TO AMEND THE LAW CONCERNING SURPLUS LINES INSURANCE; AND TO CLARIFY THAT SURPLUS LINES INSURANCE IS ACCEPTABLE COVERAGE FOR FINANCIAL RESPONSIBILITY OF MOTOR VEHICLE INSURANCE COVERAGE.

More insurance options for Arkansas drivers

Arkansas accepts auto coverage from insurers authorized or eligible to do business in the state, including eligible surplus-lines insurers. Drivers must have qualifying insurance or a certificate of self-insurance. Liability policies and bonds must cover at least $25,000 for injuries per person, $50,000 for injuries to two or more people per accident, and $25,000 for others’ property damage per accident. These limits exclude interest and costs. Required proof of insurance must be filed with the Office of Driver Services. The certificate must state the coverage start date and covered vehicles, except for policies covering people who own no vehicle. Its start date must match the policy’s. For vehicles registered outside Arkansas when coverage began or last renewed, an unauthorized insurer must authorize Arkansas’s finance secretary to receive lawsuit papers. Nonresidents can use certificates from insurers authorized or eligible in the vehicle’s registration state—or their home state if they own no vehicle. Those insurers must authorize receipt of lawsuit papers and agree that coverage meets Arkansas law. The office rejects further certificates from unauthorized carriers while they fail to honor those promises. It can also use accident reports to confirm insurance. The online verification system’s insurer definition includes eligible insurers. The law does not specify premium changes.