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HB 1868

TO REQUIRE AN INSURER TO PAY A FAIR AND REASONABLE SERVICE FEE DIRECTLY TO A FIRE DEPARTMENT FOR FIREFIGHTING SERVICES BASED ON TIME ON SCENE.

2025 Regular Session Introduced by Kim Hammer and 1 co-sponsor

HB 1868 aimed to require insurers to pay fire departments directly for emergency services based on response time, enhancing funding for firefighting operations.

Died in House Committee at Sine Die adjournment.
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WeVote Research Nonpartisan
Bill Summary · HB 1868

Summary of House Bill 1868

Bill Information

  • Bill Number: HB 1868
  • Title: To Require an Insurer to Pay a Fair and Reasonable Service Fee Directly to a Fire Department for Firefighting Services Based on Time on Scene
  • Status: Died in House Committee at Sine Die adjournment
  • Introduced: March 20, 2025
  • Classification: Bill

Purpose and Intent

House Bill 1868 aimed to establish a requirement for insurance companies to compensate fire departments directly for their firefighting services. The compensation would be based on the amount of time the fire department spent on the scene of an emergency, such as a structure fire or vehicle accident. The bill sought to ensure that fire departments receive fair and reasonable payment for their critical services, thereby supporting their operational needs.

Key Provisions

The bill proposed the following key provisions:

  1. Definition of "Time on Scene":

    • The bill defined "time on scene" as the documented duration that a fire department is present at the site of an emergency, starting from their arrival until the scene is cleared.

  2. Service Fee Requirement:

    • If a fire department responds to an emergency within its district and the property involved is insured, the insurance company would be obligated to pay a service fee directly to the fire department. This fee would be determined based on the time the fire department spent at the scene.

  3. Amendment to Arkansas Code:

    • The bill proposed an amendment to Arkansas Code Title 23, Chapter 88, Subchapter 1, adding a new section (23-88-107) to formalize these requirements.

Impact

  • Fire Departments: The bill aimed to provide financial support to fire departments, which often face budget constraints. By ensuring direct compensation from insurance companies, the bill intended to enhance the sustainability of firefighting services.
  • Insurance Companies: The legislation would have imposed new financial obligations on insurers, requiring them to account for firefighting service fees in their policies and claims processes.
  • Property Owners: Homeowners and property owners with fire insurance would potentially see changes in their insurance premiums or coverage terms as a result of this requirement.

Legislative Timeline

  • March 20, 2025: HB 1868 was filed and read for the first time. The rules were suspended, and it was read a second time before being referred to the Committee on Insurance & Commerce in the House.
  • May 5, 2025: The bill died in the House Committee at Sine Die adjournment, meaning it did not progress further in the legislative process.

Conclusion

While HB 1868 was introduced with the intent to improve funding for fire departments through direct payments from insurance companies, it ultimately did not advance beyond the committee stage. The discussion surrounding this bill highlights ongoing concerns about the financial sustainability of firefighting services and the role of insurance in supporting emergency response efforts.

Compiled from official sources — confirm details with the bill’s official record.

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