This bill mandates that insurance companies are required to pay a fair and reasonable service fee directly to fire departments for firefighting services rendered during emergencies. The fee is to be based on the "time on scene," which is defined as the documented duration that a fire department spends at the scene of a structure fire, accident, or motor vehicle fire, starting from their arrival until the scene is cleared.

The new section added to the Arkansas Code specifies that if a fire department responds to a fire within its district and the property involved is insured, the insurance company must compensate the fire department for its services. This legislation aims to ensure that fire departments receive appropriate financial support for their emergency response efforts.