AR SB487

Amends Arkansas Code § 23-92-201 to define "third-party administrator" as a person, firm, or partnership that collects premiums or adjusts/settles claims for life or accident and health coverage provided by self-insured plans or multiple employer trusts.

Expands the definition of "third-party administrator" to include administrative-services-only contracts offered by insurers and health maintenance organizations, and pharmacy benefits managers administering pharmacy plans under self-insured arrangements.

Lists seven categories of entities explicitly excluded from the definition of "third-party administrator," including employers, unions, licensed insurers, creditors, credit card companies, individual claims adjusters, and licensed insurance agencies.

Amends Arkansas Code § 23-92-203 to clarify that the Insurance Commissioner cannot regulate a third-party administrator's actions that are authorized or required under administration of a self-insured plan or trust, or use those standards for certificate revocation or suspension.

Amends Arkansas Code § 23-92-206 to exempt third-party administrators as defined in the statute from provisions regarding collection of premiums.