AR SB1122

Transfers regulatory authority over health maintenance organizations from the Department of Health to the Insurance Commissioner, making the Commissioner the primary regulator while the Director of the Department of Health retains advisory role on quality of care issues.

Modifies the certificate of authority issuance process so the Commissioner directly determines if applicants meet requirements, with the Director certifying within 60 days whether quality of care standards are met.

Establishes that the Director's recommendations regarding quality of health care services are conclusive and binding on the Commissioner in suspension or revocation proceedings.

Reallocates HMO licensing fees from the Public Health Fund to the State Insurance Department Trust Fund, including $1,000 for original application review, $200 for issuance, $100 for annual renewal, $50 for annual statements, and $100 for document amendments.

Requires HMOs to submit annual reports and quality assurance information to the Insurance Commissioner rather than the Department of Health, though copies may still be provided to the Director for quality monitoring purposes.