(a) Nonpayment of premiums within thirty-one (31) days after the date required under the terms of any guaranteed, assumed, alternative, or reissued policy or contract or substitute coverage shall terminate the Arkansas Life and Health Insurance Guaranty Association's obligations under the policy, contract, or coverage under this chapter with respect to the policy, contract, or coverage, except with respect to any claims incurred or any net cash surrender value which may be due under this chapter.
(b) Premiums due for coverage after entry of an order of liquidation of an insolvent insurer shall belong to and be payable at the direction of the association, and the association shall be liable for unearned premiums due to policy owners or contract owners arising after the entry of the order.
Structure Arkansas Code
Title 23 - Public Utilities and Regulated Industries
Chapter 96 - Arkansas Life and Health Insurance Guaranty Association Act
§ 23-96-103. Construction — Applicability
§ 23-96-105. Advertisement of association act in insurance sales — Notice to policy owners
§ 23-96-110. Powers and duties of association
§ 23-96-111. Impaired insurers
§ 23-96-112. Insolvent insurers
§ 23-96-113. Authority of association when proceeding under § 23-96-111 or § 23-96-112
§ 23-96-114. Liability for benefits — Assignment or subrogation of rights — Definition
§ 23-96-115. Assessments — Tax credits
§ 23-96-116. Plan of operation
§ 23-96-117. Detection and prevention of insolvencies or impairments
§ 23-96-118. Duties and powers of Insurance Commissioner
§ 23-96-119. Distributions of ownership rights