These Rules and Regulations have been prepared for the purpose of establishing a criterion for minimum standards for licensure and operation of Health Maintenance Organizations in Arkansas that is consistent with current trends in patient care practices. By necessity they are of a regulatory nature, but are considered to be practical minimum design standards for these entities/facilities. These standards are not static and are subject to periodic revisions in the future as new knowledge and changes in patient care trends become apparent. However, it is expected that Health Maintenance Organizations will exceed these minimum requirements and that they will not be dependent upon future revisions in these standards as a necessary prerequisite for improved services. Health Maintenance Organizations have a strong moral responsibility for providing a progressive preventive health program which assures that adequate medical care is available and acceptable to all Enrollees.

These Rules and Regulations apply to certified Health Maintenance Organizations, as well as to applicants for a Health Maintenance Organization Certificate of Authority, and are promulgated to carry out Act 454 and to facilitate the full and uniform implementation, enforcement, and intent of the Act.

These Rules and Regulations explain the requirements a Health Maintenance Organization applicant must satisfy in order for the Arkansas Department of Health to certify to the Arkansas Insurance Department that the applicant's proposed plan of operation meets Arkansas Department of Health requirements.

These Rules and Regulations are adopted in the best interest of the public health, safety, and welfare. Compliance with these Rules and Regulations in no way conveys assurance of the quality of patient care, but rather provides the basic framework of capabilities required from which quality patient care may evolve.

Persons in the process of developing a Health Maintenance Organization shall periodically inform the Department of their developmental activities and make use of Department technical advice and assistance.