Assessment By Arkansas Rural Risk Underwriting Association (ARRUA)

Michael Preston SECRETARY OF COMMERCE AID :,'=;`"" * * OCTOBER 28, 2021 BULLETIN NO.: 05-2021 TO: Alan McClain INSURANCE COMMISSIONER, ARKANSAS INSURANCE DEPARTMENT ALL LICENSED PROPERTY INSURERS, FARMERS MUTUAL AID COMPANIES AND ASSOCIATIONS, NATIONAL ASSOCIATION OF INSURANCE COMMISSIONERS, TRADE ASSOCIATIONS, AND OTHER INTERESTED PARTIES FROM: ARKANSAS INSURANCE DEPARTMENT SUBJECT: ASSESSMENT BY ARKANSAS RURAL RISK UNDERWRITING ASSOCIATION In 1985, the Arkansas General Assembly passed Act 25, creating the Arkansas Rural Risk Underwriting Association. The purpose of the association is to provide a mandatory plan to assure an adequate market for property insurance on insurable risks in the rural areas of Arkansas. All insurers licensed to transact property insurance are required to be members of the association. The association provides a plan of property insurance to insurable rural risk applicants. Arkansas Code Annotated § 23-88-306(a)(3)(A) provides that, "The governing board shall be empowered to make assessments as may be necessary to provide funds needed to make payment of all loss claims and expenses of the association." Arkansas Code Annotated § 23-88-306(d) further provides that members of the Arkansas Rural Risk Underwriting Association ("ARRUA") shall be assessed an amount not to exceed two hundred dollars ($200.00) annually, if needed, for the expense of mailing fire department renewal subscription notices. Pursuant to the statute cited above, the ARRUA Board has determined that an assessment is needed for the year 2021. Arkansas Department of Commerce Arkansas Insurance Department 1 Commerce Way, Suite 102 • Little Rock, AR 72202 INSURANCE.ARKANSAS.GOV The attached form and remittance of two hundred dollars ($200.00) per company, made payable to the "Arkansas Rural Risk Underwriting Association" must be mailed to ARRUA, Dept. #40153, PO Box 9668, Conway, AR 72032. The assessment is due by December 31, 2021. Questions regarding this Bulletin should be directed to Becky Harrington, Property and Casualty Compliance Officer, Arkansas Insurance Department, Compliance Division, at 501- 371-2800 or by e-mail at Beckv.Harringtonki),arkansas.gov, or Brenna Graham, ARRUA Plan Manager, at 479-636-2872 or by e-mail at Brenna@fpmutual.com. ALAN McCLAIN INSURANCE COMMISSIONER STATE OF ARKANSAS g ' 282. \ DA/fE ARKANSAS RURAL RISK UNDERWRITING ASSESSMENT ACT 588 of 2007 DUE BY DECEMBER 31, 2021 Mail this form to: ARRUA Dept. #40153 P.O. Box 9668 Conway, AR 72032 DATE: NAME OF COMPANY*: NAIC # COMPANY CONTACT NAME: COMPANY CONTACT PHONE NUMBER: E-MAIL ADDRESS: CHECK AMOUNT OF CHECK: $200.00 FOR EACH COMPANY REPORTED ON THIS FORM- REMIT TO THE ARKANSAS RURAL RISK UNDERWRITING ASSOCIATION TO THE ATTENTION OF BRENNA GRAHAM, ARRUA PLAN MANAGER, AT THE ADDRESS ABOVE) *Please note that ifsubmission is made for a group of companies, each company and its NAIC number must be listed here: Name of Company NAIC# (Attach additional pages ifrequired)