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Arkansas General Assembly· SB 418Sine Die adjournment

An act TO AMEND THE WORKERS' COMPENSATION LAW THAT 10 RESULTED FROM INITIATED ACT 4 OF 1948, the official text

Shown verbatim: the complete text as captured from the official PDF posted by the Arkansas General Assembly, fetched 2026-07-23. Page and line markers are part of the official record; nothing is edited or removed. The official bill page.
Stricken language would be deleted from and underlined language would be added to present law.

1 State of Arkansas                A Bill
2 95th General Assembly

3 Regular Session, 2025                                            SENATE BILL 418

4

5 By: Senator J. Payton

6

7

8                         For An Act To Be Entitled

9   AN ACT TO AMEND THE WORKERS' COMPENSATION LAW THAT

10  RESULTED FROM INITIATED ACT 4 OF 1948; TO ESTABLISH A

11  REQUIREMENT FOR WORKERS' COMPENSATION CARRIERS TO

12  SPEND AT LEAST EIGHTY-FIVE PERCENT OF PREMIUMS ON

13  HEALTHCARE CLAIMS AND WAGE CLAIMS; AND FOR OTHER

14  PURPOSES.

15

16

17                                 Subtitle

18                       TO AMEND THE WORKERS' COMPENSATION LAW

19                       THAT RESULTED FROM INITIATED ACT 4 OF

20                       1948; AND TO ESTABLISH A REQUIREMENT FOR

21                       WORKERS' COMPENSATION INSURERS TO SPEND

22                       AT LEAST EIGHTY-FIVE PERCENT OF PREMIUMS

23                       ON HEALTHCARE CLAIMS AND WAGE CLAIMS.

24

25 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF ARKANSAS:

26

27  SECTION 1. Arkansas Code � 11-9-408, concerning insurance policies

28 under the Workers' Compensation Law, is amended to add an additional

29 subsection to read as follows:

30  (e)(1) An insurer providing workers' compensation benefits in this

31 state is required to have a medical loss ratio of at least eighty-five

32 percent (85%) for workers compensation claims.

33  (2) As used in this section, "medical loss ratio" means the

34 measure used in workers' compensation insurance to assess the percentage of

35 premium dollars spent on healthcare claims and wage claims versus

36 administrative costs.

    *ANS354*                                                     03/10/2025 3:09:11 PM ANS354
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