reglab/statecodes huggingface dataset:
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 3 - STANDARD NONFORFEITURE LAW FOR INDIVIDUAL DEFERRED ANNUITIES (§§ 23-81-301 — 23-81-313) › Section 23-81-302 - Applicability

This subchapter shall not apply to any reinsurance, group annuity purchased under a retirement plan or plan of deferred compensation established or maintained by an employer, including a partnership or sole proprietorship, or by an employee organization, or by both, other than a plan providing individual retirement accounts or individual retirement annuities under section 408 of the Internal Revenue Code, as now or hereafter amended, premium deposit fund, variable annuity, investment annuity, immediate annuity, any deferred annuity contract after annuity payments have commenced, or reversionary annuity, nor to any contract which shall be delivered outside this state through an agent or other representative of the insurer issuing the contract.
Acts 1981, No. 492, § 1; A.S.A. 1947, § 66-3327.1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 3 - STANDARD NONFORFEITURE LAW FOR INDIVIDUAL DEFERRED ANNUITIES (§§ 23-81-301 — 23-81-313) › Section 23-81-305 - Computation of present value

(a)
Any paid-up annuity benefit available under a contract shall be such that its present value on the date annuity payments are to commence is at least equal to the minimum nonforfeiture amount on that date.
(b)
The present value shall be computed using the mortality table, if any, and the interest rate specified in the contract for determining the minimum paid-up annuity benefits guaranteed in the contract.
Acts 1981, No. 492, § 1; A.S.A. 1947, § 66-3327.1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 3 - STANDARD NONFORFEITURE LAW FOR INDIVIDUAL DEFERRED ANNUITIES (§§ 23-81-301 — 23-81-313) › Section 23-81-306 - Calculation of cash surrender values

(a)
For contracts which provide cash surrender benefits, the cash surrender benefits available prior to maturity shall not be less than the present value as of the date of surrender of that portion of the maturity value of the paid-up annuity benefit which would be provided under the contract at maturity arising from considerations paid prior to the time of cash surrender reduced by the amount appropriate to reflect any prior withdrawals from or partial surrenders of the contract, the present value being calculated on the basis of an interest rate not more than one percent (1%) higher than the interest rate specified in the contract for accumulating the net considerations to determine the maturity value, decreased by the amount of any indebtedness to the company on the contract, including interest due and accrued, and increased by any existing additional amounts credited by the insurer to the contract.
(b)
In no event shall any cash surrender benefit be less than the minimum nonforfeiture amount at that time.
(c)
The death benefit under the contracts shall be at least equal to the cash surrender benefit.
Acts 1981, No. 492, § 1; A.S.A. 1947, § 66-3327.1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 3 - STANDARD NONFORFEITURE LAW FOR INDIVIDUAL DEFERRED ANNUITIES (§§ 23-81-301 — 23-81-313) › Section 23-81-307 - Calculation of paid-up annuity benefits

(a)
For contracts which do not provide cash surrender benefits, the present value of any paid-up annuity benefit available as a nonforfeiture option at any time prior to maturity shall not be less than the present value of that portion of the maturity value of the paid-up annuity benefit provided under the contract arising from considerations paid prior to the time the contract is surrendered in exchange for, or changed to, a deferred paid-up annuity. The present value shall be calculated for the period prior to the maturity date on the basis of the interest rate specified in the contract for accumulating the net considerations to determine the maturity value and increased by any existing additional amounts credited by the insurer to the contract.
(b)
For contracts which do not provide any death benefits prior to the commencement of any annuity payments, the present values shall be calculated on the basis of the interest rate and the mortality table specified in the contract for determining the maturity value of the paid-up annuity benefit.
(c)
However, in no event shall the present value of a paid-up annuity benefit be less than the minimum nonforfeiture amount at that time.
Acts 1981, No. 492, § 1; A.S.A. 1947, § 66-3327.1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 3 - STANDARD NONFORFEITURE LAW FOR INDIVIDUAL DEFERRED ANNUITIES (§§ 23-81-301 — 23-81-313) › Section 23-81-308 - Maturity date

(a)
For the purpose of determining the benefits calculated under §§
23-81-306
and
23-81-307
, in the case of annuity contracts under which an election may be made to have annuity payments commence at optional maturity dates, the maturity date shall be deemed to be the latest date for which election shall be permitted by the contract. This date shall not be deemed to be later than the anniversary of the contract next following the annuitant's seventieth birthday or the tenth anniversary of the contract, whichever is later.
(b)
This section does not apply to annuities funding funeral and related expenses.
Acts 1981, No. 492, § 1; A.S.A. 1947, § 66-3327.1; Acts 2003, No. 669, § 2.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 3 - STANDARD NONFORFEITURE LAW FOR INDIVIDUAL DEFERRED ANNUITIES (§§ 23-81-301 — 23-81-313) › Section 23-81-309 - Disclosure of limited death benefits

Any contract which does not provide cash surrender benefits or does not provide death benefits at least equal to the minimum nonforfeiture amount prior to the commencement of any annuity payments shall include a statement in a prominent place in the contract that such benefits are not provided.
Acts 1981, No. 492, § 1; A.S.A. 1947, § 66-3327.1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 3 - STANDARD NONFORFEITURE LAW FOR INDIVIDUAL DEFERRED ANNUITIES (§§ 23-81-301 — 23-81-313) › Section 23-81-310 - Inclusion of lapse-of-time considerations

Any paid-up annuity, cash surrender, or death benefits available at any time, other than on the contract anniversary under any contract with fixed scheduled considerations, shall be calculated with allowance for the lapse of time and the payment of any scheduled considerations beyond the beginning of the contract year in which cessation of payment of considerations under the contract occurs.
Acts 1981, No. 492, § 1; A.S.A. 1947, § 66-3327.1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 3 - STANDARD NONFORFEITURE LAW FOR INDIVIDUAL DEFERRED ANNUITIES (§§ 23-81-301 — 23-81-313) › Section 23-81-311 - Proration of values - Additional benefits

(a)
For any contract which provides, within the same contract by rider or supplemental contract provision, both annuity benefits and life insurance benefits that are in excess of the greater of cash surrender benefits or a return of the gross considerations with interest, the minimum nonforfeiture benefits, if any, for the life insurance portion shall be computed as if each portion were a separate contract.
(b)
(1)
Notwithstanding the provisions of §§
23-81-305
-
23-81-308
and
23-81-310
, additional benefits payable:
(A)
In the event of total and permanent disability;
(B)
As reversionary annuity or deferred reversionary annuity benefits; or
(C)
As other policy benefits additional to life insurance, endowment, and annuity benefits, and considerations for all the additional benefits,
shall be disregarded in ascertaining the minimum nonforfeiture amounts, paid-up annuity, cash surrender, and death benefits that may be required by this subchapter.
(2)
The inclusion of additional benefits shall not be required in any paid-up benefit, unless the additional benefits separately would require minimum nonforfeiture amounts, paid-up annuity, cash surrender, and death benefits.
Acts 1981, No. 492, § 1; A.S.A. 1947, § 66-3327.1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 3 - STANDARD NONFORFEITURE LAW FOR INDIVIDUAL DEFERRED ANNUITIES (§§ 23-81-301 — 23-81-313) › Section 23-81-312 - Operative date

(a)
After June 17, 1981, any insurer may file with the Insurance Commissioner a written notice of its election to comply with the provisions of this subchapter after a specified date before January 1, 1983.
(b)
After the filing of the notice, then upon the specified date, which shall be the operative date of this subchapter for the insurer, this subchapter shall become operative with respect to annuity contracts thereafter issued by the insurer.
(c)
If an insurer makes no election, the operative date of this subchapter for the insurer shall be January 1, 1983.
Acts 1981, No. 492, § 1; A.S.A. 1947, § 66-3327.1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 3 - STANDARD NONFORFEITURE LAW FOR INDIVIDUAL DEFERRED ANNUITIES (§§ 23-81-301 — 23-81-313) › Section 23-81-313 - Rules

The Insurance Commissioner may adopt rules to implement the provisions of this subchapter.
Amended by Act 2019, No. 315,§ 2730, eff. 7/24/2019.
Acts 2005, No. 506, § 43.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 4 - VARIABLE CONTRACTS (§§ 23-81-401 — 23-81-405) › Section 23-81-401 - Exceptions from Arkansas Insurance Code

(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.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 4 - VARIABLE CONTRACTS (§§ 23-81-401 — 23-81-405) › Section 23-81-403 - Contract provisions required

(a)
Any contract providing benefits payable in variable amounts delivered or issued for delivery in this state shall contain a statement of the essential features of the procedures to be followed by the insurance company in determining the dollar amount of the variable benefits.
(b)
Any contract under which the benefits vary to reflect investment experience, including a group contract and any certificate in evidence of variable benefits issued thereunder, shall state that the dollar amount will so vary and shall contain on its first page a statement to the effect that the benefits thereunder are on a variable basis.
Acts 1975, No. 728, § 2; A.S.A. 1947, § 66-3338.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 4 - VARIABLE CONTRACTS (§§ 23-81-401 — 23-81-405) › Section 23-81-404 - Licensure requirements for delivery of contracts

(a)
No company shall deliver or issue for delivery within this state variable contracts unless it is licensed or organized to do a life insurance or annuity business in this state and unless the Insurance Commissioner is satisfied that its condition or method of operation in connection with the issuance of such contracts will not render its operation hazardous to the public or its policyholders in this state.
(b)
(1)
In this connection, the commissioner shall consider among other things:
(A)
The history and financial condition of the company;
(B)
The character, responsibility, and fitness of the officers and directors of the company; and
(C)
The law and regulation under which the company is authorized in the state of domicile to issue variable contracts. The state of entry of an alien company shall be deemed its place of domicile for this purpose.
(2)
If the company is a subsidiary of an admitted life insurance company or affiliated with such a company through common management or ownership, it may be deemed by the commissioner to have met the provisions of this section if either it or the parent or the affiliated company meets the requirements of this subsection.
Acts 1975, No. 728, § 3; A.S.A. 1947, § 66-3339.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 4 - VARIABLE CONTRACTS (§§ 23-81-401 — 23-81-405) › Section 23-81-405 - Insurance Commissioner's authority to regulate

Notwithstanding any other provision of law, the Insurance Commissioner shall have sole authority to regulate the issuance and sale of variable contracts and to issue such reasonable rules and regulations as may be appropriate to carry out the purposes and provisions of this subchapter.
Acts 1975, No. 728, § 4; A.S.A. 1947, § 66-3340; Acts 2001, No. 1382, § 4.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 7 - STRUCTURED SETTLEMENT PROTECTION ACT (§§ 23-81-701 — 23-81-707) › Section 23-81-701 - Title

This subchapter shall be known and may be cited as the "Structured Settlement Protection Act".
Acts 2005, No. 2215, § 1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 7 - STRUCTURED SETTLEMENT PROTECTION ACT (§§ 23-81-701 — 23-81-707) › Section 23-81-703 - Required disclosures to payee

Not less than three (3) days prior to the date on which a payee signs a transfer agreement, the transferee shall provide to the payee a separate disclosure statement in bold type no smaller than fourteen (14) points, setting forth:
(1)
The amounts and due dates of the structured settlement payments to be transferred;
(2)
The aggregate amount of the payments;
(3)
The discounted present value of the payments to be transferred, which shall be identified as the "calculation of current value of the transferred structured settlement payments under federal standards for valuing annuities", and the amount of the applicable federal rate used in calculating the discounted present value;
(4)
The gross advance amount;
(5)
An itemized listing of all applicable transfer expenses, other than attorney's fees and related disbursements payable in connection with the transferee's application for approval of the transfer, and the transferee's best estimate of the amount of any such fees and disbursements;
(6)
The net advance amount;
(7)
The amount of any penalties or liquidated damages payable by the payee in the event of any breach of the transfer agreement by the payee; and
(8)
A statement that the payee has the right to cancel the transfer agreement, without penalty or further obligation, not later than the third business day after the date the agreement is signed by the payee.
Acts 2005, No. 2215, § 1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 7 - STRUCTURED SETTLEMENT PROTECTION ACT (§§ 23-81-701 — 23-81-707) › Section 23-81-704 - Approval of transfers of structured settlement payment rights

No direct or indirect transfer of structured settlement payment rights shall be effective and no structured settlement obligor or annuity issuer shall be required to make any payment directly or indirectly to any transferee of structured settlement payment rights unless the transfer has been approved in advance in a final court order or order of a responsible administrative authority based on express findings by the court or responsible administrative authority that:
(1)
The transfer is in the best interest of the payee, taking into account the welfare and support of the payee's dependents;
(2)
The payee has been advised in writing by the transferee to seek independent professional advice regarding the transfer and has either received the advice or knowingly waived the advice in writing; and
(3)
The transfer does not contravene any applicable statute or the order of any court or other government authority.
Acts 2005, No. 2215, § 1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 7 - STRUCTURED SETTLEMENT PROTECTION ACT (§§ 23-81-701 — 23-81-707) › Section 23-81-705 - Effects of transfer of structured settlement payment rights

Following a transfer of structured settlement payment rights under this subchapter:
(1)
The structured settlement obligor and the annuity issuer shall be discharged and released from all liability for the transferred payments as to all parties except the transferee;
(2)
The transferee shall be liable to the structured settlement obligor and the annuity issuer:
(A)
If the transfer contravenes the terms of the structured settlement, for any taxes incurred by such parties as a consequence of the transfer; and
(B)
For any other liabilities or costs, including reasonable costs and attorney's fees, arising from compliance by the parties with the order of the court or responsible administrative authority or arising as a consequence of the transferee's failure to comply with this subchapter;
(3)
Neither the annuity issuer nor the structured settlement obligor may be required to divide any periodic payment between the payee and any transferee or assignee or between two (2) or more transferees or assignees; and
(4)
Any further transfer of structured settlement payment rights by the payee may be made only after compliance with all of the requirements of this subchapter.
Acts 2005, No. 2215, § 1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 7 - STRUCTURED SETTLEMENT PROTECTION ACT (§§ 23-81-701 — 23-81-707) › Section 23-81-706 - Procedure for approval of transfers

(a)
An application under this subchapter for approval of a transfer of structured settlement payment rights shall be made by the transferee and may be brought:
(1)
In the county in which:
(A)
The payee resides; or
(B)
The structured settlement obligor or the annuity issuer maintains its principal place of business; or
(2)
In any court or before any responsible administrative authority which approved the structured settlement agreement.
(b)
Not less than twenty (20) days prior to the scheduled hearing on any application for approval of a transfer of structured settlement payment rights under §
23-81-704
, the transferee shall file with the court or responsible administrative authority and serve on all interested parties a notice of the proposed transfer and the application for its authorization, including with the notice:
(1)
A copy of the transferee's application;
(2)
A copy of the transfer agreement;
(3)
A copy of the disclosure statement required under §
23-81-703
;
(4)
A listing of each of the payee's dependents and each dependent's age;
(5)
Notification that any interested party is entitled to support, oppose, or otherwise respond to the transferee's application, either in person or by counsel, by submitting written comments to the court or responsible administrative authority or by participating in the hearing; and
(6)
(A)
Notification of:
(i)
The time and place of the hearing; and
(ii)
The manner in which and the time by which written responses to the application must be filed in order to be considered by the court or responsible administrative authority.
(B)
The time by which written responses to the application must be filed shall be not less than twenty (20) days after service of the transferee's notice.
Acts 2005, No. 2215, § 1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 7 - STRUCTURED SETTLEMENT PROTECTION ACT (§§ 23-81-701 — 23-81-707) › Section 23-81-707 - General provisions - Construction

(a)
The provisions of this subchapter may not be waived by any payee.
(b)
(1)
Any transfer agreement entered into on or after August 12, 2005, by a payee who resides in this state shall provide that disputes under the transfer agreement, including any claim that the payee has breached the agreement, shall be determined in and under the laws of the State of Arkansas.
(2)
No transfer agreement shall authorize the transferee or any other party to confess judgment or consent to entry of judgment against the payee.
(c)
No transfer of structured settlement payment rights shall extend to any payments that are life-contingent unless prior to the date on which the payee signs the transfer agreement, the transferee has established and has agreed to maintain procedures reasonably satisfactory to the annuity issuer and the structured settlement obligor for:
(1)
Periodically confirming the payee's survival; and
(2)
Giving the annuity issuer and the structured settlement obligor prompt written notice in the event of the payee's death.
(d)
No payee who proposes to make a transfer of structured settlement payment rights shall incur any penalty, forfeit any application fee or other payment, or otherwise incur any liability to the proposed transferee or any assignee based on any failure of the transfer to satisfy the conditions of this subchapter.
(e)
Nothing contained in this subchapter shall be construed to authorize any transfer of structured settlement payment rights in contravention of any law or to imply that any transfer under a transfer agreement entered into prior to August 12, 2005, is valid or invalid.
(f)
Compliance with the requirements set forth in §
23-81-703
and fulfillment of the conditions set forth in §
23-81-704
shall be solely the responsibility of the transferee in any transfer of structured settlement payment rights, and neither the structured settlement obligor nor the annuity issuer shall bear any responsibility for or any liability arising from noncompliance with the requirements or failure to fulfill the conditions.
Acts 2005, No. 2215, § 1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 8 - LIFE SETTLEMENTS ACT (§§ 23-81-801 — 23-81-818) › Section 23-81-801 - Short title

This subchapter shall be known and may be cited as the "Life Settlements Act".
Acts 2009, No. 796, § 1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 8 - LIFE SETTLEMENTS ACT (§§ 23-81-801 — 23-81-818) › Section 23-81-804 - License suspension, revocation, or refusal to renew

(a)
The Insurance Commissioner may suspend, revoke, or refuse to renew the license of any licensee if the commissioner finds that:
(1)
There was any material misrepresentation in the application for the license;
(2)
The licensee or any officer, partner, member, or director has been guilty of fraudulent or dishonest practices, is subject to a final administrative action, or is otherwise shown to be untrustworthy or incompetent to act as a licensee;
(3)
The provider demonstrates a pattern of unreasonably withholding payments to policy owners;
(4)
The licensee no longer meets the requirements for initial licensure;
(5)
The licensee or any officer, partner, member, or director has been convicted of a felony or of any misdemeanor of which criminal fraud is an element or the licensee has pleaded guilty or nolo contendere with respect to any felony or any misdemeanor of which criminal fraud or moral turpitude is an element, regardless of whether a judgment of conviction has been entered by the court;
(6)
The provider has entered into any life settlement contract using a form that has not been approved pursuant to this subchapter;
(7)
The provider has failed to honor contractual obligations set out in a life settlement contract;
(8)
The provider has assigned, transferred, or pledged a settled policy to a person other than a provider licensed in this state, a purchaser, or an accredited investor or qualified institutional buyer as defined in, respectively, Regulation D, Rule 501, or Rule 144A of the Securities Act of 1933, as amended, a financing entity, a special purpose entity, or a related provider trust; or
(9)
The licensee or any officer, partner, member, or key management personnel has violated provisions of this subchapter.
(b)
(1)
The commissioner may deny a license application or suspend, revoke, or refuse to renew a license of a licensee for the licensee's failure to comply with this subchapter.
(2)
A proceeding under this subsection is subject to the Arkansas Administrative Procedure Act, §
25-15-201
et seq.
Amended by Act 2013, No. 355,§ 13, eff. 8/16/2013.
Acts 2009, No. 796, § 1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 8 - LIFE SETTLEMENTS ACT (§§ 23-81-801 — 23-81-818) › Section 23-81-805 - Contract requirements

(a)
A person shall not use any form of life settlement contract in this state unless it has been filed with and approved, if required, by the Insurance Commissioner in a manner that conforms with the filing procedures and any time restrictions or deeming provisions, if any, for life insurance forms, policies, and contracts.
(b)
An insurer shall not as a condition of responding to a request for verification of coverage or in connection with the transfer of a policy pursuant to a life settlement contract require that the owner, insured, provider, or broker sign any form, disclosure, consent, waiver, or acknowledgment that has not been expressly approved by the commissioner for use in connection with life settlement contracts in this state.
(c)
(1)
A person shall not use a life settlement contract form or provide to an owner a disclosure statement form in this state unless first filed with and approved by the commissioner.
(2)
The commissioner shall disapprove a life settlement contract form or disclosure statement form if, in the commissioner's opinion, the contract or provisions contained in the life settlement contract form or disclosure statement form fail to meet the requirements of §§
23-81-808
-
23-81-811
and §
23-81-815(b)
or are unreasonable, contrary to the interests of the public, or otherwise misleading or unfair to the owner.
(3)
At the commissioner's discretion, the commissioner may require the submission of advertising material.
Acts 2009, No. 796, § 1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 8 - LIFE SETTLEMENTS ACT (§§ 23-81-801 — 23-81-818) › Section 23-81-808 - Advertising

(a)
(1)
A broker or provider licensed pursuant to this subchapter may conduct or participate in advertisements within this state.
(2)
Advertisements shall comply with all advertising and marketing laws or rules promulgated by the Insurance Commissioner that are applicable to life insurers or to brokers and providers licensed pursuant to this subchapter.
(b)
Advertisements shall be accurate, truthful, and not misleading in fact or by implication.
(c)
A person or trust shall not:
(1)
Directly or indirectly market, advertise, solicit, or otherwise promote the purchase of a policy for the sole purpose of or with an emphasis on settling the policy; or
(2)
Use the words "free", "no cost", or words of similar import in the marketing, advertising, soliciting, or otherwise promoting of the purchase of a policy.
Acts 2009, No. 796, § 1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 8 - LIFE SETTLEMENTS ACT (§§ 23-81-801 — 23-81-818) › Section 23-81-810 - Disclosure to insurer

(a)
Without limiting the ability of an insurer from assessing the insurability of a policy applicant and determining whether or not to issue the policy and in addition to other questions an insurance carrier may lawfully pose to a life insurance applicant, insurance carriers may inquire in the application for insurance whether the proposed owner intends to pay premiums with the assistance of financing from a lender that will use the policy as collateral to support the financing.
(b)
If as described in §
23-81-802(11)
the loan provides funds that can be used for a purpose other than paying for the premiums, costs, and expenses associated with obtaining and maintaining the life insurance policy and loan, the application shall be rejected as a violation of the prohibited practices in §
23-81-813
.
(c)
If the financing does not violate §
23-81-813
in this manner, the insurance carrier:
(1)
May make disclosures, including without limitation to the following, to the applicant and the insured on the application or an amendment to the application to be completed no later than the delivery of the policy:
"If you have entered into a loan arrangement in which the policy is used as collateral and the policy does change ownership at some point in the future in satisfaction of the loan, the following may be true:
1.
A change of ownership could lead to a stranger owning an interest in the insured's life;
2.
A change of ownership could in the future limit your ability to purchase future insurance on the insured's life because there is a limit to how much coverage insurers will issue on one life;
3.
Should there be a change of ownership and you wish to obtain more insurance coverage on the insured's life in the future, the insured's higher issue age, a change in health status, and/or other factors may reduce the ability to obtain coverage and/or may result in significantly higher premiums;
4.
You should consult a professional advisor, since a change in ownership in satisfaction of the loan may result in tax consequences to the owner, depending on the structure of the loan."; and
(2)
May require certifications, such as the following, from the applicant, the insured, or the applicant and the insured:
(A)
"I have not entered into any agreement or arrangement providing for the future sale of this life insurance policy.";
(B)
"My loan arrangement for this policy provides funds sufficient to pay for some or all of the premiums, costs, and expenses associated with obtaining and maintaining my life insurance policy, but I have not entered into any agreement by which I am to receive consideration in exchange for procuring this policy."; and
(C)
"The borrower has an insurable interest in the insured.".
Acts 2009, No. 796, § 1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 8 - LIFE SETTLEMENTS ACT (§§ 23-81-801 — 23-81-818) › Section 23-81-812 - Authority to promulgate rules - Conflict of laws

(a)
The Insurance Commissioner may promulgate rules implementing this subchapter regulating the activities and relationships of providers, brokers, insurers, and their agents, subject to statutory limitations on administrative rulemaking.
(b)
CONFLICT OF LAWS.
(1)
(A)
If there is more than one (1) owner on a single policy and the owners are residents of different states, the life settlement contract shall be governed by the law of the state in which the owner having the largest percentage ownership resides or, if the owners hold equal ownership, the state of residence of one (1) owner agreed upon in writing by all of the owners.
(B)
The law of the state of the insured shall govern if equal owners fail to agree in writing upon a state of residence for jurisdictional purposes.
(2)
(A)
A provider from this state who enters into a life settlement contract with an owner who is a resident of another state that has enacted statutes or adopted regulations governing life settlement contracts shall be governed in the effectuation of that life settlement contract by the statutes and regulations of the owner's state of residence.
(B)
If the state in which the owner is a resident has not enacted statutes or regulations governing life settlement contracts, the provider shall give the owner notice that neither state regulates the transaction upon which he or she is entering.
(C)
For transactions in those states, however, the provider shall maintain all records required if the transactions were executed in the state of residence. The forms used in those states need not be approved by the State Insurance Department.
(3)
If there is a conflict in the laws that apply to an owner and a purchaser in any individual transaction, the laws of the state that apply to the owner shall take precedence, and the provider shall comply with those laws.
Acts 2009, No. 796, § 1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 8 - LIFE SETTLEMENTS ACT (§§ 23-81-801 — 23-81-818) › Section 23-81-815 - Injunctions - Civil remedies - Cease and desist

(a)
In addition to the penalties and other enforcement provisions of this subchapter, if any person violates this subchapter or any rule implementing this subchapter, the Insurance Commissioner may seek an injunction in a court of competent jurisdiction in the county where the person resides or has a principal place of business and may apply for temporary and permanent orders that the commissioner determines necessary to restrain the person from further committing the violation.
(b)
Any person damaged by the acts of another person in violation of this subchapter or any rule implementing this subchapter may bring a civil action for damages in a court of competent jurisdiction against the person committing the violation.
(c)
The commissioner may issue a cease and desist order upon a person who violates any provision of this section, any rule or order adopted by the commissioner, or any written agreement entered into with the commissioner, in accordance with the Arkansas Administrative Procedure Act, §
25-15-201
et seq.
(d)
(1)
When the commissioner finds that such an action presents an immediate danger to the public and requires an immediate final order, he or she may issue an emergency cease and desist order reciting with particularity the facts underlying such findings.
(2)
The emergency cease and desist order is effective immediately upon service of a copy of the order on the respondent and remains effective for ninety (90) days. If the State Insurance Department begins nonemergency cease and desist proceedings under subsection (a) of this section, the emergency cease and desist order remains effective, absent an order by an appellate court of competent jurisdiction pursuant to the Arkansas Administrative Procedure Act, §
25-15-201
et seq.
(3)
In the event of a willful violation of this subchapter, the trial court may award statutory damages in addition to actual damages in an additional amount up to three (3) times the actual damage award.
(4)
The provisions of this subchapter shall not be waived by agreement.
(5)
A choice of law provision shall not be utilized to prevent the application of this subchapter to any settlement in which a party to the settlement is a resident of this state.
Acts 2009, No. 796, § 1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 8 - LIFE SETTLEMENTS ACT (§§ 23-81-801 — 23-81-818) › Section 23-81-816 - Penalties

(a)
It is a violation of this subchapter for any person, provider, broker, or any other party related to the business of life settlements to commit a fraudulent life settlement act.
(b)
For criminal liability purposes, a person that commits a fraudulent life settlement act is guilty of committing insurance fraud and shall be subject to the penalty provisions under §
23-66-512
.
Acts 2009, No. 796, § 1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 8 - LIFE SETTLEMENTS ACT (§§ 23-81-801 — 23-81-818) › Section 23-81-817 - Unfair trade practices

A violation of §§
23-81-801
-
23-81-816
shall be considered an unfair trade practice pursuant to §
23-66-206
and shall be subject to the provisions related to hearings and penalties for violations of §§
23-66-207
-
23-66-212
of the Trade Practices Act, §
23-66-201
et seq.
Acts 2009, No. 796, § 1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 8 - LIFE SETTLEMENTS ACT (§§ 23-81-801 — 23-81-818) › Section 23-81-818 - Effective date

(a)
(1)
A provider lawfully transacting business in this state before July 31, 2009, may continue to do so pending approval or disapproval of that person's application for a license if the application is filed with the Insurance Commissioner not later than thirty (30) days after publication by the commissioner of an application form and instructions for licensure of providers.
(2)
If the publication of the application form and instructions is before July 31, 2009, then the filing of the application shall not be later than thirty (30) days after July 31, 2009.
(3)
During the time that the application form and instructions are pending with the commissioner, the applicant may use any form of life settlement contract that has been filed with the commissioner pending approval of the application form and instructions, provided the form and instructions are otherwise in compliance with the provisions of this subchapter.
(4)
Any person transacting business in this state under this subsection shall comply with all other requirements of this subchapter.
(b)
(1)
A person who has lawfully negotiated life settlement contracts between any owner residing in this state and one (1) or more providers for at least one (1) year immediately before July 31, 2009, may continue to do so pending approval or disapproval of that person's application for a license if the application is filed with the commissioner not later than thirty (30) days after publication by the commissioner of an application form and instructions for licensure of brokers.
(2)
If the publication of the application form and instructions is before July 31, 2009, then the filing of the application shall not be later than thirty (30) days after July 31, 2009.
(3)
Any person transacting business in this state under this subsection shall comply with all other requirements of this subchapter.
Acts 2009, No. 796, § 1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 9 - UNCLAIMED LIFE INSURANCE BENEFITS ACT (§§ 23-81-901 — 23-81-905) › Section 23-81-901 - Title

This subchapter shall be known and may be cited as the "Unclaimed Life Insurance Benefits Act".
Added by Act 2015, No. 905,§ 1, eff. 7/22/2015, op. applicable to policies issued after June 30, 2016.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 9 - UNCLAIMED LIFE INSURANCE BENEFITS ACT (§§ 23-81-901 — 23-81-905) › Section 23-81-902 - Legislative intent

The General Assembly intends for this subchapter to:
(1)
Recognize the escheat or unclaimed property statutes under the Unclaimed Property Act, §
18-28-201
et seq.; and
(2)
Require the complete and proper disclosure, transparency, and accountability for any method of payment of death benefits under a life insurance policy that is subject to regulation by the State Insurance Department.
Added by Act 2015, No. 905,§ 1, eff. 7/22/2015, op. applicable to policies issued after June 30, 2016.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 81 - LIFE INSURANCE POLICIES AND ANNUITIES (§§ 23-81-101 — 23-81-905) › Subchapter 9 - UNCLAIMED LIFE INSURANCE BENEFITS ACT (§§ 23-81-901 — 23-81-905) › Section 23-81-905 - Unfair trade practices

(a)
If an insurer fails to comply with this subchapter so frequently as to be a general business practice, then it is a violation of this subchapter and may be subject to the Trade Practices Act, §
23-66-201
et seq.
(b)
A violation of this subchapter does not create a private right of action.
Added by Act 2015, No. 905,§ 1, eff. 7/22/2015, op. applicable to policies issued after June 30, 2016.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 82 - INDUSTRIAL LIFE INSURANCE (§§ 23-82-101 — 23-82-118) › Section 23-82-101 - Definition

For the purpose of this code, unless the context otherwise requires, "industrial life insurance" is that form of life insurance written under policies of face amount of two thousand dollars ($2,000) or less bearing the words "industrial policy" imprinted on the face thereof as part of the descriptive matter and under which premiums are payable monthly or more often.
Acts 1959, No. 148, § 347; A.S.A. 1947, § 66-3402.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 82 - INDUSTRIAL LIFE INSURANCE (§§ 23-82-101 — 23-82-118) › Section 23-82-102 - Scope

The provisions of this chapter apply only to industrial life insurance policies. The following sections shall also apply to industrial life insurance:
(1)
Section
23-81-114
, excluded or restricted coverage;
(2)
Section
23-81-115
, limitation of liability;
(3)
Section
23-81-120
, prohibited policy plans;
(4)
Section
23-81-129
, incontestability after reinstatement; and
(5)
The Standard Nonforfeiture Law for Life Insurance, §
23-81-201
et seq.
Acts 1959, No. 148, § 346; A.S.A. 1947, § 66-3401.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 82 - INDUSTRIAL LIFE INSURANCE (§§ 23-82-101 — 23-82-118) › Section 23-82-103 - Application to term and specified insurance

Any of the provisions required by §§
23-82-105
-
23-82-117
or any portion thereof which are not applicable to single premium or term policies or to policies issued or granted pursuant to nonforfeiture provisions shall to that extent not be incorporated therein.
Acts 1959, No. 148, § 362; A.S.A. 1947, § 66-3417.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 82 - INDUSTRIAL LIFE INSURANCE (§§ 23-82-101 — 23-82-118) › Section 23-82-104 - Policies prohibited

No policy of industrial life insurance shall be offered, delivered, or issued for delivery in this state on or after January 1, 1988.
Acts 1959, No. 148, § 348; A.S.A. 1947, § 66-3403; Acts 1987, No. 351, § 1.
Arkansas Code of 1987 (2023) › Title 23 - PUBLIC UTILITIES AND REGULATED INDUSTRIES (§§ 23-1-101 — 23-119-105) › Subtitle 3 - INSURANCE (§§ 23-60-101 — 23-103-417) › Chapter 82 - INDUSTRIAL LIFE INSURANCE (§§ 23-82-101 — 23-82-118) › Section 23-82-105 - Grace period provision

(a)
There shall be a provision that the insured is entitled to a grace period of four (4) weeks within which the payment of any premiums after the first may be made, except that in policies for which the premiums are payable monthly, the period of grace shall be one (1) month, but not less than thirty (30) days.
(b)
If during the grace period the policy becomes a claim, then any overdue and unpaid premiums may be deducted from any settlement under the policy.
Acts 1959, No. 148, § 349; A.S.A. 1947, § 66-3404.