(a) All contract proceeds collected under contracts for prepaid funeral benefits, including funds collected under contracts entered into before June 28, 1985, shall be deposited with a trustee within twenty (20) business days after receipt of proceeds, to be held, invested, and administered in a trust fund for the benefit and protection of the contract purchasers pursuant to this chapter.
(b) Each trust fund shall be created by a letter or written agreement which shall be filed with and approved by the Insurance Commissioner prior to placement of funds.
(c) The seller may deposit money or property as surplus at any time.
(d) The commissioner shall prescribe by regulation proper affidavits and forms for the withdrawal of funds from the trust fund.
(e) The commissioner shall first approve and authorize in writing any transfer of funds from an existing trustee to a proposed new trustee if the proposed new trustee meets the requirements of this chapter and the rules promulgated thereunder.
(f) The licensee shall file a request for a transfer of funds, together with a filing fee of two hundred fifty dollars ($250), and any other information required by rule.
(g) This section shall not apply to the proceeds of insurance policies or contracts, and it shall not be necessary to establish a trust for the payment of such proceeds to the beneficiary designated in the policy or contract or the assignee or transferee thereof.
(h) [Repealed.]
Structure Arkansas Code
Title 23 - Public Utilities and Regulated Industries
Subtitle 2 - Financial Institutions And Securities
Chapter 40 - Arkansas Prepaid Funeral Benefits Law
§ 23-40-104. Arkansas Insurance Code not affected
§ 23-40-105. Burial associations exempted
§ 23-40-106. Violations — Penalties
§ 23-40-107. Division of Prepaid Funeral Benefits — State Insurance Department Prepaid Trust Fund
§ 23-40-110. Application for initial or renewed permit
§ 23-40-111. Issuance of permit — Cancellation or denial
§ 23-40-112. Prepaid funeral benefits contracts
§ 23-40-113. Change of ownership
§ 23-40-114. Trust funds — Creation — Deposits, withdrawals, and transfers of funds
§ 23-40-115. Trust funds — Investments
§ 23-40-116. Trust funds — Disbursements
§ 23-40-117. Trust funds — Exemption from attachment, etc
§ 23-40-118. Agent for deposit of contract proceeds
§ 23-40-119. Annual report and fee
§ 23-40-120. Records required — Examination
§ 23-40-122. Cancellation or transfer
§ 23-40-123. Delinquency proceedings
§ 23-40-126. Unfair competition or unfair or deceptive acts or practices prohibited — Penalties