AR HB1515

Effective January 1, 2023, carriers or participating providers are prohibited from holding beneficial ownership in more than one risk-based provider organization with an Arkansas Medicaid Program contract through subsidiaries, parent companies, affiliates, or similar financial structures.

Entities with conflicting ownership interests in multiple risk-based provider organizations issued contracts before July 1, 2021 must begin good-faith negotiations to divest ownership on commercially reasonable terms by January 1, 2023.

The Insurance Commissioner may approve ownership transition plans that extend beyond January 1, 2023 for transferring funds between parties to ensure compliance with the ownership restriction.

The Insurance Commissioner shall not issue a risk-based organization license to any applicant organized in violation of these ownership restrictions for contracts issued on or after July 1, 2021.