# Arkansas HB1821: TO CREATE A MORE SUSTAINABLE SYSTEM OF PROPERTY INSURANCE FOR PUBLIC SCHOOLS, INSTITUTIONS OF HIGHER EDUCATION, AND STATE-OWNED PROPERTY; AND TO DECLARE AN EMERGENCY.

Arkansas HB1821, TO CREATE A MORE SUSTAINABLE SYSTEM OF PROPERTY INSURANCE FOR PUBLIC SCHOOLS, INSTITUTIONS OF HIGHER EDUCATION, AND STATE-OWNED PROPERTY; AND TO DECLARE AN EMERGENCY., is a 2025 Regular Session House bill sponsored by Ben Gilmore (Republican), Jeff Wardlaw (Republican); status enacted, last action 2025-04-14 (Notification that HB1821 is now Act 560) (as of 2026-10-19).

- Canonical: https://policyrisk.com/state-bill/AR-HB1821-2025
- As of: 2026-10-19
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Bill: Arkansas HB1821
- State: Arkansas
- Session: 2025 Regular Session
- Title: TO CREATE A MORE SUSTAINABLE SYSTEM OF PROPERTY INSURANCE FOR PUBLIC SCHOOLS, INSTITUTIONS OF HIGHER EDUCATION, AND STATE-OWNED PROPERTY; AND TO DECLARE AN EMERGENCY.
- Status: enacted
- Chamber: House
- Introduced: 2025-03-18
- Last action: 2025-04-14, Notification that HB1821 is now Act 560
- Sponsors: Ben Gilmore (Republican), Jeff Wardlaw (Republican)
- Cosponsors: 46
- Touches household money: no
- Roll calls: 2 (121 yes, 5 no in all)
- Economic provisions PRIA read: 12

## Summary

No summary available.

## Bill overview: provisions PRIA read

- Excess Reserves Can Lower Public Premiums: benefit, low. If reserves are expected to exceed $75 million, the Secretary can use the excess to lower public entities' premiums. Any reduction applies to the next plan year. Prior Legislative Council approval is required, or Joint Budget Committee approval while the legislature is in session. The law sets no r…
- Public Insurance Gets Protected Reserve Funds: benefit, low. A new trust fund pays only the state insurer's claims, expenses, and supporting department staff costs; deposits are tax-exempt. A separate reserve account excludes money allocated for operations and claims from its net legal balance. The initial reserve target is $50 million to $75 million as of D…
- State Property Insurer Gets Tax Exemptions: benefit, low. The state captive insurer is exempt from the captive-insurer premium tax and the surplus-lines broker tax. The general surplus-lines tax is 4% of direct surplus-lines premiums, remitted within 60 days after each calendar quarter. The exemptions apply to the insurer covering public schools, state-su…
- New Office Takes Over Public Insurance: cost, low. The law creates an Office of Property Risk within the Department of Transformation and Shared Services, with required staff. Transfers of insurance authority, records, contracts, personnel, property, and unspent funds begin July 1, 2025. Cabinet-level transfers must finish by December 1, 2025, and…
- Public Insurance Claims Face New Limits: cost, low. Entities must file State Captive Insurance Program claims within one year after the loss. They cannot use public insurance adjusters or public adjusting services. Once the program operates, the Secretary must set transition filing dates by rule. Earlier unreported losses covered by the Arkansas Sch…
- Public Insurers Face Premium Payment Penalties: cost, low. Program premiums must reflect calculated insurance risks, and public entities must pay when demanded under their contracts. Unpaid premiums earn interest at 5% per year. After a premium remains unpaid for 30 days, coverage can be canceled with 30 days' notice. If reserve funding remains short and l…
- Public Property Coverage Faces New Conditions: cost, low. Public schools and state agencies accepting state facility appropriations must join the State Captive Insurance Program. Districts seeking Academic Facilities Partnership or Catastrophic Program funding must insure their buildings, facilities, and business property through it. The Secretary can ref…
- School Vehicle Loan Cancellation Is Repealed: cost, low. The law removes the provision canceling an initial $1.5 million loan to the School Vehicle Insurance Reserve Trust Fund. It does not state the loan's current balance or repayment terms. The repeal does not establish a direct household payment.
- Schools Lose Some Insurance Safeguards: cost, low. The school insurance trust fund must still pay covered property losses as contracts require. The law removes the three-appraiser process for disputes about a loss's size or value. It removes directions requiring the Insurance Department to ensure school policies satisfy specified bond-related cover…
- Agency Insurance Trust Shifts Toward Cybersecurity: mixed, low. The Arkansas Multi-Agency Insurance Trust Fund's general insurance and reinsurance premium-payment authority is limited to motor vehicles. Separate authority allows cybersecurity insurance premiums and expenses. Membership drops agencies included through State Master Property Policy participation a…
- State Insurance Combines Coverage And Contributions: mixed, low. The law authorizes the Treasurer to create a separate, state-owned insurer with State Board of Finance approval. It can insure only entities subject to state insurance or self-insurance requirements, including public schools, colleges, and state agencies. The board reviews the insurance plan and se…
- Schools Get Cyber Coverage With Conditions: mixed, low. School districts, education service cooperatives, and open-enrollment charter schools can choose state cybersecurity insurance through a multischool program. The Insurance Department can require reports covering contract end dates, loss history, and other insurer-requested information. It can deny…

## Sponsors and cosponsors

- Sponsor: Ben Gilmore (Republican), Senate
- Sponsor: Jeff Wardlaw (Republican), House
- Cosponsor: Brandon Achor (Republican), House
- Cosponsor: Breanne Davis (Republican), Senate
- Cosponsor: Blake Johnson (Republican), Senate
- Cosponsor: Howard M. Beaty, Jr. (Republican), House
- Cosponsor: Mary Bentley (Republican), House
- Cosponsor: Frances Cavenaugh (Republican), House
- Cosponsor: Bruce Cozart (Republican), House
- Cosponsor: Cindy Crawford (Republican), House
- Cosponsor: David Whitaker (Democratic), House
- Cosponsor: Carol Dalby (Republican), House
- Cosponsor: Les D. Eaves (Republican), House
- Cosponsor: Jon S. Eubanks (Republican), House
- Cosponsor: Brian S. Evans (Republican), House
- Cosponsor: Fred Allen (Democratic), House
- Cosponsor: Zack Gramlich (Republican), House
- Cosponsor: RJ Hawk (Republican), House
- Cosponsor: Bart Hester (Republican), Senate
- Cosponsor: Ricky Hill (Republican), Senate
- Cosponsor: Mike Holcomb (Republican), House
- Cosponsor: Missy Irvin (Republican), Senate
- Cosponsor: Justin Boyd (Republican), Senate
- Cosponsor: Joshua Bryant (Republican), Senate
- Cosponsor: Jonathan Dismang (Republican), Senate
- Cosponsor: Jeremiah Moore (Republican), House
- Cosponsor: Jim Petty (Republican), Senate
- Cosponsor: Jay Richardson (Democratic), House
- Cosponsor: Lane Jean (Republican), House
- Cosponsor: Joey L. Carr (Republican), House
- Cosponsor: Matt Brown (Republican), House
- Cosponsor: Matthew J. Shepherd (Republican), House
- Cosponsor: John Maddox (Republican), House
- Cosponsor: Ron McNair (Republican), House
- Cosponsor: Jon Milligan (Republican), House
- Cosponsor: Stetson Painter (Republican), House
- Cosponsor: Shad Pearce (Republican), House
- Cosponsor: Chad Puryear (Republican), House
- Cosponsor: Terry Rice (Republican), Senate
- Cosponsor: Marcus E. Richmond (Republican), House
- Cosponsor: Trey Steimel (Republican), House
- Cosponsor: Matt Stone (Republican), Senate
- Cosponsor: DeAnn Vaught (Republican), House
- Cosponsor: Steven Walker (Republican), House
- Cosponsor: Les Warren (Republican), House
- Cosponsor: Carlton Wing (Republican), House
- Cosponsor: Jeremy Wooldridge (Republican), House
- Cosponsor: Jim Wooten (Republican), House

## Roll call votes

| Date | Chamber | Motion | Result | Yes | No | Other |
| --- | --- | --- | --- | --- | --- | --- |
| 2025-04-08 | Senate | Senate Vote - Tuesday, April 8, 2025 10:14:29 PM | pass | 32 | 0 | 2 |
| 2025-04-01 | House | House Vote - Tuesday, April 1, 2025 3:25:56 PM | pass | 89 | 5 | 4 |

## Actions (15)

- 2025-04-14: Notification that HB1821 is now Act 560 (House)
- 2025-04-09: Correctly enrolled and ordered transmitted to the Governor's Office. (House)
- 2025-04-09: TO BE ENROLLED (House)
- 2025-04-09: Returned from the Senate as passed. (House)
- 2025-04-08: Returned to the House as passed. (Senate)
- 2025-04-08: EMERGENCY CLAUSE ADOPTED (Senate)
- 2025-04-08: Read the third time and passed. (Senate)
- 2025-04-03: Returned by the Committee, with the recommendation that it Do Pass (Senate)
- 2025-04-01: Read first time, rules suspended, read second time, referred to INSURANCE & COMMERCE - SENATE (Senate)
- 2025-04-01: Received from the House. (Senate)
- 2025-04-01: EMERGENCY CLAUSE ADOPTED (House)
- 2025-04-01: Read the third time and passed and ordered transmitted to the Senate. (House)
- 2025-03-31: Returned by the Committee Do Pass (House)
- 2025-03-18: Read the first time, rules suspended, read the second time and referred to the Committee on INSURANCE & COMMERCE- HOUSE (House)
- 2025-03-18: Filed (House)

## Bill text

- HB1821 - Introduced, 2025-03-18: [PDF](https://www.arkleg.state.ar.us/Home/FTPDocument?path=%2FBills%2F2025R%2FPublic%2FHB1821.pdf)
- Act Version: [PDF](https://www.arkleg.state.ar.us/Acts/FTPDocument?path=%2FACTS%2F2025R%2FPublic%2F&file=560.pdf&ddBienniumSession=2025%2F2025R)

## Related bills

- HB1265: AN ACT FOR THE UNIVERSITY OF ARKANSAS AT LITTLE ROCK APPROPRIATION FOR THE 2025-2026 FISCAL YEAR. (enacted)
- HB1237: TO PROHIBIT MEDICAL PROFESSIONALS FROM SOLICITING INJURED INDIVIDUALS; AND TO SET PENALTIES FOR A VIOLATION OF THE PROHIBITION OF SOLICITATION OF INJURED INDIV… (failed)
- HB1686: TO AMEND THE LAW CONCERNING LICENSES TO CARRY CONCEALED HANDGUNS. (failed)
- SB440: TO AMEND THE LAW CONCERNING EMBALMERS AND FUNERAL DIRECTORS; TO REGULATE THE USE OF ALKALINE HYDROLYSIS; AND TO REGULATE ALKALINE HYDROLYSIS FACILITIES. (failed)
- HB1695: TO CLARIFY THE FORECLOSURE PROCESS FOR PROPERTY SUBJECT TO A MUNICIPAL LIEN; TO ALLOW A MUNICIPALITY TO PETITION TO SET ASIDE THE SALE OF PROPERTY TO CERTAIN P… (failed)
- HR1012: TO AMEND THE RULES OF THE HOUSE OF REPRESENTATIVES OF THE NINETY-FIFTH GENERAL ASSEMBLY; TO REQUIRE THAT A MEMBER OF THE HOUSE OF REPRESENTATIVES BE SELECTED A… (failed)

## Sources
- [HB1821 - Introduced (PDF)](https://www.arkleg.state.ar.us/Home/FTPDocument?path=%2FBills%2F2025R%2FPublic%2FHB1821.pdf)
- [Act Version (PDF)](https://www.arkleg.state.ar.us/Acts/FTPDocument?path=%2FACTS%2F2025R%2FPublic%2F&file=560.pdf&ddBienniumSession=2025%2F2025R)

## Related
- [HB1265: AN ACT FOR THE UNIVERSITY OF ARKANSAS AT LITTLE ROCK APPROPRIATION FOR THE 2025…](https://policyrisk.com/state-bill/AR-HB1265-2025)
- [HB1237: TO PROHIBIT MEDICAL PROFESSIONALS FROM SOLICITING INJURED INDIVIDUALS; AND TO S…](https://policyrisk.com/state-bill/AR-HB1237-2025)
- [HB1686: TO AMEND THE LAW CONCERNING LICENSES TO CARRY CONCEALED HANDGUNS.](https://policyrisk.com/state-bill/AR-HB1686-2025)
- [SB440: TO AMEND THE LAW CONCERNING EMBALMERS AND FUNERAL DIRECTORS; TO REGULATE THE US…](https://policyrisk.com/state-bill/AR-SB440-2025)
- [HB1695: TO CLARIFY THE FORECLOSURE PROCESS FOR PROPERTY SUBJECT TO A MUNICIPAL LIEN; TO…](https://policyrisk.com/state-bill/AR-HB1695-2025)
- [HR1012: TO AMEND THE RULES OF THE HOUSE OF REPRESENTATIVES OF THE NINETY-FIFTH GENERAL…](https://policyrisk.com/state-bill/AR-HR1012-2025)
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Source: PRIA, https://policyrisk.com/state-bill/AR-HB1821-2025 (as of 2026-10-19).