Arkansas Insurance Agency Charging Fees to Insured

Limits on Fees Charged by Insurance Agents in Arkansas

Arkansas does allow agents to charge their customers fees for a wide variety of reasons.

Arkansas places several unique limits on the fees they allow.

Here is the link to the portion of the Arkansas Insurance Code...

https://law.justia.com/codes/arkansas/2017/title-23/subtitle-3/chapter-66/subchapter-3/section-23-66-310/

Here is a link to a very relevant FAQ from the Arkansas Insurance Department...

https://insurance.arkansas.gov/pages/industry-regulation/licensing/frequently-asked-questions/producer-frequently-asked-questions/

Highlights

• All fees must be shown separately on the invoice or bill
• Total of all fees and commission cannot exceed 20% of premium
• In the FAQ, the Department takes the position that an agent can only charge fees once per policy period

With all this said, it seems to me that under the Arkansas insurance rules an insurance agent in Arkansas can charge a convenience fee or surcharge under Visa's rules, but only once - or for one payment.

Since Visa requires that these fees be charged the same on all payments, it does not seem under the Visa rules an insurance agent in Arkansas can charge a convenience fee or surcharge themselves.