Arkansas Insurance Exam Guides
Pick the license you're studying for. Each guide covers Arkansas-specific requirements, fees, and official links — plus a free practice exam. Then scroll down to explore the Arkansas exam's state-law material, mapped.
Free study resource
What's actually tested on the Arkansas exam — the state regulations, mapped
Every Arkansas insurance exam reserves a block of questions for Arkansas-specific law — the fees, deadlines, limits, and rules that generic national study guides gloss over. This is that material: 105 facts from the TESTivity Arkansas regulations curriculum, organized the way we teach them. Open a branch, explore, and let the structure do some of the remembering for you.
Every fact below carries its source citation and the date we last verified it (most recently July 2026) — and is re-checked on a schedule. Facts marked tested are ones you should expect to see on the exam.
Life 14 facts
The life insurance rules that differ by state — free look, grace, reinstatement.
- Incontestability period tested**2 years** from date of issue
- Grace period for individual life tested**30 days**; not varied by premium mode for ordinary life
- Window to reinstate a lapsed policy tested**3 years** from default
- Max interest chargeable on reinstatement, if capped testedInterest **not exceeding 6% per year, compounded annually**
- Suicide exclusion period tested**2 years** from date of issue
- Free look for individual life tested**10 days** (statutory minimum for individual life)
- Free look for annuities tested**10 days** (excludes variable annuities)
- Free look when a policy is being replaced tested**30 days** for a life or annuity replacement
- Free look for long-term care tested**30 days** for long-term care (Ark. Code § 23-97-311); **30 days** for Medicare supplement (AID Rule 27)
- Required nonforfeiture options testedCash surrender value, reduced paid-up insurance, extended term insurance
- Registrations required to sell variable products testedA life producer license plus FINRA securities registration for variable products
- Does the state regulate viatical/life settlements? tested**Yes — the Arkansas Life Settlements Act** (Ark. Code § 23-81-801 et seq.)
- Viator's rescission window tested**15 days** — the owner may rescind on or before 15 days after the contract is executed
- Has the state adopted the NAIC best interest standard? tested**YES — adopted, effective July 8, 2021** (AID Rule 82). A producer must act in the best interest of the consumer, without placing their own or the insurer's financial interest ahead of the consumer's. Producer training was required by January 1, 2022.
Health 14 facts
Health coverage rules — continuation, prompt pay, mandates, public programs.
- Has the state expanded Medicaid under the ACA? tested**YES — expanded effective January 1, 2014, using a distinctive PREMIUM-ASSISTANCE model.** Arkansas used federal Medicaid dollars to buy private Marketplace plans for the expansion population, rather than enrolling them in traditional Medicaid.
- Effective date of expansion, if expanded tested1 January 2014 (as the 'Private Option,' now **ARHOME**)
- Agency administering Medicaid testedArkansas Department of Human Services, Division of Medical Services
- Federal marketplace or state-based exchange tested**A State-Based Marketplace on the Federal Platform (SBM-FP)** — Arkansas RUNS its own marketplace (the Arkansas Health Insurance Marketplace, myarinsurance.com), but consumers enroll through healthcare.gov.
- Name of the state CHIP program tested**ARKids First-B** is the CHIP program. (ARKids First-A is the Medicaid component.)
- Clean-claim payment deadline, electronic tested**30 days** for an electronic clean claim
- Clean-claim payment deadline, paper tested**45 days** for a paper clean claim
- Does the state distinguish electronic vs paper claims? tested**YES — Arkansas splits electronic (30 days) and paper (45 days)** — the same structure as Texas and Alabama
- Interest / penalty on late claim payment tested**12% per year**, accruing automatically from the 61st day on a clean claim
- Is the IRO's external review decision binding on the plan? tested**YES — Arkansas runs its own state external review, and the IRO decision BINDS the carrier.** File within 4 months; a standard decision comes within 45 days, or 72 hours if expedited.
- Employer size at which federal COBRA applies tested20 or more employees (federal COBRA)
- Employer size range covered by state continuation tested**Arkansas HAS a state continuation law — and it is unusual.** It applies to **all fully insured group accident and health plans, with NO employer-size threshold.** The insured must have been covered for **3 months** beforehand.
- Duration of state continuation coverage tested**120 days** maximum
- Election period for state continuation tested**10 days** to elect
Auto 11 facts
Auto insurance — minimum limits, fault system, required coverages.
- Fault-based (tort) or no-fault tested**Fault-based (tort). Arkansas is NOT a no-fault state** — but it does mandate that first-party PIP-style coverage be OFFERED (see below)
- Minimum bodily injury liability per person tested$25,000
- Minimum bodily injury liability per occurrence tested$50,000
- Minimum property damage liability tested$25,000
- The memorizable shorthand (e.g. 30/60/25) tested**25/50/25**
- Uninsured motorist: mandatory / must be offered & rejectable / not required tested**UM is MANDATORY unless rejected in writing** — minimum 25/50
- Underinsured motorist status tested**UIM must be OFFERED, rejectable in writing** — and is available only if UM is elected
- Personal injury protection status tested**Arkansas MANDATES that first-party (PIP-style) coverage be OFFERED, rejectable in writing.** Minimums if not rejected: **$5,000 medical**, income replacement of **70% up to $140/week** for 52 weeks, and **$5,000 accidental death**.
- Contributory / pure comparative / modified comparative negligence tested**MODIFIED COMPARATIVE NEGLIGENCE — 50% bar.** A claimant is barred if their fault is *'equal to or greater than'* the defendant's — i.e. at 50% or more, they recover nothing.
- The bar percentage, if modified comparative tested50% bar — a claimant whose fault is equal to or greater than the defendant's recovers nothing
- Assigned risk / residual market plan for auto tested**The Arkansas Automobile Insurance Plan (AAIP)** — the assigned-risk plan, AIPSO-administered
CE & Renewal 8 facts
Continuing education and renewal rules — the numbers the exam loves.
- How long a license lasts before renewal tested**Arkansas issues a PERMANENT producer license.** It *'shall remain in effect unless revoked or suspended'* so long as the fee is paid and CE is completed by the due date. There is no fixed renewal term and no renewal exam — the license is maintained through the CE compliance cycle.
- What the renewal date keys off (flat term / birthday / birth year) testedCE is due on or before the licensee's **birthday**, on a **two-year cycle**
- CE hours per renewal period, standard case tested**24 hours every two years**
- CE hours if holding multiple license types (if different) testedStill 24 — the requirement does not increase with the number of lines held
- Ethics hours required per period tested**3 hours** of ethics per two-year cycle
- What happens if CE is not completed (fine / expiry / cancellation) testedA graduated fine ladder, then automatic suspension: **$25** if cured within 30 days of the due date, **$50** within 60, **$100** within 90 — and **after 90 days the license is AUTOMATICALLY SUSPENDED**. Reinstate within one year for a **$150** fine; after one year you must re-license from scratch.
- Late renewal / reinstatement tiers testedNo 'renewal' as such (the license is permanent). On CE non-compliance: the fine ladder above, automatic suspension after 90 days, reinstatement within a year for $150, then re-licensure.
- Any CE exemption (e.g. long-service agents) tested**Nonresidents are exempt** unless their home state has no comparable CE requirement. **Insurance consultants** and **active-duty military** are exempt. The old **age-60 / 15-year** exemption applies only to those licensed as an Arkansas resident producer **before July 1, 2003**.
Property 7 facts
Property insurance — rate regulation, residual markets, catastrophe exposure.
- Rate regulation system (file-and-use / prior approval / use-and-file) tested**Competitive rating — file-and-use.** In a competitive market an insurer files rates **20 days before use** (60 days if the market is declared noncompetitive), and the filing takes effect automatically unless disapproved.
- Is insurance credit scoring permitted in personal lines? tested**Permitted, with restrictions.** It may **not** be the SOLE basis for an adverse action; may not use gender, income, ZIP code, or ethnicity; no adverse action solely for a lack of credit history or credit card; credit reports used for adverse action must be **90 days** old or newer; and the insurer must re-underwrite on request every **36 months**.
- Does the state have a FAIR Plan? tested**Arkansas has a residual property market — but a RURAL one.** The **Arkansas Rural Risk Underwriting Association (ARRUA)** provides property coverage for rural risks that cannot obtain it in the voluntary market. There is no separate urban FAIR Plan.
- Name of the FAIR Plan, if any testedArkansas Rural Risk Underwriting Association (ARRUA)
- Dominant catastrophe perils in the state tested**Tornado and severe storm; EARTHQUAKE; and flood.** Northeastern Arkansas sits over the **New Madrid Seismic Zone**, and Arkansas is one of the few inland states with a dedicated earthquake insurance program.
- What license you must already hold to write surplus lines tested**Three years of multi-line (Property and Casualty) authority** in Arkansas or another state, a **$50,000 surety bond**, affiliation with a licensed Arkansas broker firm, and a separate Surplus Lines exam. The application fee is **$1,035**.
- Is a diligent-effort search of the admitted market required first? testedYes
Guaranty 10 facts
The safety nets when an insurer fails — and their limits.
- Name of the life & health guaranty association testedArkansas Life and Health Insurance Guaranty Association
- Life death benefit limit tested$300,000 (life death benefit and net cash surrender value combined, per life)
- Life cash surrender / withdrawal value limit testedCombined with the death benefit under one $300,000 per-life limit
- Annuity benefit limit tested**$300,000** present value — HIGHER than the $250,000 most states use
- Health benefit limit tested$500,000 for a health benefit plan; $300,000 for disability income and for long-term care
- Aggregate per-individual cap, if any tested**$300,000 aggregate per life** across all coverages — except **$500,000** where a health benefit plan is involved
- Does the state follow the standard NAIC model limits? testedBroadly yes, but with Arkansas's combined life limit and its higher $300,000 annuity limit
- Name of the P&C guaranty association testedArkansas Property and Casualty Insurance Guaranty Fund (under the Arkansas Property and Casualty Insurance Guaranty Act)
- Per-claim cap tested**$300,000** per covered claim. Unearned premium is returned in full up to **$25,000** per policy. **Workers' compensation claims are excluded from the cap.** There is **NO per-claim deductible** in Arkansas law.
- Is using the guaranty association as a sales inducement prohibited? tested**Yes — prohibited** except in conformity with the Commissioner's rules
Workers Comp 6 facts
Who must carry workers' compensation and what it pays.
- Is workers' compensation mandatory for private employers? tested**Yes — for employers with THREE or more employees**
- Employee count at which coverage is required tested**Three or more employees** regularly employed
- Agency administering workers' compensation testedThe **Arkansas Workers' Compensation Commission (AWCC)**
- Temporary total disability wage replacement rate tested**66⅔% of the average weekly wage** ($20/week minimum; maximum set at 85% of the state average weekly wage). **A 7-day waiting period applies.**
- Deadline to file a claim tested**2 years** from the date of injury (for additional compensation: one year from the last payment, or two years from injury, whichever is greater)
- Ways an employer may comply (insure / self-insure / group) testedInsure with a licensed carrier, or qualify as a self-insurer
Regulator 5 facts
Who regulates insurance here and what powers the office holds.
- Name of the state insurance regulator testedThe **Arkansas Insurance Department (AID)** — a division of the Arkansas Department of Commerce
- Title of the person who heads it testedInsurance Commissioner
- How the commissioner is chosen: elected / appointed by governor / appointed by other body tested**appointed by the Governor with the advice and consent of the Senate** — not elected. The Commissioner serves at the Governor's pleasure and reports to the Secretary of Commerce.
- Where the state's insurance law is codified tested**Arkansas Code Title 23, Subtitle 3 — the Arkansas Insurance Code**, with rules published as **AID Rules** (Rule 1 onward)
- Does the regulator sit somewhere unusual (e.g. inside a constitutional commission)? testedNo — a conventional department, though it now sits as a **division of the Arkansas Department of Commerce** after the 2019 reorganization
Cancellation 7 facts
When and how policies can be canceled or nonrenewed — heavily tested.
- Initial window during which an insurer may cancel more freely tested**60 days — for both auto and homeowners.** During the first 60 days an insurer may cancel without being limited to the enumerated statutory grounds.
- Notice days to cancel a homeowners policy inside the initial window tested**20 days** for cause; **10 days** for nonpayment (with the reason)
- Notice days to cancel a personal auto policy inside the initial window tested**20 days** for cause; **10 days** for nonpayment (with the reason)
- Notice days for cancellation for nonpayment tested**10 days**, with the reason
- Notice days for cancellation for other permitted causes tested**20 days**
- Notice days required for nonrenewal tested**30 days** before expiration — for both auto and homeowners
- Must the reason be stated proactively, on request, or not at all? tested**Auto:** the reason must be stated on the insured's **written request** (made at least 15 days before). **Homeowners:** the nonrenewal statute does **not** require the reason to be stated.
Licensing 23 facts
How you get and keep the license — exams, fees, applications, background checks.
- Is there a standalone life license/exam? testedYes — Life
- Is there a standalone health license/exam? testedYes — Health (Accident, Health, Sickness)
- Is there a combined life+health license/exam? testedYes as a course of study — **Life and Health may be taken together in one session**, but they are two separate exams (there is no single combined L&H paper)
- Is there a personal lines license/exam? testedYes — Personal Lines (Property/Casualty, no commercial lines)
- Is P&C one combined license, or split into Property and Casualty? tested**COMBINED ONLY — Arkansas has NO separate Property-only or Casualty-only producer exam.** There is a single **Property/Casualty exam (including commercial lines)**, plus a narrower **Personal Lines** exam.
- Does the life license cover annuities? testedYes — annuities fall under the Life line
- Does the P&C license already include personal lines authority? testedThe combined Property/Casualty exam covers commercial lines; Personal Lines is the narrower personal-only alternative
- Full list of exam-based agent license types testedLife · Accident, Health, Sickness · Property/Casualty (including commercial lines) · Personal Lines · Title · Surplus Lines
- Exam administrator (Prometric / PSI / Pearson VUE) tested**PSI Services** — with remote (online) proctoring, and test centers in 10+ Arkansas cities
- Exam fee tested**$50** for a producer exam ($40 for most adjuster exams)
- License application fee tested**$20 NIPR application fee** for a resident producer license. (Surplus lines is $1,035.)
- Passing score tested70%
- Minimum age to be licensed tested18
- Is pre-licensing education required? tested**YES — Arkansas REQUIRES pre-licensing education**, and it is the first hard prerequisite in the process. You must hold a **certificate of completion BEFORE you may sit the exam**, and you must show it at **every attempt**.
- Pre-licensing hours and any exceptions (e.g. Title, adjusters) tested**20 hours per line of authority.** Each 20-hour course includes **5 hours of Arkansas laws and rules** and **1 hour of ethics**, plus line-specific content. A **dual line (Life + Health) is 40 hours** — though the 5-hour Arkansas laws block is not repeated if taken within 2 years. **The completion certificate is valid for 2 years.**
- Fingerprints, state police report, or none testedAn **online criminal background check** completed through the state portal as part of the application
- Who takes the prints / issues the report testedThe Arkansas state background-check portal (ark.org/background-check)
- Deadline to apply after passing the exam testedYou must **pass the exam within 90 days** of your approval-to-test date. The examination fee is valid for **1 year** from payment.
- How long a passed exam remains valid testedThe exam fee is valid 1 year from payment; the pre-licensing certificate is valid **2 years**
- Waiting period before retaking a failed exam tested**Three attempts within the 90-day approval window.** Fail three times, or let the 90 days lapse, and you must **wait four weeks** and repeat the entire application process. (You cannot rebook on the same day you test.)
- Limit on number of attempts, if any tested3 attempts per 90-day approval window
- Notice required to reschedule/cancel without forfeiting the fee tested**2 days** before the exam date, or you forfeit the fee
- Where you apply (Sircon / NIPR / state portal) testedNIPR (nipr.com)