Summary of the Arkansas Market

Arkansas has many of the same medical malpractice insurance companies that write business all over the country. They also have a few of their own carriers that stay exclusive to the state. Nevertheless, several of the carriers offer similar features on their policies.

• Consent to settle provision
• Defense costs that are outside the limits of liability
• Unlimited tail length
• AM Best Rating of A- or better

While other limits of liability are available, the most common throughout the state include a per claim limit of $1,000,000 and an aggregate limit of $3,000,000.

Arkansas Tort Reform

In 2003, Acts 1007 and 649 were approved to enable the establishment of tort reform for the state of Arkansas. The acts placed a cap on punitive damages limiting them to the greater of $250,000 or 3-times the amount of compensatory damages. Several statutes of limitations have been established as well. All of which cover claims ranging from death to cases filed by minors against OB/GYN’s.

Although tort reform has reduced claim filings significantly, many of the features have faced much scrutiny since its approval in 2003. A great deal of concern for tort reform stems from the belief that provisions in the acts are unconstitutional. Repealing tort reform would make Arkansas less attractive to medical malpractice insurance companies and physicians.

Major Malpractice Insurance Companies:

• State Volunteer Mutual Insurance Company
• First Professionals Insurance Company
• ProAssurance Company, Inc.
• American Physicians Insurance Company
• Medical Protective Company
• Preferred Professional Insurance Company
• Medicus Insurance Company
• Arkansas Mutual Insurance Company
• MAG Mutual Insurance Company