Weekly Tip: Update on Arizona

 

Weekly Tips

Update on Arizona

7/24/2014

In early May we sent out a Weekly Tip regarding Arizona.  This week, we have a few updates to make to some of the information that we have already shared as well as new information. 

Arizona passed the Compact legislation earlier this spring. The Compact legislation did include an opt-out of Long-Term Care products. The effective date for Arizona to join the Compact is 90 days after sine die of the legislature. The legislature did close on April 24th which makes them members on July 23rd - the correct date is actually July 24th. Arizona will have 10 business days to review the Uniform Standards and notify the Insurance Compact of any additional opt outs. With this said, filers may begin to add Arizona to product filings - submitted and/or approved filings - beginning on August 6th - the correct date is actually August 7th.

In order to utilize a Compact-approved policy/contract or product component in Arizona, you must first either add Arizona to an already-approved or submitted product filing or you must submit a product filing submission that includes Arizona.  In other words, to use a Compact product component, the review and approval must be issued by the Compact as “file and use” if not applicable to Compact product components in Arizona. 

Do you need a refresher on how to add a state to an Insurance Compact filing submission?  There are step-by-step directions on the Insurance Company Resources page of the website.  Remember that a product filing only needs to be re-opened if you have to update the SOI.  If you have to update your SOI, please add Arizona and submit your request to re-open the filing once you are actually ready to enter the required data. 

One more time -- it is important to note that forms filed through the Compact for use in Arizona must actually be approved by the Compact before being used in the state of Arizona.