuance of a title insurance report or policy; (15) "Title insurance report" means a preliminary report, commitment, or binder issued before the issuance of a title insurance policy containing the requirements, terms, conditions, exceptions, and any other matters incorporated by reference under which a title insurer is willing to issue a title insurance policy; (16) "Title insurer" means a company authorized under the laws of this state to transact title insurance business; and (17) "Underwrite" means the acceptance or rejection of risk on behalf of the title insurer. Acts 2007, No. 684, § 6; 2009, No. 1190, § 1; 2011, No. 515, § 1.

As used in this subchapter:

(1) "Closing" means the collection and disbursement of funds and title insurance premiums out of escrow in connection with a transaction involving either personal or real property, including the transfer of title or creation of a lien on the title;

(2) "Closing agent" means a person that facilitates a closing;

(3) "Depositor" means the person providing funds or documents for delivery to a depository in connection with a transaction involving real property;

(4) "Depository" means a title insurer, title insurance agency, closing agent, or qualified financial institution receiving a deposit of funds or documents;

(5) "Escrow" means the act or process of providing closing services or services pursuant to an escrow agreement;

(6) "Escrow account" means the demand deposit account maintained by a title insurer or title insurance agency at a qualified financial institution into which the title insurer or title insurance agency deposits and disburses funds collected from any person that is or will be a party to a transaction involving real property;

(7) "Person" means an individual or any partnership, association, cooperative, corporation, firm, trust, limited liability company, or other legal entity;

(8) "Qualified financial institution" means a bank, credit union, or savings and loan association regulated, supervised, or examined by federal or state authorities having regulatory authority over banks and trust companies;

(9) "Risks" means the danger or hazards of a loss by encumbrance, a defective or invalid title, or adverse claim to title covered under a title insurance policy;

(10) "Title insurance agency" means a person that has an agency contract under § 23-103-407 with a title insurer;

(11) (A) "Title insurance agent" means an individual affiliated with a title insurance agency who is authorized on behalf of a title insurer to issue a title insurance report or title insurance policy and is: (i) A resident of the State of Arkansas licensed under § 23-64-101 et seq.; or (ii) A nonresident individual licensed under § 23-64-101 et seq. and employed by a resident licensee. (B) "Title insurance agent" does not include: (i) An individual employed by a title insurance agency that does not sell or negotiate title insurance but who performs marketing duties under the supervision of a title insurance agent; (ii) An individual employed by a title insurance agency that is a closing agent and does not solicit, sell, or negotiate title insurance; or (iii) A closing agent that provides closing services but does not otherwise engage in title insurance business in the State of Arkansas;

(A) "Title insurance agent" means an individual affiliated with a title insurance agency who is authorized on behalf of a title insurer to issue a title insurance report or title insurance policy and is: (i) A resident of the State of Arkansas licensed under § 23-64-101 et seq.; or (ii) A nonresident individual licensed under § 23-64-101 et seq. and employed by a resident licensee.

(i) A resident of the State of Arkansas licensed under § 23-64-101 et seq.; or

(ii) A nonresident individual licensed under § 23-64-101 et seq. and employed by a resident licensee.

(B) "Title insurance agent" does not include: (i) An individual employed by a title insurance agency that does not sell or negotiate title insurance but who performs marketing duties under the supervision of a title insurance agent; (ii) An individual employed by a title insurance agency that is a closing agent and does not solicit, sell, or negotiate title insurance; or (iii) A closing agent that provides closing services but does not otherwise engage in title insurance business in the State of Arkansas;

(i) An individual employed by a title insurance agency that does not sell or negotiate title insurance but who performs marketing duties under the supervision of a title insurance agent;

(ii) An individual employed by a title insurance agency that is a closing agent and does not solicit, sell, or negotiate title insurance; or

(iii) A closing agent that provides closing services but does not otherwise engage in title insurance business in the State of Arkansas;

(12) (A) "Title insurance business" means: (i) Issuing or offering to issue as an insurer a title insurance policy or closing protection letter; (ii) Transacting or proposing to transact any of the following activities when conducted or performed in contemplation of or in conjunction with the issuance of a title insurance report or policy: (a) Guaranteeing, warranting, or otherwise insuring the status of title, liens, encumbrances, or other matters of record; (b) Executing title insurance policies; (c) Effecting contracts of reinsurance; (d) Underwriting titles; or (e) Collecting, disbursing, or receiving title insurance premiums, unless incidental to serving as a closing agent; or (iii) Doing or proposing to do any business substantially equivalent to the matters described in this subdivision (12) in a manner designed to evade this subchapter. (B) "Title insurance business" does not include: (i) A closing or escrow; or (ii) The activities of a closing agent or other party performing a closing or escrow;

(A) "Title insurance business" means: (i) Issuing or offering to issue as an insurer a title insurance policy or closing protection letter; (ii) Transacting or proposing to transact any of the following activities when conducted or performed in contemplation of or in conjunction with the issuance of a title insurance report or policy: (a) Guaranteeing, warranting, or otherwise insuring the status of title, liens, encumbrances, or other matters of record; (b) Executing title insurance policies; (c) Effecting contracts of reinsurance; (d) Underwriting titles; or (e) Collecting, disbursing, or receiving title insurance premiums, unless incidental to serving as a closing agent; or (iii) Doing or proposing to do any business substantially equivalent to the matters described in this subdivision (12) in a manner designed to evade this subchapter.

(i) Issuing or offering to issue as an insurer a title insurance policy or closing protection letter;

(ii) Transacting or proposing to transact any of the following activities when conducted or performed in contemplation of or in conjunction with the issuance of a title insurance report or policy: (a) Guaranteeing, warranting, or otherwise insuring the status of title, liens, encumbrances, or other matters of record; (b) Executing title insurance policies; (c) Effecting contracts of reinsurance; (d) Underwriting titles; or (e) Collecting, disbursing, or receiving title insurance premiums, unless incidental to serving as a closing agent; or

(a) Guaranteeing, warranting, or otherwise insuring the status of title, liens, encumbrances, or other matters of record;

(b) Executing title insurance policies;

(c) Effecting contracts of reinsurance;

(d) Underwriting titles; or

(e) Collecting, disbursing, or receiving title insurance premiums, unless incidental to serving as a closing agent; or

(iii) Doing or proposing to do any business substantially equivalent to the matters described in this subdivision (12) in a manner designed to evade this subchapter.

(B) "Title insurance business" does not include: (i) A closing or escrow; or (ii) The activities of a closing agent or other party performing a closing or escrow;

(i) A closing or escrow; or

(ii) The activities of a closing agent or other party performing a closing or escrow;

(13) "Title insurance policy" means a contract, including any coverage, enhancements to coverage, or endorsements, insuring or indemnifying owners of or other persons lawfully interested in personal or real property against loss or damage arising from any of the following conditions existing on, before, or subsequent to the policy date and not specifically excepted or excluded: (A) Defects in or liens or encumbrances on the insured title; (B) Unmarketability of the insured title; (C) Invalidity or unenforceability of liens or encumbrances on the insured title of the personal or real property; (D) Title being vested other than as stated in the policy; (E) Lack of a legal right of access to the land that is part of the insured title in a policy relating to real property; (F) Lack of priority of the lien of any insured mortgage over any statutory lien for services, labor, or materials as specifically described in the policy; (G) Invalidity or unenforceability of any assignment of an insured mortgage subject to certain conditions; or (H) The priority of any lien or encumbrance over the lien of an insured mortgage;

(A) Defects in or liens or encumbrances on the insured title;

(B) Unmarketability of the insured title;

(C) Invalidity or unenforceability of liens or encumbrances on the insured title of the personal or real property;

(D) Title being vested other than as stated in the policy;

(E) Lack of a legal right of access to the land that is part of the insured title in a policy relating to real property;

(F) Lack of priority of the lien of any insured mortgage over any statutory lien for services, labor, or materials as specifically described in the policy;

(G) Invalidity or unenforceability of any assignment of an insured mortgage subject to certain conditions; or

(H) The priority of any lien or encumbrance over the lien of an insured mortgage;

(14) (A) "Title insurance premium" means the funds paid to the title insurer and to an appointed title insurance agency as consideration for the amount of liability assumed by a title insurer under a title insurance policy, including all amounts retained by the title insurance agency pursuant to the title insurance agency's contract with the title insurer. (B) "Title insurance premium" does not include charges for the performance of services related or incidental to title insurance or closings that are disclosed to the person charged, including without limitation: (i) Title search, abstracting, or title examination fees; (ii) Title opinion fees; (iii) Document preparation fees; (iv) Escrow or closing fees; (v) Notary fees; (vi) Attorney's fees; (vii) Fees incurred to cure defects in title; (viii) Tax report or tax certification fees; (ix) Title report fees; (x) Processing fees; (xi) Courier fees; and (xii) Fees incident to the issuance of a title insurance report or policy;

(A) "Title insurance premium" means the funds paid to the title insurer and to an appointed title insurance agency as consideration for the amount of liability assumed by a title insurer under a title insurance policy, including all amounts retained by the title insurance agency pursuant to the title insurance agency's contract with the title insurer.

(B) "Title insurance premium" does not include charges for the performance of services related or incidental to title insurance or closings that are disclosed to the person charged, including without limitation: (i) Title search, abstracting, or title examination fees; (ii) Title opinion fees; (iii) Document preparation fees; (iv) Escrow or closing fees; (v) Notary fees; (vi) Attorney's fees; (vii) Fees incurred to cure defects in title; (viii) Tax report or tax certification fees; (ix) Title report fees; (x) Processing fees; (xi) Courier fees; and (xii) Fees incident to the issuance of a title insurance report or policy;

(i) Title search, abstracting, or title examination fees;

(ii) Title opinion fees;

(iii) Document preparation fees;

(iv) Escrow or closing fees;

(v) Notary fees;

(vi) Attorney's fees;

(vii) Fees incurred to cure defects in title;

(viii) Tax report or tax certification fees;

(ix) Title report fees;

(x) Processing fees;

(xi) Courier fees; and

(xii) Fees incident to the issuance of a title insurance report or policy;

(15) "Title insurance report" means a preliminary report, commitment, or binder issued before the issuance of a title insurance policy containing the requirements, terms, conditions, exceptions, and any other matters incorporated by reference under which a title insurer is willing to issue a title insurance policy;

(16) "Title insurer" means a company authorized under the laws of this state to transact title insurance business; and

(17) "Underwrite" means the acceptance or rejection of risk on behalf of the title insurer.

Acts 2007, No. 684, § 6; 2009, No. 1190, § 1; 2011, No. 515, § 1.
Ark. Code Ann. § 23-63-1307 — AR Code / Title 23 / Chapter 63 / Subchapter 13 / Section 23-63-1307
Mandatory control level event
Status: in_force

(a) As used in this subchapter, "mandatory control level event" means any of the following events: (1) The filing of an RBC report that shows the insurer's total adjusted capital is less than its mandatory control level RBC; (2) Notification by the Insurance Commissioner to the insurer of an adjusted RBC report that indicates the event in subdivision (a)(1) of this section if the insurer does not challenge the adjusted RBC report under § 23-63-1308 ; or (3) If under § 23-63-1308 the insurer challenges an adjusted RBC report that indicates the event in subdivision (a)(1) of this section, notification by the commissioner to the insurer that the commissioner, after a hearing, has rejected the insurer's challenge. (b) In the event of a mandatory control level event: (1) (A) For a life insurer or a fraternal benefit society, the commissioner shall take action to place the life insurer or the fraternal benefit society under regulatory control under § 23-68-101 et seq. (B) In that event, the mandatory control level event is sufficient grounds for the commissioner to take action under § 23-68-101 et seq., and the commissioner shall have the rights, powers, and duties to the life insurer or the fraternal benefit society stated in § 23-68-101 et seq. (C) If the commissioner takes action under an adjusted RBC report, the life insurer or the fraternal benefit society is entitled to the protections of § 23-68-101 et seq. pertaining to summary proceedings. (D) The commissioner may forego action for up to ninety (90) days after the mandatory control level event if the commissioner finds there is a reasonable expectation that the mandatory control level event may be eliminated within the ninety-day period; and (2) With respect to a property and casualty insurer, the commissioner shall take the actions necessary to place the insurer under regulatory control under § 23-68-101 et seq., or in the case of an insurer that is writing no business and is running-off its existing business, may allow the insurer to continue its runoff under the supervision of the commissioner. In either event, the mandatory control level event is sufficient grounds for the commissioner to take action under § 23-68-101 et seq., and the commissioner shall have the rights, powers, and duties with respect to the insurer stated in § 23-68-101 et seq. If the commissioner takes action under an adjusted RBC report, the insurer is entitled to the protections of § 23-68-101 et seq. pertaining to summary proceedings. The commissioner may forego action for up to ninety (90) days after the mandatory control level event if the commissioner finds there is a reasonable expectation that the mandatory control level event may be eliminated within the ninety-day period. Amended by Act 2015, No. 1223,§ 24, eff. 7/22/2015. Acts 1995, No. 622, § 1; 2011, No. 760, § 4.

(a) As used in this subchapter, "mandatory control level event" means any of the following events: (1) The filing of an RBC report that shows the insurer's total adjusted capital is less than its mandatory control level RBC; (2) Notification by the Insurance Commissioner to the insurer of an adjusted RBC report that indicates the event in subdivision (a)(1) of this section if the insurer does not challenge the adjusted RBC report under § 23-63-1308 ; or (3) If under § 23-63-1308 the insurer challenges an adjusted RBC report that indicates the event in subdivision (a)(1) of this section, notification by the commissioner to the insurer that the commissioner, after a hearing, has rejected the insurer's challenge.

(1) The filing of an RBC report that shows the insurer's total adjusted capital is less than its mandatory control level RBC;

(2) Notification by the Insurance Commissioner to the insurer of an adjusted RBC report that indicates the event in subdivision (a)(1) of this section if the insurer does not challenge the adjusted RBC report under § 23-63-1308 ; or

(3) If under § 23-63-1308 the insurer challenges an adjusted RBC report that indicates the event in subdivision (a)(1) of this section, notification by the commissioner to the insurer that the commissioner, after a hearing, has rejected the insurer's challenge.

(b) In the event of a mandatory control level event: (1) (A) For a life insurer or a fraternal benefit society, the commissioner shall take action to place the life insurer or the fraternal benefit society under regulatory control under § 23-68-101 et seq. (B) In that event, the mandatory control level event is sufficient grounds for the commissioner to take action under § 23-68-101 et seq., and the commissioner shall have the rights, powers, and duties to the life insurer or the fraternal benefit society stated in § 23-68-101 et seq. (C) If the commissioner takes action under an adjusted RBC report, the life insurer or the fraternal benefit society is entitled to the protections of § 23-68-101 et seq. pertaining to summary proceedings. (D) The commissioner may forego action for up to ninety (90) days after the mandatory control level event if the commissioner finds there is a reasonable expectation that the mandatory control level event may be eliminated within the ninety-day period; and (2) With respect to a property and casualty insurer, the commissioner shall take the actions necessary to place the insurer under regulatory control under § 23-68-101 et seq., or in the case of an insurer that is writing no business and is running-off its existing business, may allow the insurer to continue its runoff under the supervision of the commissioner. In either event, the mandatory control level event is sufficient grounds for the commissioner to take action under § 23-68-101 et seq., and the commissioner shall have the rights, powers, and duties with respect to the insurer stated in § 23-68-101 et seq. If the commissioner takes action under an adjusted RBC report, the insurer is entitled to the protections of § 23-68-101 et seq. pertaining to summary proceedings. The commissioner may forego action for up to ninety (90) days after the mandatory control level event if the commissioner finds there is a reasonable expectation that the mandatory control level event may be eliminated within the ninety-day period.

(1) (A) For a life insurer or a fraternal benefit society, the commissioner shall take action to place the life insurer or the fraternal benefit society under regulatory control under § 23-68-101 et seq. (B) In that event, the mandatory control level event is sufficient grounds for the commissioner to take action under § 23-68-101 et seq., and the commissioner shall have the rights, powers, and duties to the life insurer or the fraternal benefit society stated in § 23-68-101 et seq. (C) If the commissioner takes action under an adjusted RBC report, the life insurer or the fraternal benefit society is entitled to the protections of § 23-68-101 et seq. pertaining to summary proceedings. (D) The commissioner may forego action for up to ninety (90) days after the mandatory control level event if the commissioner finds there is a reasonable expectation that the mandatory control level event may be eliminated within the ninety-day period; and

(A) For a life insurer or a fraternal benefit society, the commissioner shall take action to place the life insurer or the fraternal benefit society under regulatory control under § 23-68-101 et seq.

(B) In that event, the mandatory control level event is sufficient grounds for the commissioner to take action under § 23-68-101 et seq., and the commissioner shall have the rights, powers, and duties to the life insurer or the fraternal benefit society stated in § 23-68-101 et seq.

(C) If the commissioner takes action under an adjusted RBC report, the life insurer or the fraternal benefit society is entitled to the protections of § 23-68-101 et seq. pertaining to summary proceedings.

(D) The commissioner may forego action for up to ninety (90) days after the mandatory control level event if the commissioner finds there is a reasonable expectation that the mandatory control level event may be eliminated within the ninety-day period; and

(2) With respect to a property and casualty insurer, the commissioner shall take the actions necessary to place the insurer under regulatory control under § 23-68-101 et seq., or in the case of an insurer that is writing no business and is running-off its existing business, may allow the insurer to continue its runoff under the supervision of the commissioner. In either event, the mandatory control level event is sufficient grounds for the commissioner to take action under § 23-68-101 et seq., and the commissioner shall have the rights, powers, and duties with respect to the insurer stated in § 23-68-101 et seq. If the commissioner takes action under an adjusted RBC report, the insurer is entitled to the protections of § 23-68-101 et seq. pertaining to summary proceedings. The commissioner may forego action for up to ninety (90) days after the mandatory control level event if the commissioner finds there is a reasonable expectation that the mandatory control level event may be eliminated within the ninety-day period.

Amended by Act 2015, No. 1223,§ 24, eff. 7/22/2015.

Acts 1995, No. 622, § 1; 2011, No. 760, § 4.
Ark. Code Ann. § 23-112-509 — AR Code / Title 23 / Chapter 112 / Subchapter 5 / Section 23-112-509
Summons, citation, and subpoena
Status: in_force

(a) It shall be the duty of the sheriffs and constables of the counties of this state and of any employee of the Arkansas Motor Vehicle Commission, when so directed by the commission, to execute any summons, citation, or subpoena that the commission may cause to be issued and to make their return thereof to the commission. (b) (1) The sheriffs and constables serving and returning any summons, citation, or subpoena shall be paid the same fees as provided for the services in the circuit court. (2) Any person other than an employee of the commission who appears before the commission in response to a summons, citation, or subpoena shall be paid the same witness fee and mileage allowance as witnesses in the circuit court. (c) (1) In case of failure or refusal on the part of any person to comply with any summons, citation, or subpoena issued and served as authorized, or in the case of the refusal of any person to testify or answer to any matter regarding that which he or she may be lawfully interrogated, or the refusal of any person to produce his or her record books and accounts relating to any matter regarding that which he or she may be lawfully interrogated, the circuit court of any county of the State of Arkansas, on application of the commission or of the Executive Director of the Arkansas Motor Vehicle Commission, may: (A) Issue an attachment for the person; and (B) Compel the person to: (i) Comply with the summons, citation, or subpoena; (ii) Attend before the commission or its designated employee; (iii) Produce the documents specified in any subpoena duces tecum; and (iv) Give his or her testimony upon such matters as he or she may be lawfully required. (2) Any circuit court shall have the power to punish for contempt as in the case of disobedience of like process issued from or by any circuit court, or by refusal to testify therein in response to the process, and the person shall be taxed with the costs of the proceedings. Acts 1975, No. 388, § 7; A.S.A. 1947, § 75-2307; Acts 2001, No. 1053, § 18; 2003, No. 1185, § 265; 2005, No. 1845, § 4.

(a) It shall be the duty of the sheriffs and constables of the counties of this state and of any employee of the Arkansas Motor Vehicle Commission, when so directed by the commission, to execute any summons, citation, or subpoena that the commission may cause to be issued and to make their return thereof to the commission.

(b) (1) The sheriffs and constables serving and returning any summons, citation, or subpoena shall be paid the same fees as provided for the services in the circuit court. (2) Any person other than an employee of the commission who appears before the commission in response to a summons, citation, or subpoena shall be paid the same witness fee and mileage allowance as witnesses in the circuit court.

(1) The sheriffs and constables serving and returning any summons, citation, or subpoena shall be paid the same fees as provided for the services in the circuit court.

(2) Any person other than an employee of the commission who appears before the commission in response to a summons, citation, or subpoena shall be paid the same witness fee and mileage allowance as witnesses in the circuit court.

(c) (1) In case of failure or refusal on the part of any person to comply with any summons, citation, or subpoena issued and served as authorized, or in the case of the refusal of any person to testify or answer to any matter regarding that which he or she may be lawfully interrogated, or the refusal of any person to produce his or her record books and accounts relating to any matter regarding that which he or she may be lawfully interrogated, the circuit court of any county of the State of Arkansas, on application of the commission or of the Executive Director of the Arkansas Motor Vehicle Commission, may: (A) Issue an attachment for the person; and (B) Compel the person to: (i) Comply with the summons, citation, or subpoena; (ii) Attend before the commission or its designated employee; (iii) Produce the documents specified in any subpoena duces tecum; and (iv) Give his or her testimony upon such matters as he or she may be lawfully required. (2) Any circuit court shall have the power to punish for contempt as in the case of disobedience of like process issued from or by any circuit court, or by refusal to testify therein in response to the process, and the person shall be taxed with the costs of the proceedings.

(1) In case of failure or refusal on the part of any person to comply with any summons, citation, or subpoena issued and served as authorized, or in the case of the refusal of any person to testify or answer to any matter regarding that which he or she may be lawfully interrogated, or the refusal of any person to produce his or her record books and accounts relating to any matter regarding that which he or she may be lawfully interrogated, the circuit court of any county of the State of Arkansas, on application of the commission or of the Executive Director of the Arkansas Motor Vehicle Commission, may: (A) Issue an attachment for the person; and (B) Compel the person to: (i) Comply with the summons, citation, or subpoena; (ii) Attend before the commission or its designated employee; (iii) Produce the documents specified in any subpoena duces tecum; and (iv) Give his or her testimony upon such matters as he or she may be lawfully required.

(A) Issue an attachment for the person; and

(B) Compel the person to: (i) Comply with the summons, citation, or subpoena; (ii) Attend before the commission or its designated employee; (iii) Produce the documents specified in any subpoena duces tecum; and (iv) Give his or her testimony upon such matters as he or she may be lawfully required.

(i) Comply with the summons, citation, or subpoena;

(ii) Attend before the commission or its designated employee;

(iii) Produce the documents specified in any subpoena duces tecum; and

(iv) Give his or her testimony upon such matters as he or she may be lawfully required.

(2) Any circuit court shall have the power to punish for contempt as in the case of disobedience of like process issued from or by any circuit court, or by refusal to testify therein in response to the process, and the person shall be taxed with the costs of the proceedings.

Acts 1975, No. 388, § 7; A.S.A. 1947, § 75-2307; Acts 2001, No. 1053, § 18; 2003, No. 1185, § 265; 2005, No. 1845, § 4.
Ark. Code Ann. § 23-99-705 — AR Code / Title 23 / Chapter 99 / Subchapter 7 / Section 23-99-705
Applicability and scope
Status: in_force

(a) This subchapter shall not apply to disability income, specified disease, Medicare supplement, hospital indemnity, accident-only policies, long-term care, short-term limited duration insurance, and all other supplemental insurance products issued by health carriers. (b) In terms of the Secretary of the Department of Health's regulatory authority pursuant to §§ 23-99-703 and 23-99-704 , such authority shall apply to the quality of care provided by health carriers and networks operating in this state and shall not apply to the benefits offered by any health carrier and network or to the administration of such benefits. Amended by Act 2019, No. 910,§ 5114, eff. 7/1/2019. Acts 1999, No. 1200, § 5.

(a) This subchapter shall not apply to disability income, specified disease, Medicare supplement, hospital indemnity, accident-only policies, long-term care, short-term limited duration insurance, and all other supplemental insurance products issued by health carriers.

(b) In terms of the Secretary of the Department of Health's regulatory authority pursuant to §§ 23-99-703 and 23-99-704 , such authority shall apply to the quality of care provided by health carriers and networks operating in this state and shall not apply to the benefits offered by any health carrier and network or to the administration of such benefits.

Amended by Act 2019, No. 910,§ 5114, eff. 7/1/2019.

Acts 1999, No. 1200, § 5.
Ark. Code Ann. § 23-96-116 — AR Code / Title 23 / Chapter 96 / Section 23-96-116
Plan of operation
Status: in_force

(a) (1) (A) The Arkansas Life and Health Insurance Guaranty Association shall submit to the Insurance Commissioner a plan of operation and any amendments thereto necessary or suitable to assure the fair, reasonable, and equitable administration of the Arkansas Life and Health Insurance Guaranty Association. (B) The plan of operation and any amendments to the plan of operation shall become effective upon the commissioner's written approval or unless he or she has not disapproved it within thirty (30) days. (2) (A) If the Arkansas Life and Health Insurance Guaranty Association fails to submit a suitable plan of operation within one hundred twenty (120) days following March 9, 1989, or if at any time thereafter the Arkansas Life and Health Insurance Guaranty Association fails to submit suitable amendments to the plan of operation, the commissioner shall, after notice and hearing, adopt and promulgate such reasonable rules as are necessary or advisable to effectuate this chapter. (B) Such rules shall continue in force until modified by the commissioner or superseded by a plan submitted by the Arkansas Life and Health Insurance Guaranty Association and approved by the commissioner. (b) All member insurers shall comply with the plan of operation. (c) In addition to other requirements enumerated in this chapter, the plan of operation shall: (1) Establish procedures for handling the assets of the Arkansas Life and Health Insurance Guaranty Association; (2) Establish the amount and method of reimbursing members of the Board of Directors of the Arkansas Life and Health Insurance Guaranty Association under § 23-96-109(b) ; (3) Establish regular places and times for meetings, including telephone conference calls of the board; (4) Establish procedures for records to be kept of all financial transactions of the Arkansas Life and Health Insurance Guaranty Association, its agents, and the board; (5) Establish the procedures whereby selections for the board will be made and submitted to the commissioner; (6) Establish any additional procedures for assessments under § 23-96-115 ; and (7) Contain additional provisions necessary or proper for the execution of the powers and duties of the Arkansas Life and Health Insurance Guaranty Association. (d) (1) (A) The plan of operation may provide that any or all powers and duties of the Arkansas Life and Health Insurance Guaranty Association, except those under § 23-96-114(c)(3) and § 23-96-115 , may be delegated to the State Insurance Department or to a corporation, association, organization, or other entity which performs or will perform functions similar to those of the Arkansas Life and Health Insurance Guaranty Association, or its equivalent, in two (2) or more states. (B) Such a corporation, association, organization, or other entity, including, as applicable, the department, shall be reimbursed for any payments made on behalf of the Arkansas Life and Health Insurance Guaranty Association and shall be paid for its performance of any function of the Arkansas Life and Health Insurance Guaranty Association. (2) A delegation under this subsection shall take effect only with the approval of both the board and the commissioner, and may be made only to a corporation, association, organization or other entity, including the department, which extends protection not substantially less favorable and effective than that provided by this chapter. Amended by Act 2019, No. 520,§ 2, eff. 7/24/2019. Acts 1989, No. 444, § 10; 1997, No. 950, § 1.

(a) (1) (A) The Arkansas Life and Health Insurance Guaranty Association shall submit to the Insurance Commissioner a plan of operation and any amendments thereto necessary or suitable to assure the fair, reasonable, and equitable administration of the Arkansas Life and Health Insurance Guaranty Association. (B) The plan of operation and any amendments to the plan of operation shall become effective upon the commissioner's written approval or unless he or she has not disapproved it within thirty (30) days. (2) (A) If the Arkansas Life and Health Insurance Guaranty Association fails to submit a suitable plan of operation within one hundred twenty (120) days following March 9, 1989, or if at any time thereafter the Arkansas Life and Health Insurance Guaranty Association fails to submit suitable amendments to the plan of operation, the commissioner shall, after notice and hearing, adopt and promulgate such reasonable rules as are necessary or advisable to effectuate this chapter. (B) Such rules shall continue in force until modified by the commissioner or superseded by a plan submitted by the Arkansas Life and Health Insurance Guaranty Association and approved by the commissioner.

(1) (A) The Arkansas Life and Health Insurance Guaranty Association shall submit to the Insurance Commissioner a plan of operation and any amendments thereto necessary or suitable to assure the fair, reasonable, and equitable administration of the Arkansas Life and Health Insurance Guaranty Association. (B) The plan of operation and any amendments to the plan of operation shall become effective upon the commissioner's written approval or unless he or she has not disapproved it within thirty (30) days.

(A) The Arkansas Life and Health Insurance Guaranty Association shall submit to the Insurance Commissioner a plan of operation and any amendments thereto necessary or suitable to assure the fair, reasonable, and equitable administration of the Arkansas Life and Health Insurance Guaranty Association.

(B) The plan of operation and any amendments to the plan of operation shall become effective upon the commissioner's written approval or unless he or she has not disapproved it within thirty (30) days.

(2) (A) If the Arkansas Life and Health Insurance Guaranty Association fails to submit a suitable plan of operation within one hundred twenty (120) days following March 9, 1989, or if at any time thereafter the Arkansas Life and Health Insurance Guaranty Association fails to submit suitable amendments to the plan of operation, the commissioner shall, after notice and hearing, adopt and promulgate such reasonable rules as are necessary or advisable to effectuate this chapter. (B) Such rules shall continue in force until modified by the commissioner or superseded by a plan submitted by the Arkansas Life and Health Insurance Guaranty Association and approved by the commissioner.

(A) If the Arkansas Life and Health Insurance Guaranty Association fails to submit a suitable plan of operation within one hundred twenty (120) days following March 9, 1989, or if at any time thereafter the Arkansas Life and Health Insurance Guaranty Association fails to submit suitable amendments to the plan of operation, the commissioner shall, after notice and hearing, adopt and promulgate such reasonable rules as are necessary or advisable to effectuate this chapter.

(B) Such rules shall continue in force until modified by the commissioner or superseded by a plan submitted by the Arkansas Life and Health Insurance Guaranty Association and approved by the commissioner.

(b) All member insurers shall comply with the plan of operation.

(c) In addition to other requirements enumerated in this chapter, the plan of operation shall: (1) Establish procedures for handling the assets of the Arkansas Life and Health Insurance Guaranty Association; (2) Establish the amount and method of reimbursing members of the Board of Directors of the Arkansas Life and Health Insurance Guaranty Association under § 23-96-109(b) ; (3) Establish regular places and times for meetings, including telephone conference calls of the board; (4) Establish procedures for records to be kept of all financial transactions of the Arkansas Life and Health Insurance Guaranty Association, its agents, and the board; (5) Establish the procedures whereby selections for the board will be made and submitted to the commissioner; (6) Establish any additional procedures for assessments under § 23-96-115 ; and (7) Contain additional provisions necessary or proper for the execution of the powers and duties of the Arkansas Life and Health Insurance Guaranty Association.

(1) Establish procedures for handling the assets of the Arkansas Life and Health Insurance Guaranty Association;

(2) Establish the amount and method of reimbursing members of the Board of Directors of the Arkansas Life and Health Insurance Guaranty Association under § 23-96-109(b) ;

(3) Establish regular places and times for meetings, including telephone conference calls of the board;

(4) Establish procedures for records to be kept of all financial transactions of the Arkansas Life and Health Insurance Guaranty Association, its agents, and the board;

(5) Establish the procedures whereby selections for the board will be made and submitted to the commissioner;

(6) Establish any additional procedures for assessments under § 23-96-115 ; and

(7) Contain additional provisions necessary or proper for the execution of the powers and duties of the Arkansas Life and Health Insurance Guaranty Association.

(d) (1) (A) The plan of operation may provide that any or all powers and duties of the Arkansas Life and Health Insurance Guaranty Association, except those under § 23-96-114(c)(3) and § 23-96-115 , may be delegated to the State Insurance Department or to a corporation, association, organization, or other entity which performs or will perform functions similar to those of the Arkansas Life and Health Insurance Guaranty Association, or its equivalent, in two (2) or more states. (B) Such a corporation, association, organization, or other entity, including, as applicable, the department, shall be reimbursed for any payments made on behalf of the Arkansas Life and Health Insurance Guaranty Association and shall be paid for its performance of any function of the Arkansas Life and Health Insurance Guaranty Association. (2) A delegation under this subsection shall take effect only with the approval of both the board and the commissioner, and may be made only to a corporation, association, organization or other entity, including the department, which extends protection not substantially less favorable and effective than that provided by this chapter.

(1) (A) The plan of operation may provide that any or all powers and duties of the Arkansas Life and Health Insurance Guaranty Association, except those under § 23-96-114(c)(3) and § 23-96-115 , may be delegated to the State Insurance Department or to a corporation, association, organization, or other entity which performs or will perform functions similar to those of the Arkansas Life and Health Insurance Guaranty Association, or its equivalent, in two (2) or more states. (B) Such a corporation, association, organization, or other entity, including, as applicable, the department, shall be reimbursed for any payments made on behalf of the Arkansas Life and Health Insurance Guaranty Association and shall be paid for its performance of any function of the Arkansas Life and Health Insurance Guaranty Association.

(A) The plan of operation may provide that any or all powers and duties of the Arkansas Life and Health Insurance Guaranty Association, except those under § 23-96-114(c)(3) and § 23-96-115 , may be delegated to the State Insurance Department or to a corporation, association, organization, or other entity which performs or will perform functions similar to those of the Arkansas Life and Health Insurance Guaranty Association, or its equivalent, in two (2) or more states.

(B) Such a corporation, association, organization, or other entity, including, as applicable, the department, shall be reimbursed for any payments made on behalf of the Arkansas Life and Health Insurance Guaranty Association and shall be paid for its performance of any function of the Arkansas Life and Health Insurance Guaranty Association.

(2) A delegation under this subsection shall take effect only with the approval of both the board and the commissioner, and may be made only to a corporation, association, organization or other entity, including the department, which extends protection not substantially less favorable and effective than that provided by this chapter.

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

Acts 1989, No. 444, § 10; 1997, No. 950, § 1.
Ark. Code Ann. § 23-12-614 — AR Code / Title 23 / Chapter 12 / Subchapter 6 / Section 23-12-614
Posting information regarding National Human Trafficking Resource Center Hotline
Status: in_force

A passenger train station governed by this subchapter shall post information about the National Human Trafficking Resource Center Hotline as required under § 12-19-102 . Added by Act 2013, No. 1157,§ 9, eff. 8/16/2013.

A passenger train station governed by this subchapter shall post information about the National Human Trafficking Resource Center Hotline as required under § 12-19-102 .

Added by Act 2013, No. 1157,§ 9, eff. 8/16/2013.
Ark. Code Ann. § 23-115-207 — AR Code / Title 23 / Chapter 115 / Subchapter 2 / Section 23-115-207
Rulemaking
Status: in_force

(a) The Office of the Arkansas Lottery may adopt rules regulating the conduct of lotteries in general, including without limitation rules specifying: (1) The types of lotteries to be conducted; (2) (A) The sale price of tickets or shares and the manner and method of sale. (B) [Repealed.] (3) The number and amount of prizes; (4) The method and location of selecting or validating winning tickets or shares; (5) The manner and time of payment of prizes, including without limitation lump-sum payments or installments over a period of years; (6) (A) The manner of payment of prizes to the holders of winning tickets or shares. (B) Winners of five hundred dollars ($500) or less may claim prizes from any of the following: (i) A retailer; or (ii) The office. (C) Winners of more than five hundred dollars ($500) but a dollar amount less than the threshold for federal tax withholding on gambling winnings may claim prizes from: (i) The office; or (ii) A super retailer. (D) (i) Winners of a dollar amount that exceeds the threshold for federal tax withholding on gambling winnings shall claim prizes from the office. (ii) The office may establish claim centers throughout the state; (7) The frequency of lotteries and drawings or selection of winning tickets or shares; (8) The means of conducting drawings; (9) (A) The method to be used in selling tickets or shares. (B) The selling of tickets or shares may include the use of electronic or mechanical devices. (C) If the office elects to use electronic or mechanical devices to sell tickets or shares, the office shall provide by rule: (i) Specifications and required features for electronic or mechanical devices that may be used to sell tickets or shares; and (ii) Procedures and requirements to prevent the use of electronic or mechanical devices by an individual under eighteen (18) years of age. (D) A retailer who knowingly allows a person under eighteen (18) years of age to purchase a lottery ticket from an electronic or mechanical device is subject to the penalties under § 23-115-901 . (E) The office shall publish a notice on the office's public website that provides the location, including without limitation the street address, of each self-service lottery ticket vending machine in operation in this state; (10) The manner and amount of compensation to retailers; and (11) Any other matters necessary, desirable, or convenient toward ensuring the efficient and effective operation of lotteries, the continued entertainment and convenience of the public, and the integrity of the lotteries. (b) The office may adopt rules requiring the publication on a ticket or share of the odds of winning a particular lottery game. (c) (1) (A) Except as provided in subdivision (c)(1)(B) of this section, the promulgation of rules under this chapter shall comply with the Arkansas Administrative Procedure Act, § 25-15-201 et seq. (B) The office is not required to file rules under § 10-3-309 . (2) (A) The promulgation of rules by the office is exempt from § 10-3-309 . (B) The office shall file its rules with the Legislative Council for review and approval at least thirty (30) days before the expiration of the public comment period. Amended by Act 2019, No. 682,§ 2, eff. 7/24/2019. Amended by Act 2017, No. 876,§ 1, eff. 8/1/2017. Amended by Act 2015, No. 1258,§ 24, eff. 7/22/2015. Amended by Act 2015, No. 218,§ 25, eff. 2/26/2015. Acts 2009, No. 605, § 1; 2009, No. 606, § 1; 2011, No. 1192, § 1.

(a) The Office of the Arkansas Lottery may adopt rules regulating the conduct of lotteries in general, including without limitation rules specifying: (1) The types of lotteries to be conducted; (2) (A) The sale price of tickets or shares and the manner and method of sale. (B) [Repealed.] (3) The number and amount of prizes; (4) The method and location of selecting or validating winning tickets or shares; (5) The manner and time of payment of prizes, including without limitation lump-sum payments or installments over a period of years; (6) (A) The manner of payment of prizes to the holders of winning tickets or shares. (B) Winners of five hundred dollars ($500) or less may claim prizes from any of the following: (i) A retailer; or (ii) The office. (C) Winners of more than five hundred dollars ($500) but a dollar amount less than the threshold for federal tax withholding on gambling winnings may claim prizes from: (i) The office; or (ii) A super retailer. (D) (i) Winners of a dollar amount that exceeds the threshold for federal tax withholding on gambling winnings shall claim prizes from the office. (ii) The office may establish claim centers throughout the state; (7) The frequency of lotteries and drawings or selection of winning tickets or shares; (8) The means of conducting drawings; (9) (A) The method to be used in selling tickets or shares. (B) The selling of tickets or shares may include the use of electronic or mechanical devices. (C) If the office elects to use electronic or mechanical devices to sell tickets or shares, the office shall provide by rule: (i) Specifications and required features for electronic or mechanical devices that may be used to sell tickets or shares; and (ii) Procedures and requirements to prevent the use of electronic or mechanical devices by an individual under eighteen (18) years of age. (D) A retailer who knowingly allows a person under eighteen (18) years of age to purchase a lottery ticket from an electronic or mechanical device is subject to the penalties under § 23-115-901 . (E) The office shall publish a notice on the office's public website that provides the location, including without limitation the street address, of each self-service lottery ticket vending machine in operation in this state; (10) The manner and amount of compensation to retailers; and (11) Any other matters necessary, desirable, or convenient toward ensuring the efficient and effective operation of lotteries, the continued entertainment and convenience of the public, and the integrity of the lotteries.

(1) The types of lotteries to be conducted;

(2) (A) The sale price of tickets or shares and the manner and method of sale. (B) [Repealed.]

(A) The sale price of tickets or shares and the manner and method of sale.

(B) [Repealed.]

(3) The number and amount of prizes;

(4) The method and location of selecting or validating winning tickets or shares;

(5) The manner and time of payment of prizes, including without limitation lump-sum payments or installments over a period of years;

(6) (A) The manner of payment of prizes to the holders of winning tickets or shares. (B) Winners of five hundred dollars ($500) or less may claim prizes from any of the following: (i) A retailer; or (ii) The office. (C) Winners of more than five hundred dollars ($500) but a dollar amount less than the threshold for federal tax withholding on gambling winnings may claim prizes from: (i) The office; or (ii) A super retailer. (D) (i) Winners of a dollar amount that exceeds the threshold for federal tax withholding on gambling winnings shall claim prizes from the office. (ii) The office may establish claim centers throughout the state;

(A) The manner of payment of prizes to the holders of winning tickets or shares.

(B) Winners of five hundred dollars ($500) or less may claim prizes from any of the following: (i) A retailer; or (ii) The office.

(i) A retailer; or

(ii) The office.

(C) Winners of more than five hundred dollars ($500) but a dollar amount less than the threshold for federal tax withholding on gambling winnings may claim prizes from: (i) The office; or (ii) A super retailer.

(i) The office; or

(ii) A super retailer.

(D) (i) Winners of a dollar amount that exceeds the threshold for federal tax withholding on gambling winnings shall claim prizes from the office. (ii) The office may establish claim centers throughout the state;

(i) Winners of a dollar amount that exceeds the threshold for federal tax withholding on gambling winnings shall claim prizes from the office.

(ii) The office may establish claim centers throughout the state;

(7) The frequency of lotteries and drawings or selection of winning tickets or shares;

(8) The means of conducting drawings;

(9) (A) The method to be used in selling tickets or shares. (B) The selling of tickets or shares may include the use of electronic or mechanical devices. (C) If the office elects to use electronic or mechanical devices to sell tickets or shares, the office shall provide by rule: (i) Specifications and required features for electronic or mechanical devices that may be used to sell tickets or shares; and (ii) Procedures and requirements to prevent the use of electronic or mechanical devices by an individual under eighteen (18) years of age. (D) A retailer who knowingly allows a person under eighteen (18) years of age to purchase a lottery ticket from an electronic or mechanical device is subject to the penalties under § 23-115-901 . (E) The office shall publish a notice on the office's public website that provides the location, including without limitation the street address, of each self-service lottery ticket vending machine in operation in this state;

(A) The method to be used in selling tickets or shares.

(B) The selling of tickets or shares may include the use of electronic or mechanical devices.

(C) If the office elects to use electronic or mechanical devices to sell tickets or shares, the office shall provide by rule: (i) Specifications and required features for electronic or mechanical devices that may be used to sell tickets or shares; and (ii) Procedures and requirements to prevent the use of electronic or mechanical devices by an individual under eighteen (18) years of age.

(i) Specifications and required features for electronic or mechanical devices that may be used to sell tickets or shares; and

(ii) Procedures and requirements to prevent the use of electronic or mechanical devices by an individual under eighteen (18) years of age.

(D) A retailer who knowingly allows a person under eighteen (18) years of age to purchase a lottery ticket from an electronic or mechanical device is subject to the penalties under § 23-115-901 .

(E) The office shall publish a notice on the office's public website that provides the location, including without limitation the street address, of each self-service lottery ticket vending machine in operation in this state;

(10) The manner and amount of compensation to retailers; and

(11) Any other matters necessary, desirable, or convenient toward ensuring the efficient and effective operation of lotteries, the continued entertainment and convenience of the public, and the integrity of the lotteries.

(b) The office may adopt rules requiring the publication on a ticket or share of the odds of winning a particular lottery game.

(c) (1) (A) Except as provided in subdivision (c)(1)(B) of this section, the promulgation of rules under this chapter shall comply with the Arkansas Administrative Procedure Act, § 25-15-201 et seq. (B) The office is not required to file rules under § 10-3-309 . (2) (A) The promulgation of rules by the office is exempt from § 10-3-309 . (B) The office shall file its rules with the Legislative Council for review and approval at least thirty (30) days before the expiration of the public comment period.

(1) (A) Except as provided in subdivision (c)(1)(B) of this section, the promulgation of rules under this chapter shall comply with the Arkansas Administrative Procedure Act, § 25-15-201 et seq. (B) The office is not required to file rules under § 10-3-309 .

(A) Except as provided in subdivision (c)(1)(B) of this section, the promulgation of rules under this chapter shall comply with the Arkansas Administrative Procedure Act, § 25-15-201 et seq.

(B) The office is not required to file rules under § 10-3-309 .

(2) (A) The promulgation of rules by the office is exempt from § 10-3-309 . (B) The office shall file its rules with the Legislative Council for review and approval at least thirty (30) days before the expiration of the public comment period.

(A) The promulgation of rules by the office is exempt from § 10-3-309 .

(B) The office shall file its rules with the Legislative Council for review and approval at least thirty (30) days before the expiration of the public comment period.

Amended by Act 2019, No. 682,§ 2, eff. 7/24/2019.

Amended by Act 2017, No. 876,§ 1, eff. 8/1/2017.

Amended by Act 2015, No. 1258,§ 24, eff. 7/22/2015.

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

Acts 2009, No. 605, § 1; 2009, No. 606, § 1; 2011, No. 1192, § 1.
Ark. Code Ann. § 23-17-405 — AR Code / Title 23 / Chapter 17 / Subchapter 4 / Section 23-17-405
Eligible telecommunications carrier
Status: in_force

(a) The incumbent local exchange carrier, its successors and assigns, that owns, maintains, and provides facilities for universal service within a local exchange area on February 4, 1997, shall be the eligible telecommunications carrier within the local exchange area. (b) The Arkansas Public Service Commission, consistent with 47 U.S.C. § 214(e)(2) , after reasonable notice and hearing, may designate other telecommunications providers to be eligible for federal Universal Service Fund or AHCF support under the following conditions: (1) (A) The other telecommunications provider accepts the responsibility to provide service in response to any reasonable request from customers in an incumbent local exchange carrier's local exchange area using its own facilities or a combination of its own facilities and resale of another carrier's services. (B) High-cost support under this section will not begin until the telecommunications provider offers to provide service in response to all reasonable requests for service from customers in its service area; (2) The telecommunications provider may only receive funding for services provided in the eligible telecommunications carrier's study area using its own facilities or a combination of its own facilities and another carrier's facilities; (3) The telecommunications provider will not receive AHCF funding at a level higher than the level of funding received by the incumbent local exchange carrier in the same area; (4) The telecommunications provider advertises the availability and the charges for the services, using media of general distribution; and (5) It is determined by the commission that the designation is in the public interest. (c) (1) In exchanges, wire centers, census blocks, or other areas where the commission has designated more than one (1) eligible telecommunications carrier, the commission shall permit a local exchange carrier to relinquish its designation as an eligible telecommunications carrier in any such area, consistent with 47 U.S.C. § 214(e)(4) , upon a finding that at least one (1) eligible telecommunications carrier serves the area. (2) In an area in which a local exchange carrier has relinquished its eligible telecommunications carrier designation, the local exchange carrier may: (A) Continue providing services, including universal services; and (B) (i) Discontinue providing services, including universal services. (ii) If a local exchange carrier discontinues providing basic local exchange service under subdivision (c)(2)(B)(i) of this section, the carrier shall notify affected customers in writing at least ninety (90) days before discontinuing the service. (d) (1) (A) For the entire area served by a rural telephone company, excluding tier one companies, for the purpose of the AHCF and the federal Universal Service Fund, there shall be only one (1) wireline eligible telecommunications carrier which shall be the incumbent local exchange carrier that is a rural telephone company. (B) Multiple wireless eligible telecommunications carriers may be designated in areas served by rural telephone companies. (2) The rural telephone company may elect to waive its right to be the only wireline eligible telecommunications carrier within the local exchange area by filing notice with the commission. (e) To provide universal services, an eligible telecommunications carrier may use: (1) Commercial mobile services; (2) Voice over Internet Protocol; and (3) Any other technology that provides service that is the functional equivalent of commercial mobile services or Voice over Internet Protocol. Amended by Act 2017, No. 419,§ 1, eff. 7/1/2017. Amended by Act 2013, No. 442,§ 19, eff. 3/19/2013. Acts 1997, No. 77, § 5; 2007, No. 385, § 5; 2009, No. 191, § 1.

(a) The incumbent local exchange carrier, its successors and assigns, that owns, maintains, and provides facilities for universal service within a local exchange area on February 4, 1997, shall be the eligible telecommunications carrier within the local exchange area.

(b) The Arkansas Public Service Commission, consistent with 47 U.S.C. § 214(e)(2) , after reasonable notice and hearing, may designate other telecommunications providers to be eligible for federal Universal Service Fund or AHCF support under the following conditions: (1) (A) The other telecommunications provider accepts the responsibility to provide service in response to any reasonable request from customers in an incumbent local exchange carrier's local exchange area using its own facilities or a combination of its own facilities and resale of another carrier's services. (B) High-cost support under this section will not begin until the telecommunications provider offers to provide service in response to all reasonable requests for service from customers in its service area; (2) The telecommunications provider may only receive funding for services provided in the eligible telecommunications carrier's study area using its own facilities or a combination of its own facilities and another carrier's facilities; (3) The telecommunications provider will not receive AHCF funding at a level higher than the level of funding received by the incumbent local exchange carrier in the same area; (4) The telecommunications provider advertises the availability and the charges for the services, using media of general distribution; and (5) It is determined by the commission that the designation is in the public interest.

(1) (A) The other telecommunications provider accepts the responsibility to provide service in response to any reasonable request from customers in an incumbent local exchange carrier's local exchange area using its own facilities or a combination of its own facilities and resale of another carrier's services. (B) High-cost support under this section will not begin until the telecommunications provider offers to provide service in response to all reasonable requests for service from customers in its service area;

(A) The other telecommunications provider accepts the responsibility to provide service in response to any reasonable request from customers in an incumbent local exchange carrier's local exchange area using its own facilities or a combination of its own facilities and resale of another carrier's services.

(B) High-cost support under this section will not begin until the telecommunications provider offers to provide service in response to all reasonable requests for service from customers in its service area;

(2) The telecommunications provider may only receive funding for services provided in the eligible telecommunications carrier's study area using its own facilities or a combination of its own facilities and another carrier's facilities;

(3) The telecommunications provider will not receive AHCF funding at a level higher than the level of funding received by the incumbent local exchange carrier in the same area;

(4) The telecommunications provider advertises the availability and the charges for the services, using media of general distribution; and

(5) It is determined by the commission that the designation is in the public interest.

(c) (1) In exchanges, wire centers, census blocks, or other areas where the commission has designated more than one (1) eligible telecommunications carrier, the commission shall permit a local exchange carrier to relinquish its designation as an eligible telecommunications carrier in any such area, consistent with 47 U.S.C. § 214(e)(4) , upon a finding that at least one (1) eligible telecommunications carrier serves the area. (2) In an area in which a local exchange carrier has relinquished its eligible telecommunications carrier designation, the local exchange carrier may: (A) Continue providing services, including universal services; and (B) (i) Discontinue providing services, including universal services. (ii) If a local exchange carrier discontinues providing basic local exchange service under subdivision (c)(2)(B)(i) of this section, the carrier shall notify affected customers in writing at least ninety (90) days before discontinuing the service.

(1) In exchanges, wire centers, census blocks, or other areas where the commission has designated more than one (1) eligible telecommunications carrier, the commission shall permit a local exchange carrier to relinquish its designation as an eligible telecommunications carrier in any such area, consistent with 47 U.S.C. § 214(e)(4) , upon a finding that at least one (1) eligible telecommunications carrier serves the area.

(2) In an area in which a local exchange carrier has relinquished its eligible telecommunications carrier designation, the local exchange carrier may: (A) Continue providing services, including universal services; and (B) (i) Discontinue providing services, including universal services. (ii) If a local exchange carrier discontinues providing basic local exchange service under subdivision (c)(2)(B)(i) of this section, the carrier shall notify affected customers in writing at least ninety (90) days before discontinuing the service.

(A) Continue providing services, including universal services; and

(B) (i) Discontinue providing services, including universal services. (ii) If a local exchange carrier discontinues providing basic local exchange service under subdivision (c)(2)(B)(i) of this section, the carrier shall notify affected customers in writing at least ninety (90) days before discontinuing the service.

(i) Discontinue providing services, including universal services.

(ii) If a local exchange carrier discontinues providing basic local exchange service under subdivision (c)(2)(B)(i) of this section, the carrier shall notify affected customers in writing at least ninety (90) days before discontinuing the service.

(d) (1) (A) For the entire area served by a rural telephone company, excluding tier one companies, for the purpose of the AHCF and the federal Universal Service Fund, there shall be only one (1) wireline eligible telecommunications carrier which shall be the incumbent local exchange carrier that is a rural telephone company. (B) Multiple wireless eligible telecommunications carriers may be designated in areas served by rural telephone companies. (2) The rural telephone company may elect to waive its right to be the only wireline eligible telecommunications carrier within the local exchange area by filing notice with the commission.

(1) (A) For the entire area served by a rural telephone company, excluding tier one companies, for the purpose of the AHCF and the federal Universal Service Fund, there shall be only one (1) wireline eligible telecommunications carrier which shall be the incumbent local exchange carrier that is a rural telephone company. (B) Multiple wireless eligible telecommunications carriers may be designated in areas served by rural telephone companies.

(A) For the entire area served by a rural telephone company, excluding tier one companies, for the purpose of the AHCF and the federal Universal Service Fund, there shall be only one (1) wireline eligible telecommunications carrier which shall be the incumbent local exchange carrier that is a rural telephone company.

(B) Multiple wireless eligible telecommunications carriers may be designated in areas served by rural telephone companies.

(2) The rural telephone company may elect to waive its right to be the only wireline eligible telecommunications carrier within the local exchange area by filing notice with the commission.

(e) To provide universal services, an eligible telecommunications carrier may use: (1) Commercial mobile services; (2) Voice over Internet Protocol; and (3) Any other technology that provides service that is the functional equivalent of commercial mobile services or Voice over Internet Protocol.

(1) Commercial mobile services;

(2) Voice over Internet Protocol; and

(3) Any other technology that provides service that is the functional equivalent of commercial mobile services or Voice over Internet Protocol.

Amended by Act 2017, No. 419,§ 1, eff. 7/1/2017.

Amended by Act 2013, No. 442,§ 19, eff. 3/19/2013.

Acts 1997, No. 77, § 5; 2007, No. 385, § 5; 2009, No. 191, § 1.
Ark. Code Ann. § 23-46-602 — AR Code / Title 23 / Chapter 46 / Subchapter 6 / Section 23-46-602
Definitions
Status: in_force

As used in this subchapter: (1) "Bank supervisory agency" means the same as defined in § 23-45-102 ; (2) (A) "Covered service" means a service provided by a technology service provider to a depository institution in this state to the extent that the service is designed and marketed specifically for use by depository institutions to provide financial services to their customers. (B) "Covered service" includes: (i) Data processing services; (ii) Activities that support financial services, including without limitation lending, funds transfer, fiduciary activities, trading activities, and deposit-taking; (iii) Internet-related services, including without limitation web services, electronic bill payments, mobile applications, system and software development and maintenance, and security monitoring; and (iv) Activities related to the business of banking; (3) "Depository institution" means an entity or financial institution as defined in § 23-45-102(a)(19) or § 23-45-102(a)(21) , including any subsidiary or affiliate of the depository institution that is subject to examination by the Bank Commissioner; (4) "Internet service provider" means any provider that provides a subscriber with access to the internet; and (5) (A) "Technology service provider" means a person, company, corporation, or other legal entity that provides a covered service. (B) "Technology service provider" does not mean: (i) An internet service provider or a general audience internet platform; (ii) A person, company, corporation, or other legal entity licensed under the Uniform Money Services Act, § 23-55-101 et seq.; or (iii) An authorized delegate of a licensee under the Uniform Money Services Act, § 23-55-101 et seq. Added by Act 2017, No. 646,§ 1, eff. 3/24/2017.

As used in this subchapter:

(1) "Bank supervisory agency" means the same as defined in § 23-45-102 ;

(2) (A) "Covered service" means a service provided by a technology service provider to a depository institution in this state to the extent that the service is designed and marketed specifically for use by depository institutions to provide financial services to their customers. (B) "Covered service" includes: (i) Data processing services; (ii) Activities that support financial services, including without limitation lending, funds transfer, fiduciary activities, trading activities, and deposit-taking; (iii) Internet-related services, including without limitation web services, electronic bill payments, mobile applications, system and software development and maintenance, and security monitoring; and (iv) Activities related to the business of banking;

(A) "Covered service" means a service provided by a technology service provider to a depository institution in this state to the extent that the service is designed and marketed specifically for use by depository institutions to provide financial services to their customers.

(B) "Covered service" includes: (i) Data processing services; (ii) Activities that support financial services, including without limitation lending, funds transfer, fiduciary activities, trading activities, and deposit-taking; (iii) Internet-related services, including without limitation web services, electronic bill payments, mobile applications, system and software development and maintenance, and security monitoring; and (iv) Activities related to the business of banking;

(i) Data processing services;

(ii) Activities that support financial services, including without limitation lending, funds transfer, fiduciary activities, trading activities, and deposit-taking;

(iii) Internet-related services, including without limitation web services, electronic bill payments, mobile applications, system and software development and maintenance, and security monitoring; and

(iv) Activities related to the business of banking;

(3) "Depository institution" means an entity or financial institution as defined in § 23-45-102(a)(19) or § 23-45-102(a)(21) , including any subsidiary or affiliate of the depository institution that is subject to examination by the Bank Commissioner;

(4) "Internet service provider" means any provider that provides a subscriber with access to the internet; and

(5) (A) "Technology service provider" means a person, company, corporation, or other legal entity that provides a covered service. (B) "Technology service provider" does not mean: (i) An internet service provider or a general audience internet platform; (ii) A person, company, corporation, or other legal entity licensed under the Uniform Money Services Act, § 23-55-101 et seq.; or (iii) An authorized delegate of a licensee under the Uniform Money Services Act, § 23-55-101 et seq.

(A) "Technology service provider" means a person, company, corporation, or other legal entity that provides a covered service.

(B) "Technology service provider" does not mean: (i) An internet service provider or a general audience internet platform; (ii) A person, company, corporation, or other legal entity licensed under the Uniform Money Services Act, § 23-55-101 et seq.; or (iii) An authorized delegate of a licensee under the Uniform Money Services Act, § 23-55-101 et seq.

(i) An internet service provider or a general audience internet platform;

(ii) A person, company, corporation, or other legal entity licensed under the Uniform Money Services Act, § 23-55-101 et seq.; or

(iii) An authorized delegate of a licensee under the Uniform Money Services Act, § 23-55-101 et seq.

Added by Act 2017, No. 646,§ 1, eff. 3/24/2017.
Ark. Code Ann. § 23-71-110 — AR Code / Title 23 / Chapter 71 / Section 23-71-110
Guaranty fund deposit
Status: in_force

(a) (1) (A) Every insurer shall have deposited and maintain on deposit with the Insurance Commissioner acceptable securities in amounts based upon the amount of the insurer's admitted assets as of December 31 of the preceding calendar year as follows: (i) $000,001 to $250,000 - $50,000 minimum deposit; (ii) $250,001 to $500,000 - $75,000 minimum deposit; (iii) $500,001 to $1,000,000 - $100,000 minimum deposit; (iv) Over $1,000,000 - $150,000 minimum deposit. (B) The commissioner shall have the discretion to require deposits in excess of those enumerated if such a deposit is in the best interest of the public and the insurer's policyholders. (2) This deposit shall be known as the "guaranty fund" and shall be held for the purpose of guaranteeing the payment of any final judgment rendered against the insurer on any claim arising under any of its contracts of insurance. (3) If the insurer fails to pay the judgment, the commissioner shall pay the judgment from the insurer's deposit and for that purpose may liquidate at current market value any securities so deposited. (b) Upon applying the deposit or any part thereof necessary to pay any judgment, the commissioner shall so notify the insurer, requiring the insurer to fully replenish and restore the deposit to the amount previously required, as well as any additional amounts the commissioner may require, within sixty (60) days after date of notice. If the deposit is not so restored within sixty (60) days, the commissioner shall revoke the certificate of authority until the insurer is fully in compliance with this chapter. (c) (1) The guaranty fund deposit shall not be a part of the insurer's capital stock. Commencing on and after January 1, 2002, it shall be a part of its surplus or undivided profits and shall be considered an asset and be a part of the insurance fund of the insurer. (2) The commissioner may allow domestic insurers to augment their surplus or undivided profits over a period of up to five (5) years from August 13, 2001, to achieve compliance with the minimum amounts required in subsection (a) of this section, if immediate compliance with this section would cause the domestic insurer to be impaired or insolvent or in hazardous financial condition. (d) (1) When an insurer desires to relinquish its business in this state, the commissioner, on application of the insurer under oath of its president or principal officer and secretary or actuary, shall publish notice of such an intention at least one (1) time a week for four (4) consecutive weeks in a newspaper of general circulation published at the state capital. (2) (A) If, after the publication, the commissioner is satisfied that all debts and liabilities of every kind of the insurer are paid or provided for, the commissioner shall deliver up to the insurer the securities or funds held by the commissioner belonging to the insurer. (B) No relinquishment shall be effectuated until after the insurer has bulk reinsured in another authorized insurer or has otherwise properly terminated with advance written notice all its insurance in force, after approval of its plan by the commissioner. Acts 1959, No. 148, §§ 546, 547; A.S.A. 1947, §§ 66-4407, 66-4408; Acts 1991, No. 1123, § 6; 2001, No. 1137, § 1.

(a) (1) (A) Every insurer shall have deposited and maintain on deposit with the Insurance Commissioner acceptable securities in amounts based upon the amount of the insurer's admitted assets as of December 31 of the preceding calendar year as follows: (i) $000,001 to $250,000 - $50,000 minimum deposit; (ii) $250,001 to $500,000 - $75,000 minimum deposit; (iii) $500,001 to $1,000,000 - $100,000 minimum deposit; (iv) Over $1,000,000 - $150,000 minimum deposit. (B) The commissioner shall have the discretion to require deposits in excess of those enumerated if such a deposit is in the best interest of the public and the insurer's policyholders. (2) This deposit shall be known as the "guaranty fund" and shall be held for the purpose of guaranteeing the payment of any final judgment rendered against the insurer on any claim arising under any of its contracts of insurance. (3) If the insurer fails to pay the judgment, the commissioner shall pay the judgment from the insurer's deposit and for that purpose may liquidate at current market value any securities so deposited.

(1) (A) Every insurer shall have deposited and maintain on deposit with the Insurance Commissioner acceptable securities in amounts based upon the amount of the insurer's admitted assets as of December 31 of the preceding calendar year as follows: (i) $000,001 to $250,000 - $50,000 minimum deposit; (ii) $250,001 to $500,000 - $75,000 minimum deposit; (iii) $500,001 to $1,000,000 - $100,000 minimum deposit; (iv) Over $1,000,000 - $150,000 minimum deposit. (B) The commissioner shall have the discretion to require deposits in excess of those enumerated if such a deposit is in the best interest of the public and the insurer's policyholders.

(A) Every insurer shall have deposited and maintain on deposit with the Insurance Commissioner acceptable securities in amounts based upon the amount of the insurer's admitted assets as of December 31 of the preceding calendar year as follows: (i) $000,001 to $250,000 - $50,000 minimum deposit; (ii) $250,001 to $500,000 - $75,000 minimum deposit; (iii) $500,001 to $1,000,000 - $100,000 minimum deposit; (iv) Over $1,000,000 - $150,000 minimum deposit.

(i) $000,001 to $250,000 - $50,000 minimum deposit;

(ii) $250,001 to $500,000 - $75,000 minimum deposit;

(iii) $500,001 to $1,000,000 - $100,000 minimum deposit;

(iv) Over $1,000,000 - $150,000 minimum deposit.

(B) The commissioner shall have the discretion to require deposits in excess of those enumerated if such a deposit is in the best interest of the public and the insurer's policyholders.

(2) This deposit shall be known as the "guaranty fund" and shall be held for the purpose of guaranteeing the payment of any final judgment rendered against the insurer on any claim arising under any of its contracts of insurance.

(3) If the insurer fails to pay the judgment, the commissioner shall pay the judgment from the insurer's deposit and for that purpose may liquidate at current market value any securities so deposited.

(b) Upon applying the deposit or any part thereof necessary to pay any judgment, the commissioner shall so notify the insurer, requiring the insurer to fully replenish and restore the deposit to the amount previously required, as well as any additional amounts the commissioner may require, within sixty (60) days after date of notice. If the deposit is not so restored within sixty (60) days, the commissioner shall revoke the certificate of authority until the insurer is fully in compliance with this chapter.

(c) (1) The guaranty fund deposit shall not be a part of the insurer's capital stock. Commencing on and after January 1, 2002, it shall be a part of its surplus or undivided profits and shall be considered an asset and be a part of the insurance fund of the insurer. (2) The commissioner may allow domestic insurers to augment their surplus or undivided profits over a period of up to five (5) years from August 13, 2001, to achieve compliance with the minimum amounts required in subsection (a) of this section, if immediate compliance with this section would cause the domestic insurer to be impaired or insolvent or in hazardous financial condition.

(1) The guaranty fund deposit shall not be a part of the insurer's capital stock. Commencing on and after January 1, 2002, it shall be a part of its surplus or undivided profits and shall be considered an asset and be a part of the insurance fund of the insurer.

(2) The commissioner may allow domestic insurers to augment their surplus or undivided profits over a period of up to five (5) years from August 13, 2001, to achieve compliance with the minimum amounts required in subsection (a) of this section, if immediate compliance with this section would cause the domestic insurer to be impaired or insolvent or in hazardous financial condition.

(d) (1) When an insurer desires to relinquish its business in this state, the commissioner, on application of the insurer under oath of its president or principal officer and secretary or actuary, shall publish notice of such an intention at least one (1) time a week for four (4) consecutive weeks in a newspaper of general circulation published at the state capital. (2) (A) If, after the publication, the commissioner is satisfied that all debts and liabilities of every kind of the insurer are paid or provided for, the commissioner shall deliver up to the insurer the securities or funds held by the commissioner belonging to the insurer. (B) No relinquishment shall be effectuated until after the insurer has bulk reinsured in another authorized insurer or has otherwise properly terminated with advance written notice all its insurance in force, after approval of its plan by the commissioner.

(1) When an insurer desires to relinquish its business in this state, the commissioner, on application of the insurer under oath of its president or principal officer and secretary or actuary, shall publish notice of such an intention at least one (1) time a week for four (4) consecutive weeks in a newspaper of general circulation published at the state capital.

(2) (A) If, after the publication, the commissioner is satisfied that all debts and liabilities of every kind of the insurer are paid or provided for, the commissioner shall deliver up to the insurer the securities or funds held by the commissioner belonging to the insurer. (B) No relinquishment shall be effectuated until after the insurer has bulk reinsured in another authorized insurer or has otherwise properly terminated with advance written notice all its insurance in force, after approval of its plan by the commissioner.

(A) If, after the publication, the commissioner is satisfied that all debts and liabilities of every kind of the insurer are paid or provided for, the commissioner shall deliver up to the insurer the securities or funds held by the commissioner belonging to the insurer.

(B) No relinquishment shall be effectuated until after the insurer has bulk reinsured in another authorized insurer or has otherwise properly terminated with advance written notice all its insurance in force, after approval of its plan by the commissioner.

Acts 1959, No. 148, §§ 546, 547; A.S.A. 1947, §§ 66-4407, 66-4408; Acts 1991, No. 1123, § 6; 2001, No. 1137, § 1.
Ark. Code Ann. § 23-69-316 — AR Code / Title 23 / Chapter 69 / Subchapter 3 / Section 23-69-316
Power of Insurance Commissioner to order production of documents
Status: in_force

The Insurance Commissioner shall have the power to order production of any records, books, or other information and papers in the possession of a mutual insurance holding company or its affiliates as are reasonably necessary to ascertain the financial condition of the reorganized stock insurer or to determine compliance with this subchapter. Acts 2001, No. 1726, § 1.

The Insurance Commissioner shall have the power to order production of any records, books, or other information and papers in the possession of a mutual insurance holding company or its affiliates as are reasonably necessary to ascertain the financial condition of the reorganized stock insurer or to determine compliance with this subchapter.

Acts 2001, No. 1726, § 1.
Ark. Code Ann. § 23-37-703 — AR Code / Title 23 / Chapter 37 / Subchapter 7 / Section 23-37-703
Conversion of mutual association into stock association
Status: in_force

(a) With the approval of the Savings and Loan Association Board [abolished], any mutual association may convert into a stock association under this chapter upon a majority vote of the members of the mutual association at an annual or any special meeting called to consider that action. (b) Prior to the meeting of the members to consider conversion from a mutual association to a stock association, the board of directors of the mutual association shall file with the Supervisor of Savings and Loan Associations a petition for authority to convert, which shall set forth: (1) The proposed bylaws and articles of incorporation of the stock association; (2) The details of the plan for conversion; (3) The form of the notice that will be given to members of the mutual association of the meeting to consider conversion and the time and manner in which the notice will be given; (4) The preemptive rights to subscribe to permanent capital stock in the stock association that will be granted to members; (5) The manner in which permanent capital stock in the stock association will be sold and distributed; (6) The manner of computing the interest of each member in the general and special reserves of the mutual association; and (7) Any other information applicable to the conversion which the supervisor may by rule prescribe. (c) Upon the filing of a petition for authority to convert from a mutual association to a stock association, the board shall hold a hearing on the petition and shall issue its certificate of preliminary approval, if the board finds: (1) The plan for conversion proposed in the petition is fair and equitable to the members of the mutual association; (2) The notice to the members of the meeting to consider the plan of conversion fairly sets out the rights and obligations of the members under the plan; (3) Under the plan for conversion, each member of the association is given the right to subscribe on a pro rata basis to his or her interest in the mutual association to stock in the resultant stock association, provided, fractional shares shall not be required to be issued; (4) The plan of conversion makes adequate provision for the payment to each member of his or her pro rata interest in any excess special or general reserves of the mutual association; (5) The conversion to a stock association will not impair the mutual association's financial condition or its ability to pay withdrawals of savings accounts or other creditors; (6) The converted stock association would meet the requirements under this chapter for the granting of an original certificate of incorporation to a stock association under this chapter; and (7) Not more than twenty-five percent (25%) of the outstanding permanent stock of the converted association, upon conversion, will be owned directly or beneficially by any one (1) individual. (d) (1) Upon receipt of a certificate of preliminary approval, the board of directors of the mutual association shall call a meeting of the members to consider the plan of conversion. (2) Notice of the meeting shall be given in the form and manner prescribed by the order of the board. (3) A copy of the minutes of the proceedings of the meeting of the members, and copies of the articles of incorporation and bylaws adopted by the members, verified by the affidavit of the secretary of the association, shall be filed in the office of the supervisor and shall be presumptive evidence of the holding and actions of the meeting. (e) (1) Upon the filing of the documents and the receipt of evidence satisfactory to the supervisor that the plan of conversion approved by the board has been implemented, the supervisor shall endorse his or her approval on the articles of incorporation of the proposed stock association, whereupon the stock association shall become and be deemed to be a stock association under this chapter. (2) A copy of the articles of incorporation, bearing the endorsement of approval by the supervisor, shall be filed with the Secretary of State and with the county clerk of the county in which the home office of the association is located. (f) Upon the conversion from a mutual association to a stock association, the corporate existence of the association shall not terminate, but the stock association shall be deemed to be a continuation of the entity of the former mutual association. All the provisions regarding property and other rights contained in § 23-37-701 shall apply to the conversion of a mutual association to a stock association so that the stock association shall be a continuation of the corporate entity of the former mutual association and continue to have all of its property and rights. Amended by Act 2019, No. 315,§ 2498, eff. 7/24/2019. Acts 1963, No. 227, § 52; 1973, No. 292, § 5; A.S.A. 1947, § 67-1852.

(a) With the approval of the Savings and Loan Association Board [abolished], any mutual association may convert into a stock association under this chapter upon a majority vote of the members of the mutual association at an annual or any special meeting called to consider that action.

(b) Prior to the meeting of the members to consider conversion from a mutual association to a stock association, the board of directors of the mutual association shall file with the Supervisor of Savings and Loan Associations a petition for authority to convert, which shall set forth: (1) The proposed bylaws and articles of incorporation of the stock association; (2) The details of the plan for conversion; (3) The form of the notice that will be given to members of the mutual association of the meeting to consider conversion and the time and manner in which the notice will be given; (4) The preemptive rights to subscribe to permanent capital stock in the stock association that will be granted to members; (5) The manner in which permanent capital stock in the stock association will be sold and distributed; (6) The manner of computing the interest of each member in the general and special reserves of the mutual association; and (7) Any other information applicable to the conversion which the supervisor may by rule prescribe.

(1) The proposed bylaws and articles of incorporation of the stock association;

(2) The details of the plan for conversion;

(3) The form of the notice that will be given to members of the mutual association of the meeting to consider conversion and the time and manner in which the notice will be given;

(4) The preemptive rights to subscribe to permanent capital stock in the stock association that will be granted to members;

(5) The manner in which permanent capital stock in the stock association will be sold and distributed;

(6) The manner of computing the interest of each member in the general and special reserves of the mutual association; and

(7) Any other information applicable to the conversion which the supervisor may by rule prescribe.

(c) Upon the filing of a petition for authority to convert from a mutual association to a stock association, the board shall hold a hearing on the petition and shall issue its certificate of preliminary approval, if the board finds: (1) The plan for conversion proposed in the petition is fair and equitable to the members of the mutual association; (2) The notice to the members of the meeting to consider the plan of conversion fairly sets out the rights and obligations of the members under the plan; (3) Under the plan for conversion, each member of the association is given the right to subscribe on a pro rata basis to his or her interest in the mutual association to stock in the resultant stock association, provided, fractional shares shall not be required to be issued; (4) The plan of conversion makes adequate provision for the payment to each member of his or her pro rata interest in any excess special or general reserves of the mutual association; (5) The conversion to a stock association will not impair the mutual association's financial condition or its ability to pay withdrawals of savings accounts or other creditors; (6) The converted stock association would meet the requirements under this chapter for the granting of an original certificate of incorporation to a stock association under this chapter; and (7) Not more than twenty-five percent (25%) of the outstanding permanent stock of the converted association, upon conversion, will be owned directly or beneficially by any one (1) individual.

(1) The plan for conversion proposed in the petition is fair and equitable to the members of the mutual association;

(2) The notice to the members of the meeting to consider the plan of conversion fairly sets out the rights and obligations of the members under the plan;

(3) Under the plan for conversion, each member of the association is given the right to subscribe on a pro rata basis to his or her interest in the mutual association to stock in the resultant stock association, provided, fractional shares shall not be required to be issued;

(4) The plan of conversion makes adequate provision for the payment to each member of his or her pro rata interest in any excess special or general reserves of the mutual association;

(5) The conversion to a stock association will not impair the mutual association's financial condition or its ability to pay withdrawals of savings accounts or other creditors;

(6) The converted stock association would meet the requirements under this chapter for the granting of an original certificate of incorporation to a stock association under this chapter; and

(7) Not more than twenty-five percent (25%) of the outstanding permanent stock of the converted association, upon conversion, will be owned directly or beneficially by any one (1) individual.

(d) (1) Upon receipt of a certificate of preliminary approval, the board of directors of the mutual association shall call a meeting of the members to consider the plan of conversion. (2) Notice of the meeting shall be given in the form and manner prescribed by the order of the board. (3) A copy of the minutes of the proceedings of the meeting of the members, and copies of the articles of incorporation and bylaws adopted by the members, verified by the affidavit of the secretary of the association, shall be filed in the office of the supervisor and shall be presumptive evidence of the holding and actions of the meeting.

(1) Upon receipt of a certificate of preliminary approval, the board of directors of the mutual association shall call a meeting of the members to consider the plan of conversion.

(2) Notice of the meeting shall be given in the form and manner prescribed by the order of the board.

(3) A copy of the minutes of the proceedings of the meeting of the members, and copies of the articles of incorporation and bylaws adopted by the members, verified by the affidavit of the secretary of the association, shall be filed in the office of the supervisor and shall be presumptive evidence of the holding and actions of the meeting.

(e) (1) Upon the filing of the documents and the receipt of evidence satisfactory to the supervisor that the plan of conversion approved by the board has been implemented, the supervisor shall endorse his or her approval on the articles of incorporation of the proposed stock association, whereupon the stock association shall become and be deemed to be a stock association under this chapter. (2) A copy of the articles of incorporation, bearing the endorsement of approval by the supervisor, shall be filed with the Secretary of State and with the county clerk of the county in which the home office of the association is located.

(1) Upon the filing of the documents and the receipt of evidence satisfactory to the supervisor that the plan of conversion approved by the board has been implemented, the supervisor shall endorse his or her approval on the articles of incorporation of the proposed stock association, whereupon the stock association shall become and be deemed to be a stock association under this chapter.

(2) A copy of the articles of incorporation, bearing the endorsement of approval by the supervisor, shall be filed with the Secretary of State and with the county clerk of the county in which the home office of the association is located.

(f) Upon the conversion from a mutual association to a stock association, the corporate existence of the association shall not terminate, but the stock association shall be deemed to be a continuation of the entity of the former mutual association. All the provisions regarding property and other rights contained in § 23-37-701 shall apply to the conversion of a mutual association to a stock association so that the stock association shall be a continuation of the corporate entity of the former mutual association and continue to have all of its property and rights.

Amended by Act 2019, No. 315,§ 2498, eff. 7/24/2019.

Acts 1963, No. 227, § 52; 1973, No. 292, § 5; A.S.A. 1947, § 67-1852.
Ark. Code Ann. § 23-62-410 — AR Code / Title 23 / Chapter 62 / Subchapter 4 / Section 23-62-410
Duties of reinsurers utilizing the services of a reinsurance intermediary manager
Status: in_force

(a) A reinsurer shall not engage the services of any person, firm, association, or corporation to act as a reinsurance intermediary manager on its behalf unless the person is licensed as required by § 23-62-404 . (b) The reinsurer shall annually obtain a copy of statements of the financial condition of each reinsurance intermediary manager which the reinsurer has engaged, prepared by an independent certified accountant in a form acceptable to the Insurance Commissioner. (c) (1) If a reinsurance intermediary manager establishes loss reserves, the reinsurer shall annually obtain the opinion of an actuary attesting to the adequacy of loss reserves established for losses incurred and outstanding on business produced by the reinsurance intermediary manager. (2) This opinion shall be in addition to any other required loss reserve certification. (d) Binding authority for all retrocessional contracts or participation in reinsurance syndicates shall rest with an officer of the reinsurer who shall not be affiliated with a reinsurance intermediary manager. (e) Within thirty (30) days of termination of a contract with a reinsurance intermediary manager, the reinsurer shall provide written notification of the termination to the commissioner. (f) (1) A reinsurer shall not appoint to its board of directors any officer, director, employee, controlling shareholder, or subproducer of its reinsurance intermediary manager. (2) This subsection shall not apply to relationships governed by the Insurance Holding Company Regulatory Act, § 23-63-501 et seq. Acts 1993, No. 527, § 1.

(a) A reinsurer shall not engage the services of any person, firm, association, or corporation to act as a reinsurance intermediary manager on its behalf unless the person is licensed as required by § 23-62-404 .

(b) The reinsurer shall annually obtain a copy of statements of the financial condition of each reinsurance intermediary manager which the reinsurer has engaged, prepared by an independent certified accountant in a form acceptable to the Insurance Commissioner.

(c) (1) If a reinsurance intermediary manager establishes loss reserves, the reinsurer shall annually obtain the opinion of an actuary attesting to the adequacy of loss reserves established for losses incurred and outstanding on business produced by the reinsurance intermediary manager. (2) This opinion shall be in addition to any other required loss reserve certification.

(1) If a reinsurance intermediary manager establishes loss reserves, the reinsurer shall annually obtain the opinion of an actuary attesting to the adequacy of loss reserves established for losses incurred and outstanding on business produced by the reinsurance intermediary manager.

(2) This opinion shall be in addition to any other required loss reserve certification.

(d) Binding authority for all retrocessional contracts or participation in reinsurance syndicates shall rest with an officer of the reinsurer who shall not be affiliated with a reinsurance intermediary manager.

(e) Within thirty (30) days of termination of a contract with a reinsurance intermediary manager, the reinsurer shall provide written notification of the termination to the commissioner.

(f) (1) A reinsurer shall not appoint to its board of directors any officer, director, employee, controlling shareholder, or subproducer of its reinsurance intermediary manager. (2) This subsection shall not apply to relationships governed by the Insurance Holding Company Regulatory Act, § 23-63-501 et seq.

(1) A reinsurer shall not appoint to its board of directors any officer, director, employee, controlling shareholder, or subproducer of its reinsurance intermediary manager.

(2) This subsection shall not apply to relationships governed by the Insurance Holding Company Regulatory Act, § 23-63-501 et seq.

Acts 1993, No. 527, § 1.
Ark. Code Ann. § 23-99-1201 — AR Code / Title 23 / Chapter 99 / Subchapter 12 / Section 23-99-1201
Title
Status: in_force

This subchapter shall be known and may be cited as the "Healthcare Contracting Simplification Act". Added by Act 2019, No. 734,§ 1, eff. 7/24/2019.

This subchapter shall be known and may be cited as the "Healthcare Contracting Simplification Act".

Added by Act 2019, No. 734,§ 1, eff. 7/24/2019.
Ark. Code Ann. § 23-2-411 — AR Code / Title 23 / Chapter 2 / Subchapter 4 / Section 23-2-411
No person excused from testifying - Exemption from prosecution
Status: in_force

(a) (1) No person shall be excused from testifying or from producing any book, document, paper, correspondence, or account in any investigation, inquiry by, or hearing before the commission or any commissioner or examiner when ordered to do so upon the ground that the testimony or evidence, book, document, paper, correspondence, or account required of him or her may tend to incriminate him or her or subject him or her to penalty or forfeiture. (2) However, no person shall be prosecuted, punished, or subjected to any forfeiture or penalty for, or on account of, any act, transaction, matter, or thing concerning which he or she shall have been compelled under oath to testify or produce documentary evidence. (b) No person so testifying shall be exempt from prosecution or punishment for any perjury committed by him or her in his or her testimony. Acts 1935, No. 324, § 26; Pope's Dig., § 2089; A.S.A. 1947, § 73-225.

(a) (1) No person shall be excused from testifying or from producing any book, document, paper, correspondence, or account in any investigation, inquiry by, or hearing before the commission or any commissioner or examiner when ordered to do so upon the ground that the testimony or evidence, book, document, paper, correspondence, or account required of him or her may tend to incriminate him or her or subject him or her to penalty or forfeiture. (2) However, no person shall be prosecuted, punished, or subjected to any forfeiture or penalty for, or on account of, any act, transaction, matter, or thing concerning which he or she shall have been compelled under oath to testify or produce documentary evidence.

(1) No person shall be excused from testifying or from producing any book, document, paper, correspondence, or account in any investigation, inquiry by, or hearing before the commission or any commissioner or examiner when ordered to do so upon the ground that the testimony or evidence, book, document, paper, correspondence, or account required of him or her may tend to incriminate him or her or subject him or her to penalty or forfeiture.

(2) However, no person shall be prosecuted, punished, or subjected to any forfeiture or penalty for, or on account of, any act, transaction, matter, or thing concerning which he or she shall have been compelled under oath to testify or produce documentary evidence.

(b) No person so testifying shall be exempt from prosecution or punishment for any perjury committed by him or her in his or her testimony.

Acts 1935, No. 324, § 26; Pope's Dig., § 2089; A.S.A. 1947, § 73-225.
Ark. Code Ann. § 23-101-112 — AR Code / Title 23 / Chapter 101 / Section 23-101-112
Remittance of premiums and payment of compensation
Status: in_force

(a) (1) The entire amount of the premium due from a creditor shall be remitted to the insurer or its producer in accordance with the insurer's requirements. (2) No commissions may be paid to, or retained by, a person or entity not licensed and appointed in accordance with the Producer Licensing Model Act, § 23-64-501 et seq., nor to a depository institution or an affiliate of a depository institution unless appropriately licensed under § 23-64-101 et seq. (3) For purposes of this section, "person" includes any individual, corporation, association, partnership, or other legal entity. (b) The retention by the creditor of unearned premiums upon cancellation of the insurance without crediting to the debtor's account the amount of unearned insurance charges is prohibited. (c) Unless allowed by § 23-64-513 , rebates to the creditor of a portion of the premium charged to the debtor are prohibited as are other inducements provided to the creditor by an insurer or producer. The listing of the following activities as prohibited rebates or inducements is not intended to be restrictive, and the Insurance Commissioner may identify an activity as prohibited by rule or order: (1) Allowing insurers or producers to purchase certificates of deposit from the creditor or to maintain accounts with the creditor at less than the market interest rates and charges that the creditor applies to other customers for deposit accounts of similar amounts and duration; (2) Paying a commission to a person, including a creditor, who is not appropriately licensed as a producer in this state; and (3) Purchasing or offering to purchase certificates of deposit from, or maintaining or offering to maintain deposit accounts or investment accounts with, a creditor as part of a creditor-placed insurance solicitation. (d) Prohibited rebates or inducements do not include the providing of insurance tracking and other services incidental to the creditor-placed insurance program. (e) Nothing contained in this section shall prohibit or restrict an insurer or producer from maintaining a demand, premium deposit, or other account or accounts with a creditor for which the insurer or producer provides insurance if the accounts pay the market interest rate and charges that the creditor applies to other customers for deposit accounts of similar amounts and duration. Amended by Act 2019, No. 315,§ 2810, eff. 7/24/2019. Acts 1997, No. 930, § 12; 2001, No. 580, § 27; 2001, No. 1728, § 4.

(a) (1) The entire amount of the premium due from a creditor shall be remitted to the insurer or its producer in accordance with the insurer's requirements. (2) No commissions may be paid to, or retained by, a person or entity not licensed and appointed in accordance with the Producer Licensing Model Act, § 23-64-501 et seq., nor to a depository institution or an affiliate of a depository institution unless appropriately licensed under § 23-64-101 et seq. (3) For purposes of this section, "person" includes any individual, corporation, association, partnership, or other legal entity.

(1) The entire amount of the premium due from a creditor shall be remitted to the insurer or its producer in accordance with the insurer's requirements.

(2) No commissions may be paid to, or retained by, a person or entity not licensed and appointed in accordance with the Producer Licensing Model Act, § 23-64-501 et seq., nor to a depository institution or an affiliate of a depository institution unless appropriately licensed under § 23-64-101 et seq.

(3) For purposes of this section, "person" includes any individual, corporation, association, partnership, or other legal entity.

(b) The retention by the creditor of unearned premiums upon cancellation of the insurance without crediting to the debtor's account the amount of unearned insurance charges is prohibited.

(c) Unless allowed by § 23-64-513 , rebates to the creditor of a portion of the premium charged to the debtor are prohibited as are other inducements provided to the creditor by an insurer or producer. The listing of the following activities as prohibited rebates or inducements is not intended to be restrictive, and the Insurance Commissioner may identify an activity as prohibited by rule or order: (1) Allowing insurers or producers to purchase certificates of deposit from the creditor or to maintain accounts with the creditor at less than the market interest rates and charges that the creditor applies to other customers for deposit accounts of similar amounts and duration; (2) Paying a commission to a person, including a creditor, who is not appropriately licensed as a producer in this state; and (3) Purchasing or offering to purchase certificates of deposit from, or maintaining or offering to maintain deposit accounts or investment accounts with, a creditor as part of a creditor-placed insurance solicitation.

(1) Allowing insurers or producers to purchase certificates of deposit from the creditor or to maintain accounts with the creditor at less than the market interest rates and charges that the creditor applies to other customers for deposit accounts of similar amounts and duration;

(2) Paying a commission to a person, including a creditor, who is not appropriately licensed as a producer in this state; and

(3) Purchasing or offering to purchase certificates of deposit from, or maintaining or offering to maintain deposit accounts or investment accounts with, a creditor as part of a creditor-placed insurance solicitation.

(d) Prohibited rebates or inducements do not include the providing of insurance tracking and other services incidental to the creditor-placed insurance program.

(e) Nothing contained in this section shall prohibit or restrict an insurer or producer from maintaining a demand, premium deposit, or other account or accounts with a creditor for which the insurer or producer provides insurance if the accounts pay the market interest rate and charges that the creditor applies to other customers for deposit accounts of similar amounts and duration.

Amended by Act 2019, No. 315,§ 2810, eff. 7/24/2019.

Acts 1997, No. 930, § 12; 2001, No. 580, § 27; 2001, No. 1728, § 4.
Ark. Code Ann. § 23-83-107 — AR Code / Title 23 / Chapter 83 / Section 23-83-107
Restrictions on coverage of other groups
Status: in_force

Group insurance offered to a resident of this state under a group policy issued to a group other than one described in §§ 23-83-102 - 23-83-106 shall be subject to the following requirements: (1) No group policy or certificate shall be delivered in this state unless the Insurance Commissioner finds that: (A) The issuance of the group policy is not contrary to the best interest of the public; (B) The issuance of the group policy would be actuarially sound; (C) The issuance of the group policy would result in economies of acquisition or administration; and (D) The benefits are reasonable in relation to the premiums charged; (2) The premium for the policy shall be paid either from the policyholder's funds or from funds contributed by the covered persons, or from both; (3) The commissioner may issue rules implementing the requirements of subdivision (1) of this section; and (4) An insurer may exclude or limit the coverage on any person as to whom evidence of individual insurability is not satisfactory to the insurer. Amended by Act 2019, No. 315,§ 2732, eff. 7/24/2019. Acts 1981, No. 898, § 7; A.S.A. 1947, § 66-3507; Acts 1987, No. 254, § 1.

Group insurance offered to a resident of this state under a group policy issued to a group other than one described in §§ 23-83-102 - 23-83-106 shall be subject to the following requirements:

(1) No group policy or certificate shall be delivered in this state unless the Insurance Commissioner finds that: (A) The issuance of the group policy is not contrary to the best interest of the public; (B) The issuance of the group policy would be actuarially sound; (C) The issuance of the group policy would result in economies of acquisition or administration; and (D) The benefits are reasonable in relation to the premiums charged;

(A) The issuance of the group policy is not contrary to the best interest of the public;

(B) The issuance of the group policy would be actuarially sound;

(C) The issuance of the group policy would result in economies of acquisition or administration; and

(D) The benefits are reasonable in relation to the premiums charged;

(2) The premium for the policy shall be paid either from the policyholder's funds or from funds contributed by the covered persons, or from both;

(3) The commissioner may issue rules implementing the requirements of subdivision (1) of this section; and

(4) An insurer may exclude or limit the coverage on any person as to whom evidence of individual insurability is not satisfactory to the insurer.

Amended by Act 2019, No. 315,§ 2732, eff. 7/24/2019.

Acts 1981, No. 898, § 7; A.S.A. 1947, § 66-3507; Acts 1987, No. 254, § 1.
Ark. Code Ann. § 23-63-528 — AR Code / Title 23 / Chapter 63 / Subchapter 5 / Section 23-63-528
Acquisitions involving insurers not otherwise covered - Competitive standard - Definition
Status: in_force

(a) The Insurance Commissioner may enter an order under § 23-63-529(a) with respect to an acquisition if there is substantial evidence that the effect of the acquisition may be substantially to lessen competition in any line of insurance in this state or tend to create a monopoly therein or if the insurer fails to file adequate information in compliance with § 23-63-527 . (b) In determining whether a proposed acquisition would violate the competitive standards of subsection (a) of this section, the commissioner shall consider the following: (1) Any acquisition covered under § 23-63-526 involving two (2) or more insurers competing in the same market is prima facie evidence of violation of the competitive standards: (A) If the market is: (i) Highly concentrated and the involved insurers possess the following shares of the market: Insurer A Insurer B Four percent (4%) Four percent (4%) or more Ten percent (10%) Two percent (2%) or more Fifteen percent (15%) One percent (1%) or more (ii) Not highly concentrated and the involved insurers possess the following shares of the market: Insurer A Insurer B Five percent (5%) Five percent (5%) or more Ten percent (10%) Four percent (4%) or more Fifteen percent (15%) Three percent (3%) or more Nineteen percent (19%) One percent (1%) or more (B) A highly concentrated market is one in which the share of the four (4) largest insurers is seventy-five percent (75%) or more of the market. Percentages not shown in the tables are interpolated proportionately to the percentages that are shown. If more than two (2) insurers are involved, exceeding the totals of the two (2) columns in the table is prima facie evidence of violation of the competitive standard in subsection (a) of this section. For the purpose of this subdivision (b)(1), the insurer with the largest share of the market shall be deemed to be Insurer A; (2) There is a significant trend toward increased concentration when the aggregate market share of any grouping of the largest insurers in the market from the two (2) largest to the eight (8) largest has increased by seven percent (7%) or more of the market over a period of time extending from any base year five (5) to ten (10) years prior to the acquisition up to the time of the acquisition. Any acquisition or merger covered under § 23-63-526 involving two (2) or more insurers competing in the same market is prima facie evidence of violation of the competitive standard in subsection (a) of this section if: (A) There is a significant trend toward increased concentration in the market; (B) One (1) of the insurers involved is one (1) of the insurers in a grouping of such large insurers showing the requisite increase in the market share; and (C) Another involved insurer's market is two percent (2%) or more; (3) For purposes of this subsection: (A) The term "insurer" includes any company or group of companies under common management ownership or control; (B) The term "market" means the relevant product and geographical markets. In determining the relevant product and geographical markets, the commissioner shall give due consideration to, among other things, the definitions or guidelines, if any, promulgated by the National Association of Insurance Commissioners and to information, if any, submitted by the parties to the acquisition. In the absence of sufficient information to the contrary, the relevant product market is assumed to be the direct written insurance premium for a line of business with such a line being that used in the annual statement required to be filed by insurers doing business in this state and the relevant geographical market is assumed to be this state; and (C) The burden of showing prima facie evidence of violation of the competitive standard rests upon the commissioner; and (4) (A) Even though an acquisition is not prima facie violative of the competitive standard under sudivisions (b)(1) and (2) of this section, the commissioner may establish the requisite anticompetitive effect based upon other substantial evidence. (B) Even though an acquisition is prima facie violative of the competitive standard under subdivisions (b)(1) and (2) of this section, a party may establish the absence of the requisite anticompetitive effect based upon other substantial evidence. (C) Relevant factors in making a determination under this subdivision (b)(4) include, but are not limited to, the following: (i) Market shares; (ii) Volatility of ranking of market leaders; (iii) Number of competitors; (iv) Concentration; (v) Trend of concentration in the industry; and (vi) Ease of entry and exit into the market. (c) An order may not be entered under § 23-63-529(a) if: (1) The acquisition will yield substantial economies of scale or economies in resource utilization that cannot be feasibly achieved in any other way, and the public benefits which would arise from such economies exceed the public benefits which would arise from not lessening competition; or (2) The acquisition will substantially increase the availability of insurance, and the public benefits of such an increase exceed the public benefits which would arise from not lessening competition. Acts 1991, No. 723, § 29.

(a) The Insurance Commissioner may enter an order under § 23-63-529(a) with respect to an acquisition if there is substantial evidence that the effect of the acquisition may be substantially to lessen competition in any line of insurance in this state or tend to create a monopoly therein or if the insurer fails to file adequate information in compliance with § 23-63-527 .

(b) In determining whether a proposed acquisition would violate the competitive standards of subsection (a) of this section, the commissioner shall consider the following: (1) Any acquisition covered under § 23-63-526 involving two (2) or more insurers competing in the same market is prima facie evidence of violation of the competitive standards: (A) If the market is: (i) Highly concentrated and the involved insurers possess the following shares of the market: Insurer A Insurer B Four percent (4%) Four percent (4%) or more Ten percent (10%) Two percent (2%) or more Fifteen percent (15%) One percent (1%) or more (ii) Not highly concentrated and the involved insurers possess the following shares of the market: Insurer A Insurer B Five percent (5%) Five percent (5%) or more Ten percent (10%) Four percent (4%) or more Fifteen percent (15%) Three percent (3%) or more Nineteen percent (19%) One percent (1%) or more (B) A highly concentrated market is one in which the share of the four (4) largest insurers is seventy-five percent (75%) or more of the market. Percentages not shown in the tables are interpolated proportionately to the percentages that are shown. If more than two (2) insurers are involved, exceeding the totals of the two (2) columns in the table is prima facie evidence of violation of the competitive standard in subsection (a) of this section. For the purpose of this subdivision (b)(1), the insurer with the largest share of the market shall be deemed to be Insurer A; (2) There is a significant trend toward increased concentration when the aggregate market share of any grouping of the largest insurers in the market from the two (2) largest to the eight (8) largest has increased by seven percent (7%) or more of the market over a period of time extending from any base year five (5) to ten (10) years prior to the acquisition up to the time of the acquisition. Any acquisition or merger covered under § 23-63-526 involving two (2) or more insurers competing in the same market is prima facie evidence of violation of the competitive standard in subsection (a) of this section if: (A) There is a significant trend toward increased concentration in the market; (B) One (1) of the insurers involved is one (1) of the insurers in a grouping of such large insurers showing the requisite increase in the market share; and (C) Another involved insurer's market is two percent (2%) or more; (3) For purposes of this subsection: (A) The term "insurer" includes any company or group of companies under common management ownership or control; (B) The term "market" means the relevant product and geographical markets. In determining the relevant product and geographical markets, the commissioner shall give due consideration to, among other things, the definitions or guidelines, if any, promulgated by the National Association of Insurance Commissioners and to information, if any, submitted by the parties to the acquisition. In the absence of sufficient information to the contrary, the relevant product market is assumed to be the direct written insurance premium for a line of business with such a line being that used in the annual statement required to be filed by insurers doing business in this state and the relevant geographical market is assumed to be this state; and (C) The burden of showing prima facie evidence of violation of the competitive standard rests upon the commissioner; and (4) (A) Even though an acquisition is not prima facie violative of the competitive standard under sudivisions (b)(1) and (2) of this section, the commissioner may establish the requisite anticompetitive effect based upon other substantial evidence. (B) Even though an acquisition is prima facie violative of the competitive standard under subdivisions (b)(1) and (2) of this section, a party may establish the absence of the requisite anticompetitive effect based upon other substantial evidence. (C) Relevant factors in making a determination under this subdivision (b)(4) include, but are not limited to, the following: (i) Market shares; (ii) Volatility of ranking of market leaders; (iii) Number of competitors; (iv) Concentration; (v) Trend of concentration in the industry; and (vi) Ease of entry and exit into the market.

(1) Any acquisition covered under § 23-63-526 involving two (2) or more insurers competing in the same market is prima facie evidence of violation of the competitive standards: (A) If the market is: (i) Highly concentrated and the involved insurers possess the following shares of the market: Insurer A Insurer B Four percent (4%) Four percent (4%) or more Ten percent (10%) Two percent (2%) or more Fifteen percent (15%) One percent (1%) or more (ii) Not highly concentrated and the involved insurers possess the following shares of the market: Insurer A Insurer B Five percent (5%) Five percent (5%) or more Ten percent (10%) Four percent (4%) or more Fifteen percent (15%) Three percent (3%) or more Nineteen percent (19%) One percent (1%) or more (B) A highly concentrated market is one in which the share of the four (4) largest insurers is seventy-five percent (75%) or more of the market. Percentages not shown in the tables are interpolated proportionately to the percentages that are shown. If more than two (2) insurers are involved, exceeding the totals of the two (2) columns in the table is prima facie evidence of violation of the competitive standard in subsection (a) of this section. For the purpose of this subdivision (b)(1), the insurer with the largest share of the market shall be deemed to be Insurer A;

(A) If the market is: (i) Highly concentrated and the involved insurers possess the following shares of the market: Insurer A Insurer B Four percent (4%) Four percent (4%) or more Ten percent (10%) Two percent (2%) or more Fifteen percent (15%) One percent (1%) or more (ii) Not highly concentrated and the involved insurers possess the following shares of the market: Insurer A Insurer B Five percent (5%) Five percent (5%) or more Ten percent (10%) Four percent (4%) or more Fifteen percent (15%) Three percent (3%) or more Nineteen percent (19%) One percent (1%) or more

(i) Highly concentrated and the involved insurers possess the following shares of the market: Insurer A Insurer B Four percent (4%) Four percent (4%) or more Ten percent (10%) Two percent (2%) or more Fifteen percent (15%) One percent (1%) or more

Insurer A Insurer B Four percent (4%) Four percent (4%) or more Ten percent (10%) Two percent (2%) or more Fifteen percent (15%) One percent (1%) or more

Insurer A

Insurer B

Four percent (4%)

Four percent (4%) or more

Ten percent (10%)

Two percent (2%) or more

Fifteen percent (15%)

One percent (1%) or more

(ii) Not highly concentrated and the involved insurers possess the following shares of the market: Insurer A Insurer B Five percent (5%) Five percent (5%) or more Ten percent (10%) Four percent (4%) or more Fifteen percent (15%) Three percent (3%) or more Nineteen percent (19%) One percent (1%) or more

Insurer A Insurer B Five percent (5%) Five percent (5%) or more Ten percent (10%) Four percent (4%) or more Fifteen percent (15%) Three percent (3%) or more Nineteen percent (19%) One percent (1%) or more

Insurer A

Insurer B

Five percent (5%)

Five percent (5%) or more

Ten percent (10%)

Four percent (4%) or more

Fifteen percent (15%)

Three percent (3%) or more

Nineteen percent (19%)

One percent (1%) or more

(B) A highly concentrated market is one in which the share of the four (4) largest insurers is seventy-five percent (75%) or more of the market. Percentages not shown in the tables are interpolated proportionately to the percentages that are shown. If more than two (2) insurers are involved, exceeding the totals of the two (2) columns in the table is prima facie evidence of violation of the competitive standard in subsection (a) of this section. For the purpose of this subdivision (b)(1), the insurer with the largest share of the market shall be deemed to be Insurer A;

(2) There is a significant trend toward increased concentration when the aggregate market share of any grouping of the largest insurers in the market from the two (2) largest to the eight (8) largest has increased by seven percent (7%) or more of the market over a period of time extending from any base year five (5) to ten (10) years prior to the acquisition up to the time of the acquisition. Any acquisition or merger covered under § 23-63-526 involving two (2) or more insurers competing in the same market is prima facie evidence of violation of the competitive standard in subsection (a) of this section if: (A) There is a significant trend toward increased concentration in the market; (B) One (1) of the insurers involved is one (1) of the insurers in a grouping of such large insurers showing the requisite increase in the market share; and (C) Another involved insurer's market is two percent (2%) or more;

(A) There is a significant trend toward increased concentration in the market;

(B) One (1) of the insurers involved is one (1) of the insurers in a grouping of such large insurers showing the requisite increase in the market share; and

(C) Another involved insurer's market is two percent (2%) or more;

(3) For purposes of this subsection: (A) The term "insurer" includes any company or group of companies under common management ownership or control; (B) The term "market" means the relevant product and geographical markets. In determining the relevant product and geographical markets, the commissioner shall give due consideration to, among other things, the definitions or guidelines, if any, promulgated by the National Association of Insurance Commissioners and to information, if any, submitted by the parties to the acquisition. In the absence of sufficient information to the contrary, the relevant product market is assumed to be the direct written insurance premium for a line of business with such a line being that used in the annual statement required to be filed by insurers doing business in this state and the relevant geographical market is assumed to be this state; and (C) The burden of showing prima facie evidence of violation of the competitive standard rests upon the commissioner; and

(A) The term "insurer" includes any company or group of companies under common management ownership or control;

(B) The term "market" means the relevant product and geographical markets. In determining the relevant product and geographical markets, the commissioner shall give due consideration to, among other things, the definitions or guidelines, if any, promulgated by the National Association of Insurance Commissioners and to information, if any, submitted by the parties to the acquisition. In the absence of sufficient information to the contrary, the relevant product market is assumed to be the direct written insurance premium for a line of business with such a line being that used in the annual statement required to be filed by insurers doing business in this state and the relevant geographical market is assumed to be this state; and

(C) The burden of showing prima facie evidence of violation of the competitive standard rests upon the commissioner; and

(4) (A) Even though an acquisition is not prima facie violative of the competitive standard under sudivisions (b)(1) and (2) of this section, the commissioner may establish the requisite anticompetitive effect based upon other substantial evidence. (B) Even though an acquisition is prima facie violative of the competitive standard under subdivisions (b)(1) and (2) of this section, a party may establish the absence of the requisite anticompetitive effect based upon other substantial evidence. (C) Relevant factors in making a determination under this subdivision (b)(4) include, but are not limited to, the following: (i) Market shares; (ii) Volatility of ranking of market leaders; (iii) Number of competitors; (iv) Concentration; (v) Trend of concentration in the industry; and (vi) Ease of entry and exit into the market.

(A) Even though an acquisition is not prima facie violative of the competitive standard under sudivisions (b)(1) and (2) of this section, the commissioner may establish the requisite anticompetitive effect based upon other substantial evidence.

(B) Even though an acquisition is prima facie violative of the competitive standard under subdivisions (b)(1) and (2) of this section, a party may establish the absence of the requisite anticompetitive effect based upon other substantial evidence.

(C) Relevant factors in making a determination under this subdivision (b)(4) include, but are not limited to, the following: (i) Market shares; (ii) Volatility of ranking of market leaders; (iii) Number of competitors; (iv) Concentration; (v) Trend of concentration in the industry; and (vi) Ease of entry and exit into the market.

(i) Market shares;

(ii) Volatility of ranking of market leaders;

(iii) Number of competitors;

(iv) Concentration;

(v) Trend of concentration in the industry; and

(vi) Ease of entry and exit into the market.

(c) An order may not be entered under § 23-63-529(a) if: (1) The acquisition will yield substantial economies of scale or economies in resource utilization that cannot be feasibly achieved in any other way, and the public benefits which would arise from such economies exceed the public benefits which would arise from not lessening competition; or (2) The acquisition will substantially increase the availability of insurance, and the public benefits of such an increase exceed the public benefits which would arise from not lessening competition.

(1) The acquisition will yield substantial economies of scale or economies in resource utilization that cannot be feasibly achieved in any other way, and the public benefits which would arise from such economies exceed the public benefits which would arise from not lessening competition; or

(2) The acquisition will substantially increase the availability of insurance, and the public benefits of such an increase exceed the public benefits which would arise from not lessening competition.

Acts 1991, No. 723, § 29.