Arkansas legislation · 95th General Assembly (2025 Regular)
Arkansas SB418: TO AMEND THE WORKERS' COMPENSATION LAW THAT RESULTED FROM INITIATED ACT 4 OF 1948; AND TO ESTABLISH A REQUIREMENT FOR WORKERS' COMPENSATION INSURERS TO SPEND AT LEAST EIGHTY-FIVE PERCENT OF PREMIUMS ON HEALTHCARE CLAIMS AND WAGE CLAIMS
Status: Failed, May 5, 2025
What the bill says
An act to be entitled an act to amend the workers' compensation law that resulted from initiated act 4 of 1948; to establish a requirement for workers' compensation carriers to spend at least eighty-five percent of premiums on healthcare claims and wage claims; and for other purposes. subtitle to amend the workers' compensation law that resulted from initiated act 4 of 1948; and to establish a requirement for workers' compensation insurers to spend at least eighty-five percent of premiums on healthcare claims and wage claims.
From the introduced text:
An Act To Be Entitled AN ACT TO AMEND THE WORKERS' COMPENSATION LAW THAT RESULTED FROM INITIATED ACT 4 OF 1948; TO ESTABLISH A REQUIREMENT FOR WORKERS' COMPENSATION CARRIERS TO SPEND AT LEAST EIGHTY-FIVE PERCENT OF PREMIUMS ON HEALTHCARE CLAIMS AND WAGE CLAIMS; AND FOR OTHER PURPOSES. Subtitle TO AMEND THE WORKERS' COMPENSATION LAW THAT RESULTED FROM INITIATED ACT 4 OF 1948; AND TO ESTABLISH A REQUIREMENT FOR WORKERS' COMPENSATION INSURERS TO SPEND AT LEAST EIGHTY-FIVE PERCENT OF PREMIUMS ON HEALTHCARE CLAIMS AND WAGE CLAIMS. BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS: SECTION 1. Arkansas Code § 11-9-408, concerning insurance policies under the Workers' Compensation Law, is amended to add an additional subsection to read as follows: (e)(1) An insurer providing workers' compensation benefits in this state is required to have a medical loss ratio of at least eighty-five percent (85%) for workers compensation claims. (2) As used in this section, "medical loss ratio" means the measure used in workers' compensation insurance to assess the percentage of premium dollars spent on healthcare claims and wage claims versus administrative costs. *ANS354* 03/10/2025 3:09:11 PM ANS354
Sponsors
- John Payton (R, 22) · primary sponsor