AR Insurance Bulletin 11-81
Act 445 Of 1981
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W. H. L. Woodyard 111
Insurance Commissioner
ARKANSAS
INSURANCE
DEPARTMENT
400 University Tower Building le Little Rock, Arkansas 72204
May 13, 1981
BULLETIN NO. 11-81
TO:
ALL DISABILITY INSURERS LICENSED IN THE STNIE OF ARKANSAS
FROM: INSURANCE COMMISSIONER OF THE STATE OF ARKANSAS
RE:
ACT 445 of 1981
Ph. 501 371-1325
Act 445 of 1981 requires that, if coverage is provided for certain
services when delivered on an inpatient basis, identical coverage must be
provided for the services when delivered on an outpatient basis. These
services are:
a) Laboratory and Pathological Tests;
b) X-Rays;
c) Chemotherapy;
d) Radiation Treatment; and
e) Renal Dialysis.
This Act is effective March 12, 1981, and applies to all disability
policies and contracts sold, delivered or issued for delivery on or after
this date. Existing group contracts shall conform upon the first anniversary
of the issue date after March 12, 1981.
The Act provides that the policyholder may reject this required coverage
in writing.
The written rejection by the policyholder must be made a part of the
policy. The Insurance Department will not specify the method used by the
company, however, the company must describe the method to be used when filing
policies for approval.
All claims under contracts affected by this Act must be processed in
compliance with this Act without regprd for conflicting policy language.
All policies approved which are not in compliance must be brought into
compliance by September 1, 1981. This may be accomplished by the use of
endorsements or riders.
No policy or contract will be approved which contains provisions in
conflict with this Act or which does not include appropriate procedures for
written rejection by the policyholder if the company allows such rejection.
Interested persons may obtain copies of Act 445 of 1981 by writing:
Secretary of State
State Capitol Building
Little Rock, AR 72201
W. H. L. Woodyard( III
Insurance Commissioner
AN AGENCY OF THE ARKANSAS DEPARTMENT OF COMMERCE
An equal opportunity employer