The bill amends the Arkansas Health and Opportunity for Me Act of 2021 to improve the program's sustainability and effectiveness by increasing the medical-loss ratio for health insurers from 80% to 90%. This change ensures that a larger portion of premium income is allocated to medical care and quality improvement. Additionally, the bill introduces provisions for the state to obtain pharmacy rebates, requiring health insurers to actively seek these rebates and establishing a process for tracking their remittance to the state on a quarterly basis. The expiration date of the program is extended from December 31, 2026, to December 31, 2031, and the focus shifts from young adults to previously incarcerated individuals to promote their economic independence.

Furthermore, the bill enhances transparency and accountability by mandating regular reporting on various aspects of the program, including eligibility, enrollment, and the involvement of health insurers and community organizations. It also amends Arkansas Code 26-57-603(a) to require insurers to report specific financial information, including all amounts paid for cost-sharing by the Department of Human Services under the Act. This aims to ensure accurate reflection of the state's financial contributions in insurers' premium income reports, thereby promoting greater accountability within the insurance sector.

Statutes affected:
Old version SB527 Original - 3-19-2025 06:21 PM: 23-61-1002, 23-61-1003, 23-61-801, 20-77-2704, 20-77-2703, 23-61-1004(c), 23-61-1004(d), 23-61-1004(e), 23-61-1004(g), 23-61-1004(h), 23-61-1007(a), 23-61-1007(c), 23-61-1009, 23-61-1011(h), 26-57-603(a)
SB 527: 23-61-1002, 23-61-1003, 23-61-801, 20-77-2704, 20-77-2703, 23-61-1004(c), 23-61-1004(d), 23-61-1004(e), 23-61-1004(g), 23-61-1004(h), 23-61-1007(a), 23-61-1007(c), 23-61-1009, 23-61-1011(h), 26-57-603(a)