The proposed bill seeks to amend the Arkansas Insurance Code through the State Insurance Department's General Omnibus Amendment, introducing several significant changes to existing laws. Key modifications include allowing the Insurance Commissioner to delegate responsibilities for the Arkansas Workers' Compensation Insurance Plan, with prior approval required for such delegations. The bill also clarifies the bond requirements for attorneys representing domestic and foreign reciprocal insurers, specifying that the bond must be executed by the attorney and an authorized corporate surety, subject to the commissioner's approval. Additionally, the examination frequency for hospital and medical service corporations is updated from every three years to every five years, and the bill repeals the Comprehensive Health Insurance Pool Act, which was designed to provide an alternative health insurance market for uninsurable residents.

Moreover, the bill proposes extensive amendments to the Arkansas Comprehensive Health Insurance Pool, including the removal of various definitions and provisions related to Medicare and the operational structure of the pool. It eliminates the requirement for the board to approve coverage plans and the stipulation that coverage issued under portability provisions must not have preexisting condition exclusions. The bill also modifies the responsibilities of the plan administrator, streamlining the selection process and clarifying eligibility requirements for individuals seeking coverage. Importantly, it mandates the orderly cessation of operations for the Arkansas Comprehensive Health Insurance Pool by January 1, 2014, outlining the transition of individuals to the individual health insurance market and the necessary steps for winding up operations, including the handling of excess funds and the requirement for an independent auditor's report.

Statutes affected:
HB 1595: 23-67-304(e), 23-70-110(a), 23-75-114(b), 23-79-205(a)
Act 349: 23-67-304(e), 23-70-110(a), 23-75-114(b), 23-79-205(a)