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 65 - UNAUTHORIZED INSURERS AND SURPLUS LINES (§§ 23-65-101 — 23-65-403) › Subchapter 4 - MULTISTATE AGREEMENTS OR COMPACTS (§§ 23-65-401 — 23-65-403) › Section 23-65-401 - Agreement authorized - Requirements

(a)
The Insurance Commissioner may enter into written multistate agreements or compacts with other state jurisdictions on behalf of the State of Arkansas to provide for cooperation and assistance among member jurisdictions in the administration and collection of taxes imposed on multistate surplus lines insurance.
(b)
A multistate agreement or compact authorized by this subchapter may provide for:
(1)
Determining the home state for surplus lines insurers and surplus lines brokers;
(2)
Establishing the record requirements for surplus lines brokers;
(3)
Audit procedures;
(4)
The exchange of information;
(5)
Uniform criteria for eligibility of insurers and eligibility for licensing of surplus lines brokers;
(6)
Reporting requirements and reporting periods;
(7)
Methods for collecting and forwarding surplus lines taxes;
(8)
Penalties to another jurisdiction; and
(9)
Rules to facilitate the administration of the multistate agreement or compact.
(c)
A multistate agreement or compact authorized by this subchapter:
(1)
Shall not preclude the commissioner from auditing the records of a person subject to this subchapter;
(2)
Is not effective until filed with the commissioner; and
(3)
Shall have the same effect as enacted legislation.
Acts 2011, No. 1055, § 3.
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 65 - UNAUTHORIZED INSURERS AND SURPLUS LINES (§§ 23-65-101 — 23-65-403) › Subchapter 4 - MULTISTATE AGREEMENTS OR COMPACTS (§§ 23-65-401 — 23-65-403) › Section 23-65-402 - Applicability of multistate agreement or compact

On and after July 21, 2011, the effective date of the Nonadmitted and Reinsurance Reform Act of 2010, Pub. L. No. 111-203, in the event of a conflict, the terms of a multistate agreement or compact shall prevail over conflicting state law.
Acts 2011, No. 1055, § 3.
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 65 - UNAUTHORIZED INSURERS AND SURPLUS LINES (§§ 23-65-101 — 23-65-403) › Subchapter 4 - MULTISTATE AGREEMENTS OR COMPACTS (§§ 23-65-401 — 23-65-403) › Section 23-65-403 - Committees' approval of agreements or compacts required

A multistate agreement or compact entered into by the Insurance Commissioner shall be:
(1)
Considered by the Senate Committee on Insurance and Commerce and the House Committee on Insurance and Commerce; and
(2)
Reviewed and approved by the Legislative Council.
Amended by Act 2015, No. 1258,§ 19, eff. 7/22/2015.
Acts 2011, No. 1055, § 3.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 2 - TRADE PRACTICES ACT (§§ 23-66-201 — 23-66-216) › Section 23-66-201 - Title

This subchapter may be referred to as the "Trade Practices Act".
Acts 1959, No. 148, § 208; A.S.A. 1947, § 66-3001.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 2 - TRADE PRACTICES ACT (§§ 23-66-201 — 23-66-216) › Section 23-66-202 - Purpose

(a)
The purpose of this subchapter is to regulate trade practices in the business of insurance in accordance with the intent of the United States Congress as expressed in Pub. L. No. 79-15 by defining, or providing for the determination of, all practices in this state which constitute unfair methods of competition or unfair or deceptive acts or practices and by prohibiting the trade practices so defined or determined.
(b)
However, no provisions of this subchapter are intended to establish or extinguish a private right of action for a violation of any provision of this subchapter.
Acts 1959, No. 148, § 209; 1981, No. 809, § 5; A.S.A. 1947, § 66-3002.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 2 - TRADE PRACTICES ACT (§§ 23-66-201 — 23-66-216) › Section 23-66-203 - Definitions

As used in this subchapter:
(1)
"Commissioner" means the Insurance Commissioner of this state;
(2)
(A)
"Depository institution" means a bank or savings association.
(B)
The terms "depository institution" or "depository corporation" do not include an insurance company;
(3)
"Insurance policy" or "insurance contract" means any contract of insurance, indemnity, medical or hospital service, suretyship, or annuity which is issued, proposed for issuance, or intended for issuance by any person; and
(4)
(A)
"Person" means any individual, corporation, association, partnership, reciprocal exchange, interinsurer, Lloyd's insurer, fraternal benefit society, and any other legal entity engaged in the business of insurance, including agents, brokers, and adjusters.
(B)
(i)
"Person" also means medical service plans and hospital service plans as defined in §
23-75-101
.
(ii)
For purposes of this subchapter, medical and hospital service plans shall be deemed to be engaged in the business of insurance.
Acts 1959, No. 148, § 210; 1973, No. 41, § 1; A.S.A. 1947, § 66-3003; Acts 2003, No. 1747, § 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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 2 - TRADE PRACTICES ACT (§§ 23-66-201 — 23-66-216) › Section 23-66-204 - Provisions of subchapter additional to existing law

The powers vested in the Insurance Commissioner by this subchapter shall be additional to any other powers to order restitution or enforce any penalties, fines, or forfeitures authorized by law with respect to the methods, acts, and practices declared to be unfair or deceptive.
Acts 1959, No. 148, § 220; A.S.A. 1947, § 66-3013; Acts 2005, No. 1697, § 12.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 2 - TRADE PRACTICES ACT (§§ 23-66-201 — 23-66-216) › Section 23-66-205 - Unfair competition or unfair or deceptive acts or practices prohibited

No person shall engage in this state in any trade practice which is defined in this subchapter as being, or determined pursuant to this subchapter to be, an unfair method of competition or an unfair or deceptive act or practice in the business of insurance. This subchapter shall apply to policies and contracts of surplus lines insurers, as appropriate and unless the context requires otherwise.
Acts 1959, No. 148, § 211; A.S.A. 1947, § 66-3004; Acts 1999, No. 881, § 8.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 2 - TRADE PRACTICES ACT (§§ 23-66-201 — 23-66-216) › Section 23-66-207 - Rules to identify prohibited methods of competition, acts, or practices

(a)
The Insurance Commissioner may, after notice and hearing, promulgate reasonable rules, as are necessary or proper to identify specific methods of competition or acts or practices which are prohibited by §
23-66-206
or §
23-66-312
, but the rules shall not enlarge upon or extend the provisions of those sections.
(b)
The rules shall be subject to review in accordance with §
23-61-307
.
Amended by Act 2019, No. 315,§ 2663, eff. 7/24/2019.
Acts 1959, No. 148, § 217; 1973, No. 41, § 6; A.S.A. 1947, § 66-3010.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 2 - TRADE PRACTICES ACT (§§ 23-66-201 — 23-66-216) › Section 23-66-208 - Power of commissioner to examine and investigate

(a)
The Insurance Commissioner shall have power to examine and investigate the affairs of every person engaged in the business of insurance in this state in order to determine whether the person has been or is engaged in any unfair method of competition or in any unfair or deceptive act or practice prohibited by §
23-66-205
.
(b)
(1)
If the person engaged in the business of insurance is a depository institution, the commissioner shall have the power to examine and investigate the insurance activities of the depository institution in order to determine whether the depository institution has been or is engaged in any unfair trade practice prohibited by this subchapter.
(2)
Before beginning an examination or investigation under subdivision (b)(1) of this section, the commissioner shall notify the appropriate bank regulatory agency of the commissioner's intent to examine or investigate the depository institution and shall advise the appropriate federal banking agency of the suspected violations of state law.
Acts 1959, No. 148, § 213; A.S.A. 1947, § 66-3006; Acts 2003, No. 1747, § 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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 2 - TRADE PRACTICES ACT (§§ 23-66-201 — 23-66-216) › Section 23-66-211 - Penalty for violation of cease and desist orders

Any person who violates a cease and desist order of the Insurance Commissioner under §
23-66-210
while the order is in effect may, after notice and hearing upon order of the commissioner, be subject at the discretion of the commissioner to any one (1) or more of the following:
(1)
A monetary penalty of not more than ten thousand dollars ($10,000) for each and every act of violation; or
(2)
Suspension or revocation of that person's license.
Acts 1959, No. 148, § 219; 1973, No. 41, § 8; 1981, No. 809, § 11; A.S.A. 1947, § 66-3012.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 2 - TRADE PRACTICES ACT (§§ 23-66-201 — 23-66-216) › Section 23-66-213 - Judicial review by intervenor

(a)
If, after a hearing under §
23-66-210
or §
23-66-211
, the report of the Insurance Commissioner does not charge a violation of this subchapter, then any intervenor in the proceedings may within thirty (30) days after the service of the report cause a petition, notice of appeal, or petition for writ of certiorari to be filed in the Pulaski County Circuit Court for review of the report.
(b)
Upon the review, the court shall have authority to issue appropriate orders and decrees in connection therewith, including, if the court finds that it is to the interest of the public, orders enjoining and restraining the continuance of any method of competition, act, or practice which it finds, notwithstanding the report of the commissioner, constitutes a violation of this subchapter and contains penalties pursuant to §
23-66-212
.
Acts 1959, No. 148, § 218; 1973, No. 41, § 7; A.S.A. 1947, § 66-3011.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 2 - TRADE PRACTICES ACT (§§ 23-66-201 — 23-66-216) › Section 23-66-214 - [Repealed]

Repealed by Act 2017, No. 283,§ 13, eff. 8/1/2017.
Acts 1959, No. 148, § 221; A.S.A. 1947, § 66-3014.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 2 - TRADE PRACTICES ACT (§§ 23-66-201 — 23-66-216) › Section 23-66-215 - Penalty for late payment of claims by health carriers - Definitions

(a)
(1)
A health carrier shall pay a penalty of twelve percent (12%) per annum for late payment of claims under a health insurance contract pursuant to rules promulgated by the Insurance Commissioner, without necessity for demand for payment by a claimant.
(2)
Hiring a third-party administrator or other person to process claims shall not relieve a health carrier of its obligation to pay this penalty.
(b)
For purposes of this section:
(1)
"Claimant" means a person insured or covered by a health carrier, a provider holding a valid assignment from a person insured or covered by a health carrier, or a provider contracted with a health carrier, who is claiming a benefit under a health insurance contract;
(2)
(A)
"Health carrier" means a health maintenance organization, hospital medical service corporation, or a disability insurance company.
(B)
"Health carrier" includes a self-insured governmental or church plan and third-party administrators that administer or adjust disability benefits for a disability insurer, hospital medical service corporation, health maintenance organization, self-insured governmental plan, or self-insured church plan.
(C)
"Health carrier" does not include:
(i)
An automobile insurer paying medical or hospital benefits under §
23-89-202(1)
or a self-insured employer health benefits plan; or
(ii)
Any person, company, or organization licensed or registered to issue or who issues any insurance policy or insurance contract in this state as described in §§
23-62-102
and
23-62-104
-
23-62-107
providing medical or hospital benefits for accidental injury or disability; and
(3)
(A)
"Health insurance contract" means a disability insurance policy, a hospital medical service corporation contract, a health maintenance organization contract, or a plan document issued or provided by a health carrier.
(B)
"Health insurance contract" does not include a disability income insurance policy, a long-term care contract, a hospital indemnity contract, an accident-only contract, or any other form of disability insurance policy that provides a benefit as a result of a sickness or accident that does not directly cover expenses related to healthcare treatment.
Amended by Act 2019, No. 315,§ 2664, eff. 7/24/2019.
Acts 2001, No. 1454, § 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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 2 - TRADE PRACTICES ACT (§§ 23-66-201 — 23-66-216) › Section 23-66-216 - Qualified payment amount - State audit process - Rules

(a)
The State Insurance Department shall develop a state audit process to ensure compliance with the requirements in the No Surprises Act of the Consolidated Appropriations Act, 2021, Pub. L. No. 116-260, related to the calculation of a qualified payment amount.
(b)
The department shall promulgate rules to implement and administer this section.
Added by Act 2023, No. 580,§ 1, eff. 8/1/2023.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 3 - MISCELLANEOUS PROHIBITED PRACTICES (§§ 23-66-301 — 23-66-321) › Section 23-66-301 - Misrepresentation or false claims or proofs

Any person shall upon conviction be punished as provided in §
23-60-108
who, knowing it to be such:
(1)
Presents or causes to be presented a false or fraudulent claim, or any false or fraudulent proof in support of a claim, for the payment of a loss under an insurance policy;
(2)
Prepares, makes, or subscribes any false or fraudulent account, certificate, report, affidavit, or proof of loss, or other document or writing, with the intent or knowledge that it will be presented or used in support of a claim under an insurance policy; or
(3)
Conceals, withholds, or misrepresents any information material to a claim under an insurance policy.
Acts 1959, No. 148, § 233; A.S.A. 1947, § 66-3026.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 3 - MISCELLANEOUS PROHIBITED PRACTICES (§§ 23-66-301 — 23-66-321) › Section 23-66-302 - False representations

Any person who makes any material false statement, representation, or pretense for the purpose of obtaining insurance business shall upon conviction be subject to the penalties provided in §
23-60-108
.
Acts 1959, No. 148, § 222; A.S.A. 1947, § 66-3015.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 3 - MISCELLANEOUS PROHIBITED PRACTICES (§§ 23-66-301 — 23-66-321) › Section 23-66-303 - Intimidation or coercion of business

No person shall use intimidation or coercion as a means of securing insurance business.
Acts 1959, No. 148, § 224; A.S.A. 1947, § 66-3017.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 3 - MISCELLANEOUS PROHIBITED PRACTICES (§§ 23-66-301 — 23-66-321) › Section 23-66-304 - Fictitious groups

(a)
No insurer, whether an authorized or unauthorized insurer, shall make available through any rating plan or form any fire, casualty, or surety insurance to any person, firm, corporation, or association of individuals at any preferred rate, premium, or form of contract based upon any fictitious grouping of the firm, corporation, or association.
(b)
"Fictitious grouping" is defined and declared to be the grouping by membership, nonmembership, license, franchise, agreement, contract, or any other method or means wherein the person, firm, corporation, or association of individuals of a group may receive a preferred rate, premium, or form of insurance contract.
(c)
Nothing in this section shall apply to the State of Arkansas or any governmental unit thereof, including counties, school districts, municipalities, state agencies, or any other governmental subsidiary, to life or accident and health insurance or to annuity contracts, nor to any insurer that restricts its insurance coverage to members of a particular association or organization with which the insurer is directly affiliated.
Acts 1959, No. 148, § 231; 1963, No. 75, § 2; 1979, No. 615, § 1; A.S.A. 1947, § 66-3024; Acts 2001, No. 1603, § 26.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 3 - MISCELLANEOUS PROHIBITED PRACTICES (§§ 23-66-301 — 23-66-321) › Section 23-66-305 - Misrepresentations in application for insurance

(a)
No agent, broker, solicitor, examining physician, or other person shall make a false or fraudulent statement or representation in, or relative to, an application for insurance.
(b)
Violations of this section shall be punishable under §
23-60-108
.
Acts 1959, No. 148, § 232; A.S.A. 1947, § 66-3025.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 3 - MISCELLANEOUS PROHIBITED PRACTICES (§§ 23-66-301 — 23-66-321) › Section 23-66-306 - Misrepresentation of other policies

(a)
No person shall make or issue, or cause to be made or issued, any written or oral statements misrepresenting or making incomplete comparisons regarding the terms or conditions or benefits contained in any policy or contract of insurance for the purpose of inducing or attempting to induce the owner of the policy or contract of insurance to forfeit or surrender the policy or contract or to allow it to lapse for the purpose of replacing the policy or contract with another.
(b)
(1)
No person shall misrepresent the benefits, advantages, conditions, or terms of a Medicare supplement insurance policy, certificate, or contract of insurance, nor make or issue or cause to be made or issued, any written or oral statement misrepresenting the terms or conditions or benefits contained in any Medicare supplement policy, certificate, or contract of insurance for the purpose of inducing or attempting to induce any individual to purchase coverage under the Medicare supplement policy, certificate, or contract of insurance.
(2)
No person shall make or issue, or cause to be made or issued, any written or oral statements misrepresenting or making incomplete comparisons regarding the terms or conditions or benefits contained in any Medicare supplement insurance policy or certificate or contract of insurance for the purpose of inducing or attempting to induce the insured of the policy or certificate or contract of insurance to forfeit or surrender the policy or certificate or contract or to allow it to lapse for the purpose of replacing the policy or certificate or contract with another.
(3)
Any person who violates this subsection shall upon conviction be guilty of a Class D felony and shall be punished by a fine of not more than ten thousand dollars ($10,000) or imprisonment in the state penitentiary for not more than six (6) years, or by both fine and imprisonment.
Acts 1959, No. 148, § 223; A.S.A. 1947, § 66-3016; Acts 1987, No. 205, § 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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 3 - MISCELLANEOUS PROHIBITED PRACTICES (§§ 23-66-301 — 23-66-321) › Section 23-66-307 - Actions required to replace a life insurance policy or annuity - Rules - Penalties

(a)
The General Assembly finds that:
(1)
It is the public policy of this state that life and accident and health insurance producers shall provide reasonable and professional service to each insured or prospective insured;
(2)
Each producer is charged with the responsibility of exercising discretion and good faith in the sales presentation or transaction;
(3)
It is within the general welfare of the people that each life and accident and health insurance producer, when professionally advisable, shall improve upon or change the type of insurance that any insured or prospective insured presently has by providing either better coverage or an overall program of insurance more suitable for the needs of the insured, his or her family, or a business; and
(4)
Abuses occur when insurance producers:
(A)
Sell or solicit unsuitable insurance products;
(B)
Fail to provide reasonable or professional service to an insured or a prospective insured; or
(C)
Fail to exercise good faith and professional discretion in an insurance sales presentation or transaction.
(b)
If an insurance producer attempts to sell a new individual life insurance policy or individual annuity contract or asks or urges a person to apply for a particular kind of life insurance or annuity from a particular company, it is unlawful for the insurance producer to encourage, induce, or solicit an insured to permit an existing individual life insurance policy or an existing individual annuity contract that has developed or may develop a cash surrender value to lapse or to otherwise forfeit or surrender the existing policy or contract unless the insurance producer:
(1)
(A)
Furnishes the policyholder a written and dated memorandum comparing the provisions of the existing policy or contract with the provisions of the proposed policy or contract.
(B)
The written memorandum shall be signed by the producer and by the insured to acknowledge receipt of the written memorandum; and
(2)
(A)
Files a duplicate of the memorandum with the company represented by the producer.
(B)
The company and the producer shall retain the duplicate memorandum for five (5) years.
(c)
The Insurance Commissioner may:
(1)
Prescribe the form of the written memorandum required by subsection (b) of this section; and
(2)
Promulgate reasonable rules after notice and hearing to implement this section.
(d)
A violation of this section is:
(1)
A Class A misdemeanor; and
(2)
Punishable by disciplinary action under the Arkansas Insurance Code.
Acts 1968 (1st Ex. Sess.), No. 12, §§ 1-4; A.S.A. 1947, §§ 66-3029 -- 66-3032; Acts 1987, No. 456, § 14; 2001, No. 1603, § 27; 2005, No. 1994, § 205; 2009, No. 539, § 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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 3 - MISCELLANEOUS PROHIBITED PRACTICES (§§ 23-66-301 — 23-66-321) › Section 23-66-308 - Rebates, discounts, abatements, etc

(a)
No property, casualty, or surety insurer or any employee thereof and no broker, agent, or solicitor shall pay, allow, or give, or offer to pay, allow, or give, directly or indirectly, as an inducement to insure or after insurance has been effected, any rebate, discount, abatement, credit, or reduction of the premium named in a policy of insurance, or any special favor or advantage in the dividends or other benefits to accrue thereon, or any valuable consideration or inducement whatever not specified in the policy except to the extent provided for in an applicable filing with the Insurance Commissioner as provided by law.
(b)
No insured named in a policy, nor any employee of the insured, shall knowingly receive or accept, directly or indirectly, any such rebate, discount, abatement, credit, or reduction of premium, or any special favor or advantage or valuable consideration or inducement.
(c)
This section shall not be construed as prohibiting:
(1)
The payment of commissions or other compensation to licensed agents, brokers, or solicitors;
(2)
An insurer from allowing or returning to its participating policyholders, members, or subscribers any dividends, savings, or unabsorbed premium deposits;
(3)
A licensed insurance consultant who is also a licensed producer from adjusting or refunding to his or her clients any part of a consulting fee under a prior written agreement with a client paying total annual premiums, for all lines of business, of one hundred thousand dollars ($100,000) or more based on commissions received by the consultant from insurers; or
(4)
Token gifts of one hundred dollars ($100) or less in wholesale value that are used for advertisement purposes, including without limitation pens, calendars, notebooks, and other items.
(d)
This section does not include within the definition of rebates or otherwise prohibit the practice of engaging in an arrangement that would not violate section 106 of the Bank Holding Company Act Amendments of 1972,
12 U.S.C. § 1972
, as interpreted by the Board of Governors of the Federal Reserve System, or section 1464(q) of the Home Owners' Loan Act,
12 U.S.C. § 1461
et seq.
(e)
The commissioner may promulgate rules to implement this section.
Amended by Act 2023, No. 337,§ 2, eff. 8/1/2023.
Acts 1959, No. 148, § 226; A.S.A. 1947, § 66-3019; Acts 2003, No. 1747, § 7; 2011, No. 797, §§ 2, 3.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 3 - MISCELLANEOUS PROHIBITED PRACTICES (§§ 23-66-301 — 23-66-321) › Section 23-66-309 - Charge for substitution of policy

No person engaged in the business of financing the purchase of real or personal property or of lending money on the security of real or personal property and no trustee, director, officer, agent, or other employee of the person shall directly or indirectly require that a borrower pay a consideration of any kind to substitute the insurance policy of one (1) insurer for that of another.
Acts 1959, No. 148, § 228; A.S.A. 1947, § 66-3021.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 3 - MISCELLANEOUS PROHIBITED PRACTICES (§§ 23-66-301 — 23-66-321) › Section 23-66-311 - Business development compensation to life policyholders

No life insurer shall discriminate between its policyholders by allowing, or agreeing to allow, to any policyholder, whether as an individual or as a member of a class, a portion or percent of any premium collected by the insurer from any policyholder on the pretense of making the policyholder an agent of the insurer or otherwise, unless that policyholder regularly qualifies and is licensed as an agent of the insurer, and is instrumental in actually securing business for the insurer, as evidenced by his or her name appearing on the application or applications of other policyholders, as soliciting agent, and his or her compensation for the services is limited to a reasonable commission on the business thus secured by the insurer through his or her instrumentality.
Acts 1959, No. 148, § 225; A.S.A. 1947, § 66-3018.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 3 - MISCELLANEOUS PROHIBITED PRACTICES (§§ 23-66-301 — 23-66-321) › Section 23-66-313 - Overwriting contracts of life insurer

(a)
No life insurer shall pay or contract to pay, directly or indirectly, to its president, vice president, secretary, treasurer, actuary, or medical director or other physician charged with the duty of examining risks or applicants for insurance, except regular fees paid for making examinations, nor shall the insurer pay to any officer of the insurer, other than an agent, any commission or other compensation contingent upon the writing or procuring of any policy of insurance in the insurer or procuring an application therefor, by any person whomsoever, or upon the assumption of any life insurance risk or contingent upon the payment of any renewal premium, unless and until the contract providing for the payment shall have first been filed with and approved by the Insurance Commissioner.
(b)
The commissioner shall not approve any contract found by him or her to be unfair or unreasonable or contrary to the best interests of the insurer, or if it provides compensation other than reasonable compensation for substantial service actually rendered or to be rendered to the insurer.
(c)
If any insurer violates this section, the commissioner shall revoke its certificate of authority.
Acts 1959, No. 148, § 229; A.S.A. 1947, § 66-3022.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 3 - MISCELLANEOUS PROHIBITED PRACTICES (§§ 23-66-301 — 23-66-321) › Section 23-66-314 - Common ownership, management, and directors of insurance companies

(a)
Any insurer may retain, invest in, or acquire the whole or any part of the capital stock of any other insurers, or have a common management with any other insurers, unless the retention, investment, acquisition, or common management is inconsistent with any other provision of the Arkansas Insurance Code, or unless by reason thereof the business of the insurers with the public is conducted in a manner which substantially lessens competition generally in the insurance business or tends to create a monopoly therein.
(b)
Any person otherwise qualified may be a director of two (2) or more insurers which are competitors unless the effect thereof is to lessen substantially competition between insurers generally or tends materially to create a monopoly.
Acts 1959, No. 148, § 227; A.S.A. 1947, § 66-3020.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 3 - MISCELLANEOUS PROHIBITED PRACTICES (§§ 23-66-301 — 23-66-321) › Section 23-66-315 - Confidential information

(a)
(1)
When a borrower is required to maintain insurance and to furnish evidence of the insurance to a depository institution, an affiliate of a depository institution, creditor, mortgagee, assignee, or lender as a condition for obtaining or keeping the loan, the lender, mortgagee, assignee, or creditor is prohibited from disclosing to other persons or parties, directly or indirectly, information with respect to the expiration dates of the insurance or other insurance policy information so as to enable any person or party to solicit the insurance or any renewal thereof, without first obtaining the written consent of the policyholder for such a disclosure to be made.
(2)
Nor shall any other person or party request the disclosure of the information, so as to facilitate solicitations of the insurance or any renewal thereof, without first obtaining the written consent of the policyholder.
(3)
Nor shall any lender, mortgagee, assignee, or creditor use any of the information contained in a policy of insurance for the purpose of soliciting insurance business with respect to the insured real property from the borrower.
(b)
These prohibitions do not apply to disclosure of insurance information of a customer to any officer, director, employee, agent, or affiliate of the depository institution for the purpose of soliciting or selling insurance or when the depository institution, an affiliate of a depository institution, lender, mortgagee, assignee, or creditor has been advised in writing by the insurer or its agent that the insurance on the property will be cancelled or will not be renewed.
(c)
Willful violation of this section by any depository institution, an affiliate of a depository institution, lender, mortgagee, assignee, or creditor or by any other person or party who may request the disclosure of the information from the lender, mortgagee, assignee, or creditor shall be punishable as a Class C misdemeanor.
Acts 1979, No. 388, §§ 1-3; A.S.A. 1947, §§ 66-3021.1 -- 66-3021.3; Acts 2001, No. 1728, § 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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 3 - MISCELLANEOUS PROHIBITED PRACTICES (§§ 23-66-301 — 23-66-321) › Section 23-66-316 - Advertising by health and accident insurers and prepaid health plans

(a)
It shall be unlawful for any insurance company or association transacting any health and accident or hospital or surgical insurance or prepaid hospital and surgical or healthcare plan in this state, in violation of a prior order or rule of the Insurance Commissioner directed to the company or association, to make, issue, circulate, or place before the public or to cause the making, issuing, circulation, or placing before the public in a newspaper, magazine, or other publication or in the form of a notice, brochure, circular, pamphlet, letter, or poster or by way of any radio or television station or in any other way or manner any advertisement, announcement, or statement with respect to the terms, benefits, premiums, or advantages of the policy or plan unless and until the advertisement, announcement, or statement has been filed with and approved by the commissioner, pursuant to the prior order or rule, as not being untrue, deceptive, or misleading in any respect.
(b)
(1)
Any company or association violating the provisions of this section shall be guilty of a violation and upon a first conviction shall be fined not less than one hundred dollars ($100) nor more than five hundred dollars ($500) and for a second or subsequent conviction shall be fined not less than five hundred dollars ($500) nor more than five thousand dollars ($5,000).
(2)
Each violation shall constitute a separate offense.
Amended by Act 2019, No. 315,§ 2665, eff. 7/24/2019.
Acts 1965, No. 155, §§ 1, 2; A.S.A. 1947, §§ 66-3027, 66-3028; Acts 2005, No. 1994, § 153.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 3 - MISCELLANEOUS PROHIBITED PRACTICES (§§ 23-66-301 — 23-66-321) › Section 23-66-318 - Claims or loss histories - Provision for copies to named insureds

(a)
(1)
A vendor of loss history information shall make all disclosures and furnish the reports without charge to the insured if within thirty (30) days after receipt by the insured of a notification of declination, cancellation, nonrenewal, or reduction in coverage the insured so requests.
(2)
Otherwise, the vendor of loss history information may impose a reasonable charge on the insured for making disclosure.
(b)
Property and casualty insurers are not required to send such reports to named insureds when transmitting the data or reports to licensed rate service or advisory organizations for statistical or statutory data compilation purposes.
(c)
(1)
The provisions of this section are intended to and shall apply only to personal lines insurance issued by property and casualty insurers authorized to transact insurance business in this state, and are not intended to apply to commercial lines property and casualty insurance.
(2)
The provisions of this section are not intended to conflict with any state insurance laws which require insurers to furnish loss histories to insureds or named insureds upon request.
Acts 1993, No. 1008, § 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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 3 - MISCELLANEOUS PROHIBITED PRACTICES (§§ 23-66-301 — 23-66-321) › Section 23-66-319 - Cancellation of insurance policies by third parties

(a)
Anyone holding the right to request cancellation of the named insured's insurance policy, other than the insurer, shall send to the insured and to the insured's agent or broker of record at least ten (10) days' written notice of the intention to cancel the policy. The right to be mailed this notice is personal to the named insured and cannot be waived, nor may it be assigned by the insured to the person or entity that holds the right to request the cancellation.
(b)
After expiration of the ten-day period in which to cure the default, a notice of cancellation of the policy may be sent to the insurer, with a copy to the named insured.
(c)
Any notices failing to comply with this section shall be ineffective to cancel the policy.
(d)
This section shall not apply to annuities or disability or life insurance.
Acts 2001, No. 919, § 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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 3 - MISCELLANEOUS PROHIBITED PRACTICES (§§ 23-66-301 — 23-66-321) › Section 23-66-321 - Method of payment of claims

All claims paid by an insurer authorized to do business in this state to any person having a claim under any insurance contract for any type of insurance authorized by the laws of this state issued by an insurer shall be paid by check or draft of the insurer to the order of, or by electronic funds transfer to an account of, the claimant to whom payment of the claim is due pursuant to the policy provisions.
Acts 2001, No. 1604, § 44.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 4 - HOME SERVICE ACT (§§ 23-66-401 — 23-66-408) › Section 23-66-401 - Title

This subchapter may be cited as the "Home Service Act".
Acts 1993, No. 932, § 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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 4 - HOME SERVICE ACT (§§ 23-66-401 — 23-66-408) › Section 23-66-402 - Definitions

As used in this subchapter:
(1)
A "blind" is the collection of a premium from a policy owner or premium payor who is intentionally not made aware of the correct paid-to status of the policy for which the premium is to be applied because a premium intentionally was not properly recorded pursuant to §
23-66-405(1)
;
(2)
"Commissioner" means the Insurance Commissioner of this state;
(3)
"Customarily collected" means that in his or her ordinary course of business, the agent collects premiums for the policy on site at a payor's home or business;
(4)
(A)
"Customarily marketed, issued, or delivered" means that in his or her ordinary course of business, the agent markets, issues, or delivers the policy on site at a payor's home or business.
(B)
"Customarily marketed, issued, or delivered" does not include any solicitation or sale made at the home or workplace of a person, if it will not thereafter be the ordinary course of business of the agent to either collect premiums from the person on site at his or her home or workplace, or regularly service the premium payor or policyowner on site at his or her home or workplace; and
(5)
"Home service system of distribution" is a manner of selling insurance policies which are customarily marketed, issued, or delivered by an agent in person at a payor's home or business, or is a manner of collecting premiums in which premiums are customarily collected in person at a payor's home or business by an agent. This shall not include the sale of commercial policies, crop or hail policies, or term policies covering crops whether harvested or unharvested, or policies covering grain, hay, chemicals, or fertilizer.
Acts 1993, No. 932, § 2; 1997, No. 749, § 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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 4 - HOME SERVICE ACT (§§ 23-66-401 — 23-66-408) › Section 23-66-403 - Rules

The Insurance Commissioner shall have such authority as he or she deems reasonably necessary to regulate the home service system of distribution, and, to that end, to promulgate, adopt, and enforce reasonable rules necessary and proper to regulate the home service system of distribution.
Amended by Act 2019, No. 315,§ 2666, eff. 7/24/2019.
Acts 1993, No. 932, § 3; 1997, No. 749, § 5.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 4 - HOME SERVICE ACT (§§ 23-66-401 — 23-66-408) › Section 23-66-404 - Required practices

Each insurer engaged in the home service system of distribution of policies in this state shall:
(1)
(A)
Establish written procedures to audit agencies engaged in the home service system of distribution of policies in this state;
(B)
File the audit procedures in effect each year with the annual statement or provide a certification with each annual statement that the procedures have been adopted;
(C)
Conduct audits periodically, or in the manner as described by rules, at the field level or premium payor level which reasonably ensure that the premium payor's premium recording item or records accurately reflect the premium due date and premium paid-to status of the policy or policies purchased;
(D)
Provide a receipt or record to the premium payor reflecting the amount of the premium paid, the date of payment, and the policy number, or other identifying characteristics, toward which the premium is paid if the premium receipt book or other premium recording record is unavailable for marking the premium payments of the payor; and
(E)
Provide to a policy owner or premium payor upon request the current paid-to status of any and all policies owned within forty-five (45) days, and, in the event the records of the policy owner or premium payor differ, adjust the company records to credit the policy any previously uncredited payments for which a receipt or other reasonable evidence of payment is submitted by the policy owner; and
(2)
With the delivery of the policy, provide notice in bold print with at least 10-point font or size which states:
(A)
That a premium savings may be realized by a different or less frequent method of premium payment;
(B)
That premiums are still due and payable by the person responsible for premium payments even when an agent does not collect the premiums; and
(C)
The mailing address for payment of premiums to the company.
Amended by Act 2019, No. 315,§ 2667, eff. 7/24/2019.
Acts 1993, No. 932, § 4; 1997, No. 749, § 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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 4 - HOME SERVICE ACT (§§ 23-66-401 — 23-66-408) › Section 23-66-405 - Premiums

For every premium collected on a policy of property, casualty, life, or accident and health insurance in this state, the agent collecting or receiving such a premium shall:
(1)
Furnish the payor with written evidence of payment at the time the premium is collected, which shall include the amount paid, the date paid, the date-paid-to status of the policy, the policy number or the identifying characteristics for which the payment will be credited, the signature or signed initials of the agent, and the office address and phone number of the insurer; and
(2)
Remit to the insurer's home office or applicable district office the premium collected within ten (10) days of receipt from the premium payor or policy owner.
Acts 1993, No. 932, § 5; 1997, No. 749, § 3; 2001, No. 1603, § 28.
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 66 - TRADE PRACTICES (§§ 23-66-201 — 23-66-702) › Subchapter 4 - HOME SERVICE ACT (§§ 23-66-401 — 23-66-408) › Section 23-66-406 - Deceptive practices

The following activities, if committed intentionally, shall be deceptive acts under the Trade Practices Act, §
23-66-201
et seq., for companies or agents engaged in the home service system of distribution:
(1)
The commission of a blind as defined by §
23-66-402
;
(2)
The collection of a premium which is not due from a premium payor or policy owner, and, without the knowledge of the premium payor or policy owner, the crediting of that premium to future coverage for a policy owner;
(3)
The collection of a premium which is not due from a premium payor or policy owner, and, without the knowledge of the premium payor or policy owner, the crediting of that premium for a different policy owner;
(4)
The use or transfer of any excess or unused funds remaining in the account of the premium payor or policy owner to procure or revive an insurance policy for a policy owner without the knowledge or authorization of the payor; and
(5)
The collection of a premium by an agent who retains the premium for his or her own personal use.
Acts 1993, No. 932, § 6; 1997, No. 749, § 4.