Bill > HB1308

This bill introduces new regulations for residential contractors and tree trimmers in Arkansas, aimed at preventing unfair practices in residential real estate repair contracts. The bill defines "soliciting" as contacting an insured in person or through electronic means, and establishes a definition for "tree trimmers" as professionals who fell trees, trim branches, or treat diseased trees. It prohibits contractors from engaging in several practices, including soliciting contracts from insureds, offering rebates or gifts in exchange for inspections or insurance claims, accepting compensation for referrals, interpreting insurance policies, or providing repair contracts without a good faith cost estimate. The bill imposes fines of up to $10,000 for violations and allows insureds to cancel contracts if required notices are not included. Contractors are still permitted to suggest that insureds contact their insurance company about potential coverage and can discuss bids with insureds or insurance companies for their usual and customary fees. Unlicensed contractors who violate these provisions may face additional penalties under existing state law. The legislation seeks to protect homeowners from predatory practices and ensure transparency in residential repair contracts involving insurance claims.

Business and Industry

https://arkleg.state.ar.us/Bills/Detail?id=hb1308&ddBienniumSession=2025%2F2025R