§ 23-65-311 — Evidence of insurance - Changes - Definition

Arkansas § 23-65-311

• Jurisdiction: Arkansas
• Title: 23

Text

(a) (1) Upon placing a surplus lines coverage, the surplus lines broker shall promptly issue and deliver to the insured evidence of the insurance, consisting either of the policy as issued by the insurer or the surplus lines broker's certificate if the policy is not available. (2) (A) The certificate shall be executed by the surplus lines broker and show: (i) The subject, coverage, conditions, and term of the insurance; (ii) The premium charged; (iii) Taxes collected from the insured; and (iv) The name and address of the insurer. (B) If the direct risk is assumed by more than one (1) insurer, the certificate shall state the name, address, and proportion of the entire direct risk assumed by each insurer. (b) If there is a change to the identity of the insurers after the issuance and delivery of the certificate, a change to the proportion of the direct risk assumed by the insurers as stated in the surplus lines broker's original certificate, or a change in any other material respect as to the insurance coverage evidenced by the certificate, the surplus lines broker shall promptly issue and deliver to the insured a substitute certificate accurately showing the current status of the coverages and the insurers responsible. (c) If a policy issued by the insurer is not available upon placement of the insurance and the surplus lines broker has issued and delivered his or her certificate as provided in subsection (a) of this section, the surplus lines broker shall promptly provide upon a request of the insured the policy of the insurer evidencing the insurance. (d) A surplus lines broker who knowingly or negligently issues a false certificate of insurance or who fails to promptly notify the insured of any material change with respect to the insurance by delivery to the insured of a substitute certificate as provided in subsection (b) of this section, upon conviction of the surplus lines broker, shall be subject to the penalties provided by § 23-60-108 or to a greater applicable penalty provided by law. (e) (1) (A) Upon written request, each approved but nonadmitted surplus lines insurer shall mail or deliver the policyholder's claim loss information to the policyholder or his or her surplus lines broker within thirty (30) days from the date of receipt of the request from the policyholder. (B) If the claim loss information is provided to the surplus lines broker, the surplus lines broker shall deliver the claim loss information to the policyholder within seven (7) days from the date of receipt of the claim loss information from the surplus lines insurer. (C) If the surplus lines broker generates the claim loss information for the surplus lines insurer, the claim loss information shall be provided to the policyholder within thirty (30) days from the date of receipt of the request from the policyholder. (2) (A) "Claim loss information" as used in this subsection means the: (i) Date of loss; (ii) Property insured; and (iii) Amount paid. (B) "Claim loss information" as used in this subsection does not include supporting claim file documentation, including without limitation copies of claim files, investigation reports, evaluation statements, insured's statements, and documents protected by a common law or statutory privilege. (3) The surplus lines insurer or the surplus lines broker may charge a reasonable fee for providing the claim loss information as part of the expense of underwriting the policy. (4) The surplus lines insurer and the surplus lines broker are not required to maintain claim loss information for more than five (5) years following the termination of coverage.

Legislative History

Acts 1959, No. 148, § 197; A.S.A. 1947, § 66-2917; Acts 2005, No. 1697, § 34; 2009, No. 726, § 33; 2011, No. 1055, § 2.