1978 Annual Report
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Ninety-Eighth Annual Report Year 1978 State of Arkansas State Insurance Department Department of Commerce HONORABLE BILL CLINTON GOVERNOR w. H. L. WOODYARD, III INSURANCE COMMISSIONER STATE OF ARKANSAS STATE INSURANCE DEPARTMENT Department of Commerce REPORT FOR PERIOD J~uARY 1, 1978 TO DECEMBER 31, 1978 LITTLE ROCK, ~~&~SAS 1978 ARKANSAS INSURANCE DEPARTMENT 400 University Tower Building _ Little Rock, Arkansas 72204 W. H. L. Woodyard III Ph. 501 371·1325 Insurance Commissioner NINETY-EIGHTH ANNUAL REPORT OF THE INSURANCE COMMISSIONER OF THE STATE OF ARKANSAS The Honorable Bill Clinton Governor of Arkansas Little Rock, Arkansas Dear Governor Clinton: In accordance with the Arkansas Statutes, I am pleased to submit the Ninety-Eighth Annual Report of the State Insurance Department covering the business for the year 1978. Besides the statistical information and listing of licensed companies, there is also a brief description of each division within the Department to give the reader an idea of the structure and activities of the Department. All of the regulatory activities described in this report demonstrate the commitment of the Arkansas Insurance Department to protect the public by regulating the insurance industry. Respectfully submitted, ,/ I / / , l./ Il<'"<,'<7~/'',' - " ,.' //'/- ~{. H. 1. Woodyard, HI Insurance Commissioner AN AGENCY OF THE ARKANSAS DEPARTMENT OF COMMERCE An equal opportunity employer TABLE OF CONTENTS COlIDIlissioner's Letter ..... II II •• II II •••••• II •• II • II • II •••• II II II •• II • II ••• II •••• II ••• II • 1 Insurance Department Staff •.•.•••.•.••••.••••••.•.•..••.••.••••••••••••. 3 Summary of Activities of the Insurance Department in 1978: Administration Division II II II II II • II II •••• II • II • II •• II II II II II II II II II II •• II II II II II II II ••• II II • 6 Legal Division II II II II • II II •• II II II II • II II •• II II •• II II • II • II II • II II II ••• II II II II II • II II II II • II II II II II II 8 Property and Casualty Division.•.•••.•••••.••••.•••.•••.••.••••.••. 9 Life and Health Division. II. II II II II II II II II II II II II II •• II II •• II II ••• II II II. II II II. II. II II. II II II 10 Agents License Division. II •• II. II II. II II. II II •• II •••• II •• II. II II II II II II II II. II II • II ••••• 11 fExamination Division II ••• II II ••• II II •• II • II II ••• II II II II II • II II II II • II II •• II •• II • II • II • II II II 12 Insurance Company Developments in Arkansas for the year 1978: Property and Casualty Insurance Companies Admitted •.....•......•.•. 13 Life Insurance Companies Admitted .•.•••.•••••.•.•.•.•...........•.• 15 Withdrawals and Mergers II •• II • II ••••••• II • II • II II II II II II II II II II. II II II II II II II II II II II II II II •• 15 Reactivations and Name Changes .•.••.................. 17 Insurance Companies Licensed in Arkansas of all Classes •......•...•...•. 19 Statements of Receipts and Disbursements .....•.•....•.•.•...•..•........ 20 Remittances to State Treasurer ............................... "......... 20 Firemen's Relief and Pension Fund Tax ••••••••••••••••••••••••••••••••••• 22 Foreign Stock Fire and Casualty Companies .•...•....•....••...•...•...•.. 28 Domestic Stock Fire and Casualty Companies .•.••..••..•.•.......•••....•. 39 Foreign Mutual Fire and Casualty Companies .•.•...•.••••••.••..••.•••.••. 40 Domestic Mutual Fire and Casualty Companies .••.••••••••.....•...•.•••... 42 Reinsurance Companies (Fire and Casualty) •.•••••••.••••••••••••••••••••• 43 Reciprocals or Inter-Insurance Exchanges •.•..•••••••••••..•••••.•...•••. 45 Farmers Mutual Aid Associations ..........••....••..•.•...•.•......••.... 46 Lloyds Underwriters (Fire and Casualty) ...•.•.•••.••....•...........••.• 47 Title Insurance Companies ... ".......•.••.....•.•.•...•..•••• ".....• ".... 48 Foreign Legal Reserve Stock Life Insurance Companies ••••••.•••.•••.••••• 49 Legal Reserve Mutual Life Insurance Companies .••.•..•.•••....... 62 Legal Reserve Life Reinsurance Companies (For Reinsurance Only) ...•..•.•••.•••••.•.•....• "••••......•....... 64 Domestic Legal Reserve Stock Life Insurance Companies ••••.•••••.•...••.. 65 Domestic Stipulated Premium Plan Companies ...••.•••.•.•...•.•.•.•.••..•. 66 Domestic Mutual Assessment Companies ••..•............••.....•..•.•••.•.• 67 Non-Profit Hospital and Medical Service Corporations ••••...•••••••••.••• 68 Fraternal Societies" "........... " " " . " ............. " . " ...........•..•.....• 69 ML~~SAS INSURANCE REPORT, 1978 INSURANCE DEPARTMENT STAFF As of October 1, 1979 Ai)MINISTRATION DIVISION vI. H. L. \voodyard, III••••••••..••..•••..••••••••••••.••••..•••••••.•• Commissioner S. Doak Foster ............................•..........•..•......Deputy Conunissioner Robert Sikes •••••••••••••••••••••Risk Management Administrator Roger King •••••••••••••••.••••••••••••.••••Research Specialist Suzanne Yancey •••••••••••••••••••••••••••• Securities Custodian Gloria Olson ••••••••••••••••••••••••••Administrative Assistant Sand r a HQ"(.Jell. ••.•••••••••••••••••••••Administr a tive As sistant Derhonda Richards •••••••••••••••••••••Administrative Assistant Pam Davis ..........•.•..........................Fiscal Officer Josephine James ...........................•.........Ac countant Betty Tittle...................................... ., . Accountant Marilyn Kelso •••••••••••••••••••••••••••••• Executive Secretary Carsonee Brooks ........•...•...••.....•..............Secretary }!arion Burge .........................................Secretary LIQUIDATION SECTION Ron Taylor••••• • .•••.••••..•.•.•Liquidation and Rehabilitation Officer LEGAL DIVISION Frank B. Sewall........................................... * •• * * * ••• * • Cl:lief Counsel Rick Halinski•••••.••••••••••••••••••••••••••Associate Counsel Sarah Bradshaw••••.•••••••.••••••••••••••••••Associate Counsel Jim Lites.. * ••• *. * .......................... * ...........Investigator Dennis Teague. *_ ••• 0; ............... * * * •• * •• * •••• * • * * • * * • Investigator Connie Hagemeier ..... * * •••• * • * * •••• * * * * ............... * Secretary PROPERTY AND CASUALTY DIVISION and Form and Form and Form and Form and Form and Form 3 Arkansa LIFE At,j'D HEALTH DIVISION Cathy Hildebrand...•...•• . •.Assistant Commissioner Joe Musgrove •. • •••...•Actuary Louise Lincoln. .Rate and Form Analyst Hary Austin ... .•••••Administrative Aid Audrey Fields.. •.•Rate and Form Analyst Gwen Hudgens •• ..Administrative Assistant Vond el Bailey.. .•••••.•••••...•. Secretary CONSilllER COMPLAINTS DIVISION Ron Sheff .....••••.•.•.•.Complaints Division Supervisor Hilliam Witsell, Jr. .•. Complaints Investigation Supervisor Sanford Ledbetter •• .Complaints Investigator Edith Roberts ..•.• • ••. Secretary Ernestine Godbey ••• • ••• Secretary Martha Burgener •••. .••••. Secretary LICENSE DIVISION Lenita Blasingame .••..••.•• . •••••..•.••••License Supervisor LaNora Chrouch ••. • •• Document Examiner Paula Thompson ••. • •••.Document Examiner Sue Burcham ••• • •• Document Examiner Joan May .•.••. •• Document Examiner Polly Reinold. ..Document Examiner Kathy Stimpson. .Document Examiner Carolyn Hunt. .• • ••• Document Examiner Margaret Bolin. • ••••••••... Secretary EXAMINATION DIVISION Q. D. Lamb ...•.....•••.•. •••••. Chief Examiner Jack Finnegan .••. •Examiner Jim Poole•...•• . Examiner Gayle Perryman. •Examiner Mavis Smith .••• . .•Accountant PUBLIC EMPLOYEES CLAIMS DIVISION H. O. Hirby. .......... .•••....•••.•Administrator R. E. Coleman.• .Claims Manager D. M. Hendrix • .Claims Manager J. C. Jolley. • ••• Claims Manager H. D. Grady•. ...... ... ... " ..~ •• ~ •• Associ~te Counsel J. G. James .. ..••.••.Associate Counsel C. L. Collins .••• • •. Administrative Assistant S. Turner ••.•••• • •••••.•••••••••Bookkeeper T. D. Brown ••• • •••••••Bookkeeper K. L. Toburen•• •.• Secretary P. G. Williams. •••••.•.••••Secretary J. A. Jones ...• • •• Secretary R. M. Swanigan. • . Bookkeeper 4 Arkansas Insurance Report, 1978 L. A. Crouch ••••••. •••. Bookkeeper M. S. Coleman •• .•. Bookkeeper E. R. Powell. •• ........ • • Clerk Steno M. J. Stone •• ................ •Clerk Typist L. E. Moore •. ................. ...... .Clerk Typist 5 ADMINISTRATION DIVISION This Division represents the operation and management functions within the Department and is, of course, headed by Insurance Commissioner W. H. L. 'iloodyard, III. Deputy Commissioner, l-J. R. Riddell, oversees the daily activities of all the Department's Divisions and he is responsible for per sonnel duties. The Accounting Section of the Division maintains internal financial accounts the Insurance Department; collects, verifies and processes all taxes and fees; computes Firemen's Relief and Pension Fund Tax turnback to cities and towns; and compiles statistical data for various reports. The Finan cial Statement shows taxes collected as $23,484,814.37 and fees collected as $683,455.58 or total collections for 1978 of $24,168,269.95 compared to total collections in 1977 of $20,430,028.44 or an increase of $3,738,241.51. The major area of increase was in a higher volume of writings in the State, which would result in the payment of additional taxes. The Securities Section of the Division handles all transactions related to the securities placed on joint trust deposit with the Commissioner for the protection of policyholders. The various domestic and foreign insurance companies transacting business in the State of Arkansas have on deposit with this Department securities have a total par value of $224,190,677.76