Arkansas Administrative Code

23 CAR § 93-102. Severability. If any provision of this part or the application thereof to any person or circumstance is for any reason held to be invalid, the remainder of the part and the application of such provision to other persons or circumstances shall not be affected ther…

23 CAR § 93-103. Supersession of conflicting rules. (a) This part shall supersede and fully replace any prior rule concerning variable life insurance. (b)(1) This part is particularly intended to replace any provisions of Variable Annuity Contracts, 23 CAR pt. 81, as it may perta…

23 CAR § 93-201. Applicability. The following requirements are applicable to all insurers: (1) Seeking authority to issue variable life insurance in this state; or (2) Having authority to issue variable life insurance in this state.

23 CAR § 93-202. Licensing and approval to do business in this state. (a) An insurer shall not deliver or issue for delivery in this state any variable life insurance policies unless the insurer: (1) Is licensed or organized to do a life insurance business in this state; or (2) H…

23 CAR § 93-203. Filing for approval to do business in this state. The Insurance Commissioner may, at his or her discretion, require that an insurer, before it delivers or issues for delivery any variable life insurance policy in this state, file with the State Insurance Departme…

23 CAR § 93-204. Standards of suitability. (a) Every insurer seeking approval to enter into the variable life insurance business in this state shall establish and maintain a written statement specifying the standards of suitability to be used by the insurer. (b) Such standards of…

23 CAR § 93-205. Use of sales materials. (a) An insurer authorized to transact variable life insurance business in this state shall not use any sales material, advertising material, descriptive literature, or other material of any kind in connection with its variable life insuran…

23 CAR § 93-206. Requirements applicable to contractual services. Any material contract between an insurer and suppliers of consulting, investment, administrative, sales, marketing, custodial, or other services with respect to variable life insurance operations shall: (1) Be in w…

23 CAR § 93-207. Reports to the Insurance Commissioner. (a) Any insurer authorized to transact the business of variable life insurance in this state shall submit to the Insurance Commissioner, in addition to any other materials that may be required by this part or any other appli…

23 CAR § 93-208. Authority of Insurance Commissioner to disapprove. Any material required to be filed with and approved by the Insurance Commissioner shall be subject to disapproval if at any time it is found by him or her not to comply with standards established in this part.…

23 CAR § 93-301. Policy qualification. The Insurance Commissioner shall not approve any variable life insurance form filed pursuant to this part unless it conforms to the requirements of this subpart.

23 CAR § 93-302. Filing of variable life insurance policies. (a) All variable life insurance policies and all riders, endorsements, applications, and other documents that are to be attached to be made a part of the policy and that relate to the variable nature of the policy shall…

23 CAR § 93-303. Mandatory policy benefit and design requirements. Variable life insurance policies delivered or issued for delivery in this state shall comply with the following minimum requirements: (1)(A) Mortality and expense risks shall be borne by the insurer. (B) The morta…

23 CAR § 93-304. Mandatory policy provisions. Every variable life insurance policy filed for approval in this state shall contain at least the following: (1) The cover page or pages corresponding to the cover page of each such policy shall contain: (A) A prominent statement in ei…

23 CAR § 93-305. Policy loan provisions. (a) Every variable life insurance policy, other than term insurance policies and pure endowment policies, delivered or issued for delivery in this state shall contain provisions that are not less favorable to the policyholder than the foll…

22 CAR § 93-306. Other policy provisions. The following provision may in substance be included in a variable life insurance policy or related form delivered or issued for delivery in this state: (1)(A) An exclusion for suicide within two (2) years of the issue date of the policy.…

23 CAR § 93-401. Reserve liabilities for variable life insurance — Requirements. (a) Reserve liabilities for variable life insurance policies shall be established under the standard valuation law in accordance with actuarial procedures that recognize the variable nature of the be…

23 CAR § 93-501. Separate accounts — Applicability. The following requirements apply to the establishment and administration of variable life insurance separate accounts by any domestic insurer.

23 CAR § 93-502. Establishment and administration of separate accounts. (a) Any domestic insurer issuing variable life insurance shall establish one (1) or more separate accounts pursuant to Arkansas Code § 23-81-402 of the insurance laws of this state. (b) If no law or other rul…

23 CAR § 93-503. Amounts in separate accounts. The insurer shall maintain in each separate account assets with a value at least equal to the greater of the: (1) Valuation reserves for the variable portion of the variable life insurance policies; or (2) Benefit base for such polic…

23 CAR § 93-504. Investments by the separate account. (a) No sale, exchange, or other transfer of assets may be made by an insurer or any of its affiliates between any of its separate accounts or between any other investment account and one (1) or more of its separate accounts un…

23 CAR § 93-505. Limitations on ownership. (a)(1) A separate account shall not purchase or otherwise acquire the securities of any issuer, other than securities issued or guaranteed as to principal and interest by the United States, if immediately after such purchase or acquisiti…

23 CAR § 93-506. Valuation of separate account assets. Investments of the separate account shall be valued at: (1) Their market value on the date of valuation; or (2) Amortized cost, if it approximates market value.

23 CAR § 93-507. Separate account investment policy. (a) The investment policy of a separate account operated by a domestic insurer filed under 23 CAR § 93-203(3) shall not be changed without first filing such change with the Insurance Commissioner. (b)(1) Any change filed pursua…

23 CAR § 93-508. Charges against separate accounts. The insurer must disclose in writing, prior to or contemporaneously with delivery of the policy, all charges that may be made against the separate account, including, but not limited to, the following: (1) Taxes or reserves for …

23 CAR § 93-509. Standards of conduct. (a) Every insurer seeking approval to enter into the variable life insurance business in this state shall adopt by formal action of its board of directors a written statement specifying the standards of conduct of the insurer and its officer…

23 CAR § 93-510. Conflicts of interest. Rules under any provision of the insurance laws of this state or any rule applicable to the officers and directors of insurance companies with respect to conflicts of interest shall also apply to members of any separate account's committee …

23 CAR § 93-511. Investment advisory services to a separate account. (a) An insurer shall not enter into a contract under which any person undertakes, for a fee, to regularly furnish investment advice to such insurer with respect to its separate accounts maintained for variable l…

23 CAR § 93-601. Information furnished to applicants. (a) An insurer delivering or issuing for delivery in this state any variable life insurance policies shall deliver to the applicant for such policy, and obtain a written acknowledgement of receipt from such applicant coinciden…

23 CAR § 93-602. Application requirements. The application for a variable life insurance policy shall contain: (1) A prominent statement that the death benefit may be variable or fixed under specified conditions; (2) A prominent statement that cash values may increase or decrease…

23 CAR § 93-701. Report requirements. Any insurer delivering or issuing for delivery in this state any variable life insurance policies shall mail to each variable life insurance policyholder at his or her last known address the following reports: (1)(A) Within thirty (30) days a…

23 CAR § 93-801. Compliance with foreign laws or rules. If the law or regulation in the place of domicile of a foreign company provides a degree of protection to the policyholders and the public that is substantially similar to that provided by this part, the Insurance Commission…

23 CAR § 93-901. Qualification to sell variable life insurance. (a) No person may sell or offer for sale in this state any variable life insurance policy unless such person is an agent and has filed with the Insurance Commissioner, in a form satisfactory to the commissioner, evid…

23 CAR § 93-902. Reports of disciplinary actions. (a) Any person qualified in this state under this subpart to sell or offer to sell variable life insurance shall immediately report to the Insurance Commissioner: (1) Any suspension or revocation of his or her agent's license in a…

23 CAR § 94-101. Purpose. The purpose of this part is to supplement existing rules on life insurance policies in order to accommodate the development and issuance of universal life insurance plans.

23 CAR § 94-102. Definitions. As used in this part: (1) "Cash surrender value" means the net cash surrender value plus any amounts outstanding as policy loans; (2) "Commissioner" means the Insurance Commissioner; (3) "Fixed premium universal life insurance policy" means a univers…

23 CAR § 94-103. Scope. This part encompasses all individual universal life insurance policies except those policies defined under 23 CAR § 93-101(19).

23 CAR § 94-104. Valuation. (a) Requirements. (1)(A) The minimum valuation standard for universal life insurance policies shall be the Commissioners Reserve Valuation Method, as described below for such policies, and the tables and interest rates specified below. (B) The terminal…

23 CAR § 94-105. Nonforfeiture. (a) Minimum cash surrender values for flexible premium universal life insurance policies. (1)(A) Minimum cash surrender values for flexible premium universal life insurance policies shall be determined separately for the basic policy and any benefi…

23 CAR § 94-106. Mandatory policy provisions. The policy shall provide the following: (1) Periodic disclosure to policy owner. (A) The policy shall provide that the policy owner will be sent, without charge, at least annually, a report that will serve to keep such policy owner ad…

23 CAR § 94-107. Disclosure requirements. (a) In connection with any advertising, solicitation, negotiation, or procurement of a universal life insurance policy: (1)(A) Any statement of policy cost factors or benefits shall contain: (i) The corresponding guaranteed policy cost fa…

23 CAR § 94-108. Periodic disclosure to policy owner — Requirements. (a)(1) The policy shall provide that the policy owner will be sent, without charge, at least annually, a report that will serve to keep such policy owner advised of the status of the policy. (2) The end of the c…

23 CAR § 94-109. Interest-indexed universal life insurance policies. (a) Initial filing requirements. (1)(A) The following information shall be submitted in connection with any filing of interest-indexed universal life insurance policies ("interest-indexed policies"). (B) All suc…

23 CAR § 95-101. Purpose. The purpose of this part is to set the standards and guidelines under which agents for health maintenance organizations can be licensed by the State of Arkansas.

23 CAR § 95-102. Applicability and scope. This part shall apply to all individuals, limited liability companies, and corporate or partnership (general or limited) agencies engaged in the business of marketing contacts, soliciting enrollments, or offering memberships with a health…

23 CAR § 95-103. Definitions. As used in this part: (1) "Agent" means any individual person who, limited liability company that, or corporation or partnership (general or limited) that engages in solicitation and enrollment for any health maintenance organization, but shall exclu…

23 CAR § 95-104. License qualifications. (a) Every individual person applying for an agent license shall be qualified as follows: (1) Must be of legal age or have the disabilities of minority removed by a court of law for general purposes; (2) Must be a resident of this state or …

23 CAR § 95-105. Fees. (a) Licensure fees payable by applicant only for resident agent/agency license: (1) There shall be a thirty-dollar examination fee paid to the Insurance Commissioner prior to examination of resident individuals and a thirty-dollar retake fee; (2) There shal…

23 CAR § 95-106. Term of license. (a) Every license and HMO appointment issued under this part shall be valid for the calendar year when issued, and each HMO appointment must be renewed biennially on even-numbered years contemporaneous with life and/or disability insurance agent …

23 CAR § 95-107. Revocation and suspension of license. (a) The Insurance Commissioner may suspend for not more than thirty-six (36) months pursuant to Arkansas Code § 23-64-216, or may revoke or refuse to continue any license issued under this part, after: (1) Written notice to t…