AR SB481

Creates the State Captive Insurance Program within the Department of Transformation and Shared Services to provide consolidated property insurance coverage for public schools, state-supported institutions of higher education, and state-owned property

Establishes a captive insurance company owned and controlled by the state, with the State Board of Finance providing oversight and annual review of actuarial plans, premium rates, and capital requirements

Requires a reserve balance of $50-75 million for program solvency, with the Secretary of Transformation and Shared Services responsible for maintaining actuarially sound funding levels

Prohibits public schools and higher education institutions participating in the program from using public insurance adjusters for claims, and requires claims to be filed within one year of incurred loss

Transfers property insurance programs from the State Insurance Department to the Department of Transformation and Shared Services by December 1, 2025, with full transition complete by December 1, 2026