AR| The Arkansas Insurance Department issued Bulletin No. 06-2025 in response to severe storms and tornadoes that caused widespread damage in Arkansas on or about March 14, 2025. The bulletin outlines measures to assist affected residents and enforce regulatory compliance during this challenging time.
Key Points:
- 60-Day Moratorium on Policy Cancellation: A temporary grace period is established for personal lines insurance policies in impacted areas, allowing policyholders who suffered significant damage to request an extension for premium payments. This moratorium does not waive payments but provides flexibility for affected individuals.
- Prohibition of Unlicensed Public Adjusting: The bulletin emphasizes that unlicensed public adjusting is illegal in Arkansas, urging residents to report unauthorized practices to the appropriate authorities.
- Guidance for Insurers and Policyholders: Insurers are encouraged to work with affected policyholders by offering payment plans or extensions, while considering potential delays in communication due to evacuations or service disruptions.