(a) For continuance of an original certificate of authority, a farmers' mutual aid company or association shall file with the Insurance Commissioner:
(1) A concise statement of its financial condition, management, and affairs on a form satisfactory to the commissioner;
(2) Other documents or stipulations as the commissioner may reasonably require to evidence compliance with the provisions of this chapter; and
(3) Pay any fees required by the Arkansas Insurance Code to be paid for filing the accompanying documents and for the certificate of authority if granted.
(b) (1) After September 1, 2005, the commissioner shall prepare and send to each qualified farmers' mutual aid association or company a substitute Arkansas certificate of authority evidencing full licensure from the original date when the association or company was issued a certificate of authority.
(2) (A) A certificate issued under subdivision (b)(1) of this section shall:
(i) Be and remain the property of the State of Arkansas;
(ii) Render any previous certificate of authority null and void as of the effective date of the new certificate;
(iii) Remain in force and effect until it expires or is suspended, revoked, or surrendered; and
(iv) Be continuous, subject to compliance with annual fee and reporting requirements.
(B) The association or company shall promptly deliver the certificate to the commissioner upon the certificate's expiration, suspension, revocation, or surrender.
(C) (i) If for any reason the association or company is not entitled to a continuation of the certificate of authority, the commissioner:
(a) May refuse to continue the certificate; and
(b) Shall give either written or electronic notice of the refusal to continue the certificate to the association or company.
(ii) The certificate of authority shall expire on the next May 1 following the notice provided in subdivision (b)(2)(C)(i)(b) of this section.
(c) After notice and a hearing, the commissioner may suspend or revoke a certificate of authority if the association or company:
(1) No longer meets the requirements for holding a certificate of authority or is impaired or insolvent;
(2) Is using methods or practices in the conduct of its business that unreasonably expose its members, policyholders, or the public to injury;
(3) Has refused to be examined or to produce its accounts, records, or files for examination when required by the commissioner, or if any of its officers, directors, or key personnel have refused to give information with respect to the association's or company's affairs when required by the commissioner;
(4) Has failed to pay a final judgment against it; or
(5) Has violated or failed to comply with any applicable provision of the Arkansas Code or any lawful order or regulation of the commissioner.
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