Arkansas Administrative Code

23 CAR § 120-101. Purpose. The purpose of this part is to implement Arkansas Code § 23-86-311(b)(7) and to prescribe the form, manner, and timing of written notices provided by health insurance issuers that nonrenew or discontinue health insurance coverage offered in connection w…

23 CAR § 120-102. Applicability and scope. This part shall apply to health insurance issuers offering or providing group health plans issued in Arkansas, subject to the Arkansas Health Insurance Portability and Accountability Act of 1997, Arkansas Code § 23-86-301 et seq.

23 CAR § 120-103. Definitions. As used in this part: (1) “Group health insurance coverage” or “group health insurance policy” means health insurance coverage offered in connection with a group health plan; (2) “Group health plan” means an employee welfare benefit plan to the exte…

23 CAR § 120-104. Required written notice. Every health insurance issuer that nonrenews or discontinues a group health insurance policy because the policyholder failed to pay premiums in accordance with the terms of the policy shall deliver a written notice of the policy terminat…

23 CAR § 121-101. Purpose. (a) The purpose of this part is to require: (1) Producers, as defined in this part, to act in the best interest of the consumer when making a recommendation of an annuity; and (2) Insurers to establish and maintain a system to supervise recommendations …

23 CAR § 121-102. Scope. This part shall apply to any sale or recommendation of an annuity.

23 CAR § 121-103. Exemptions. Unless otherwise specifically included, this part shall not apply to transactions involving: (1) Direct response solicitations where there is no recommendation based on information collected from the consumer pursuant to this part; (2) Contracts used…

23 CAR § 121-104. Definitions. As used in this part: (1) "Annuity" means an annuity that is an insurance product under state law that is individually solicited, whether the product is classified as an individual or group annuity; (2) "Cash compensation" means any discount, conces…

23 CAR § 121-105. Duties of insurers and producers. (a) Best interest obligations. (1)(A) A producer, when making a recommendation of an annuity, shall act in the best interest of the consumer under the circumstances known at the time the recommendation is made, without placing t…

23 CAR § 121-106. Producer training. (a)(1) A producer shall not solicit the sale of an annuity product unless the producer: (A) Has adequate knowledge of the product to recommend the annuity; and (B) Is in compliance with the insurer's standards for product training. (2) A produ…

23 CAR § 121-107. Compliance mitigation — Penalties — Enforcement. (a)(1) An insurer is responsible for compliance with this part. (2) If a violation occurs, either because of the action or inaction of the insurer or its producer, the Insurance Commissioner may order: (A) An insu…

23 CAR § 121-108. Recordkeeping. (a)(1) Insurers, general agents, independent agencies, and producers shall maintain or be able to make available to the Insurance Commissioner records of the information collected from the consumer, disclosures made to the consumer, including summ…

23 CAR § 122-101. Purpose. (a) The purpose of this part is to increase the five-dollar per-contract fee charged on the sale of each prepaid funeral benefits contract to ten dollars ($10.00) per contract. (b) Pursuant to Arkansas Code § 23-40-119(d)(2)(A)(i), the Insurance Commiss…

23 CAR § 122-102. Applicability and scope. This part shall apply to all persons engaged in the business of selling prepaid funeral benefits contracts under the Arkansas Prepaid Funeral Benefits Law, Arkansas Code § 23-40-101 et seq., as amended by Acts 1995, No. 852.

23 CAR § 122-103. Per-contract fee amounts. (a) Effective for all prepaid funeral benefits contracts executed on and after January 1, 2013, until January 1, 2018, each licensee selling a prepaid funeral benefits contract shall remit to the State Insurance Department a one-time pe…

23 CAR § 123-101. Definitions. As used in this part: (1) "Covered person" means a person on whose behalf a healthcare insurer offering health insurance coverage is obligated to pay benefits or provide services; (2)(A) "Health insurance coverage" means benefits consisting of medic…

23 CAR § 123-102. Time. (a)(1) Except in cases of fraud committed by the healthcare provider, a healthcare insurer may only exercise recoupment from a provider during the eighteen-month period after the date that the healthcare insurer paid the claim submitted by the healthcare p…

23 CAR § 123-103. Persons not covered. (a) If a healthcare insurer determines that payment was made for services not covered under the covered person's health insurance coverage, the healthcare insurer shall give written notice to the healthcare provider of its intent to exercise…

23 CAR § 123-104. Required disclosures. If a healthcare insurer exercises recoupment, then the healthcare insurer shall provide the healthcare provider written documentation that specifies the: (1) Amount of the recoupment; (2) Covered person's name to which the recoupment applie…

23 CAR § 123-105. Violations. The failure to comply with any provision of Arkansas Code § 23-63-1801 et seq., shall be deemed an unfair trade practice under the Trade Practices Act, Arkansas Code § 23-66-201 et seq., and may be punished by the fines and penalties established unde…

23 CAR § 124-101. Purpose. The purpose of this part is to implement Arkansas Code § 23-99-802(4)(FF), which permits the State Insurance Department to add by rule other healthcare practitioners who may be entitled to participate in health benefit plans under: (1) The Patient Prote…

23 CAR § 124-102. Healthcare providers. The following "other healthcare practitioners" shall be entitled to participate in health benefit plans under the Any Willing Provider Law, in addition to the healthcare providers listed in Arkansas Code § 23-99-203(d) and § 23-99-802(4), t…

23 CAR § 124-103. Healthcare service coverage for listed medical providers. Nothing in this part shall mandate that a healthcare insurer must: (1) Offer or cover a healthcare service performed by a provider listed under this part; or (2) Establish a network for that class of medi…

23 CAR § 124-104. Applicability and scope. This part shall apply to all "health insurers" or "healthcare insurers", defined in Arkansas Code § 23-99-802(5), that provide or offer "health benefit plans", defined in Arkansas Code § 23-99-802(3).

23 CAR § 125-101. Purpose. (a) The purpose of this part is to implement Acts 2007, No. 99, entitled "An Act To Establish the Arkansas Long-Term Care Partnership Program", by providing requirements to establish partnership-qualified long-term care insurance policies in this state,…

23 CAR § 125-102. Applicability and scope. (a) This part applies to all: (1) Arkansas PQLTC policies, including certificates issued under a group insurance contract; (2) Producers soliciting such policies in Arkansas; and (3) Insurers issuing such policies in Arkansas. (b) Compli…

23 CAR § 125-103. Definitions. In addition to the definitions provided in Arkansas Code § 23-97-304, the following definitions shall apply for purposes of this part: (1) “Commissioner” means the Insurance Commissioner; (2) “Consumer price index” means the Consumer Price Index for…

23 CAR § 125-104. Policy requirements. Any partnership-qualified long-term care insurance policy shall meet or exceed all of the following: (1) The policy meets all the applicable requirements of this part and the requirements of Long-Term Care Insurance, 23 CAR pt. 84; (2) The p…

23 CAR § 125-105. Exchange of existing policies. (a) If an insurer intends to establish a procedure or procedures under which existing long-term care insurance policies may be exchanged for PQLTC policies, the insurer shall file with the Insurance Commissioner the details of such…

23 CAR § 125-106. Producer requirements. (a)(1) Every producer shall have completed the training required by Long-Term Care Insurance, 23 CAR pt. 84, prior to soliciting PQLTC policies. (2) Proof of such training and demonstration of evidence of an understanding of such policies …

23 CAR § 125-107. Insurer requirements. (a)(1) Each insurer shall establish and maintain procedures that assure that producers soliciting the insurer’s PQLTC policies are in compliance with 23 CAR § 125-106 and the training required by Long-Term Care Insurance, 23 CAR pt. 84. (2)…

23 CAR § 126-101. Scope. This part applies to preneed insurance as defined in 23 CAR § 126-103(c).

23 CAR § 126-102. Purpose. The purpose of this part is to establish for prepaid funeral contracts funded by life insurance minimum mortality standards for reserves and nonforfeiture values, and to require the use of the 1980 Commissioners Standard Ordinary (CSO) Life Valuation Mo…

23 CAR § 126-103. Definitions. (a)(1) The term “2001 CSO Mortality Table” means that mortality table, consisting of separate rates of mortality for male and female lives, developed by the American Academy of Actuaries CSO Task Force from the Valuation Basic Mortality Table develo…

23 CAR § 126-104. Minimum valuation mortality standards. For preneed insurance contracts, as defined in 23 CAR § 126-103(c), and similar policies and contracts, the minimum mortality standard for determining reserve liabilities and nonforfeiture values for both male and female in…

23 CAR § 126-105. Minimum valuation interest rate standards. (a) The interest rates used in determining the minimum standard for valuation of preneed insurance shall be the calendar year statutory valuation interest rates as required under the Standard Valuation Law for Life Insu…

23 CAR § 126-106. Minimum valuation method standards. (a) The method used in determining the standard for the minimum valuation of reserves of preneed insurance shall be the method required under the Standard Valuation Law for Life Insurance and Annuities, Arkansas Code § 23-84-1…

23 CAR § 126-107. Transition rules. (a) For preneed insurance policies issued on or after the effective date of this rule and before January 1, 2012, the 2001 CSO may be used as the minimum standard for reserves and minimum standard for nonforfeiture benefits for both male and fe…

23 CAR § 127-101. Purpose. The purpose of this part is to set forth standards to protect consumers from misleading and fraudulent marketing practices with respect to the use of senior-specific certifications and professional designations in the solicitation, sale, or purchase of,…

23 CAR § 127-102. Scope. This part shall apply to any solicitation, sale, or purchase of, or advice made in connection with, a life insurance or annuity product by an insurance producer.

23 CAR § 127-103. Definition. For purposes of this part, "insurance producer" means a person required to be licensed under the laws of this state to sell, solicit, or negotiate insurance, including annuities.

23 CAR § 127-104. Prohibited uses of senior-specific certifications and professional designations. (a)(1) It is an unfair and deceptive act or practice in the business of insurance within the meaning of Arkansas Code § 23-66-206(6) for an insurance producer to use a senior-specif…

23 CAR § 128-101. Purpose and scope. (a) The purpose of this part is to: (1) Regulate the activities of insurers and producers with respect to the replacement of existing life insurance and annuities; and (2)(A) Protect the interests of life insurance and annuity purchasers by es…

23 CAR § 128-102. Definitions. As used in this part: (1) “Direct-response solicitation” means a solicitation through a sponsoring or endorsing entity or individually solely through: (A) Mail; (B) Telephone; (C) The internet; or (D) Other mass communication media; (2) “Existing in…

23 CAR § 128-103. Duties of producers. (a)(1) A producer who initiates an application shall submit to the insurer, with or as part of the application, a statement signed by both the applicant and the producer as to whether the applicant has existing policies or contracts. (2) If …

23 CAR § 128-104. Duties of insurers that use producers. Each insurer shall: (1) Maintain a system of supervision and control to ensure compliance with the requirements of this part that shall include at least the following: (A) Inform its producers of the requirements of this pa…

23 CAR § 128-105. Duties of replacing insurers that use producers. (a) Where a replacement is involved in the transaction, the replacing insurer shall: (1) Verify that the required forms are received and are in compliance with this part; (2) Notify any other existing insurer that…

23 CAR § 128-106. Duties of the existing insurer. Where a replacement is involved in the transaction, the existing insurer shall: (1) Retain and be able to produce all replacement notifications received, indexed by replacing insurer, for at least five (5) years or until the concl…

23 CAR § 128-107. Duties of insurers with respect to direct-response solicitations. (a)(1) In the case of an application that is initiated as a result of a direct-response solicitation, the insurer shall require, with or as part of each completed application for a policy or contr…

23 CAR § 128-108. Violations and penalties. (a)(1) Any failure to comply with this part shall be considered a violation of Arkansas Code § 23-66-206(2). (2) Examples of violations include: (A) Any deceptive or misleading information set forth in sales material; (B) Failing to ask…