23 CAR Part 203 — Arkansas Workers’ Compensation Insurance Plan

Chapter I

Subchapter C

Subpart 1

23 CAR § 203-101 Purpose {#sec-23-car-203-101 omnilex-key=us-ar-regs-official--title-23-part-203--23 CAR § 203-101}

23 CAR § 203-101. Purpose.

(a) The purpose of this part is to implement the mandatory workers’ compensation insurance plan, known as the Arkansas Workers’ Compensation Insurance Plan, as established in Arkansas Code § 23-67-301 et seq.

(b) The Arkansas Workers’ Compensation Insurance Plan:

(1) Ensures coverage for employers who are in good faith entitled to, but are unable to procure, workers’ compensation and employers' liability insurance in the voluntary market; and

(2) Provides for the fair, efficient, and equitable operation and regulation of the plan.

History

• History: Ark. R. 2026-43 (eff. July 2, 2026) Authorities: Arkansas Code § 11-9-106; Arkansas Code § 23-61-108; Arkansas Code § 23-67-218

23 CAR § 203-102 Definitions {#sec-23-car-203-102 omnilex-key=us-ar-regs-official--title-23-part-203--23 CAR § 203-102}

23 CAR § 203-102. Definitions.

As used in this part:

(1) "Commissioner" means the Insurance Commissioner for the State of Arkansas;

(2)(A) "Employer" means any business organization or enterprise that is required by statute to maintain workers’ compensation insurance in this state.

(B) “Employer” shall include any business organizations or enterprises that are affiliated as a result of common management or common ownership;

(3) "Plan" means the Arkansas Workers' Compensation Insurance Plan;

(4) "Plan administrator" means such organization or organizations to which the responsibility for administering the affairs of the plan may be delegated, including, but not limited to, such functions and duties as rates, rules, forms, and statistics;

(5)(A) "Producer" means a licensed casualty insurance agent or broker, as defined in the Arkansas Insurance Code, whose privileges under the plan have not been suspended or revoked.

(B) Provided, however, that such producer shall, for purposes of the plan, be considered to be acting on behalf of the insured or employer applying under the plan and not as an agent of the plan administrator or of any servicing carrier for plan business;

(6) “Servicing carrier” means the insurer authorized to receive plan assignments and provide coverage to eligible employers;

(7)(A)(i) "Voluntary offer of coverage" means a legitimate, good faith offer of workers' compensation insurance made by a workers' compensation insurer to an employer on a voluntary basis outside this plan, which said offer is either of such workers’ compensation insurance:

(a) On a monoline basis and on a reasonable rating plan approved for use in Arkansas by the Insurance Commissioner for that insurer; or

(b) In combination or coordination with other property and/or casualty coverages and limits desired by the employer and as such insurer may also offer.

(ii) Provided, however, that such insurer shall apply its filed rating plan, including all applicable discounts or credits, to such employer in a good faith, nondiscriminatory manner.

(B) "Voluntary offer of coverage" shall in no event be interpreted as including or referring to an offer, entreaty, or opportunity presented for coverage under any type of self-insured workers' compensation plan.

(C) Neither the plan administrator or administrators nor the servicing carrier or carriers shall have a responsibility to determine whether the putative voluntary offer of coverage is truly voluntary, but any agent or broker and any insurer knowingly submitting an offer of workers’ compensation coverage to an employer that does not meet the above definition of a bona fide "voluntary offer" may be in violation of Arkansas Code § 23-66-205; and

(8) "Workers' compensation insurance" means:

(A) Statutory workers' compensation and occupational disease liability insurance including insurance for liability under the Longshore and Harbor Workers' Compensation Act, 33 U.S.C. § 901 et seq., as amended, and the Federal Coal Mine Health and Safety Act of 1969, 30 U.S.C. § 801 et seq., as amended;

(B) Employers’ liability insurance written in connection with a workers' compensation policy; and

(C) Such other coverages as approved by the commissioner.

History

• Codification Notes: The Arkansas Insurance Code was enacted by Acts 1959, No. 148. History: Ark. R. 2026-43 (eff. July 2, 2026) Authorities: Arkansas Code § 11-9-106; Arkansas Code § 23-61-108; Arkansas Code § 23-67-218

23 CAR § 203-103 Rules for eligibility and assignment {#sec-23-car-203-103 omnilex-key=us-ar-regs-official--title-23-part-203--23 CAR § 203-103}

Codification Notes: 23 CAR § 203-103, concerning rules for eligibility and assignment, was repealed by Ark. R. 2026-43 (eff. July 2, 2026).

23 CAR § 203-104 Cancellation and renewal {#sec-23-car-203-104 omnilex-key=us-ar-regs-official--title-23-part-203--23 CAR § 203-104}

Codification Notes: 23 CAR § 203-104, concerning cancellation and renewal, was repealed by Ark. R. 2026-43 (eff. July 2, 2026)

23 CAR § 203-105 Participation {#sec-23-car-203-105 omnilex-key=us-ar-regs-official--title-23-part-203--23 CAR § 203-105}

Codification Notes: 23 CAR § 203-105, concerning participation, was repealed by Ark. R. 2026-43 (eff. July 2, 2026).

23 CAR § 203-106 Plan administrator {#sec-23-car-203-106 omnilex-key=us-ar-regs-official--title-23-part-203--23 CAR § 203-106}

23 CAR § 203-106. Plan administrator.

(a) The commissioner may designate a plan administrator to administer and operate the plan.

(b)(1) The plan administrator shall file with the commissioner for approval operating rules, procedures, and guidelines consistent with the provisions of this part for the administration and operation of the plan.

(2) The plan administrator shall publish and make available to all insurers and producers the operating rules, procedures, performance standards, and guidelines for the administration and operation of the plan.

(3) The plan administrator shall file for approval its schedule of fees which it proposes to remit to producers for policies written and services provided under the plan.

(c) The plan administrator shall have the following duties and responsibilities in addition to any others set forth in this plan, all of which are subject to the ultimate control and oversight of the commissioner:

(1) Administering, managing, and enforcing the plan subject to the provisions contained herein;

(2) Determining the methodology and formula for making assignments to servicing carriers and securing the necessary information in order to make the assignments;

(3) Processing assigned risk applications pursuant to the requirements of this plan;

(4) Establishing eligibility criteria for servicing carriers and appointing servicing carriers, each of which shall be subject to prior approval of the commissioner;

(5) Establishing written performance requirements for servicing carriers, including, but not limited to:

(A) Verification of ongoing plan eligibility of the employer;

(B) Timely and accurate issuance of policies and endorsements;

(C) Timely and accurate filings with administrative agencies, as required;

(D) Maintenance of premiums on policies consistent with manual rules, rates, rating plans, and classifications;

(E) Timely and accurate completion and billing of final audits;

(F) Collection of premium;

(G) Claim services, including:

(i) Investigation;

(ii) Disability management; and

(iii) Medical cost control;

(H) Loss control services and safety information to encourage employers to make safety a part of their business;

(I) Cooperation with the commissioner and with the Workers’ Compensation Commission and Division of Labor in carrying out and effectuating required safety mandates;

(J) Payment of producer fees;

(K) Issuance of renewal proposals and nonrenewal notices;

(L) Assurance of insured and insurer compliance with all terms and conditions of policy contract;

(M) Resolution of complaints and response to inquiries from insureds and producers;

(N) Requirement to consult with and keep insureds apprised of developments in incurred claim cases;

(d) Annually, within ninety (90) days following the end of the fourth quarter, the plan administrator shall file with the commissioner a performance review and evaluation of each servicing carrier

History

• History: Ark. R. 2026-43 (eff. July 2, 2026) Authorities: Arkansas Code § 11-9-106; Arkansas Code § 23-61-108; Arkansas Code § 23-67-218

23 CAR § 203-107 Servicing carriers — Performance standards {#sec-23-car-203-107 omnilex-key=us-ar-regs-official--title-23-part-203--23 CAR § 203-107}

23 CAR § 203-107. Servicing carriers — Performance standards.

(a) The plan administrator shall establish written requirements that insurers must meet in order to be eligible to act as servicing carriers.

(b) The Insurance Commissioner shall approve the performance standards established by the plan administrator.

(c) The performance standards may be amended and supplemented from time to time with prior written approval of the commissioner.

History

• History: Ark. R. 2026-43 (eff. July 2, 2026) Authorities: Arkansas Code § 11-9-106; Arkansas Code § 23-61-108; Arkansas Code § 23-67-218

23 CAR § 203-108 Interstate assignments {#sec-23-car-203-108 omnilex-key=us-ar-regs-official--title-23-part-203--23 CAR § 203-108}

Codification Notes: 23 CAR § 203-108, concerning interstate assignments, was repealed by Ark. R. 2026-43 (eff. July 2, 2026).

23 CAR § 203-109 Association or sponsored multiple coordinated policies {#sec-23-car-203-109 omnilex-key=us-ar-regs-official--title-23-part-203--23 CAR § 203-109}

Codification Notes: 23 CAR § 203-109, concerning association or sponsored multiple coordinated policies, was repealed by Ark. R. 2026-43 (eff. July 2, 2026).

23 CAR § 203-110 Assignment formula {#sec-23-car-203-110 omnilex-key=us-ar-regs-official--title-23-part-203--23 CAR § 203-110}

Codification Notes: 23 CAR § 203-110, concerning assignment formula, was repealed by Ark. R. 2026-43 (eff. July 2, 2026).

23 CAR § 203-111 Dispute resolution procedure {#sec-23-car-203-111 omnilex-key=us-ar-regs-official--title-23-part-203--23 CAR § 203-111}

Codification Notes: 23 CAR § 203-111, concerning dispute resolution procedure, was repealed by Ark. R. 2026-43 (eff. July 2, 2026).

23 CAR § 203-112 Self-funded plan {#sec-23-car-203-112 omnilex-key=us-ar-regs-official--title-23-part-203--23 CAR § 203-112}

Codification Notes: 23 CAR § 203-112, concerning self-funded plan, was repealed by Ark. R. 2026-43 (eff. July 2, 2026).

23 CAR § 203-113 Small deductible policy option {#sec-23-car-203-113 omnilex-key=us-ar-regs-official--title-23-part-203--23 CAR § 203-113}

Codification Notes: 23 CAR § 203-113, concerning small deductible policy option, was repealed by Ark. R. 2026-43 (eff. July 2, 2026).

23 CAR § 203-114 Other standards and penalties {#sec-23-car-203-114 omnilex-key=us-ar-regs-official--title-23-part-203--23 CAR § 203-114}

Codification Notes: 23 CAR § 203-114, concerning other standards and penalties, was repealed by Ark. R. 2026-43 (eff. July 2, 2026).

23 CAR § 203-115 Arkansas Workers’ Compensation Insurance Plan — Operation and regulation {#sec-23-car-203-115 omnilex-key=us-ar-regs-official--title-23-part-203--23 CAR § 203-115}

23 CAR § 203-115. Arkansas Workers’ Compensation Insurance Plan — Operation and regulation.

(a)(1) The operation and regulation of the Arkansas Worker’s Compensation Insurance Plan shall be the responsibility of the Insurance Commissioner.

(2) The commissioner may delegate all or any part of his or her responsibility to establish and operate the plan in accordance with the Arkansas Workers’ Compensation Insurance Plan.

(3) Any third party designated by the commissioner to develop and administer the plan shall prepare and submit such plan, and any amendments thereto, to the commissioner for approval.

(b) The plan shall provide for the equitable apportionment among insurers of applicants for workers' compensation insurance who are in good faith eligible for, but are unable to procure, such insurance through ordinary methods.

(c) The plan shall provide:

(1) Reasonable rules governing the random and equitable distribution of employers and their assignment to insurers;

(2) A method whereby applicants for insurance, insureds, and insurers may have a hearing on grievances; and

(3) A right to appeal the outcome of the hearing to the commissioner.

(d) When the plan, and any amendments thereto, have been approved by the commissioner and become effective, no insurer that does not participate in the plan shall thereafter:

(1) Issue a policy of workers’ compensation insurance; or

(2) Undertake to transact workers’ compensation business in this state.

History

• History: Ark. R. 2026-43 (eff. July 2, 2026)