054.00.08 Ark. Code R. 001
The purpose of Rule 93 is to define the term "Noninsurance Subsidiary," a term that was introduced in Section 11 of Act 496 of 2007 without definition. Section 11 is codified at Ark. Code Ann. § 23-63-818(c).
This Rule is issued under the authority vested in the Commissioner by Ark. Code Ann. § 23-61-108, the Arkansas Administrative Procedure Act, codified at Ark. Code Ann. §§ 25-15-201 et seq., and Ark. Code Ann. § 23-63-818, as amended by Act 496 of 2007. The information called for by this Rule is hereby declared to be necessary and appropriate in the public interest and for the protection of insurance consumers in this State.
"Noninsurance subsidiary" means a corporation or other entity in which an insurer has, directly or indirectly, a majority ownership, and such corporation or other entity is not necessary and incidental to the convenient operation of the insurer's insurance business, does not administer any of the insurer's lawful investments, and is not subject to licensure by or registration with the Commissioner.
Any section or provision of this Rule held by the court to be invalid or unconstitutional will not affect the validity of any other section or provision.
The effective date of this Rule is May 15, 2008.
(signed by Julie Benafield Bowman)
___________________________
JULIE BENAFIELD BOWMAN
INSURANCE COMMISSIONER
STATE OF ARKANSAS
(April 14, 2008)
____________________
DATE
054.00.08 Ark. Code R. 001