S.D. Codified Laws § 58-5A-66 — SD Code / Title 58 / Chapter 5A / Section 58-5A-66
Order for conservation, liquidation, or rehabilitation--Distribution and recovery--Liability
Status: in_force

If an order for conservation, liquidation, or rehabilitation of a domestic insurer has been entered, the receiver may recover on behalf of the insurer:

(1) From any parent corporation or holding company or person or affiliate who otherwise controlled the insurer, the amount of distributions (other than distributions of shares of the same class of stock) paid by the insurer on its capital stock; or

(2) Any payment in the form of a bonus, termination settlement, or extraordinary lump sum salary adjustment made by the insurer or its subsidiary to a director, officer, or employee;

No such distribution is recoverable if the parent or affiliate shows that when paid the distribution was lawful and reasonable and that the insurer did not know and could not reasonably have known that the distribution might adversely affect the ability of the insurer to fulfill its contractual obligations.

Any person that was a parent corporation or holding company or any person that otherwise controlled the insurer or affiliate at the time distributions were paid is liable up to the amount of distributions or payments the person received. Any person that otherwise controlled the insurer at the time the distributions were declared is liable up to the amount of distributions he would have received if they had been paid immediately. If two or more persons are liable with respect to the same distributions, they are jointly and severally liable.

The maximum amount recoverable shall be the amount needed in excess of all other available assets of the impaired or insolvent insurer to pay the contractual obligations of the impaired or insolvent insurer and to reimburse any guaranty funds.

To the extent that any person liable under this section is insolvent or otherwise fails to pay claims due from it, its parent corporation or holding company or person that otherwise controlled it at the time the distribution was paid is jointly and severally liable for any resulting deficiency in the amount recovered from the parent corporation or holding company or person that otherwise controlled it.

Source: SL 1992, ch 341, § 33.
S.D. Codified Laws § 58-29B-24 — SD Code / Title 58 / Chapter 29B / Section 58-29B-24
Authority to file petition for seizure order--Grounds
Status: in_force

For domestic insurers the director may file in the circuit court of Hughes County a petition for a seizure order:

(1) That there exist any grounds that would justify a court order for a formal delinquency proceeding against an insurer under this chapter;

(2) That the interest of policyholders, creditors, or the public will be endangered by delay; and

(3) The contents of an order deemed necessary by the director.

Source: SL 1989, ch 436, § 24.
S.D. Codified Laws § 58-6-43 — SD Code / Title 58 / Chapter 6 / Section 58-6-43
Foreign insurer exempt from foreign corporation laws
Status: in_force

A foreign insurer authorized to transact insurance in this state and fully complying with this title shall be exempt from complying with other provisions of the South Dakota Code concerning foreign corporations.

Source: SL 1966, ch 111, ch 3, § 24.
S.D. Codified Laws § 58-30-129 — SD Code / Title 58 / Chapter 30 / Section 58-30-129
Sharing interim profits
Status: in_force

If the contract provides for a sharing of interim profits by the managing general agent, and the managing general agent may determine the amount of the interim profits by establishing loss reserves or controlling claim payments, or in any other manner, interim profits may not be paid to the managing general agent until one year after they are earned on property insurance business and five years after they are earned on casualty business and not until the profits have been verified pursuant to § 58-30-131 .

Source: SL 1992, ch 353, § 6.
S.D. Codified Laws § 58-17-109 — SD Code / Title 58 / Chapter 17 / Section 58-17-109
Exclusion or reduction of benefits
Status: in_force

Any disability income insurance policy may include provisions that exclude or reduce benefits if the insured is collecting other benefits under a government program or is eligible to receive benefits under other insurance coverage. If the insured subsequently receives other benefits for a period for which the insurer paid benefits, the insurer may require reimbursement from the insured for any benefits already paid that otherwise would not have been paid. If the insured fails to make timely application for any other insurance coverage or governmental program for which that insured may be eligible, fails to actively and in good faith pursue all appeals procedures if benefits under other insurance or governmental program have been denied, or fails to produce satisfactory evidence that the applications have been made and the appeals pursued, benefits may be reduced or withheld.

Source: SL 2001, ch 276, § 2.
S.D. Codified Laws § 58-37A-7 — SD Code / Title 58 / Chapter 37A / Section 58-37A-7
Location of office and meetings--Official publication--Annual synopsis--Grievance procedures provided
Status: in_force

The principal office of any domestic society shall be located in this state. The meetings of its supreme governing body may be held in any state, district, province, or territory wherein the society has at least one subordinate lodge, or in any other location as determined by the supreme governing body, and all business transacted at these meetings shall be as valid in all respects as if these meetings were held in this state. The minutes of the proceedings of the supreme governing body and of the board of directors shall be in the English language.

A society may provide in its laws for an official publication in which any notice, report, or statement required by law to be given to members, including notice of election, may be published. Each required report, notice, and statement shall be printed conspicuously in the publication. If the records of a society show that two or more members have the same mailing address, an official publication mailed to one member is deemed to be mailed to all members at the same address unless a member requests a separate copy.

Not later than June first of each year, a synopsis of the society's annual statement providing an explanation of the facts concerning the condition of the society thereby disclosed shall be printed and mailed to each benefit member of the society or such synopsis may be published in the society's official publication.

A society may provide in its laws or rules for grievance or complaint procedures for members.

Source: SL 1990, ch 410, § 7.
S.D. Codified Laws § 58-18A-66 — SD Code / Title 58 / Chapter 18A / Section 58-18A-66
Order of benefit payments
Status: in_force

If a person is covered by two or more plans, the provisions for determining the order of benefit payments are as follows:

(1) The primary plan shall pay or provide its benefits as if any secondary plan did not exist;

(2) If the primary plan is a closed panel plan and the secondary plan is not a closed panel plan, the secondary plan shall pay or provide benefits as if it were the primary plan when a covered person uses a nonpanel provider, except for emergency services or authorized referrals that are paid or provided by the primary plan;

(3) If multiple contracts providing coordinated coverage are treated as a single plan under §§ 58-18A-53 to 58-18A-83 , inclusive, this section applies only to the plan as a whole, and coordination among the component contracts is governed by the terms of the contracts. If more than one carrier pays or provides benefits under the plan, the carrier designated as primary within the plan shall be responsible for the plan's compliance with §§ 58-18A-53 to 58-18A-83 , inclusive;

(4) If a person is covered by more than one secondary plan, the order of benefit determination provisions of §§ 58-18A-53 to 58-18A-83 , inclusive, decide the order in which secondary plans benefits are determined in relation to each other. Each secondary plan shall take into consideration the benefits of any primary plan and the benefits of any other plan, which, under the provisions of §§ 58-18A-53 to 58-18A-83 , inclusive, has its benefits determined before those of that secondary plan;

(5) Except as provided in subdivision (2) of this section, a plan that does not contain order of benefit determination provisions that are consistent with §§ 58-18A-53 to 58-18A-83 , inclusive, is always the primary plan unless the provisions of both plans, regardless of the provisions of this section, state that the complying plan is primary;

(6) Coverage that is obtained by virtue of membership in a group and designed to supplement a part of a basic package of benefits may provide that the supplementary coverage shall be excess to any other parts of the plan provided by the contract holder. Examples of these types of situations are major medical coverages that are superimposed over base plan hospital and surgical benefits, and insurance type coverages that are written in connection with a closed panel plan to provide out-of-network benefits.

Source: SL 2006, ch 259, § 14.
S.D. Codified Laws § 58-41-126 — SD Code / Title 58 / Chapter 41 / Section 58-41-126
Nontransferable responsibilities of health maintenance organization
Status: in_force

Notwithstanding any agreement to the contrary, the health maintenance organization shall:

(1) Retain full responsibility on a prospective basis for the provision of health care services pursuant to any applicable health benefit plan; and

(2) At all times, be able to demonstrate to the satisfaction of the director that the health maintenance organization can fulfill its nontransferable obligation to provide health care services to covered persons in any event, including the failure, for any reason, of a risk bearing entity.

Source: SL 2013, ch 256, § 41.
S.D. Codified Laws § 58-37A-29 — SD Code / Title 58 / Chapter 37A / Section 58-37A-29
Foreign or alien society--Qualifications and procedure for admission to transact business in state
Status: in_force

It is a Class 2 misdemeanor for any foreign or alien society to transact business in this state without a license issued by the director. Any foreign or alien society desiring admission to this state shall have the qualifications required of domestic societies organized under this chapter. Any foreign or alien society may be licensed to transact business in this state upon filing with the director:

(1) A duly certified copy of its articles of incorporation;

(2) A copy of its bylaws, certified by its secretary or corresponding officer;

(3) A power of attorney to the director as prescribed in § 58-37A-35 ;

(4) A statement of its business under oath of its president and secretary or corresponding officers in a form prescribed by the director, verified by an examination made by the supervising insurance official of its home state or other state, territory, province, or country, satisfactory to the director;

(5) Certification from the proper official of its home state, territory, province, or country that the society is legally incorporated and licensed to transact business;

(6) Copies of its certificate forms; and

(7) Any other information as the director considers necessary;

Source: SL 1990, ch 410, § 29.
S.D. Codified Laws § 58-2-18 — SD Code / Title 58 / Chapter 2 / Section 58-2-18
Additional compensation for services rendered by personnel prohibited--Misdemeanor
Status: in_force

The director or any examiner or employee of the division shall not be given nor receive any fee, compensation, loan, gift, or other thing of value except the compensation and expense allowance provided by law, for any service rendered or to be rendered as such examiner or employee or in connection therewith. Violation of this section is a Class 2 misdemeanor.

Source: SL 1966, ch 111, ch 2, § 8; SL 1978, ch 359, § 2.
S.D. Codified Laws § 58-7-26 — SD Code / Title 58 / Chapter 7 / Section 58-7-26
Sufficiency of deposit--Valuation of assets
Status: in_force

For the purpose of determining the sufficiency of its deposit in this state the assets and securities of the insurer on deposit shall be valued at current market value except bonds which may, in the discretion of the director, be valued as provided in § 58-26-2 .

Source: SL 1966, ch 111, ch 7, § 13 (1); SL 1969, ch 134.
S.D. Codified Laws § 58-17-162 — SD Code / Title 58 / Chapter 17 / Section 58-17-162
Effective date of §§58-17-154to58-17-161
Status: in_force

The effective date of §§ 58-17-154 to 58-17-161 , inclusive, is the first plan year, policy year, or renewal date on or after January 1, 2016.

Source: SL 2015, ch 250, § 9.
S.D. Codified Laws § 58-30-162 — SD Code / Title 58 / Chapter 30 / Section 58-30-162
Change of address required for interstate move
Status: in_force

A nonresident insurance producer who moves from one state to another state or a resident insurance producer who moves from this state to another state shall file a change of address and provide certification from the new resident state within thirty days of the change of legal residence. No fee or license application is required.

Source: SL 2001, ch 286, § 22.
S.D. Codified Laws § 58-34-15 — SD Code / Title 58 / Chapter 34 / Section 58-34-15
Additional expendable surplus required of new insurer
Status: in_force

In addition to surplus required to be maintained under § 58-34-14 , a domestic reciprocal insurer formed after June 30, 1966, shall have, when first authorized to transact insurance, expendable surplus equal to not less than one - half of the minimum amount of surplus required to be maintained.

Source: SL 1966, ch 111, ch 19, § 8 (3).
S.D. Codified Laws § 58-30-192 — SD Code / Title 58 / Chapter 30 / Section 58-30-192
Penalties for failure to report
Status: in_force

An insurer, the authorized representative of the insurer, or insurance producer that fails to report as required under the provisions of §§ 58-30-141 to 58-30-195 , inclusive, or that is found to have reported with actual malice by a court of competent jurisdiction may, after notice and hearing, have its license or certificate of authority suspended or revoked and may be assessed a monetary penalty in accordance with § 58-4-28.1 .

Source: SL 2001, ch 286, § 52.
S.D. Codified Laws § 58-17-68 — SD Code / Title 58 / Chapter 17 / Section 58-17-68
Professional association plan defined
Status: in_force

For purposes of §§ 58-17-66 to 58-17-87 , inclusive, the term, professional association plan, means a health benefit plan offered through a professional association that covers members of a professional association and their dependents, and not others, in this state regardless of the situs of delivery of the policy or contract and which meets all the following criteria:

(1) Conforms with all the provisions of the rate requirements of §§ 58-17-66 to 58-17-87 , inclusive;

(2) Provides renewability of coverage for the members and dependents of members of the professional association that meets the renewability requirements of §§ 58-17-66 to 58-17-87 , inclusive;

(3) Provides availability of coverage for the members and dependents of members of the professional association without regard to health status; and

(4) Is offered by a carrier that offers health benefit plan coverage to any professional association seeking health benefit plan coverage from the carrier.

Source: SL 1996, ch 286, § 3; SL 2003 (SS), ch 1, § 28.
S.D. Codified Laws § 58-32-50 — SD Code / Title 58 / Chapter 32 / Section 58-32-50
Tax on independently procured coverages--Payment to director, time
Status: in_force

For the general support of the government of this state there is levied upon the insured with respect to the obligation, chose in action, or rights represented by insurance described in § 58-32-47 , a tax at the rate of two and one - half percent of the gross amount of the premium charged for the insurance. Within thirty days after the insurance was so procured, continued or renewed, and coincidentally with the filing with the director of the report provided for in § 58-32-47 , the insured shall pay the amount of the tax to the director.

Source: SL 1966, ch 111, ch 11, § 22(3); SL 1986, ch 99, § 2.
S.D. Codified Laws § 58-9-5 — SD Code / Title 58 / Chapter 9 / Section 58-9-5
Property insurance defined
Status: in_force

"Property insurance" is insurance on real or personal property of every kind and of every interest therein, whether on land, water, or in the air, against loss or damage from any and all hazards or causes, and against loss consequential upon such loss or damage, other than noncontractual legal liability for any such loss or damage.

Source: SL 1966, ch 111, ch 4, § 4.
S.D. Codified Laws § 58-33-6 — SD Code / Title 58 / Chapter 33 / Section 58-33-6
False information or advertising as misdemeanor
Status: in_force

No person shall make, publish, disseminate, circulate, or place before the public, or cause, directly or indirectly, to be made, published, disseminated, circulated, or placed before the public, in a newspaper, magazine, or other publication, or in the form of a notice, circular, pamphlet, letter, or poster, or over any radio or television station, or in any other way, an advertisement, announcement, or statement containing any assertion, representation, or statement with respect to the business of insurance or with respect to any person in the conduct of his insurance business, which is untrue, deceptive, or misleading. Violation of this section is a Class 2 misdemeanor.

Source: SL 1966, ch 111, ch 13, § 7; SL 1978, ch 359, § 2.
S.D. Codified Laws § 58-41-50 — SD Code / Title 58 / Chapter 41 / Section 58-41-50
Authorized expenses
Status: in_force

Authorized expenses of health maintenance organizations include:

(1) Cash rebates to enrollees, or to persons who have made payments on behalf of enrollees;

(2) Free or reduced cost health service to enrollees; or

(3) Payments to providers or other persons based upon the efficient provision of services or as incentives to provide quality care.

Source: SL 1974, ch 321, §§ 32 (8), 50; SDCL Supp, § 58-41-77 ; SL 1978, ch 359, § 2; SL 1985, ch 393, § 6.
S.D. Codified Laws § 58-9-18 — SD Code / Title 58 / Chapter 9 / Section 58-9-18
Casualty insurance including boiler and machinery insurance
Status: in_force

"Casualty insurance" includes boiler and machinery insurance, insurance against any liability and loss or damage to property or interest resulting from accidents to or explosions of boilers, pipes, pressure containers, machinery, or apparatus, and to make inspection of and issue certificates of inspection upon boilers, machinery, and apparatus of any kind, whether or not insured.

Source: SL 1966, ch 111, ch 4, § 6 (1) (h).
S.D. Codified Laws § 58-18-42 — SD Code / Title 58 / Chapter 18 / Section 58-18-42
Health benefit plan defined
Status: in_force

For the purposes of this chapter, a health benefit plan is any hospital or medical expense incurred policy or certificate, hospital or medical service plan, contract, or health maintenance organization subscriber contract. The term does not include specified disease, hospital indemnity, fixed indemnity, accident - only, credit, dental, vision, medicare supplement, long - term care, or disability income insurance, coverage issued as a supplement to liability insurance, workers' compensation or similar insurance, or automobile medical payment insurance.

Source: SL 1994, ch 383, § 1.
S.D. Codified Laws § 58-27-81 — SD Code / Title 58 / Chapter 27 / Section 58-27-81
Securities lending, repurchase, reverse repurchase and dollar roll transactions--Agreement required
Status: in_force

An insurer may enter into securities lending, repurchase, reverse repurchase, and dollar roll transactions subject to the following requirements:

(1) A written plan or investment policy that specifies guidelines and objectives relating to such transactions shall be adopted by the insurer's board of directors or a committee authorized and charged by such board with the supervision or making of investments or loans;

(2) All transactions entered into pursuant to this section, other than dollar roll transactions, shall be subject to a written agreement, including a master agreement for a series of transactions or an agreement with an agent acting on behalf of the insurer, which provides that:

(a) Transactions authorized in this section shall be fully collateralized by cash or eligible securities as permitted or authorized under chapter 58-27 excluding any investments acquired under § 58-27-51.1 or 58-27-51.2 ;

(b) The collateral shall be marked to market each business day and adjusted as needed to comply with subsection (a) of this subdivision;

(c) For purposes of this agreement, market value shall include accrued interest; and

(d) The insurer may retain the collateral or use the collateral to purchase investments equivalent to the loaned securities if the borrower defaults under the terms of the agreement and the borrower remains liable for any losses and expenses incurred by the insurer due to default that are not covered by the collateral;

(3) Any transaction entered into pursuant to this section may be terminated at a specified time or upon the earlier demand of the insurer;

(4) Any cash received by an insurer in a transaction under this section shall be invested in accordance with chapter 58-27 and in a manner that recognizes the liquidity needs of the transaction or used by the insurer for its general corporate purposes;

(5) An insurer is limited to no more than five percent of its admitted assets being subject to securities lending, repurchase, or reverse repurchase transactions outstanding with any one institution under this section;

(6) No more than forty percent of an insurer's admitted assets in the aggregate may be subject to securities lending, repurchase, and reverse repurchase transactions.

The director of the Division of Insurance may promulgate rules pursuant to chapter 1-26 to establish financial solvency standards, valuation standards, and reporting requirements for investments and transactions under this section.

Source: SL 1983, ch 377, § 4; SL 1997, ch 294, § 21.
S.D. Codified Laws § 58-26-41 — SD Code / Title 58 / Chapter 26 / Section 58-26-41
Unearned premium reserve on marine and transportation insurance
Status: in_force

As to marine and transportation insurance, the entire amount of premiums on trip risks not terminated shall be deemed unearned; and the director may require the insurer to carry a reserve equal to one hundred percent of premiums on trip risks written during the month ended as of the date of statement.

Source: SL 1966, ch 111, ch 5, § 6.
S.D. Codified Laws § 58-35-70 — SD Code / Title 58 / Chapter 35 / Section 58-35-70
Rights, privileges, immunities, and franchises of surviving or new corporation
Status: in_force

If a merger or consolidation has been effected pursuant to §§ 58-35-60 to 58-35-74 , inclusive:

(1) The surviving or new corporation thereupon and thereafter possesses all the rights, privileges, immunities, and franchises, of a public as well as of a private nature, of each of the merging corporations;

(2) All property, real, personal, and mixed and all debts due on whatever account and any other chose in action and all and every other interest, of or belonging to or due to each of the corporations so merged or consolidated, shall be taken and considered transferred to and vested in the single corporation without further act or deed; and

(3) The title to any real estate, or any interest in the real estate, vested in any of the corporations may not revert or be in any way impaired by reason of such merger.

Source: SL 1995, ch 293, § 11.
S.D. Codified Laws § 58-5-124 — SD Code / Title 58 / Chapter 5 / Section 58-5-124
Members of domestic mutual insurer voting on bulk insurance, requirement by director--Calling of meeting, notice--Limited rights of members of life insurer to vote
Status: in_force

The director may require that plan and agreement for reinsurance be approved by a vote of not less than two - thirds of each domestic mutual insurer's members voting thereon at meetings of members called for the purpose, pursuant to such reasonable notice and procedure as the director may determine. If a life insurer, right to vote may be limited to members whose policies are other than term or group policies, and have been in effect for more than one year.

Source: SL 1966, ch 111, ch 16, § 41 (3).
S.D. Codified Laws § 58-12-32 — SD Code / Title 58 / Chapter 12 / Section 58-12-32
Application of standards for claims investigation and disposition
Status: in_force

The provisions of §§ 58-12-31 to 58-12-37 , inclusive, set forth standards for claim investigation and disposition of claims arising under policies or certificates of insurance issued to residents of South Dakota. It does not apply to claims involving workers' compensation, fidelity, suretyship, or boiler and machinery insurance. Nothing in §§ 58-12-31 to 58-12-37 , inclusive, may be construed to create or imply a private cause of action for violation of §§ 58-12-31 to 58-12-37 , inclusive. No disposition under the provisions of §§ 58-12-31 to 58-12-37 , inclusive, or any rule promulgated thereto may be used as evidence in any civil litigation. Nothing herein alters the rules of evidence as contained in title 19.

Source: SL 2014, ch 235, § 2.
S.D. Codified Laws § 58-33-98 — SD Code / Title 58 / Chapter 33 / Section 58-33-98
Notification of division required concerning unauthorized health insurance product--Review of division website--Stop loss insurers
Status: in_force

A licensee shall notify the division MEWA contact if the licensee knows a product is, or is about to be, offered to the public in this state, and the licensee, based on the information known to the licensee, reasonably should know the product is unauthorized health insurance. A licensee meets the requirements of this section if that licensee reviews the division's website of admitted health insurers and either does not notify the division's MEWA contact if that insurer is listed as an admitted insurer or notifies the division's MEWA contact if that insurer is not listed as an admitted insurer. For the purposes of this section an insurer does not include a stop loss insurer but a stop loss insurer is a licensee under this section. Knowledge of a producer regarding an unrelated unauthorized health insurance arrangement is not imputed to licensed insurers represented by that producer. Circumstances where a licensee knows that a product is, or is about to be, offered to the public in this state, include if the licensee knows that any person is:

(1) Recruiting producers to solicit or offer, or is soliciting or offering, a health benefit plan generally to the public in this state; or

(2) Seeking an administrator for, or is administering a health benefit plan that is intended to be offered generally to the public in this state.

A licensee complies with this section if the licensee notifies the division within thirty days or a period reasonable under the circumstances, whichever is later.

Source: SL 2007, ch 292, § 6.
S.D. Codified Laws § 58-33-95 — SD Code / Title 58 / Chapter 33 / Section 58-33-95
Transacting of insurance defined
Status: in_force

For the purposes of §§ 58-33-93 to 58-33-116 , inclusive, the term, transacting of insurance, includes:

(1) Issuing a stop loss policy covering an employer located in this state. Stop loss policy coverage of an employer for claims incurred under the employer's self-funded health benefit plan is insurance, not reinsurance, regardless of whether the contract is described by the insurer as reinsurance;

(2) Issuing a stop loss policy to a trust or trustee, whether the trust or trustee is located in this state or otherwise, with an employer located in this state directly or indirectly the beneficiary of the trust;

(3) Agreeing to loan or advance funds to pay claims incurred under an employer's self-funded health benefit plan if the availability of funds to advance is significantly dependent on payment of contributions and the claims experience of two or more employers who have entered into similar loan or advance agreements; or

(4) Engaging in a risk distribution arrangement providing for compensation of loss through the provision of services, including an arrangement established through marketing or representations to consumers, without specification in a contract.

Source: SL 2007, ch 292, § 3.
S.D. Codified Laws § 58-19-26 — SD Code / Title 58 / Chapter 19 / Section 58-19-26
Disapproval of filed forms by director
Status: in_force

The director shall within thirty days after the filing of any such policies, certificates of insurance, notices of proposed insurance, applications for insurance, endorsements, and riders, disapprove any such form if the premium rates charged or to be charged are excessive in relation to benefits, or if it contains provisions which are unjust, unfair, inequitable, misleading, deceptive, or encourage misrepresentation of the coverage, or are contrary to any provision of this title or of any rule or regulation promulgated thereunder.

Source: SL 1966, ch 111, ch 27, § 7 (2).
S.D. Codified Laws § 58-38-11.1 — SD Code / Title 58 / Chapter 38 / Section 58-38-11.1
Coverage for inpatient treatment of alcoholism to be offered in contracts
Status: in_force

Any nonprofit service corporation which delivers or issues for delivery in this state service or indemnity type contracts to any individual subscriber or group shall offer, in writing, to include in such contracts issued or renewed on or after July 1, 1979, coverage for the inpatient treatment of alcoholism in licensed hospitals and residential primary treatment facilities approved by the State of South Dakota which are carrying out an approved program pursuant to diagnosis and recommendation of a doctor of medicine. When coverage for inpatient treatment of alcoholism is included in any policy or contract, such coverage shall include treatment at any South Dakota approved inpatient alcoholism treatment facility.

Source: SL 1975, ch 314, § 1; SL 1976, ch 314, § 2; SL 1977, ch 411, § 3; SL 1979, ch 344, § 7.
S.D. Codified Laws § 58-17-2.3 — SD Code / Title 58 / Chapter 17 / Section 58-17-2.3
Dependent coverage termination--Age--Full-time students
Status: in_force

No insurer or health carrier issuing health insurance coverage, other than excepted benefits, that provides dependent coverage for any qualifying child, as defined by rules promulgated pursuant to § 58-17-87 , may terminate coverage due to attainment of a limiting age below age twenty-six. If the dependent remains a full-time student upon attaining the age of twenty-six, but not exceeding the age of twenty-nine, the insurer shall provide for the continuation of coverage for that dependent at the insured's option. However, the provisions of this section do not apply to any qualifying relative, as defined by rules promulgated pursuant to § 58-17-87 , whose gross income is less than the exemption amount as prescribed by the director by rules promulgated pursuant to chapter 1-26 . Continuation of coverage for full-time students attaining the age of twenty-four is not required if the dependent has other creditable coverage in force nor required for any full-time students who attained the age of twenty-four prior to July 1, 2007.

Source: SL 2005, ch 265, § 1; SL 2007, ch 288, § 1; SL 2011, ch 216, § 2.
S.D. Codified Laws § 58-14-16.19 — SD Code / Title 58 / Chapter 14 / Section 58-14-16.19
Trust agreement conditions for assuming insurers not meeting certain requirements
Status: in_force

If the assuming insurer does not meet the requirements of § 58-14-8 , 58-14-9 , or 58-14-10 , the credit permitted by § 58-14-11 or 58-14-16.1 may not be allowed unless the assuming insurer agrees in the trust agreement to the following conditions:

(1) Notwithstanding any other provisions in the trust instrument, if the trust fund is inadequate because the trust fund contains an amount less than the amount less than the amount required, or if the grantor of the trust has been declared insolvent or placed into receivership, rehabilitation, liquidation, or similar proceedings under the laws of its state or country of domicile, the trustee shall comply with an order of the director with regulatory oversight over the trust or with an order of court of competent jurisdiction directing the trustee to transfer to the director with regulatory oversight all of the assets of the trust fund;

(2) The assets shall be distributed by and claims shall be filed with and valued by the director with regulatory oversight in accordance with the laws of the state in which the trust is domiciled that are applicable to the liquidation of domestic insurance companies;

(3) If the director with regulatory oversight determines that the assets of the trust fund or any part thereof are not necessary to satisfy the claims of the United States ceding insurer of the grantor of the trust, the assets or part thereof shall be returned by the director with regulatory oversight to the trustee for distribution in accordance with the trust agreement; and

(4) The grantor shall waive any right otherwise available to the grantor under United States law that is inconsistent with this section.

Source: SL 2017, ch 211, § 30.
S.D. Codified Laws § 58-5-25 — SD Code / Title 58 / Chapter 5 / Section 58-5-25
Issuance of certificate of authority to domestic mutual insurer--Funds in trust deposit become funds of insurer--Delivery of policies--Effective date of policies
Status: in_force

Upon issuance of a certificate of authority for the kind of insurance for which such applications were solicited, all funds held in trust under § 58-5-19 shall become the funds of the insurer, and the insurer shall deliver its policies for which premiums had been paid. The insurance shall be effective as of the date of the certificate of authority or thereafter as provided by the respective policies.

Source: SL 1966, ch 111, ch 16, § 12 (2).
S.D. Codified Laws § 58-24-5 — SD Code / Title 58 / Chapter 24 / Section 58-24-5
Excessive, inadequate, or discriminatory rates prohibited
Status: in_force

Rates shall not be excessive, inadequate, or unfairly discriminatory.

Source: SL 1966, ch 111, ch 15, § 3 (1) (a).
S.D. Codified Laws § 58-17-16 — SD Code / Title 58 / Chapter 17 / Section 58-17-16
Repealed by SL 2011, ch 216, § 5
Status: in_force

Commission Note: SL 2011, ch 216, § 19 provides: "The provisions of this Act are repealed if the Patient Protection and Affordable Care Act, Pub. L. No. 111-148, 124 Stat. 119 (2010), as amended by the Health Care and Education Reconciliation Act of 2010, Pub. L. No. 111-152, 124 Stat. 1029 (2010) is found to be unconstitutional in its entirety by a final decision of a federal court of competent jurisdiction and all appeals exhausted or time for appeals elapsed."
S.D. Codified Laws § 58-17-169 — SD Code / Title 58 / Chapter 17 / Section 58-17-169
Discrimination between coverage for services provided in person and through telehealth prohibited
Status: in_force

A health insurance policy, contract, or plan providing for third-party payment may not discriminate between coverage benefits for health care services that are provided in person and the same health care services that are delivered through telehealth as long as the services are appropriate to be provided through telehealth. Nothing in §§ 58-17-167 to 58-17-170 , inclusive, prohibits a health insurer and a health care professional from entering into a contract for telehealth with terms subject to negotiation.

Source: SL 2019, ch 211, § 3.
S.D. Codified Laws § 58-29A-66 — SD Code / Title 58 / Chapter 29A / Section 58-29A-66
Recommendations on improving regulation for solvency
Status: in_force

The board of directors may, upon majority vote, make recommendations to the director on matters generally related to improving or enhancing regulation for solvency.

Source: SL 2000, ch 247, § 13.
S.D. Codified Laws § 58-29B-110 — SD Code / Title 58 / Chapter 29B / Section 58-29B-110
Judgment or order not evidence of liability or quantum of damages
Status: in_force

No judgment or order against an insured or the insurer entered after the date of filing of a successful petition for liquidation and no judgment or order against an insured or the insurer entered at any time by default or by collusion need be considered as evidence of liability or of quantum of damages. No judgment or order against an insured or the insurer entered within four months before the filing of the petition need be considered as evidence of liability or of the quantum of damages.

Source: SL 1989, ch 436, § 110.
S.D. Codified Laws § 58-26-7 — SD Code / Title 58 / Chapter 26 / Section 58-26-7
Appraisal for valuation of other real property
Status: in_force

Real property held by an insurer, other than that described in § 58-26-5 , shall not be valued at an amount in excess of fair value as determined by recent appraisal. If valuation is based on an appraisal more than three years old, the director may at his discretion call for and require a new appraisal in order to determine fair value.

Source: SL 1966, ch 111, ch 5, § 14 (2).
S.D. Codified Laws § 58-16-32 — SD Code / Title 58 / Chapter 16 / Section 58-16-32
Copy of application attached to policy--Statements of insured not warranties--Statement by insured, use in contest
Status: in_force

A policy of group life insurance shall contain a provision that a copy of the application, if any, of the policyholder shall be attached to the policy when issued, that all statements made by the policyholder or by the persons insured shall be deemed representations and not warranties, and that no statement made by any person insured shall be used in any contest unless a copy of the instrument containing the statement is or has been furnished to such person or to his beneficiary.

Source: SL 1966, ch 111, ch 24, § 3 (3).
S.D. Codified Laws § 58-18-1 — SD Code / Title 58 / Chapter 18 / Section 58-18-1
Group health insurance defined
Status: in_force

Group health insurance is that form of health insurance covering groups of persons as defined in §§ 58-18-2 to 58-18-6 , inclusive, with or without one or more members of their families or one or more of their dependents, or covering one or more members of the families or one or more dependents of such groups of persons, and issued upon the basis set forth in §§ 58-18-2 to 58-18-7 , inclusive. Insurance issued on a blanket basis pursuant to § 58-18-12 is a form of group health insurance.

Source: SL 1966, ch 111, ch 26, § 1; SL 2000, ch 250, § 1.
S.D. Codified Laws § 58-7-14 — SD Code / Title 58 / Chapter 7 / Section 58-7-14
Real estate used as deposit--Deed of trust, execution, and recording prior to deposit with director--Appraisal required
Status: in_force

If the insurer uses real estate as a deposit, the insurer shall execute and record a deed of trust to the director which shall be kept by the financial institution. Prior to the execution and recordation of the deed of trust, the insurer shall submit to the director a current appraisal of the real estate by an appraiser approved by the director.

Source: SL 1966, ch 111, ch 7, § 8 (3); SL 1991, ch 398, § 6.
S.D. Codified Laws § 58-6-73 — SD Code / Title 58 / Chapter 6 / Section 58-6-73
Domicile of Canadian insurer for retaliatory tax purposes
Status: in_force

In case of an insurer formed under the laws of Canada or a province thereof, its domicile for the purposes of § 58-6-70 shall be deemed to be that province in which its head office is situated.

Source: SL 1966, ch 111, ch 3, § 29 (4).
S.D. Codified Laws § 58-22-29 — SD Code / Title 58 / Chapter 22 / Section 58-22-29
Giving or promising anything of value to principal as misdemeanor
Status: in_force

No bail bondsperson or runner may pay a fee or rebate or give or promise anything of value to the principal or an agent of the principal. Violation of this section is a Class 1 misdemeanor.

Source: SL 1966, ch 111, ch 31, §§ 15 (4), 27; SDCL, § 58-22-48 ; SL 1978, ch 359, § 2; SL 1998, ch 296, § 20.
S.D. Codified Laws § 58-30-202 — SD Code / Title 58 / Chapter 30 / Section 58-30-202
Conditions for becoming endorsee authorized to offer, sell, or solicit rental car insurance
Status: in_force

An employee or agent of a rental car agent may be an endorsee authorized to offer, sell, or solicit rental car insurance under the authority of the rental car agent license if all of the following conditions have been satisfied:

(1) The employee or agent is eighteen years of age or older;

(2) The employee or agent has not committed any act set forth in this chapter;

(3) The employee or agent has completed a training and education program;

(4) The rental car company, at the time it submits its rental car agent license application pursuant to § 58-30-201 , also submits a list of the names of all endorsees to its rental car agent license. The list shall be updated and submitted to the director quarterly. However, endorsees may sell, offer, and solicit rental car insurance as soon as they meet the requirements as set forth in this section. Each list shall be retained by the rental car company for a period of five years from submission; and

(5) The rental car company submits to the director with its initial rental car agent license application and annually thereafter a certification, subscribed by an officer of the rental car company on a form or format prescribed by the director, stating both of the following:

(a) That no person other than an endorsee offers, sells, or solicits rental car insurance on its behalf or while working as an employee or agent of the rental car agent; and

(b) That all endorsees have completed the training and education program required by §§ 58-30-197 to 58-30-208 , inclusive.

Source: SL 2001, ch 272, § 6; SDCL § 58-9-39; SL 2010, ch 233, § 2.
S.D. Codified Laws § 58-11-33 — SD Code / Title 58 / Chapter 11 / Section 58-11-33
Delivery of policy--Payment of premium--Insured not meeting condition required by insurer
Status: in_force

Subject to the insurer's requirements as to payment of premium, every policy shall be mailed or delivered to the insured or to the person entitled thereto within a reasonable period of time after its issuance except where a condition required by the insurer has not been met by the insured.

Source: SL 1966, ch 111, ch 22, § 25 (1).
S.D. Codified Laws § 58-8-15 — SD Code / Title 58 / Chapter 8 / Section 58-8-15
Action against unauthorized insurer commenced by substituted process--Postponement by court to give defendant opportunity to defend
Status: in_force

The court in any action, suit or proceeding, in which service is made in the manner provided in §§ 58-8-8 to 58-8-10 , inclusive, may order such postponement as may be necessary to afford the defendant reasonable opportunity to comply with the provisions of § 58-8-13 and to defend such action.

Source: SL 1966, ch 111, ch 12, § 9 (2).
S.D. Codified Laws § 58-6A-19.1 — SD Code / Title 58 / Chapter 6A / Section 58-6A-19.1
Purchase from risk retention group not chartered or insurer not admitted in state prohibited--Exception
Status: in_force

A purchasing group may not purchase insurance from a risk retention group that is not chartered in a state or from an insurer not admitted in the state in which the purchasing group is located, unless the purchase is effected through a licensed insurance producer acting pursuant to the surplus lines laws and regulations of such state.

Source: SL 1988, ch 392, § 9; SL 2001, ch 286, § 92.
S.D. Codified Laws § 58-3-23 — SD Code / Title 58 / Chapter 3 / Section 58-3-23
Preclusion of examiner--Grounds
Status: in_force

No examiner may be appointed by the director if the examiner, either directly or indirectly, has a conflict of interest or is affiliated with the management of or owns a pecuniary interest in any person subject to examination under this chapter. This section may not be construed to automatically preclude an examiner from being:

(1) A policyholder or claimant under an insurance policy;

(2) A grantor of a mortgage or similar instrument on the examiner's residence to a regulated entity if done under customary terms and in the ordinary course of business;

(3) An investment owner in shares of regulated diversified investment companies; or

(4) A settlor or beneficiary of a "blind trust" into which any otherwise impermissible holdings have been placed.

Source: SL 1992, ch 338, § 16.
S.D. Codified Laws § 58-29B-154 — SD Code / Title 58 / Chapter 29B / Section 58-29B-154
Proceeding in reciprocal state against domiciled insurer--Filing
Status: in_force

In a liquidation proceeding in a reciprocal state against an insurer domiciled in that state, claimants against the insurer who reside within this state may file claims either with the ancillary receiver, if any, in this state, or with the domiciliary receiver, conservator, or liquidator. Claims shall be filed on or before the last dates fixed for the filing of claims in the domiciliary receivership, conservatorship, or liquidation proceeding.

Source: SL 1989, ch 436, § 154; SL 2008, ch 271, § 7.
S.D. Codified Laws § 58-40-2 — SD Code / Title 58 / Chapter 40 / Section 58-40-2
Articles of incorporation and amendments--Approval by director--Filing with secretary of state
Status: in_force

The articles of incorporation of every hospital service plan corporation, and amendments thereto, shall be submitted to the director, whose approval thereof shall be endorsed thereon before the same are filed with the secretary of state; provided, however, that if the articles of incorporation of any such corporation shall have been filed with the secretary of state prior to July 1, 1966, the approval thereof by the director shall be evidenced by a separate instrument in writing filed with the secretary of state.

Source: SL 1966, ch 111, ch 21, § 15.
S.D. Codified Laws § 58-34-26 — SD Code / Title 58 / Chapter 34 / Section 58-34-26
Authority of corporation to exchange insurance contracts
Status: in_force

Any corporation now or hereafter organized under the laws of this state shall, in addition to the rights, powers, and franchises specified in its articles of incorporation have full power and authority to exchange insurance contracts of the kind and character mentioned in § 58-34-25 . The right to exchange such contracts is declared to be incidental to the purposes for which such corporations are organized and as much granted as the rights and powers expressly conferred.

Source: SL 1966, ch 111, ch 19, § 19 (2).
S.D. Codified Laws § 58-18-79 — SD Code / Title 58 / Chapter 18 / Section 58-18-79
Promulgation of rules to minimally meet federal standards--Additional rules--Scope
Status: in_force

If any federal standards are in place which require additional steps to meet those standards beyond what is required by this chapter, the director may promulgate rules, pursuant to chapter 1-26 , to require the offering of health insurance plans, the underwriting criteria that may be utilized for such health insurance plans, the type and scope of preexisting waiting periods and creditable coverage, the standards for nonrenewability of coverage, and other requirements related to the availability of health insurance to employers and their employees and dependents in this state in order to minimally meet the federal standards.

The director may also promulgate rules, pursuant to chapter 1-26 , pertaining to employer health benefit plans in the areas of:

(1) Definition of terms;

(2) The issuance of certificates of coverage upon loss of health insurance coverage;

(3) Determinations relative to the application of waiting periods;

(4) Special enrollment periods;

(5) Treatment of late enrollees;

(6) Preexisting condition and other waiting periods;

(7) Breaks in coverage;

(8) Affiliation periods;

(9) Nondiscrimination standards;

(10) Notices;

(11) Renewal rights;

(12) Dates of enrollment;

(13) Creditable coverages including methods of crediting coverage;

(14) Risk spreading mechanisms;

(15) Requirements pertaining to mental health benefit levels in employer group plans other than small employer group plans;

(16) Continuation and conversion requirements; and

(17) Claims, provided the rules are consistent with applicable federal requirements for claims procedures, administration, and enforcement, including 29 CFR Part 2560.

Source: SL 1997, ch 289, § 25; SL 1998, ch 289, § 22; SL 2001, ch 280, § 16; SL 2002, ch 236, § 1.
S.D. Codified Laws § 58-22-3 — SD Code / Title 58 / Chapter 22 / Section 58-22-3
Persons disqualified as bail bondspersons or runners--Violation as felony
Status: in_force

The following persons or classes may not be bail bondspersons or runners and may not directly or indirectly receive any benefits from the execution of any bail bond: jailers, police officers, committing magistrates, magistrate court judges, sheriffs, deputy sheriffs, and constables, any person having the power to arrest or having anything to do with the control of federal, state, county, or municipal prisoners. Violation of this section is a Class 6 felony.

Source: SL 1966, ch 111, ch 31, §§ 17, 27; SDCL, § 58-22-48 ; SL 1978, ch 359, § 2; SL 1998, ch 296, § 1.
S.D. Codified Laws § 58-29B-117 — SD Code / Title 58 / Chapter 29B / Section 58-29B-117
Allowance of insured's claim--Liquidator's recommendations to court--Sums withheld--Procedures upon allowance
Status: in_force

The liquidator shall make his recommendations to the court under § 58-29B-125 , for the allowance of an insured's claim under § 58-29B-116 , after consideration of the probable outcome of any pending action against the insured on which the claim is based, the probable damages recoverable in the action and the probable costs and expenses of defense. After allowance by the court, the liquidator shall withhold any dividends payable on the claim, pending the outcome of litigation and negotiation with the insured. Upon request by the claimant the liquidator may reconsider the claim on the basis of additional information and amend his recommendations to the court. The court may amend its allowance as it considers appropriate. As claims against the insured are settled or barred, the insured shall be paid from the amount withheld the same percentage dividend as was paid on other claims of like property, based on the lesser of the amount actually recovered from the insured by action or paid by agreement plus the reasonable costs and expenses of defense or the amount allowed on the claims by the court. After all claims are settled or barred, any sum remaining from the amount withheld shall revert to the undistributed assets of the insurer. Delay in final payment under this section shall not be a reason for unreasonable delay of final distribution and discharge of the liquidator.

Source: SL 1989, ch 436, § 117.
S.D. Codified Laws § 58-5-37 — SD Code / Title 58 / Chapter 5 / Section 58-5-37
Extinguishment of contingent liability--Issuance of nonassessable policies--Revocation of authority
Status: in_force

After a domestic mutual insurer has established the surplus prescribed in §§ 58-5-21 and 58-5-22 , and has authority to issue nonassessable policies, it may, with the director's approval, extinguish the contingent liability resulting from assessment of its members and thereafter issue nonassessable policies; provided that the director shall revoke the authority of a domestic mutual insurer to issue policies without contingent liability if at any time the insurer's assets are less than the sum of its liabilities and the surplus required for such authority, or if the insurer, by resolution of its board of directors approved by a majority of its members, requests that the authority be revoked. During the absence of such authority the insurer shall not issue any policy without providing therein for the contingent liability of the policyholder, nor renew any policy which is renewable at the option of the insurer without endorsing the same to provide for such contingent liability.

Source: SL 1966, ch 111, ch 16, § 31 (1).
S.D. Codified Laws § 58-25-23 — SD Code / Title 58 / Chapter 25 / Section 58-25-23
Reserves restored to net profits over twenty-year period--Amortization rate
Status: in_force

The aggregate of the amounts set aside in this reserve in any calendar year pursuant to § 58-25-22 shall be released from the reserve and restored to net profits over a period of twenty years at an amortization rate not to exceed the following formula: thirty - five percent of the aggregate sum on July first of the year next succeeding the year of addition; fifteen percent of the aggregate sum on July first of each of the succeeding two years; ten percent of the aggregate sum on July first of the next succeeding year; three percent of the aggregate sum on July first of each of the next three succeeding years; two percent of the aggregate sum on July first of each of the next three succeeding years; and one percent of the aggregate sum on July first of each of the next succeeding ten years.

Source: SL 2002, ch 239, § 2.
S.D. Codified Laws § 58-34-14 — SD Code / Title 58 / Chapter 34 / Section 58-34-14
Surplus funds of domestic reciprocal insurer--Amounts required
Status: in_force

A domestic reciprocal insurer formed after June 30, 1966, may be authorized to transact insurance if it has otherwise complied with the applicable provisions of this title and has and thereafter maintains surplus funds as follows:

(1) To transact property insurance, surplus of not less than two hundred thousand dollars;

(2) To transact casualty insurance, without workers' compensation included, surplus of not less than two hundred thousand dollars; to transact casualty insurance, including workers' compensation, surplus of not less than three hundred thousand dollars.

Source: SL 1966, ch 111, ch 19, § 8 (2).
S.D. Codified Laws § 58-14-14 — SD Code / Title 58 / Chapter 14 / Section 58-14-14
Reinsurance credit for certain insurers limited to risks in foreign or alien jurisdictions
Status: in_force

Credit shall be allowed if the reinsurance is ceded to an assuming insurer not meeting the requirements of § 58-14-8 , 58-14-9 , 58-14-10 , 58-14-11 , or 58-14-16.1 but only with respect to the insurance of risks located in foreign or alien jurisdictions where the reinsurance is required by applicable law or regulation of that jurisdiction.

Source: SL 1992, ch 344, § 8; SL 2017, ch 211, § 8.
S.D. Codified Laws § 58-11-74 — SD Code / Title 58 / Chapter 11 / Section 58-11-74
Limitations on director's authority
Status: in_force

Except in cases of a material error or omission in a policy form that has been approved or deemed approved pursuant to the provisions of §§ 58-11-64 to 58-11-76 , inclusive, the director may not:

(1) Retroactively disapprove a filing; or

(2) With respect to those policy forms, examine the filer during a routine or targeted market conduct examination for compliance with any later-enacted policy form filing requirements. However, the policy forms may be examined for compliance with any later-enacted requirement to the extent that the later-enacted requirement applies to new issues of the policy form or to renewals of policies issued under the policy form.

Source: SL 2008, ch 261, § 11.
S.D. Codified Laws § 58-18-31.1 — SD Code / Title 58 / Chapter 18 / Section 58-18-31.1
Dependent coverage termination--Age--Full-time student
Status: in_force

No insurer or health carrier issuing health insurance coverage, other than excepted benefits, that provides dependent coverage for any qualifying child, as defined by rules promulgated pursuant to § 58-18-79 , may terminate coverage due to attainment of a limiting age below age twenty-six. If the dependent remains a full-time student upon attaining the age of twenty-six but not exceeding the age of twenty-nine, the insurer shall provide for the continuation of coverage for that dependent at the insured's option. Nothing in this section requires the employer to contribute any portion of the premium for dependents that are full-time students and have attained the age of twenty-six. However, the provisions of this section do not apply to any qualifying relative, as defined by rules promulgated pursuant to § 58-18-79 , whose gross income is less than the exemption amount as prescribed by the director by rules promulgated pursuant to chapter 1-26 . Continuation of coverage for full-time students attaining the age of twenty-four is not required if the dependent has other creditable coverage in force nor required for any full-time students who attained the age of twenty-four prior to July 1, 2007. (SL 2011, ch 216, § 19 provides: "The provisions of this Act are repealed if the Patient Protection and Affordable Care Act, Pub. L. No. 111-148, 124 Stat. 119 (2010), as amended by the Health Care and Education Reconciliation Act of 2010, Pub. L. No. 111-152, 124 Stat. 1029 (2010) is found to be unconstitutional in its entirety by a final decision of a federal court of competent jurisdiction and all appeals exhausted or time for appeals elapsed.")

Source: SL 2005, ch 265, § 2; SL 2007, ch 288, § 2; SL 2011, ch 216, § 8.
S.D. Codified Laws § 58-28-30 — SD Code / Title 58 / Chapter 28 / Section 58-28-30
General insurance law applicable--Exceptions
Status: in_force

Except for §§ 58-15-13 , 58-15-14 , 58-15-15 , 58-15-17 , 58-15-18 , 58-15-19 , 58-15-21 , 58-15-22 , 58-15-29 , 58-15-31 , 58-15-32 , 58-15-33 , 58-15-34 , 58-15-35 , 58-15-36 , 58-15-38 , 58-15-39 , and 58-27-108 , as in the case of a variable life insurance policy, §§ 58-15-57 , 58-15-62 , 58-15-64 , 58-15-65 , 58-15-66 , 58-15-83 to 58-15-93 , inclusive, and 58-27-108 , as in the case of a variable annuity contract and except as is otherwise provided in this chapter, all pertinent provisions of the insurance code apply to separate accounts and contracts relating thereto.

Source: SL 1966, ch 111, ch 6, § 36 (11) as added by SL 1967, ch 131; SDCL, § 58-28-12; SL 1971, ch 266, § 5; SL 1977, ch 412, § 22; SL 1990, ch 30, § 17; SL 1997, ch 294, § 31; SL 2003, ch 251, § 1; SL 2021, ch 210, § 17.
S.D. Codified Laws § 58-22-49 — SD Code / Title 58 / Chapter 22 / Section 58-22-49
Written appointment required with application for runner's license
Status: in_force

The application for a runner's license shall be accompanied by a written appointment of the applicant as a runner by each licensed bail bondsperson employing the applicant.

Source: SL 1998, ch 296, § 8.
S.D. Codified Laws § 58-30-144.1 — SD Code / Title 58 / Chapter 30 / Section 58-30-144.1
License required for acting as consultant
Status: in_force

Any person acting as a consultant shall be licensed as an agent pursuant to this chapter. A consultant may collect a fee from an insurance customer for services provided as a consultant but may not collect a fee for any insurance placed with that insurance customer if a commission is payable to that consultant. A consultant may act as a consultant and collect a fee from an insurance customer and also receive a commission for insurance sold, solicited, or negotiated with that same insurance customer provided that the fee and commission are for separate and distinct insurance products. The term, fee, as used in this section, does not include a fee that is payable pursuant to the terms or conditions of an insurance policy, contract, or certificate or that are required to be paid for reasons other than the services provided by the consultant.

A separate license for acting as a consultant is not required of a licensed agent. Any consultant collecting a fee from an insurance customer shall set forth the fee to be charged to that insurance customer and the terms and conditions of the services provided to that insurance customer in the form of a written agreement with that insurance customer.

Source: SL 2013, ch 255, § 2.
S.D. Codified Laws § 58-20-26 — SD Code / Title 58 / Chapter 20 / Section 58-20-26
Electric utilities authorized to form self-insurance associations
Status: in_force

Any two or more electric utility employers or their trade associations may form an association for the purpose of providing to members group self - insurance to protect members against losses arising from workers' compensation liability.

Source: SL 1995, ch 282, § 2.
S.D. Codified Laws § 58-17-12 — SD Code / Title 58 / Chapter 17 / Section 58-17-12
Required provisions--Captions--Substitutes, approval by director
Status: in_force

Except as provided in § 58-17-13 , each policy of health insurance delivered or issued for delivery to any person in this state shall contain the provisions specified in §§ 58-17-14 to 58-17-29 , inclusive, in the words in which the same appear; except, that the insurer may, at its option, substitute for one or more of such provisions corresponding provisions of different wording approved by the director which are in each instance not less favorable in any respect to the insured or the beneficiary. Each such provision shall be preceded individually by the applicable caption shown, or, at the option of the insurer, by such appropriate individual or group captions or subcaptions as the director may approve.

Source: SL 1966, ch 111, ch 25, § 3 (1).
S.D. Codified Laws § 58-29A-74 — SD Code / Title 58 / Chapter 29A / Section 58-29A-74
Separate accounts for administration and assessment
Status: in_force

For purposes of administration and assessment, the association shall be divided into three separate accounts:

(1) The workers' compensation insurance account;

(2) The automobile insurance account; and

(3) The account for all other insurance to which this chapter applies.

Source: SL 2000, ch 247, § 21.
S.D. Codified Laws § 58-6-58 — SD Code / Title 58 / Chapter 6 / Section 58-6-58
Impairment of assets, capital, or surplus--Suspension, revocation, or refusal to renew certificate of authority--Rehabilitator or receiver of insurer not required to notify agents
Status: in_force

Sections 58-6-56 and 58-6-57 do not apply to any person who has been appointed as and is acting as rehabilitator or receiver of the insurer in judicial proceedings in a court of the United States or of the State of South Dakota.

Source: SL 1966, ch 111, ch 3, § 22 (3).
S.D. Codified Laws § 58-22-51 — SD Code / Title 58 / Chapter 22 / Section 58-22-51
Out-of-state bail bondsperson--Notification of activities--Limitations on activities--License required
Status: in_force

Any out - of - state bail bondsperson or runner entering this state shall notify all local law enforcement agencies in the area where the bail bondsperson or runner intends to conduct runner activities as defined in subdivision 58-22-1(5), including, at a minimum, the office of the county's sheriff, and also, if operating within a municipality, the office of the municipal police as to the bail bondsperson's or runner's presence and intended activity and present evidence of out - of - state licensure. No out - of - state bail bondsperson or runner who is unlicensed in that person's state of domicile may conduct any runner activities in this state. No bail bond activities as prescribed by this chapter may be conducted by any person in this state unless that person is licensed in this state as a bail bondsperson as prescribed by this chapter. Violation of this section is a Class 6 felony.

Source: SL 1998, ch 296, § 16; SL 1999, ch 254, § 1.
S.D. Codified Laws § 58-38-4 — SD Code / Title 58 / Chapter 38 / Section 58-38-4
Members and directors
Status: in_force

A medical and surgical plan corporation shall consist of a board of directors and of such members, grouped in such classes, as the bylaws of the corporation shall provide.

Source: SL 1966, ch 111, ch 21, § 4.
S.D. Codified Laws § 58-18B-9 — SD Code / Title 58 / Chapter 18B / Section 58-18B-9
Application of chapter
Status: in_force

The provisions of this chapter apply to each health benefit plan for a small employer that is delivered, issued for delivery, renewed or continued in this state after July 1, 1992. The date a plan is continued is the first rating period which commences after July 1, 1992.

Source: SL 1991, ch 402, § 9.
S.D. Codified Laws § 58-30-198 — SD Code / Title 58 / Chapter 30 / Section 58-30-198
Rental car insurance defined
Status: in_force

For the purposes of §§ 58-30-197 to 58-30-208 , inclusive, rental car insurance is insurance offered, sold, or solicited in connection with and incidental to the rental of rental cars, other than waiver of the rental car company's right of indemnity for damages to the rental car, whether at the rental office or by pre-selection of coverage in master, corporate, group, or individual agreements, that:

(1) Is nontransferable;

(2) Applies only to the rental car that is the subject of the rental agreement; and

(3) Is limited to the following kinds of insurance:

(a) Personal accident insurance for renters and other rental car occupants, for accidental death or dismemberment, and for medical expenses resulting from an accident that occurs with the rental car during the rental period;

(b) Liability insurance, which includes uninsured or underinsured motorist coverage, that is not less than the minimum financial responsibility limits required by the law, whether offered separately or in combination with other liability insurance, that provides protection to the renters and to other authorized drivers of a rental car for liability arising from the operation of the rental car during the rental period;

(c) Personal effects insurance that provides coverage to renters and other occupants of the rental car for loss of, or damage to, personal effects in the rental car during the rental period;

(d) Roadside assistance and emergency sickness protection insurance; and

(e) Such other travel or vehicle-related coverage that a rental car company may offer in connection with and incidental to the rental of a rental car as may be approved by the director in rules promulgated pursuant to chapter 1-26 .

Source: SL 2001, ch 272, § 2; SDCL § 58-9-35; SL 2010, ch 233, § 2.
S.D. Codified Laws § 58-24-35 — SD Code / Title 58 / Chapter 24 / Section 58-24-35
Application for license as rating organization--Contents
Status: in_force

A corporation, unincorporated association, partnership, individual, or any other legal business entity, whether located within or outside this state, may apply for a license as a rating organization by providing the following information in its application:

(1) A copy of its governing documents, to include its constitution, articles of agreement or association, certificate of incorporation, bylaws, rules, and regulations, as applicable;

(2) A list of its members and subscribers;

(3) The name and address of a resident of this state upon whom notices or orders of the director or process affecting such rating organization may be served;

(4) A statement of its qualifications as a rating organization; and

(5) A statement specifying the kind of insurance, or subdivision, class, or part of risk or combination thereof for which the rating organization intends to be licensed.

Source: SL 1966, ch 111, ch 15, § 6 (1); SL 2014, ch 239, § 2.
S.D. Codified Laws § 58-22-12 — SD Code / Title 58 / Chapter 22 / Section 58-22-12
Application for license as runner--Affirmative showing of qualifications
Status: in_force

In addition to the other requirements prescribed in this chapter, an applicant for a license to serve as a runner shall affirmatively show:

(1) That the applicant is a natural person who has reached the age of twenty - one years;

(2) That the applicant is a citizen of the United States and has been a bona fide resident of this state for more than one year last past;

(3) That each appointing bail bondsperson is obligated to supervise the applicant's activities, and be responsible for the applicant's conduct in the bail bond business; and

(4) That the applicant has not been convicted of, nor has pled guilty or nolo contendere to, a felony or of any crime involving moral turpitude. The director of the Division of Insurance may waive the restriction relating to the conviction of, or plea of guilty or nolo contendere to, a felony or a crime involving moral turpitude if three years have elapsed since completion of the sentence imposed by the court in connection with the violation.

Source: SL 1966, ch 111, ch 31, § 10; SL 1998, ch 296, § 7.
S.D. Codified Laws § 58-17-98 — SD Code / Title 58 / Chapter 17 / Section 58-17-98
Health insurance policies to provide coverage for biologically-based mental illnesses
Status: in_force

Every policy of health insurance that is delivered, issued for delivery, or renewed in this state, except for policies that provide coverage for specified disease or other limited benefit coverage, shall provide, in writing, coverage for the treatment and diagnosis of biologically - based mental illnesses with the same dollar limits, deductibles, coinsurance factors, and restrictions as for other covered illnesses.

The term, biologically - based mental illness, means schizophrenia and other psychotic disorders, bipolar disorder, major depression, and obsessive - compulsive disorder.

Source: SL 1998, ch 291, § 1; SL 1999, ch 251, § 1.
S.D. Codified Laws § 58-14-16.31 — SD Code / Title 58 / Chapter 14 / Section 58-14-16.31
Procedure for denying statement credit
Status: in_force

Before denying statement credit or imposing a requirement to post security under § 58-14-16.30 or adopting any similar requirement that will have substantially the same regulatory impact as security, the director shall:

(1) Communicate with the ceding insurer, the assuming insurer, and the assuming insurer's supervisory authority that the assuming insurer no longer satisfies one of the conditions listed in §§ 58-14-16.24 to 58-14-16.27 , inclusive;

(2) Provide the assuming insurer with thirty days from the initial communication to submit a plan to remedy the defect and ninety days from the initial communication to remedy the defect, except in exceptional circumstances in which a shorter period is necessary for policyholder and other consumer protection;

(3) After the expiration of ninety days or less, as set out in subdivision (2) of this section, if the director determines that no or insufficient action was taken by the assuming insurer, the director may impose any of the requirements under §§ 58-14-16.23 to 58-14-16.34, inclusive; and

(4) Provide a written explanation to the assuming insurer of any of the requirements under §§ 58-14-16.23 to 58-14-16.34, inclusive.

Source: SL 2021, ch 211, § 9.
S.D. Codified Laws § 58-30-194 — SD Code / Title 58 / Chapter 30 / Section 58-30-194
Report by insurance producer of any felony criminal prosecution of insurance producer
Status: in_force

Within thirty days of the initial pretrial hearing date, an insurance producer shall report to the director any felony criminal prosecution of the insurance producer taken in any jurisdiction. The report shall include a copy of the initial complaint filed, the order resulting from the hearing, and any other relevant legal documents.

Source: SL 2001, ch 286, § 54.
S.D. Codified Laws § 58-41-35.5 — SD Code / Title 58 / Chapter 41 / Section 58-41-35.5
Grandfathered contracts required to cover low-dose mammography--Extent of coverage
Status: in_force

Each health maintenance contract that covers a female and that is delivered, issued for delivery, or renewed in this state, except for a contract that provides coverage for specified disease or other limited benefit coverage, shall provide coverage for screening by low-dose mammography for the presence of occult breast cancer that is subject to the same dollar limits, deductibles, and coinsurance factors as for other radiological examinations. Coverage for the screening shall be provided as follows: ages thirty-five to thirty-nine, one baseline mammography; ages forty to forty-nine, a mammography every other year; and age fifty and older, a mammography every year.

As used in this section, "low-dose mammography" means the X ray examination of the breast using equipment dedicated specifically for mammography, including the X ray tube, filter, compression device, screens, films, and cassettes, with an average radiation exposure delivery of less than one rad midbreast, with two views for each breast and with interpretation by a qualified radiologist.

The provisions of this section apply only to grandfathered plans pursuant to 75 Fed. Reg. 116 (2010) to be codified at 26 C.F.R. §§ 54 and 602, 29 C.F.R. § 2590, and 45 C.F.R. § 147.

Source: SL 1990, ch 397, §§ 1, 7; SL 1991, ch 400, § 7; SL 2011, ch 216, § 12.
S.D. Codified Laws § 58-22-52 — SD Code / Title 58 / Chapter 22 / Section 58-22-52
List of runners to be furnished to director--Fee
Status: in_force

Each bail bondsperson shall, on or before May first of each year, furnish to the director a list of all runners appointed, accompanied by a ten dollar reappointment fee for each runner. Each bail bondsperson who, subsequent to the filing of this list, appoints additional persons as runners shall comply with the requirements of this section.

Source: SL 1998, ch 296, § 19.
S.D. Codified Laws § 58-17-64 — SD Code / Title 58 / Chapter 17 / Section 58-17-64
Minimum loss ratio for individual health benefit plans
Status: in_force

Premium rates for individual health benefit plans shall produce a minimum lifetime loss ratio of not less than sixty - five percent. The director may promulgate rules pursuant to chapter 1-26 which modify the minimum loss ratio required based on the specific design of the product or other objective and pertinent criteria.

Source: SL 1994, ch 381, § 4.
S.D. Codified Laws § 58-15-48 — SD Code / Title 58 / Chapter 15 / Section 58-15-48
Prohibited policy provisions--Construction of contract according to laws of other state or country
Status: in_force

No policy of life insurance shall be delivered or issued for delivery in this state if it contains any provision that the contract is to be construed according to the laws of any other state or country.

Source: SL 1966, ch 111, ch 23, § 26 (1) (c).
S.D. Codified Laws § 58-30-138 — SD Code / Title 58 / Chapter 30 / Section 58-30-138
Application of §§58-30-124to58-30-139
Status: in_force

Sections 58-30-124 to 58-30-139 , inclusive, apply to all persons doing insurance business notwithstanding any provision exempting them from other insurance laws except any insurer licensed pursuant to chapter 58-35 which does not have more than one million dollars in direct written premiums and more than one thousand policyholders in any calendar year.

Source: SL 1992, ch 353, § 15.
S.D. Codified Laws § 58-32-23 — SD Code / Title 58 / Chapter 32 / Section 58-32-23
Financial condition of surplus line insurer--Director not required to determine
Status: in_force

Subdivision 58-32-22(3) shall not be deemed to place upon the director any duty or responsibility to determine the actual financial condition or claims practices of any unauthorized insurer; and the eligibility of an insurer hereunder shall indicate only that the insurer appears to be sound financially and to have satisfactory claims practices, and that the director has no credible evidence to the contrary.

Source: SL 1966, ch 111, ch 11, § 6 (3).
S.D. Codified Laws § 58-22-43 — SD Code / Title 58 / Chapter 22 / Section 58-22-43
Bail other than deposit--Cancellation by deposit
Status: in_force

When bail other than a deposit of money or bonds has been given, the defendant or the surety may, at any time before a breach of the undertaking, deposit the sum mentioned in the undertaking, and upon such deposit being made, accompanied by a new undertaking, the original undertaking shall be canceled.

Source: SL 1966, ch 111, ch 31, § 23.
S.D. Codified Laws § 58-17-73 — SD Code / Title 58 / Chapter 17 / Section 58-17-73
Director approval required to establish additional classes of business--Rates or rating methodologies
Status: in_force

The director may approve the establishment of additional classes of business upon application to the director and a finding by the director that such action would enhance the efficiency and fairness of the individual marketplace. Nothing in §§ 58-17-66 to 58-17-87 , inclusive, requires a carrier to change any of its rates or rating methodologies for any business other than the individual business subject to the provisions of §§ 58-17-66 to 58-17-87 , inclusive.

Source: SL 1996, ch 286, § 8.
S.D. Codified Laws § 58-29D-27 — SD Code / Title 58 / Chapter 29D / Section 58-29D-27
Servicer of certain employee benefit plans--Exempt from licensure--Requirements
Status: in_force

A person is not required to hold a license as an administrator in this state if the person exclusively provides services to one or more bona fide employee benefit plans, each of which is established by an employer or an employee organization, or both, and for which the insurance laws of this state are preempted pursuant to the Employee Retirement Income Security Act of 1974. Any person not required to hold a license shall register with the director annually, verifying the person's status if the person directly or indirectly underwrites, collects charges or premiums from, or adjusts or settles claims of residents of this state in connection with a self-funded plan other than a governmental or church plan offering life, annuity, or health coverage.

Source: SL 1992, ch 352, § 27; SL 2020, ch 211, § 2.
S.D. Codified Laws § 58-5-73 — SD Code / Title 58 / Chapter 5 / Section 58-5-73
Exemption from insider trading restrictions
Status: in_force

Sections 58-5-68 to 58-5-78 , inclusive, shall not be construed to cover any transaction where such beneficial owner was not such both at the time of the purchase and sale, or the sale and purchase, of the security involved, or any transaction which the director of the Division of Insurance by rules and regulations may exempt as not comprehended within the purpose of said sections.

Source: SL 1966, ch 111, ch 16, § 27 (2).
S.D. Codified Laws § 58-30-12.1 — SD Code / Title 58 / Chapter 30 / Section 58-30-12.1
Excess or rejected life or health insurance or annuity risks--Placement by insurance producer licensed for life or health insurance
Status: in_force

An insurance producer licensed for life or health insurance, or both, may place excess or rejected life or health insurance or annuity risks with any authorized insurer other than an insurer the insurance producer is licensed to represent; but the insurance producer may not receive commissions or other compensation from such other insurer for the business so placed until after the insurance producer has been appointed an insurance producer of the insurer in accordance with this title.

Source: SL 1982, ch 365, § 5; SL 2001, ch 286, § 162.
S.D. Codified Laws § 58-28-17 — SD Code / Title 58 / Chapter 28 / Section 58-28-17
Ownership by insurer--Not a trustee
Status: in_force

Amounts allocated to a separate account in the exercise of the power granted by this chapter shall be owned by the insurer, and the insurer shall not be, nor hold itself out to be, a trustee with respect to such amounts.

Source: SL 1966, ch 111, ch 6, § 36 (6); § 36 (5) as amended by SL 1967, ch 131; SDCL, § 58-28-5; SL 1971, ch 266, § 1 (5).
S.D. Codified Laws § 58-39-16.1 — SD Code / Title 58 / Chapter 39 / Section 58-39-16.1
Assignment of benefits provisions applicable
Status: in_force

Notwithstanding the provisions of § 58-39-16 , the provisions of §§ 58-17-163 to 58-17-166 , inclusive, apply to any dental service corporation organized under this chapter.

Source: SL 2017, ch 213, § 5.
S.D. Codified Laws § 58-41-15.1 — SD Code / Title 58 / Chapter 41 / Section 58-41-15.1
Certain healing arts practitioners to participate in alternate health care delivery systems
Status: in_force

Any optometrist licensed pursuant to chapter 36-7 , podiatrist licensed pursuant to chapter 36-8 , chiropractor licensed pursuant to chapter 36-5 , psychologist licensed pursuant to chapter 36-27A , dentist licensed pursuant to chapter 36-6A , or social worker licensed under § 36-26-17 , may organize or contract for services with a corporation organized under the laws of this state by licensed practitioners of the healing arts, for the purpose of negotiating group health care contracts and providing services within the scope of their respective licenses with alternate health care delivery systems, including health maintenance organizations, preferred provider organizations, individual practices organizations, or other similar entities.

Source: SL 1987, ch 269, § 2; SL 2013, ch 256, § 6.
S.D. Codified Laws § 58-33-61 — SD Code / Title 58 / Chapter 33 / Section 58-33-61
Grounds for cancellation
Status: in_force

After sixty days from the effective date of policy issuance a notice of cancellation may not be issued unless it is based upon at least one of the following reasons:

(1) Nonpayment of premium;

(2) Discovery of fraud or material misrepresentation made by or with the knowledge of the named insured in obtaining the policy, continuing the policy, or in presenting a claim under the policy;

(3) Discovery of acts or omissions on the part of the named insured which increase any hazard insured against;

(4) The occurrence of a change in the risk which substantially increases any hazard insured against after insurance coverage has been issued;

(5) A violation of any local fire, health, safety, building, or construction regulation or ordinance with respect to any insured property or the occupancy thereof which substantially increases any hazard insured against;

(6) A determination by the director of the Division of Insurance that the continuation of the policy would jeopardize a company's solvency or would place the insurer in violation of the insurance laws of this state;

(7) Violation or breach by the insured of any policy terms or conditions; or

(8) Such other reasons as are approved by the director of the Division of Insurance.

Source: SL 1985, ch 392, § 3; SL 1986, ch 421, § 1.
S.D. Codified Laws § 58-27-15 — SD Code / Title 58 / Chapter 27 / Section 58-27-15
Federally insured savings and loan accounts
Status: in_force

To the extent that such an account is insured by the Savings Association Insurance Fund (SAIF), or any successor organizations, an insurer may invest in share or savings accounts of savings and loan and building and loan associations.

Source: SL 1966, ch 111, ch 6, § 21; SL 1971, ch 265, § 2; SL 1982, ch 364; SL 1997, ch 294, § 5.
S.D. Codified Laws § 58-35-32 — SD Code / Title 58 / Chapter 35 / Section 58-35-32
Insurance on churches, schools, and community buildings
Status: in_force

No contract of insurance covering any church, school, or community building referred to in § 58-35-29 shall be invalid because any director or officer of the insurer was or is a trustee, director, agent, custodian, or manager or in any way in control, supervision, or management of any or all of the property so insured.

Source: SL 1966, ch 111, ch 17, § 29.
S.D. Codified Laws § 58-30-23.7 — SD Code / Title 58 / Chapter 30 / Section 58-30-23.7
Joint issuance of waivers
Status: in_force

The division may participate with the National Association of Insurance Commissioners and the insurance regulatory offices of other states regarding the issuance of waivers pursuant to 18 U.S.C. §§ 1033 and 1034 as amended to January 1, 1998. The issuance of a waiver by any state is not in any manner binding upon any licensing determination made or to be made by the division.

Source: SL 1998, ch 297, § 6.
S.D. Codified Laws § 58-5A-18 — SD Code / Title 58 / Chapter 5A / Section 58-5A-18
Acquisition, divestiture, or merger without approval as misdemeanor
Status: in_force

No person may effectuate or attempt to effectuate an acquisition of control of, divestiture of, or merger with, a domestic insurer unless it has been approved by the director. A violation of this section is a Class 2 misdemeanor.

Source: SL 1972, ch 267, §§ 12 (2), 36; SDCL Supp, § 58-5A-42 ; SL 1978, ch 359, § 2; SL 2015, ch 246, § 6.
S.D. Codified Laws § 58-29B-23 — SD Code / Title 58 / Chapter 29B / Section 58-29B-23
Violation of valid orders--Personal liability for losses suffered by insurer--Commencement of action
Status: in_force

In the event that any person, subject to the provisions of this chapter, including those persons described in § 58-29B-9 shall knowingly violate any valid order of the director issued under §§ 58-29B-13.1 to 58-29B-23 , inclusive, and, as a result of such violation, the net worth of the insurer shall be reduced or the insurer shall suffer loss it would not otherwise have suffered, that person shall be personally liable to the insurer for the amount of any such reduction or loss. The director or supervisor may bring an action on behalf of the insurer in the circuit court of Hughes County to recover the amount of the reduction or loss together with any costs.

Source: SL 1989, ch 436, § 23.
S.D. Codified Laws § 58-26-32 — SD Code / Title 58 / Chapter 26 / Section 58-26-32
Reserve for workers' compensation claims under policies written in three years preceding
Status: in_force

For all workers' compensation claims under policies written in the three years immediately preceding the date as of which the statement is made, the reserve required by § 58-26-31 shall be calculated in accordance with the Annual Statement Instructions Manual prescribed by the National Association of Insurance Commissioners as adopted by rule by the director pursuant to chapter 1-26 . But in any event, the reserve may not be less than the present value at four percent interest of the determined and the estimated unpaid compensation claims under policies written during the three - year period.

Source: SL 1966, ch 111, ch 5, § 8 (4); SL 1995, ch 284, § 44.
S.D. Codified Laws § 58-15-15.12 — SD Code / Title 58 / Chapter 15 / Section 58-15-15.12
Insurance policy loan--Application of statutes on interest rates to prior contracts
Status: in_force

The provisions of §§ 58-15-15.4 to 58-15-15.12 , inclusive, do not apply to any insurance contract issued before July 1, 1982, unless the policyholder agrees in writing to the applicability of the provisions. No other provision of the law applies to policy loan interest rates unless specifically applicable to such rates.

Source: SL 1982, ch 358, § 9.
S.D. Codified Laws § 58-41-92 — SD Code / Title 58 / Chapter 41 / Section 58-41-92
Activities prohibited during suspension of certificate
Status: in_force

When the certificate of authority of a health maintenance organization is suspended, the health maintenance organization may not, during the period of such suspension, enroll any additional enrollees except newborn children or other newly acquired dependents of existing enrollees, and may not engage in any advertising or solicitation whatsoever. A health maintenance organization may not enroll such additional enrollees if it is suspended on those grounds in subdivisions 58-41-81(4) and (8) and § 58-41-86.1 .

Source: SL 1974, ch 321, § 38; SL 1985, ch 393, § 11.
S.D. Codified Laws § 58-33A-28 — SD Code / Title 58 / Chapter 33A / Section 58-33A-28
Multi-state plan sale or solicitation of health insurance outside of exchange prohibited
Status: in_force

No multi-state plan as described in Section 1334 of the Patient Protection and Affordable Care Act, Pub. L. No. 111-148, 124 Stat. 119 (2010), as amended by the Health Care and Education Reconciliation Act of 2010, Pub. L. No. 111-152, 124 Stat. 1029 (2010) may sell, solicit, negotiate, or otherwise transact health insurance in this state outside of any public exchange which may be operating in this state.

Source: SL 2013, ch 249, § 3.
S.D. Codified Laws § 58-29B-22 — SD Code / Title 58 / Chapter 29B / Section 58-29B-22
Application for necessary orders to enforce supervision order
Status: in_force

The director may apply for and any court of general jurisdiction may grant, such restraining orders, preliminary and permanent injunctions, and other orders as may be deemed necessary and proper to enforce a supervision order.

Source: SL 1989, ch 436, § 22.
S.D. Codified Laws § 58-17-30.4 — SD Code / Title 58 / Chapter 17 / Section 58-17-30.4
Notice of birth or adoption required for continued coverage
Status: in_force

An insurer may require notice that a newly born or newly adopted child is to be added to the policy or that coverage is to be changed from single or spousal coverage to family coverage. However, the insurer may not require notification sooner than the birth of the child or the start of the adoption bonding period. If the child is added or coverage changed to family coverage before the birth of the child or the start of the adoption bonding period, no additional premium may be charged by the insurer until the birth of the child or the start of the adoption bonding period. The insurer shall take reasonable steps to provide adequate notice to insureds of the need to alter coverage to ensure newborn or adopted children are covered and of the lack of premium adjustment until the birth of the child or the start of the adoption bonding period. An insurer is considered to have taken reasonable steps if prominent disclosure of the requirements of this section are included in a certificate, subscriber contract, evidence of coverage, or employee handbook if such are provided to all insureds.

If payment of a specific premium or subscription fee is required to provide coverage for a child, the policy or contract may require that notification of birth of a newly born child or notification of the start of the six - month adoption bonding period for an adopted child and payment of the required premium or fees be furnished to the insurer or nonprofit service or indemnity corporation within thirty - one days after the date of birth or start of the bonding period in order to have the coverage continued beyond the thirty - one day period.

Source: SL 1974, ch 322; SL 1983, ch 375, § 3; SL 1994, ch 387, § 6.
S.D. Codified Laws § 58-11-12 — SD Code / Title 58 / Chapter 11 / Section 58-11-12
Policy forms--Filing with and approval by director--Group policy certificates filed for informational purposes
Status: in_force

No basic insurance policy or annuity contract form, or group certificate form, or application form where written application is required and is to be made a part of the policy or contract, or printed rider or endorsement form or form of renewal certificate, shall be delivered or issued for delivery in this state, unless the form has been filed with and approved by the director, except that certificates delivered, but not solicited in this state, pursuant to a group policy issued or delivered outside the State of South Dakota shall be filed with the director for informational purposes. A form filed with the director for informational purposes does not exempt that group policy or certificate from complying with any other applicable provisions of Title 58 or state law.

Source: SL 1966, ch 111, ch 22, § 13 (1); SL 1975, ch 308; SL 1996, ch 291.
S.D. Codified Laws § 58-29B-33 — SD Code / Title 58 / Chapter 29B / Section 58-29B-33
Authority of rehabilitator to reform and revitalize issuer
Status: in_force

The rehabilitator may take any action he considers appropriate to reform and revitalize the insurer. He shall have all the powers of the directors, officers, and managers, whose authority shall be suspended, except as they are redelegated by the rehabilitator. He may direct and manage, hire and discharge employees subject to any contract rights they may have, and deal with the property and business of the insurer.

Source: SL 1989, ch 436, § 33.
S.D. Codified Laws § 58-10-6 — SD Code / Title 58 / Chapter 10 / Section 58-10-6
Consent of insured required for life or health insurance on an individual
Status: in_force

No life or health insurance contract upon an individual, except a contract of group life insurance or of group or blanket health insurance, shall be made or become effective unless at the time of the making of the contract such individual applies therefor or has consented thereto in writing, except in the following cases:

(1) A spouse may effectuate such insurance upon the other spouse.

(2) Any person having an insurable interest in the life of a minor, or any person upon whom a minor is dependent for support and maintenance, may effectuate insurance upon the life of or pertaining to such minor.

(3) Family policies may be issued insuring any two or more members of a family on an application signed by either parent, a stepparent, or by a husband or wife.

Source: SL 1966, ch 111, ch 22, § 9.
S.D. Codified Laws § 58-5-96 — SD Code / Title 58 / Chapter 5 / Section 58-5-96
Delinquency proceedings by director for removal or attempted removal of records or assets of domestic insurer
Status: in_force

Upon any removal or attempted removal of such records or assets or upon retention of such records or assets or material part thereof outside this state, beyond the period therefor specified in the director's consent under which the records were so removed thereat, or upon concealment of or attempt to conceal records or assets in violation of § 58-5-95 , the director may institute delinquency proceedings against the insurer pursuant to the provisions of chapter 58-29B .

Source: SL 1966, ch 111, ch 16, § 24 (3).
S.D. Codified Laws § 58-17-170 — SD Code / Title 58 / Chapter 17 / Section 58-17-170
Application of telehealth coverage requirements
Status: in_force

The requirements of §§ 58-17-168 and 58-17-169 apply to any health insurer offering any individual or group health insurance policy, contract, certificate, or plan delivered, issued for delivery, or renewed in South Dakota on or after January 1, 2020. The requirements of §§ 58-17-168 and 58-17-169 do not apply to any plan, policy, or contract providing coverage only for:

(1) Specified disease;

(2) Hospital indemnity;

(3) Fixed indemnity;

(4) Accident-only;

(5) Credit accident and health insurance;

(6) Vision;

(7) Prescription drug;

(8) Medicare supplement;

(9) Long-term care;

(10) Disability income insurance;

(11) Coverage issued as a supplement to liability insurance;

(12) Workers' compensation or similar insurance;

(13) Automobile medical payment insurance; or

(14) Individual health benefit plans of six-months or less duration that are not renewable.

The requirements of §§ 58-17-168 and 58-17-169 do not apply to services offered that are not part of the policy, contract, certificate, or plan offered and for which there is no premium charged.

Source: SL 2019, ch 211, § 4.
S.D. Codified Laws § 58-40-10 — SD Code / Title 58 / Chapter 40 / Section 58-40-10
Contracts with subscribers--Required provisions
Status: in_force

A hospital service plan corporation may enter into contracts for the rendering of hospital service to the subscribers only with hospitals duly conforming with the laws of the State of South Dakota, and approved for participation by the director; provided that the hospital service plan operated by such corporation shall also provide for hospital service to subscribers in the hospital chosen by the patient without regard to whether such hospital is a contracting hospital, and subject to the approval of the director, and at the same rate as provided in the contract of the corporation for care in other than contracting hospitals in case of emergency or expediency, and subject to the approval of the director.

Source: SL 1966, ch 111, ch 21, § 17.
S.D. Codified Laws § 58-3-26 — SD Code / Title 58 / Chapter 3 / Section 58-3-26
Promulgation of rules for examination
Status: in_force

The director may promulgate rules pursuant to chapter 1-26 concerning examinations, forms and procedures for reporting, examiners and their qualifications, investigations and hearing procedures.

Source: SL 1992, ch 338, § 20.
S.D. Codified Laws § 58-29B-134 — SD Code / Title 58 / Chapter 29B / Section 58-29B-134
Director's application to act as conservator--Grounds
Status: in_force

If a domiciliary liquidator has not been appointed, the director may apply to the court by verified petition for an order directing him to act as conservator to conserve the property of an alien insurer not domiciled in this state or a foreign or alien insurer on any one or more of the following grounds:

(1) Any of the grounds in § 58-29B-31 ;

(2) That any of its property has been sequestered by official action in its domiciliary state, or in any other state;

(3) That enough of its property has been sequestered in a foreign country to give reasonable cause to fear that the insurer is or may become insolvent;

(4) That its certificate of authority to do business in this state has been revoked or that none was ever issued and that there are residents of this state with outstanding claims or outstanding policies.

Source: SL 1989, ch 436, § 134.
S.D. Codified Laws § 58-10-3 — SD Code / Title 58 / Chapter 10 / Section 58-10-3
Procurement of insurance on own life or body for benefit of another--Interest required for insurance on life or body of another
Status: in_force

Any individual of competent legal capacity may procure or effect an insurance contract upon his own life or body for the benefit of any person. But no person shall procure or cause to be procured any insurance contract upon the life or body of another individual unless the benefits under such contract are payable to the individual insured or his personal representatives, or to a person having, at the time when such contract was made, an insurable interest in the individual insured.

Source: SL 1966, ch 111, ch 22, § 4 (1).
S.D. Codified Laws § 58-18-20 — SD Code / Title 58 / Chapter 18 / Section 58-18-20
Authority to issue blanket health insurance--Filing of copy of form--Required provisions
Status: in_force

Any insurer authorized to write health insurance in this state may issue blanket health insurance. No such blanket policy or certificate may be issued or delivered, or coverage solicited, in this state unless a copy of the form thereof has been filed in accordance with § 58-11-12 . Every such blanket policy or certificate shall contain provisions, which in the opinion of the director, are at least as favorable to the policyholder and the individual insured as those set forth in §§ 58-18-21 to 58-18-27 , inclusive.

Source: SL 1966, ch 111, ch 26, § 5; SL 2005, ch 269, § 5.
S.D. Codified Laws § 58-39-9 — SD Code / Title 58 / Chapter 39 / Section 58-39-9
Care provided by noncontracting dentist--Contracting dentist unavailable
Status: in_force

If at any time that the subscriber or certificate holder is entitled to dental service no dentist is available or in case of emergency or expediency, the dental service corporation shall provide such care by dentists who have not contracted with such corporation to such extent as the subscriber or certificate holder is entitled to under his certificate, and at the same rate and for the same fees as is provided for care by noncontracting dentists, but not to exceed the limitation provided for in the certificate. If there is no contracting dentist acceptable to the subscriber, said corporation shall pay the subscriber for care provided by a dentist of the subscriber's own choosing who has not contracted with the corporation to the extent and in such amounts as are provided by the contract for dental care.

Source: SL 1966, ch 111, ch 30, § 5.
S.D. Codified Laws § 58-15-98 — SD Code / Title 58 / Chapter 15 / Section 58-15-98
Procedures for DMF comparisons--Validation of match
Status: in_force

Each insurer shall implement reasonable procedures to do the searches required in §§ 58-15-96 and 58-15-97 that account for:

(1) Common nicknames, initials used in lieu of a first or middle name, use of a middle name, compound first and middle names, and interchanged first and middle names;

(2) Compound last names, maiden or married names, and hyphens, blank spaces, or apostrophes in last names;

(3) Transposition of the month and day portions of the date of birth; and

(4) Incomplete social security numbers.

Upon identifying a potential match pursuant to this section, an insurer shall promptly make reasonable good faith efforts to validate the match by confirming the death of an insured.

Source: SL 2018, ch 280, § 5.
S.D. Codified Laws § 58-5-9 — SD Code / Title 58 / Chapter 5 / Section 58-5-9
Distribution of copies of approved articles
Status: in_force

Upon such approval, the director shall retain one copy of such articles and return the original and remaining copy thereof to the incorporators, who shall file the original with the secretary of state.

Source: SL 1966, ch 111, ch 16, § 7 (2).
S.D. Codified Laws § 58-37A-39 — SD Code / Title 58 / Chapter 37A / Section 58-37A-39
Application of other provisions
Status: in_force

In addition to the provisions contained in this chapter, the following chapters and provisions of the South Dakota Code also apply to fraternal benefit societies, to the extent applicable and not in conflict with the express provisions of this chapter and the reasonable implications of this chapter:

(1) Chapter 47-6 ;

(2) Chapter 58-1 ;

(3) Chapter 58-2 , with the exception of § 58-2-29 ;

(4) Chapter 58-3 ;

(5) Chapter 58-4 ;

(6) Chapter 58-5 ;

(7) Sections 58-6-8 , 58-6-46 , and 58-6-47 ;

(8) Chapters 58-15 , 58-17 , 58-17A , 58-17B , and 58-18 ;

(9) Chapter 58-29B ;

(10) Chapter 58-30 ;

(11) Chapter 58-33 ;

(12) Chapters 58-17F , 58-17G , 58-17H , 58-17I , and 58-33A . (SL 2012, ch 239, § 1 provides: "The provisions of chapter 219 of the 2011 Session Laws shall be deemed repealed if the Patient Protection and Affordable Care Act, Pub. L. No. 111-148, 124 Stat. 119 (2010), as amended by the Health Care and Education Reconciliation Act of 2010, Pub. L. No. 111-152, 124 Stat. 1029 (2010) is found to be unconstitutional in its entirety by a final decision of a federal court of competent jurisdiction and all appeals exhausted or time for appeals elapsed.")

Source: SL 1990, ch 410, § 39; SL 2001, ch 289, § 1; SL 2003, ch 256, § 1; SL 2011, ch 219, § 100.
S.D. Codified Laws § 58-6A-3.2 — SD Code / Title 58 / Chapter 6A / Section 58-6A-3.2
Criteria of material relationship
Status: in_force

A material relationship includes:

(1) The receipt in any one twelve-month period of compensation or payment of any other item of value greater than or equal to five percent of the risk retention group's gross written premium for the twelve-month period or two percent of the risk retention group's surplus, whichever is greater, as measured at the end of any fiscal quarter falling in the twelve-month period by a person with the risk retention group or:

(a) The person's immediate family member;

(b) A business with which the person is affiliated from the risk retention group; or

(c) A consultant or service provider to the risk retention group.

A person with the risk retention group or an immediate family member of the person is not independent until one year after the person's compensation from the risk retention group falls below the threshold;

(2) A relationship with an auditor where a director of the risk retention group or an immediate family member of a director of the risk retention group who is affiliated with or employed in a professional capacity by a present or former internal or external auditor of the risk retention group is not independent until one year after the end of the affiliation, employment, or auditing relationship; and

(3) A relationship with a related entity where a director of the risk retention group or an immediate family member of a director of the risk retention group who is employed as an executive officer of another company where any of the risk retention group's present executives serve on that other company's board of directors is not independent until one year after the end of the service or the employment relationship.

Source: SL 2016, ch 232, § 4.
S.D. Codified Laws § 58-33-35 — SD Code / Title 58 / Chapter 33 / Section 58-33-35
Collection of premium for insurance not provided as misdemeanor
Status: in_force

No person shall willfully collect any sum as premium or charge for insurance, which insurance is not then provided or is not in due course to be provided, subject to acceptance of the risk by the insurer, by an insurance policy issued by an insurer as authorized by this title. Violation of this section is a Class 2 misdemeanor.

Source: SL 1966, ch 111, ch 13, § 20 (1); SL 1978, ch 359, § 2.
S.D. Codified Laws § 58-40-17 — SD Code / Title 58 / Chapter 40 / Section 58-40-17
Investigation and examination by director--Cost borne by corporation
Status: in_force

The director may investigate and examine the books and records of any hospital service plan corporation, and may summon and examine under oath its officers, representatives, insurance producers, employees, or other persons in relation to the affairs, transactions, and conditions of the corporation.

The director shall conduct an examination of each corporation at least every five years pursuant to chapter 58-3 , and the cost of the regular or other special examinations shall be borne by the corporation.

Source: SL 1966, ch 111, ch 21, § 20; SL 1994, ch 389, § 3; SL 2001, ch 286, § 224.
S.D. Codified Laws § 58-19-40 — SD Code / Title 58 / Chapter 19 / Section 58-19-40
Credit unemployment insurance not required by lender in consumer transactions
Status: in_force

Credit unemployment insurance may be offered but in no event may be required by the lender in consumer transactions. This shall be clearly and conspicuously disclosed to the consumer in the loan agreement.

Source: SL 1987, ch 380, § 2.
S.D. Codified Laws § 58-5A-86 — SD Code / Title 58 / Chapter 5A / Section 58-5A-86
Requirements where insurer or insurer's group does not qualify for exemption
Status: in_force

If an insurer qualifies for exemption pursuant to subdivision 58-5A-85(1), but the insurance group of which the insurer is a member does not qualify for exemption pursuant to subdivision 58-5A-85(2), the ORSA summary report that may be required shall include every insurer within the insurance group. This requirement may be satisfied by the submission of more than one ORSA summary report for any combination of insurers provided any combination of reports includes every insurer within the insurance group.

If an insurer does not qualify for exemption pursuant to subdivision 58-5A-85(1), but the insurance group of which it is a member qualifies for exemption pursuant to subdivision 58-5A-85(2), the only ORSA summary report that may be required shall be the report applicable to that insurer.

Source: SL 2017, ch 210, § 7.
S.D. Codified Laws § 58-28-19 — SD Code / Title 58 / Chapter 28 / Section 58-28-19
Voting and other rights accorded to beneficiaries of accounts
Status: in_force

To the extent such insurer deems it necessary to comply with any applicable federal or state laws, such insurer, with respect to any separate account, including without limitation any separate account which is a management investment company or a unit investment trust, may provide for persons having an interest therein appropriate voting and other rights and special procedures for the conduct of the business of such account, including without limitation special rights and procedures relating to investment policy, investment advisory services, selection of independent public accountants, and the selection of a committee, the members of which need not be otherwise affiliated with such insurer, to manage the business of such account.

Source: SL 1966, ch 111, ch 6, § 36 as added by SL 1969, ch 131; SDCL Supp, § 58-28-6.4; SL 1971, ch 266, § 1 (7).
S.D. Codified Laws § 58-43-16.27 — SD Code / Title 58 / Chapter 43 / Section 58-43-16.27
Report of head of internal audit function to audit committee
Status: in_force

The head of the internal audit function shall report to the audit committee regularly, but no less than annually, on the periodic audit plan, factors that may adversely impact the internal audit function's independence or effectiveness, material findings from completed audits, and the appropriateness of corrective actions implemented by management as a result of audit findings.

Source: SL 2018, ch 283, § 5.
S.D. Codified Laws § 58-33-120 — SD Code / Title 58 / Chapter 33 / Section 58-33-120
Education of members of armed forces in accordance with Department of Defense instruction permitted
Status: in_force

Nothing in §§ 58-33-117 to 58-33-130 , inclusive, abrogates the ability of nonprofit organizations or other organizations to educate members of the armed forces of the United States in accordance with Department of Defense DoD Instruction 1344.07--PERSONAL COMMERCIAL SOLICITATION ON DOD INSTALLATIONS as of January 1, 2008.

Source: SL 2008, ch 272, § 4.
S.D. Codified Laws § 58-35-55 — SD Code / Title 58 / Chapter 35 / Section 58-35-55
Failure to file annual statement--Suspension or revocation of certificate of authority
Status: in_force

The director may suspend or revoke the certificate of authority of any insurer failing to file its annual statement.

Source: SL 1966, ch 111, ch 17, § 21 (2).
S.D. Codified Laws § 58-26-99 — SD Code / Title 58 / Chapter 26 / Section 58-26-99
Procedures, controls and report regarding principle-based valuation
Status: in_force

A company using a principle-based valuation for one or more policies or contracts subject to §§ 58-26-98 to 58-26-100 , inclusive, as specified in the valuation manual shall:

(1) Establish procedures for corporate governance and oversight of the actuarial valuation function consistent with those described in the valuation manual;

(2) Provide to the director and the board of directors an annual certification of the effectiveness of the internal controls with respect to the principle-based valuation. The controls shall be designed to assure that all material risks inherent in the liabilities and associated assets subject to such valuation are included in the valuation, and that valuations are made in accordance with the valuation manual. The certification shall be based on the controls in place as of the end of the preceding calendar year;

(3) Develop, and file with the director upon request, a principle-based valuation report that complies with standards prescribed in the valuation manual.

Source: SL 2015, ch 254, § 33.
S.D. Codified Laws § 58-26-50 — SD Code / Title 58 / Chapter 26 / Section 58-26-50
Provisions governing submission of actuary's opinion
Status: in_force

Any opinion required by §§ 58-26-46 to 58-26-49 , inclusive, shall be governed by the following provisions:

(1) The opinion shall be submitted with the annual statement reflecting the valuation of the reserve liabilities for each year ending on or after December 31, 1995;

(2) The opinion shall apply to any business in force including individual and group health insurance plans, in form and substance acceptable to the director specified by rules promulgated pursuant to chapter 1-26 ;

(3) The opinion shall be based on standards adopted from time to time by the Actuarial Standards Board and on additional standards as the director may by rules prescribe.

Source: SL 1995, ch 284, § 6.
S.D. Codified Laws § 58-17H-27 — SD Code / Title 58 / Chapter 17H / Section 58-17H-27
Written procedures required for making determinations--Notification
Status: in_force

A health carrier shall maintain written procedures pursuant to this chapter, for making standard utilization review and benefit determinations on requests submitted to the health carrier by covered persons or their authorized representatives for benefits and for notifying covered persons and their authorized representatives of its determinations with respect to these requests within the specified time frames required under this chapter. If a period of time is extended as permitted by this chapter due to a claimant's failure to submit information necessary to decide a prospective, retrospective, or disability claim, the period for making the benefit determination shall be tolled from the date on which the notification of the extension is sent to the claimant until the date on which the claimant responds to the request for additional information.

Source: SL 2011, ch 219, § 52.
S.D. Codified Laws § 58-29B-70 — SD Code / Title 58 / Chapter 29B / Section 58-29B-70
When transfer of real property deemed made or suffered
Status: in_force

A transfer of real property shall be deemed to be made or suffered when it becomes so far perfected that no subsequent bona fide purchaser from the insurer could obtain rights superior to the rights of the transferee.

Source: SL 1989, ch 436, § 70.
S.D. Codified Laws § 58-41-121 — SD Code / Title 58 / Chapter 41 / Section 58-41-121
Documents provided to risk bearing entity by health maintenance organization
Status: in_force

In entering into, amending, or renewing a contract with a risk bearing entity, a health maintenance organization shall, unless already specified in the contract, provide the following, upon request, to a risk bearing entity:

(1) At the time the contract is entered into, a written statement describing the amount or method of remuneration to be paid to the risk bearing entity. If any part of the remuneration is a calculated amount based on variable factors, the payment methodology upon which the calculated amount will be determined. The statement shall specify the services and expenses for which the risk bearing entity is financially liable in whole or part;

(2) At the time payment is made, the basis of the calculation of that payment;

(3) For health benefit plans in which the covered persons are assigned to the risk bearing entity under a capitated payment arrangement, a list of enrollees and payments due to the risk bearing entity, to be provided monthly if not already available to the risk bearing entity;

(4) At the time the contract is entered into, a copy of the health maintenance organization's most recent annual statement filed with the NAIC; and

(5) Once the contract is in effect, the quarterly or annual statement.

Source: SL 2013, ch 256, § 36.
S.D. Codified Laws § 58-41-12 — SD Code / Title 58 / Chapter 41 / Section 58-41-12
Determination of health care qualifications
Status: in_force

The director shall determine whether the applicant for a certificate of authority has:

(1) Demonstrated the willingness and potential ability to assure that health care services will be provided in a manner to assure both the availability and accessibility of adequate personnel and facilities consistent with the requirements of chapter 58-17F ;

(2) Arrangements, established in accordance with regulations promulgated by the director for an ongoing quality of health care assurance program consistent with the requirements of chapter 58-17F , concerning health care processes and outcomes;

(3) A procedure, established in accordance with rules promulgated pursuant to chapter 1-26 by the director, to develop, compile, evaluate, and report statistics relating to the cost of its operations, the pattern of utilization of its services, the availability and accessibility of its services, and such other matters as may be reasonably required by the director; and

(4) Reasonable provisions for emergency and out-of-area health care services.

Source: SL 1974, ch 321, § 8; SL 1999, ch 245, § 20; SL 2011, ch 219, § 101; SL 2013, ch 256, § 4.
S.D. Codified Laws § 58-29B-149 — SD Code / Title 58 / Chapter 29B / Section 58-29B-149
Duties and powers of ancillary receiver when domiciliary receiver, conservator, or liquidator appointed in reciprocal state
Status: in_force

If a domiciliary receiver, conservator, or liquidator has been appointed in a reciprocal state, then the ancillary receiver appointed in this state may, whenever necessary, aid and assist the domiciliary receiver, conservator, or liquidator in recovering assets of the insurer located in this state. The ancillary receiver shall, as soon as practicable, liquidate from their respective securities those special deposit claims and secured claims which are proved and allowed in the ancillary proceedings in this state, and shall pay the necessary expenses of the proceedings. The ancillary receiver shall promptly transfer all remaining assets, books, accounts, and records to the domiciliary receiver, conservator, or liquidator. The ancillary receiver and the receiver's deputies have the same powers and duties with respect to the administration of assets as a liquidator of an insurer domiciled in this state.

Source: SL 1989, ch 436, § 149; SL 2008, ch 271, § 5.
S.D. Codified Laws § 58-26-92 — SD Code / Title 58 / Chapter 26 / Section 58-26-92
Prerequisites for adoption of NAIC valuation manual of instruction
Status: in_force

The director may not adopt the NAIC valuation manual of instruction until all of the following have occurred:

(1) The valuation manual is adopted by the NAIC by an affirmative vote of at least forty-two members, or three-fourths of the members voting, whichever is greater;

(2) The Standard Valuation Law, as amended by the NAIC in 2009, or legislation including substantially similar terms and provisions, is enacted by states representing greater than seventy-five percent of the direct premiums written as reported in the following annual statements submitted for 2008: life, accident, and health annual statements; health annual statements; or fraternal annual statements;

(3) The Standard Valuation Law, as amended by the NAIC in 2009, or legislation including substantially similar terms and provisions, is enacted by at least forty-two of the following fifty-five jurisdictions: The fifty states of the United States, American Samoa, the American Virgin Islands, the District of Columbia, Guam, and Puerto Rico.

Source: SL 2015, ch 254, § 26.
S.D. Codified Laws § 58-26-75 — SD Code / Title 58 / Chapter 26 / Section 58-26-75
Valuation of reserves--Policies providing for uniform amount of insurance and requiring payment of uniform premiums--Policies providing varying amounts of insurance or varying premiums--Certain group annuity and pure endowment contracts maintained by employers--Disability and accidental death benefits--Other benefits
Status: in_force

Except as otherwise provided in §§ 58-26-76 , 58-26-81 , 58-26-82 , and 58-26-84 , reserves according to the commissioners' reserve valuation method, for the life insurance and endowment benefits of policies providing for a uniform amount of insurance and requiring the payment of uniform premiums shall be the excess, if any, of the present value, at the date of valuation, of future guaranteed benefits provided for by the policies, over the then present value of any future modified net premiums of the policies. The modified net premiums for any policy shall be the uniform percentage of the respective contract premiums for the benefits such that the present value, at the date of issue of the policy, of all the modified net premiums shall be equal to the sum of the then present value of the benefits provided for by the policy and the excess of subdivision (1) over subdivision (2) as follows:

(1) A net level annual premium equal to the present value, at the date of issue, of the benefits provided for after the first policy year, divided by the present value, at the date of issue, of an annuity of one per annum payable on the first and each subsequent anniversary of a policy on which a premium falls due. However, the net level annual premium may not exceed the net level annual premium on the nineteen year premium whole life plan for insurance of the same amount at an age one year higher than the age at issue of the policy;

(2) A net one year term premium for the benefits provided for in the first policy year.

Any life insurance policy issued on or after January 1, 1986, for which the contract premium in the first policy year exceeds that of the second year and for which no comparable additional benefit is provided in the first year for the excess and which provides an endowment benefit or a cash surrender value or a combination thereof in an amount greater than the excess premium, the reserve according to the commissioners' reserve valuation method as of any policy anniversary occurring on or before the assumed ending date defined in this chapter as the first policy anniversary on which the sum of any endowment benefit and any cash surrender value then available is greater than the excess premium shall, except as otherwise provided in §§ 58-26-81 and 58-26-82 , be the greater of the reserve as of the policy anniversary calculated as described in the preceding paragraph and the reserve as of the policy anniversary calculated as described in that paragraph, but with (i) the value defined in subdivision (1) of that paragraph being reduced by fifteen percent of the amount of excess first year premium, (ii) all present values of benefits and premiums being determined without reference to premiums or benefits provided for by the policy after the assumed ending date, (iii) the policy being assumed to mature on the date as an endowment, and (iv) the cash surrender value provided on the date being considered as an endowment benefit. In making the above comparison, the mortality and interest bases stated in §§ 58-26-56 to 58-26-63 , inclusive, and §§ 58-26-71 to 58-26-74 , inclusive, shall be used.

Reserves according to the commissioners' reserve valuation method for: (i) life insurance policies providing for varying amount of insurance or requiring the payment of varying premiums; (ii) group annuity and pure endowment contracts purchased under a retirement plan or plan of deferred compensation, established or maintained by an employer, including a partnership or sole proprietorship, or by an employee organization, or by both, other than a plan providing individual retirement accounts or individual retirement annuities under section 408 of the Internal Revenue Code, as of January 1, 1995; (iii) disability and accidental death benefits in all policies and contracts; and (iv) all other benefits, except life insurance and endowment benefits in life insurance policies and benefits provided by all other annuity and pure endowment contracts, shall be calculated by a method consistent with the principles of the preceding paragraphs of this section.

Source: SL 1995, ch 284, § 31; SL 2015, ch 254, § 17.
S.D. Codified Laws § 58-20-2 — SD Code / Title 58 / Chapter 20 / Section 58-20-2
Policies subject to chapter
Status: in_force

All policies or contracts made for the insurance of the compensation provided by the title, Workers' Compensation, or against employers' liability described in § 58-20-12 , shall be deemed to be made subject to the provisions of this chapter and all provisions of such policies inconsistent herewith shall be void.

Source: SL 1966, ch 111, ch 29, § 13.
S.D. Codified Laws § 58-17B-13.1 — SD Code / Title 58 / Chapter 17B / Section 58-17B-13.1
Establishment of standards and requirements for cost-of-living adjustment
Status: in_force

The director may promulgate rules pursuant to chapter 1-26 to establish specific standards and requirements for a cost - of - living adjustment to long - term care policies. The standards or requirements may cover:

(1) Types and duration of adjustments;

(2) Underwriting; and

(3) Amount of adjustment.

Source: SL 1990, ch 398, § 4.
S.D. Codified Laws § 58-6-57 — SD Code / Title 58 / Chapter 6 / Section 58-6-57
Failure to notify or continuation of business after notice as felony
Status: in_force

Each individual made responsible for the notification under § 58-6-56 , who fails so to notify, and every person so authorized who, after being so notified or otherwise being informed as to such impairment or suspension, revocation, or refusal, solicits or writes further business for the insurer, is guilty of a Class 4 felony.

Source: SL 1966, ch 111, ch 3, § 22 (2); SL 1978, ch 359, § 5.
S.D. Codified Laws § 58-28-15 — SD Code / Title 58 / Chapter 28 / Section 58-28-15
Securities in which investment authorized--Not considered in applying company's investment limitations
Status: in_force

Except as may be provided with respect to reserves for guaranteed benefits and funds referred to in § 58-28-14 , amounts allocated to any separate account and accumulations thereon may be invested and reinvested:

(1) In any class of investments which are authorized by chapter 58-27 , except as provided in § 58-27-51 or 58-27-51.1 , and except that limitations on the amount of assets which may be invested in the various classes of investments imposed in chapter 58-27 does not apply;

(2) In shares registered on a national securities exchange, although the same do not meet the dividend paying requirements of § 58-27-23 ;

(3) In the securities of an open - end investment company or companies registered under the Investment Company Act of 1940.

The investments in such separate account or accounts may not be taken into account in applying the investment limitations otherwise applicable to the investments of the insurer.

Source: SL 1966, ch 111, ch 6, § 36 (4); § 36 (2) as amended by SL 1967, ch 131; SDCL, § 58-28-2; SL 1969, ch 132; SL 1971, ch 266, § 1 (2); SL 1997, ch 294, § 34.
S.D. Codified Laws § 58-19-8 — SD Code / Title 58 / Chapter 19 / Section 58-19-8
Indemnity payable by credit health insurance--Maximum amount
Status: in_force

The total amount of periodic indemnity payable by credit health insurance in the event of disability, as defined in the policy, shall not exceed the aggregate of the periodic scheduled unpaid installments of the indebtedness; and the amount of each periodic indemnity payment shall not exceed the original indebtedness divided by the number of periodic installments.

Source: SL 1966, ch 111, ch 27, § 4 (3).
S.D. Codified Laws § 58-34-62 — SD Code / Title 58 / Chapter 34 / Section 58-34-62
Impairment of surplus--Deficiency to be made up
Status: in_force

If the assets of a reciprocal insurer are at any time insufficient to discharge its liabilities, other than any liability on account of funds contributed by the attorney or others, and to maintain the required surplus, its attorney shall forthwith make up the deficiency or levy an assessment upon the subscribers for the amount needed to make up the deficiency; but subject to the limitation set forth in the power of attorney or policy.

Source: SL 1966, ch 111, ch 19, § 30 (1).
S.D. Codified Laws § 58-17H-2 — SD Code / Title 58 / Chapter 17H / Section 58-17H-2
Health benefit plan defined
Status: in_force

For the purposes of this chapter, the term, health benefit plan, means a policy, contract, certificate, or agreement entered into, offered, or issued by a health carrier to provide, deliver, arrange for, pay for, or reimburse any of the costs of health care services. The term includes short-term and catastrophic health insurance policies, and a policy that pays on a cost-incurred basis, except as otherwise specifically exempted in this definition.

The term does not include coverage only for accident, or disability income insurance, or any combination thereof; coverage issued as a supplement to liability insurance; liability insurance, including general liability insurance and automobile liability insurance; workers' compensation or similar insurance; automobile medical payment insurance; credit-only insurance; coverage for on-site medical clinics; and other similar insurance coverage, specified in federal regulations issued pursuant to Public Law No. 104-191, as amended to January 1, 2011, under which benefits for medical care are secondary or incidental to other insurance benefits.

The term does not include the following benefits if they are provided under a separate policy, certificate, or contract of insurance or are otherwise not an integral part of the plan: limited scope dental or vision benefits; benefits for long-term care, nursing home care, home health care, community-based care, or any combination thereof; or other similar, limited benefits specified in federal regulations issued pursuant to Public Law No. 104-191, as amended to January 1, 2011.

The term does not include the following benefits if the benefits are provided under a separate policy, certificate, or contract of insurance, there is no coordination between the provision of the benefits and any exclusion of benefits under any group health plan maintained by the same plan sponsor, and the benefits are paid with respect to an event without regard to whether benefits are provided with respect to such an event under any group health plan maintained by the same plan sponsor: coverage only for a specified disease or illness; or hospital indemnity or other fixed indemnity insurance.

The term does not include the following if offered as a separate policy, certificate, or contract of insurance: medicare supplemental health insurance as defined under Section 1882(g)(1) of the Social Security Act, as amended to January 1, 2011; coverage supplemental to the coverage provided under Chapter 55 of Title 10, United States Code (Civilian Health and Medical Program of the Uniformed Services (CHAMPUS)), as amended to January 1, 2011; or similar supplemental coverage provided to coverage under a group health plan.

Commission Note: SL 2012, ch 239, § 1 provides: "The provisions of chapter 219 of the 2011 Session Laws shall be deemed repealed if the Patient Protection and Affordable Care Act, Pub. L. No. 111-148, 124 Stat. 119 (2010), as amended by the Health Care and Education Reconciliation Act of 2010, Pub. L. No. 111-152, 124 Stat. 1029 (2010) is found to be unconstitutional in its entirety by a final decision of a federal court of competent jurisdiction and all appeals exhausted or time for appeals elapsed."

Source: SL 2011, ch 219, § 91; SL 2021, ch 210, § 14.
S.D. Codified Laws § 58-33A-20.1 — SD Code / Title 58 / Chapter 33A / Section 58-33A-20.1
Contract for performance of supervision system functions--Responsibility for corrective action--Supervision of performance
Status: in_force

Nothing in § 58-33A-20 or this section restricts an insurer from contracting for performance of a function required under § 58-33A-20 , including maintenance of procedures. An insurer is responsible for taking appropriate corrective action and may be subject to sanctions and penalties pursuant to § 58-33A-26 regardless of whether the insurer contracts for performance of a function and regardless of the insurer's compliance with this section.

An insurer's supervision system under § 58-33A-20 and this section shall include supervision of contractual performance under this section. This includes the following:

(1) Monitoring and, as appropriate, conducting audits to assure that the contracted function is properly performed; and

(2) Annually obtaining a certification from a senior manager who has responsibility for the contracted function that the manager has a reasonable basis to represent, and does represent, that the function is properly performed.

An insurer is not required to include in its system of supervision a producer's recommendations to consumers of products other than the annuities offered by the insurer, consideration of or comparison to options available to the producer, or compensation relating to those options other than annuities or other products offered by the insurer.

Source: SL 2012, ch 250, § 8; SL 2022, ch 186, § 21, eff. Jan. 1, 2023.
S.D. Codified Laws § 58-6-37 — SD Code / Title 58 / Chapter 6 / Section 58-6-37
Deposit of title insurer as guaranty fund--Purpose
Status: in_force

The deposit shall be known as a "guaranty fund," and shall be held as security for the faithful performance by the insurer of all its undertakings and liabilities under its title policies or other guarantees of title to property, but shall not be subject to any other liabilities of the insurer.

Source: SL 1966, ch 111, ch 3, § 14 (2).
S.D. Codified Laws § 58-29B-60 — SD Code / Title 58 / Chapter 29B / Section 58-29B-60
Reduction of assets to appropriate degree
Status: in_force

The liquidator shall reduce the assets to a degree of liquidity that is consistent with the execution of the liquidation.

Source: SL 1989, ch 436, § 60.
S.D. Codified Laws § 58-18A-73 — SD Code / Title 58 / Chapter 18A / Section 58-18A-73
Plan covering person for longer period of time
Status: in_force

If the preceding provisions in §§ 58-18A-69 to 58-18A-72 , inclusive, do not determine the order of benefits, the plan that covered the person for the longer period of time is the primary plan and the plan that covered the person for the shorter period of time is the secondary plan.

To determine the length of time a person has been covered under a plan, two successive plans shall be treated as one if the covered person was eligible under the second plan within twenty-four hours after coverage under the first plan ended.

The start of a new plan does not include:

(1) A change in the amount or scope of a plan's benefits;

(2) A change in the entity that pays, provides, or administers the plan's benefits; or

(3) A change from one type of plan to another, such as, from a single employer plan to a multiple employer plan.

The person's length of time covered under a plan is measured from the person's first date of coverage under that plan. If that date is not readily available for a group plan, the date the person first became a member of the group shall be used as the date from which to determine the length of time the person's coverage under the present plan has been in force.

Source: SL 2006, ch 259, § 21.
S.D. Codified Laws § 58-17-24 — SD Code / Title 58 / Chapter 17 / Section 58-17-24
Proofs of loss--Provision required in policy
Status: in_force

There shall be a provision as follows: "Proofs of loss: Written proof of loss must be furnished to the insurer at its said office in case of claim for loss for which this policy provides any periodic payment contingent upon continuing loss within ninety days after the termination of the period for which the insurer is liable and in case of claim for any other loss within ninety days after the date of such loss. Failure to furnish such proof within the time required shall not invalidate nor reduce any claim if it was not reasonably possible and in no event, except in the absence of legal capacity, later than one year from the time proof is otherwise required."

Source: SL 1966, ch 111, ch 25, § 10.
S.D. Codified Laws § 58-17-105 — SD Code / Title 58 / Chapter 17 / Section 58-17-105
Drugs used in research trials not covered
Status: in_force

The following drugs or services are not subject to coverage under § 58-17-101 :

(1) Any drug that is used in research trials sponsored by the manufacturer of that drug or a governmental entity; or

(2) Any drug or service furnished in a research trial, if the sponsor of the research trial furnishes the drug or service without charge to any participant in the research trial.

Source: SL 2000, ch 242, § 6.
S.D. Codified Laws § 58-7-20 — SD Code / Title 58 / Chapter 7 / Section 58-7-20
Terms of depository or custodial arrangements for deposit of reserves
Status: in_force

All depository or custodial arrangements shall comply in substance with the requirements of this title as to like deposits of other insurers, as to the amount, purposes, maintenance, replenishment, release, and withdrawal of such deposit or part thereof, as to the rights of the insurer therein, and in all other respects except as to actual custody.

Source: SL 1966, ch 111, ch 7, § 5 (4); SL 1991, ch 398, § 11.
S.D. Codified Laws § 58-15-88 — SD Code / Title 58 / Chapter 15 / Section 58-15-88
Contracts without cash surrender benefits--Contracts not providing death benefits prior to commencement of payments--Present value calculations
Status: in_force

For contracts that do not provide cash surrender benefits, the present value of any paid - up annuity benefit available as a nonforfeiture option at any time prior to maturity may not be less than the present value of that portion of the maturity value of the paid - up annuity benefit provided under the contract arising from considerations paid prior to the time the contract is surrendered in exchange for, or changed to, a deferred paid - up annuity, such present value being calculated for the period prior to the maturity date on the basis of the interest rate specified in the contract for accumulating the net considerations to determine maturity value, and increased by any additional amounts credited by the company to the contract. For contracts that do not provide any death benefits prior to the commencement of any annuity payments, present values shall be calculated on the basis of such interest rate and the mortality table specified in the contract for determining the maturity value of the paid - up annuity benefit. However, in no event may the present value of a paid - up annuity benefit be less than the minimum nonforfeiture amount at that time.

Source: SL 2004, ch 299, § 7.
S.D. Codified Laws § 58-5A-26 — SD Code / Title 58 / Chapter 5A / Section 58-5A-26
Consolidated registration statement or report by affiliated insurers
Status: in_force

Two or more affiliated insurers subject to registration hereunder may file a consolidated registration statement or consolidated reports amending their respective consolidated statements or their individual registration statements so long as such consolidated filings correctly reflect the condition of and transactions between such persons.

Source: SL 1972, ch 267, § 20.
S.D. Codified Laws § 58-24-69 — SD Code / Title 58 / Chapter 24 / Section 58-24-69
Risk manager defined
Status: in_force

For the purposes of §§ 58-24-68 to 58-24-74 , inclusive, the term, risk manager, means an employee of the exempt commercial policyholder, or a third - party consultant retained by the policyholder who provides skilled services in loss prevention, loss reduction, or risk and insurance coverage analysis, and the purchase of insurance, and who possesses at least one of the following credentials:

(1) A bachelor's or higher degree in risk management issued by an accredited college or university;

(2) A designation as a chartered property and casualty underwriter issued by the American Institute for Chartered Property and Casualty Underwriters and Insurance Institute of America;

(3) A designation as an associate in risk management issued by the American Institute for Chartered Property and Casualty Underwriters and Insurance Institute of America;

(4) A designation as a certified risk manager issued by the National Alliance for Insurance Education and Research;

(5) A designation as a fellow in risk management or RIMS fellow issued by the Global Risk Management Institute; or

(6) At least seven years of experience in one or more of the following areas of commercial property and casualty insurance:

(a) Risk financing;

(b) Claims administration;

(c) Loss prevention; or

(d) Risk and insurance coverage analysis.

Source: SL 2004, ch 307, § 2.
S.D. Codified Laws § 58-19-12 — SD Code / Title 58 / Chapter 19 / Section 58-19-12
Revision of premium schedule--Filing
Status: in_force

Any insurer may revise its schedules of premium rates from time to time, and shall file such revised schedules with the director.

Source: SL 1966, ch 111, ch 27, § 8 (1).
S.D. Codified Laws § 58-30-217.1 — SD Code / Title 58 / Chapter 30 / Section 58-30-217.1
Certain acts not unfair trade practices
Status: in_force

The following acts are not unfair trade practices under this chapter or chapter 58-33 :

(1) If travel insurance is marketed directly to a consumer through an insurer’s website or by others through an aggregator site, it shall not be an unfair trade practice or other violation of law where an accurate summary of coverage is provided on the web page, so long as the consumer has access to the full provisions of the policy through electronic means; and

(2) If a consumer’s destination jurisdiction requires insurance coverage, it shall not be an unfair trade practice to require that a consumer choose one of the following options as a condition of purchasing a trip or travel package:

(a) Purchasing the coverage required by the destination jurisdiction through the travel retailer or limited lines travel insurance producer supplying the trip or travel package; or

(b) Agreeing to obtain and provide proof of coverage that meets the destination jurisdiction’s requirements prior to departure.

Source: SL 2022, ch 185, § 10.
S.D. Codified Laws § 58-24-18 — SD Code / Title 58 / Chapter 24 / Section 58-24-18
Disapproval of filing prohibited if rates meet requirements
Status: in_force

No filing shall be disapproved if the rates thereby produced meet the requirements of this chapter.

Source: SL 1966, ch 111, ch 15, § 5 (5).
S.D. Codified Laws § 58-33-23 — SD Code / Title 58 / Chapter 33 / Section 58-33-23
Life insurance benefits paid to beneficiary--Payment to tradesman or businessman as misdemeanor--Use of life insurance to pay costs of funeral--Fraternal benefit societies
Status: in_force

All life insurance benefits shall be paid in cash to the beneficiary. No insurer engaged in the business of life insurance shall contract to pay or pay such insurance benefits to any funeral director, undertaker, or undertaking business. Violation of this section is a Class 2 misdemeanor. This section does not prohibit an insurer from paying life insurance benefits to a funeral director, undertaker, or undertaking business, whether or not an assignment of the policy has been made pursuant to § 58-11-36 , if the insurer makes the payment pursuant to an assignment made by the beneficiary of the insurance benefits to a person or entity which performed burial or funeral services for the insured or contracted after the death of the insured to perform burial or funeral services for the insured. If the cost of the burial or funeral services performed is less than the benefit amount to be paid under the life insurance policy, the insurer shall pay the excess to the named beneficiary in accordance with the terms of the contract.

This section does not prohibit a fraternal benefit society from paying the proceeds of a life insurance policy in accordance with the provisions of § 58-37A-17 . An insurer that is not a fraternal benefit society may pay the proceeds of a life insurance policy in the same manner and subject to the same restrictions as provided for by § 58-37A-17 .

Source: SL 1966, ch 111, ch 13, § 22; SL 1978, ch 359, § 2; SL 1995, ch 290; SL 2005, ch 278, § 2.
S.D. Codified Laws § 58-34-16 — SD Code / Title 58 / Chapter 34 / Section 58-34-16
Additional kinds of insurance transacted--Minimum amount of surplus funds
Status: in_force

A domestic reciprocal insurer may be authorized to transact additional kinds of insurance if it has otherwise complied with the provisions of this title therefor and possesses and maintains surplus funds not less in amount than the minimum capital stock required of a domestic stock insurer for authority to transact a like combination of kinds of insurance, but subject to §§ 58-6-27 and 58-6-28 .

Source: SL 1966, ch 111, ch 19, § 8 (4).
S.D. Codified Laws § 58-33A-3 — SD Code / Title 58 / Chapter 33A / Section 58-33A-3
Advertisement determined
Status: in_force

For the purposes of this chapter, the term, advertisement, includes:

(1) Any printed and published material, audio visual material, and descriptive literature of an insurer used in direct mail, newspapers, magazines, radio scripts, TV scripts, billboards, and similar displays;

(2) Any descriptive literature and sales aids of all kinds issued by an insurer, representative of the insurer, insurance producer, or solicitor for presentation to members of the insurance - buying public, including circulars, leaflets, booklets, depictions, illustrations, internet communications, form letters, and lead - generating devices of all kinds;

(3) Any prepared sales talks, presentations, and material for use by representatives of the insurer, insurance producers, and solicitors whether prepared by the insurer or the representative of the insurer, insurance producer, or solicitor; and

(4) Any advertising material included with a policy if the policy is delivered and material is used in the solicitation of renewals and reinstatements.

Source: SL 1999, ch 240, § 3; SL 2000, ch 251, § 4; SL 2001, ch 286, § 212.
S.D. Codified Laws § 58-23-8 — SD Code / Title 58 / Chapter 23 / Section 58-23-8
Accident, disability, and medical benefits included in supplemental coverage
Status: in_force

Supplemental insurance coverages shall as a minimum include:

(1) Accidental death benefits of at least ten thousand dollars payable upon the loss of life of the named insured which shall result directly from and independently of all other causes from bodily injury, other than sickness or disease or death resulting therefrom, caused by accident sustained by the named insured while occupying an automobile, or entering or alighting therefrom, or through being struck by a motor vehicle while a pedestrian, if death occurs within ninety days of the accident;

(2) Indemnity of at least sixty dollars per week for disability extending beyond fourteen days from the date of the accident for a period of at least fifty - two consecutive weeks during such period of time as the named insured is prevented from performing the usual duties of his regular occupation, by reason of injuries and disability accidentally sustained and arising while occupying an automobile, or entering, or alighting therefrom, or through being struck by a motor vehicle while a pedestrian. If the injured named insured is a person not gainfully employed at the time of the accident, the supplemental insurance coverage may provide that the indemnity per week may be reduced fifty percent. The disability benefits shall be paid in full without reduction because of any benefits available under any workers' compensation law or similar law or from any other source;

(3) Indemnity to the named insured and to any other insured, irrespective of legal liability, for medical expenses in an aggregate amount of at least two thousand dollars for each such injured person, incurred within two years from the date of the accident by reason of bodily injuries arising out of the use of the automobile described in the policy or through being struck by a motor vehicle while a pedestrian.

Source: SL 1971, ch 270, § 3.
S.D. Codified Laws § 58-18B-47 — SD Code / Title 58 / Chapter 18B / Section 58-18B-47
Third-party administrator treated as small employer carrier
Status: in_force

If a small employer carrier enters into a contract, agreement, or other arrangement with a third - party administrator to provide administrative, marketing, or other services related to the offering of health benefit plans to small employers in the state, the third - party administrator is subject to §§ 58-18B-37 to 58-18B-48 , inclusive, as if it were a small employer carrier.

Source: SL 1995, ch 281, § 42.
S.D. Codified Laws § 58-33-16 — SD Code / Title 58 / Chapter 33 / Section 58-33-16
Credit life insurance permitted as inducement for purchases
Status: in_force

Section 58-33-15 shall not apply to insurance on the life of a debtor pursuant to or in connection with a specific loan or other credit transaction, or insurance on a debtor to provide indemnity for payments becoming due on a specific loan or other credit transaction while the debtor is disabled as defined in the policy.

Source: SL 1966, ch 111, ch 13, § 14 (2).
S.D. Codified Laws § 58-43-25 — SD Code / Title 58 / Chapter 43 / Section 58-43-25
Application of chapter
Status: in_force

This chapter applies to all persons doing insurance business notwithstanding any provision exempting them from the insurance laws of this title.

Source: SL 1992, ch 357, § 25.
S.D. Codified Laws § 58-17-4.1 — SD Code / Title 58 / Chapter 17 / Section 58-17-4.1
Filing and approval of individual policy premium rates
Status: in_force

Premium rates charged for any individual accident and health insurance policy issued pursuant to this chapter shall be filed with and are subject to the approval of the director. The rates shall be filed for approval, administered, and reviewed subject to all of the applicable procedures in accordance with §§ 58-11-64 to 58-11-76 , inclusive.

Source: SL 1988, ch 399, § 1; SL 2006, ch 254, § 1; SL 2011, ch 216, § 3.
S.D. Codified Laws § 58-29B-143 — SD Code / Title 58 / Chapter 29B / Section 58-29B-143
Payment of resident's claims against foreign or alien insurer
Status: in_force

The court may order the director, if he has liquidated the assets of a foreign or alien insurer under this chapter, to pay claims of residents of this state against the insurer under such rules as to the liquidation of insurers under this chapter as are otherwise compatible with the provisions of this chapter.

Source: SL 1989, ch 436, § 143.
S.D. Codified Laws § 58-25-5 — SD Code / Title 58 / Chapter 25 / Section 58-25-5
Grouping of guarantees by classification for rate-making
Status: in_force

Guarantees may be grouped by classification for the establishment of rates and minimum premiums. A special or unusual guarantee, more hazardous to the insurer than ordinary title guarantees because of an alleged irregularity or a difference in interpretation or application of law which might affect marketability of title, may be classified individually and separately according to the circumstances peculiar to each case.

Source: SL 1966, ch 111, ch 14, § 2 (4).
S.D. Codified Laws § 58-30-148 — SD Code / Title 58 / Chapter 30 / Section 58-30-148
Resident application for insurance producer license--Requirements for application
Status: in_force

A person applying for a resident insurance producer license shall make application to the director on an application form or format as prescribed by the director and declare under penalty of refusal, suspension, or revocation of the license that the statements made in the application are true, correct, and complete to the best of the individual's knowledge and belief. The director shall consider the use of a uniform application form or format.

Before approving the application, the director shall find that the individual:

(1) Is at least eighteen years of age;

(2) Has not committed any act that is a ground for denial, suspension, or revocation set forth in § 58-30-167 ;

(3) Has paid the fees set forth in § 58-2-29 ; and

(4) Has successfully passed the examinations for the lines of authority for which the person has applied.

Source: SL 2001, ch 286, § 8; SL 2002, ch 240, § 6.
S.D. Codified Laws § 58-23A-5 — SD Code / Title 58 / Chapter 23A / Section 58-23A-5
Forwarding of information to professional licensing board
Status: in_force

The Division of Insurance shall, within thirty days of receipt, submit in writing to the appropriate state professional and occupational licensing board, the data and information furnished to the division pursuant to this chapter, but only that which is relevant to the board.

Source: SL 1976, ch 316, § 7.
S.D. Codified Laws § 58-30-199 — SD Code / Title 58 / Chapter 30 / Section 58-30-199
License needed for offering, selling, or soliciting purchase of rental car insurance
Status: in_force

No rental car company, and no officer, director, employee, or agent of a rental car company, may offer, sell, or solicit the purchase of rental car insurance unless the person is licensed as an insurance producer or there has been compliance with the requirements of §§ 58-30-197 to 58-30-208 , inclusive.

Source: SL 2001, ch 272, § 3; SDCL § 58-9-36; SL 2010, ch 233, § 2.
S.D. Codified Laws § 58-17E-34 — SD Code / Title 58 / Chapter 17E / Section 58-17E-34
Contents of marketing agreement
Status: in_force

The agreement between the discount medical plan organization and the marketer shall prohibit the marketer from using advertising, marketing materials, brochures, and discount medical plan cards without the discount medical plan organization's approval in writing.

Source: SL 2006, ch 257, § 34.
S.D. Codified Laws § 58-15-43.13 — SD Code / Title 58 / Chapter 15 / Section 58-15-43.13
Default in payment of premium--Amount of cash surrender value--Amount of nonforfeiture factor--Policies issued after January 1, 1986
Status: in_force

This section, in addition to all other applicable sections of this chapter, applies to all policies issued on or after January 1, 1986. Any cash surrender value available under the policy in the event of default in a premium payment due on any policy anniversary shall be in an amount which does not differ by more than two - tenths of one percent of either the amount of insurance, if the insurance be uniform in amount, or the average amount of insurance at the beginning of each of the first ten policy years, from the sum of the greater of zero and the basic cash value hereinafter specified and the present value of any existing paid - up additions less the amount of any indebtedness to the insurer under the policy. The basic cash value is equal to the present value, on the anniversary, of the future guaranteed benefits which would have been provided for by the policy, excluding any existing paid - up additions and before deduction of any indebtedness to the insurer, if there had been no default, less the then present value of the nonforfeiture factors, as hereinafter defined, corresponding to premiums which would have fallen due on and after such anniversary. However, the effects on the basic cash value of supplemental life insurance or annuity benefits or of family coverage, as described in § 58-15-33 or §§ 58-15-35 to 58-15-38 , inclusive, whichever is applicable, are the same as are the effects specified in § 58-15-33 or §§ 58-15-35 to 58-15-38 , inclusive, whichever is applicable on the cash surrender values defined in those sections. The nonforfeiture factor for each policy year is an amount equal to a percentage of the adjusted premium for the policy year, as defined in §§ 58-15-35 to 58-15-38 , inclusive, or §§ 58-15-43.1 to 58-15-43.11 , inclusive, whichever is applicable. That percentage must be the same percentage for each policy year between the second policy anniversary and the later of the fifth policy anniversary and the first policy anniversary at which there is available under the policy a cash surrender value in an amount, before including any paid - up additions and before deducting any indebtedness, of at least two - tenths of one percent of either the amount of insurance, if the insurance be uniform in amount, or the average amount of insurance at the beginning of each of the first ten policy years; and must be such that no percentage after the later of the two policy anniversaries specified in the preceding may apply to fewer than five consecutive policy years. However, no basic cash value may be less than the value which would be obtained if the adjusted premiums for the policy, as defined in §§ 58-15-35 to 58-15-38 , inclusive, or §§ 58-15-43.1 to 58-15-43.11 , inclusive, whichever is applicable, were substituted for the nonforfeiture factors in the calculation of the basic cash value.

All adjusted premiums and present values referred to in this section shall for a particular policy be calculated on the same mortality and interest bases as are used in demonstrating the policy's compliance with the other sections of this chapter. The cash surrender values referred to in this section shall include any endowment benefits provided for by the policy.

Any cash surrender value available other than in the event of default in a premium payment due on a policy anniversary, and the amount of any paid - up nonforfeiture benefit available under the policy in the event of default in a premium payment are determined in manners consistent with the manners specified for determining the analogous minimum amounts in §§ 58-15-31 to 58-15-34 , inclusive, §§ 58-15-39 and 58-15-40 , and §§ 58-15-43.1 to 58-15-43.11 , inclusive. The amounts of any cash surrender values and of any paid - up nonforfeiture benefits granted in connection with additional benefits such as those listed in § 58-15-40 shall conform with the principles of this section.

Source: SL 1982, ch 357, § 18.
S.D. Codified Laws § 58-33-104 — SD Code / Title 58 / Chapter 33 / Section 58-33-104
Due diligence investigation required of third party administrator before entering into any administrative contract for health benefit plan
Status: in_force

A third party administrator, prior to entering into any administrative contract for a health benefit plan, and prior to assisting any person with administration of a health benefit plan, covering employees of an employer or a person located in this state, shall carry out appropriate due diligence to establish that the health benefit plan is not unauthorized health insurance, including those measures reasonably appropriate to establish:

(1) Through initial inquiry, contract provisions and measures to monitor and enforce compliance with the contract provisions, that for any insurance coverage that is represented as issued relating to the health benefit plan:

(a) The insurer issued the policy;

(b) The coverage is as represented;

(c) The insurer is an admitted insurer in this state; and

(d) The policy has been filed with, and approved by, the division or is exempt from filing requirements;

(2) For any health benefit plan that is represented as established or maintained pursuant to a collective bargaining agreement, the health benefit plan is established or maintained under or pursuant to a collective bargaining agreement under the criteria provided under 29 CFR 2510.3-40 as of January 1, 2007;

(3) For any health benefit plan that is represented as established or maintained by an employee leasing arrangement or professional employer organization, the health benefit plan is fully insured; or

(4) For any health benefit plan that is represented as established by a single employer, that the health benefit plan is covering solely employees and their dependents, and the employer controls and directs the work of the employee.

Source: SL 2007, ch 292, § 12.
S.D. Codified Laws § 58-44-2 — SD Code / Title 58 / Chapter 44 / Section 58-44-2
Application of chapter to licensed insurers--Application of chapter58-5A
Status: in_force

This chapter applies to licensed insurers, either domiciled in this state or domiciled in a state that is not an accredited state. All provisions of chapter 58-5A , to the extent they are not superseded by this chapter, apply to all parties within holding company systems.

Source: SL 1992, ch 358, § 2.
S.D. Codified Laws § 58-18B-45 — SD Code / Title 58 / Chapter 18B / Section 58-18B-45
Reasons for denial of coverage to be in writing
Status: in_force

If a small employer carrier denies an application for coverage from a small employer, the denial shall be in writing and shall state the reason or reasons for the denial.

Source: SL 1995, ch 281, § 40.
S.D. Codified Laws § 58-29C-61 — SD Code / Title 58 / Chapter 29C / Section 58-29C-61
Stay of proceedings against insolvent insurer--Default judgment set aside
Status: in_force

All proceedings in which the insolvent insurer is a party in any court in this state shall be stayed one hundred eighty days from the date an order of liquidation, rehabilitation, or conservation is final to permit proper legal action by the association on any matters germane to its powers or duties. As to judgment under any decision, order, verdict, or finding based on default the association may apply to have such judgment set aside by the same court that made such judgment and shall be permitted to defend against such suit on the merits.

Source: SL 2003, ch 252, § 18; SL 2013, ch 252, § 10.
S.D. Codified Laws § 58-33A-25.4 — SD Code / Title 58 / Chapter 33A / Section 58-33A-25.4
Authorized insurance business--Other licenses
Status: in_force

Nothing in §§ 58-33A-13 to 58-33A-27 , inclusive, should be construed to require a producer to obtain any license other than a producer license with the appropriate line of authority to sell, solicit, or negotiate insurance in this state, including a securities license, in order to fulfill the duties and obligations contained in §§ 58-33A-13 to 58-33A-27 , inclusive provided the producer does not give advice or provide services that are otherwise subject to securities laws or engage in any other activity requiring other professional licenses.

Source: SL 2022, ch 186, § 16, eff. Jan. 1, 2023.
S.D. Codified Laws § 58-37A-19 — SD Code / Title 58 / Chapter 37A / Section 58-37A-19
Benefit certificates
Status: in_force

Every society authorized to do business in this state shall issue to each owner of a benefit contract a certificate specifying the amount of benefits to be provided by the benefit contract. The certificate, together with any riders or endorsements attached to it, the laws of the society, the application for membership, the application for insurance and declaration of insurability, if any, signed by the applicant, and all amendments to each, shall constitute the benefit contract, as of the date of issuance, between the society and the owner, and the certificate shall so state. A copy of the application for insurance and declaration of insurability, if any, shall be endorsed upon or attached to the certificate. All statements on the application are representations and not warranties. Any waiver of this provision is void.

Any changes, additions or amendments to the laws of the society made or enacted after the issuance of the certificate, bind the owner and the beneficiaries, and govern and control the benefit contract in all respects the same as though the changes, additions, or amendments had been made before and were in force at the time of the application for insurance. However, no change, addition, or amendment may destroy or diminish benefits which the society contracted to give the owner as of the date of issuance.

Any person upon whose life a benefit contract is issued before attaining the age of majority shall be bound by the terms of the application and certificate and by all the laws and rules of the society to the same extent as though the age of majority had been attained at the time of application.

A society shall provide in its laws that if its reserves as to any class of certificates become impaired its board of directors or corresponding body may require that there shall be paid by the owner to the society the amount of the owner's equitable proportion of the deficiency as ascertained by its board. If the payment is not made either it stands as an indebtedness against the certificate and shall draw interest not to exceed the rate specified for certificate loans under the certificates or in lieu of or in combination with the indebtedness, the owner may accept a proportionate reduction in benefits under the certificate. The society may specify the manner of the election and which alternative is to be presumed if no election is made.

Copies of any of the documents provided for in this section, certified by the secretary or corresponding officer of the society, shall be received in evidence of the terms and conditions thereof.

No certificate may be delivered or issued for delivery in this state unless a copy of the form has been filed with the director in the manner provided for like policies issued by life and health insurers in this state. Every life, accident, health, or disability insurance certificate and every annuity certificate issued on or after one year from January 1, 1991, shall meet the standard contract provision requirements consistent with this chapter for like policies issued by life and health insurers in this state. However, a society may provide for a grace period for payment of premiums of one full month in its certificates. The certificate shall also contain a provision stating the amount of premiums which are payable under the certificate and a provision reciting or setting forth the substance of any sections of the society's laws or rules in force at the time of issuance of the certificate which, if violated, shall result in the termination or reduction of benefits payable under the certificate. If the laws of the society provide for expulsion or suspension of a member, the certificate shall also contain a provision that any member expelled or suspended, except for nonpayment of a premium or within the contestable period for material misrepresentation in the application for membership or insurance, may maintain the certificate in force by continuing payment of the premium.

Benefit contracts issued on the lives of persons below the society's minimum age for adult membership may provide for transfer of control of ownership to the insured at an age specified in the certificate. A society may require approval of an application for membership in order to effect this transfer and may provide in all other respects for the regulation, government, and control of the certificates and all rights, obligations, and liabilities incident to and connected with the certificates. Ownership rights before this transfer shall be specified in the certificate.

A society may specify the terms and conditions on which benefit contracts may be assigned.

Source: SL 1990, ch 410, § 19.
S.D. Codified Laws § 58-29B-137 — SD Code / Title 58 / Chapter 29B / Section 58-29B-137
Termination of conservation of insurer
Status: in_force

The conservator may at any time petition the court for an order terminating conservation of an insurer. If the court finds that the conservation is no longer necessary, it shall order that the insurer be restored to possession of its property and the control of its business. The court may also make such finding and issue such order at any time upon motion of any interested party, but if such motion is denied all costs shall be assessed against such party.

Source: SL 1989, ch 436, § 137.
S.D. Codified Laws § 58-29B-152 — SD Code / Title 58 / Chapter 29B / Section 58-29B-152
Liquidation proceeding against insurer domiciled in state--Claimants residing in foreign countries or states not reciprocal--Filing
Status: in_force

In a liquidation proceeding begun in this state against an insurer domiciled in this state, claimants residing in foreign countries or in states not reciprocal states shall file claims in this state, and claimants residing in reciprocal states may file claims either with the ancillary receivers, if any, in their respective states, or with the domiciliary liquidator. Claims shall be filed on or before the last date fixed for the filing of claims in the domiciliary liquidation proceeding.

Source: SL 1989, ch 436, § 152.
S.D. Codified Laws § 58-33-103 — SD Code / Title 58 / Chapter 33 / Section 58-33-103
Due diligence investigation required of insurance producer before submitting stop loss policy application for health benefit plan
Status: in_force

An insurance producer, prior to submitting an application for a stop loss policy to an insurer for a health benefit plan offered to employees, employee dependents, or a person located in this state, shall carry out appropriate due diligence to establish that the health benefit plan is not unauthorized health insurance, including measures reasonably appropriate to establish:

(1) For any health benefit plan that is represented as established or maintained pursuant to a collective bargaining agreement, the health benefit plan is established or maintained under or pursuant to a collective bargaining agreement under the criteria provided under 29 CFR 2510.3-40 as of January 1, 2007;

(2) The health benefit plan that is not offered by an employee leasing arrangement or professional employer organization to client employers; or

(3) For any health benefit plan that is represented as established by a single employer, that the health benefit plan is covering solely employees, and dependents of employees, of the employer and the employer controls and directs the work of the employee.

Source: SL 2007, ch 292, § 11.
S.D. Codified Laws § 58-6-51 — SD Code / Title 58 / Chapter 6 / Section 58-6-51
Publication of notice of suspension, revocation, or refusal to renew certificate of authority
Status: in_force

The director may also publish notice of such suspension, revocation, or refusal in one or more newspapers of general circulation in this state.

Source: SL 1966, ch 111, ch 3, § 20 (3).
S.D. Codified Laws § 58-19-21 — SD Code / Title 58 / Chapter 19 / Section 58-19-21
Application or notice delivered to debtor in lieu of policy or certificate
Status: in_force

If said individual policy or group certificate of insurance is not delivered to the debtor at the time the indebtedness is incurred, a copy of the application for such policy or a notice of proposed insurance, signed by the debtor and setting forth the name and home office address of the insurer, the name of the debtor, the premium or amount of payment by the debtor, if any, separately for credit life insurance and credit health insurance, the amount, term and a brief description of the coverage provided, shall be delivered to the debtor at the time such indebtedness is incurred. Said application or notice of proposed insurance shall state that upon acceptance by the insurer, the insurance shall become effective as provided in §§ 58-19-9 and 58-19-10 . The copy of the application for, or notice of proposed insurance, shall also refer exclusively to insurance coverage, and shall be separate and apart from the loan, sale, or other credit statement of account, instrument, or agreement, unless the information required by this section is prominently set forth therein.

Source: SL 1966, ch 111, ch 27, § 6 (4).
S.D. Codified Laws § 58-26-83 — SD Code / Title 58 / Chapter 26 / Section 58-26-83
Requirements for reserves for life insurance providing for future premium determination or for reserves undeterminable under methods in §58-26-75,58-26-76,58-26-81, or58-26-82
Status: in_force

Any plan of life insurance which provides for future premium determination, the amounts of which are to be determined by the insurance company based on then estimates of future experience, or in the case of any plan of life insurance or annuity which is of a nature that the minimum reserves cannot be determined by the methods described in §§ 58-26-75 , 58-26-76 , 58-26-81 , and 58-26-82 , the reserves which are held under any plan must:

(1) Be appropriate in relation to the benefits and the pattern of premiums for that plan; and

(2) Be computed by a method which is consistent with the principles of this Standard Valuation Law, as determined by rules promulgated by the director pursuant to chapter 1-26 .

Source: SL 1995, ch 284, § 39.
S.D. Codified Laws § 58-4-43 — SD Code / Title 58 / Chapter 4 / Section 58-4-43
Application of hazardous insurer provisions
Status: in_force

Sections 58-4-39 to 58-4-42 , inclusive, apply to all insurers or persons doing insurance business notwithstanding any provision which exempts them from the insurance laws of this title.

Source: SL 1992, ch 339, § 5.
S.D. Codified Laws § 58-35-24 — SD Code / Title 58 / Chapter 35 / Section 58-35-24
Minimum number of members
Status: in_force

The total membership of the insurer shall at all times be not less than the number of persons required by § 58-35-5 or 58-35-6 to incorporate such an insurer.

Source: SL 1966, ch 111, ch 17, § 15.
S.D. Codified Laws § 58-17H-43 — SD Code / Title 58 / Chapter 17H / Section 58-17H-43
Urgent care requests--Timely notification of determination
Status: in_force

For an urgent care request, unless the covered person or the covered person's authorized representative has failed to provide sufficient information for the health carrier to determine whether, or to what extent, the benefits requested are covered benefits or payable under the health carrier's health benefit plan, the health carrier shall notify the covered person or, if applicable, the covered person's authorized representative of the health carrier's determination with respect to the request, whether or not the determination is an adverse determination, as soon as possible, taking into account the medical condition of the covered person, but in no event later than twenty-four hours after the date of the receipt of the request by the health carrier. If the health carrier's determination is an adverse determination, the health carrier shall provide notice of the adverse determination in accordance with § 58-17H-48 .

Source: SL 2011, ch 219, § 68.
S.D. Codified Laws § 58-29D-23 — SD Code / Title 58 / Chapter 29D / Section 58-29D-23
Inspection of applicant's contracts
Status: in_force

The applicant shall make available for inspection by the director copies of all contracts with insurers or other persons utilizing the services of the administrator.

Source: SL 1992, ch 352, § 23.
S.D. Codified Laws § 58-43-20 — SD Code / Title 58 / Chapter 43 / Section 58-43-20
Hardship exemption--Hearing
Status: in_force

Upon written application of an insurer, the director may grant an exemption from compliance with this chapter if the director finds, upon review of the application, that compliance with this chapter would constitute a financial or organizational hardship upon the insurer. An exemption may be granted at any time and from time to time for any specified period. Within ten days from a denial of an insurer's written request for an exemption from this rule, the insurer may request in writing a hearing on its application for an exemption.

Source: SL 1992, ch 357, § 20.
S.D. Codified Laws § 58-25-16 — SD Code / Title 58 / Chapter 25 / Section 58-25-16
Countersignature by agent or abstracter of county required--Violation as misdemeanor
Status: in_force

No insurance company shall issue any policy of title insurance or certificate of title or other guarantee of title, covering any property located within the State of South Dakota, unless the same is countersigned by a person, partnership, or corporation, who has met the requirements of §§ 36-13-8 and 36-13-10 in the county in which the real property is located, or maintains an abstract plant in the county where the real property is located and meets the requirements of chapter 36-13 . A violation of this section is a Class 2 misdemeanor.

Source: SL 1966, ch 111, ch 14, § 4; SL 1978, ch 359, § 2; SL 1979, ch 345.
S.D. Codified Laws § 58-48-10 — SD Code / Title 58 / Chapter 48 / Section 58-48-10
Consumer disclosures--Digital disclosure receipts
Status: in_force

Disclosures must be provided to consumers by a participant before providing an innovative insurance product or service in clear and conspicuous form disclosing the following:

(1) The name and contact information of the participant;

(2) That the innovative insurance product or service is authorized pursuant to a waiver;

(3) That the participant does not have a license or other authorization to provide an insurance product or service under state laws that regulate insurance products or services outside a waiver, if applicable;

(4) That the innovative insurance product or service may not function as intended and may expose the consumer to financial risk;

(5) That the participant is not immune from civil liability for any losses or damages caused by the innovative insurance product or service;

(6) That the innovative insurance product or service is not covered by any guaranty association if the participant becomes unable to pay claims;

(7) That the state does not endorse or recommend the innovative insurance product or service;

(8) That the innovative insurance product or service is a temporary test that may be discontinued at the termination of the testing period;

(9) The expected termination date of the testing period; and

(10) That a consumer may contact the division to file a complaint regarding the innovative insurance product or service being tested and provide the division's telephone number and website address where a complaint may be filed.

The director may require additional disclosures for the protection of consumers. A digital receipt from a consumer acknowledging the disclosures is required if the disclosures are delivered through an internet or application-based platform.

Source: SL 2021, ch 214, § 10.
S.D. Codified Laws § 58-27-62 — SD Code / Title 58 / Chapter 27 / Section 58-27-62
Loan secured by own stock as collateral
Status: in_force

In addition to investments excluded pursuant to other provisions of this title, an insurer shall not invest in or lend its funds upon the security of any note or other evidence of indebtedness secured by its own stock as collateral or other than as authorized by §§ 58-27-31 , 58-27-36 , and 58-27-37 , either directly or indirectly, to any of its officers, directors, or affiliates, except that it may make loans of the type described in §§ 58-27-32 to 58-27-40 , inclusive, to corporate affiliates, provided that no such loan or loans to an affiliate or affiliates, so made or acquired, shall in the aggregate exceed forty percent of the surplus of the insurer, and no single loan shall exceed twenty percent of such surplus. The real estate involved in any such loan to an affiliate shall be worth at least double the amount loaned thereon, as justified by the appraisal report of an independent, competent, and recognized appraiser or appraisers. The investments authorized by this section may be made notwithstanding the provisions of §§ 47-1A-830 to 47-1A-833.1 , inclusive, to the contrary and without liability on the part of the officers and directors specified therein.

Source: SL 1966, ch 111, ch 6, § 34 (1) (c); SL 2005, ch 202, § 25.
S.D. Codified Laws § 58-43-13 — SD Code / Title 58 / Chapter 43 / Section 58-43-13
Application to file consolidated or combined financial statements--Worksheet--Contents
Status: in_force

An insurer may make written application to the director for approval to file audited consolidated or combined financial statements in lieu of separate annual audited financial statements if the insurer is part of a group of insurance companies which utilizes a pooling or one hundred percent reinsurance agreement that affects the solvency and integrity of the insurer's reserves and the insurer cedes all of its direct and assumed business to the pool. In such cases, a columnar consolidating or combining worksheet shall be filed with the report as follows:

(1) Amounts shown on the consolidated or combined audited financial report shall be shown on the worksheet;

(2) Amounts for each insurer subject to this section shall be stated separately;

(3) Noninsurance operations may be shown on the worksheet on a combined or individual basis;

(4) Explanations of consolidating and eliminating entries shall be included; and

(5) A reconciliation shall be included of any differences between the amounts shown in the individual insurer columns of the worksheet and comparable amounts shown on the annual statements of the insurers.

Source: SL 1992, ch 357, § 13.
S.D. Codified Laws § 58-15-6 — SD Code / Title 58 / Chapter 15 / Section 58-15-6
Standard provisions inapplicable to single premium or term policies
Status: in_force

Any provisions or portions of §§ 58-15-7 to 58-15-29 , inclusive, not applicable to single premium or term policies shall to that extent not be incorporated therein.

Source: SL 1966, ch 111, ch 23, § 3 (2).
S.D. Codified Laws § 58-14-7 — SD Code / Title 58 / Chapter 14 / Section 58-14-7
Credit for reinsurance allowed for domestic ceding insurer as asset or reduction
Status: in_force

Credit for reinsurance shall be allowed a domestic ceding insurer as either an asset or a reduction from liability on account of reinsurance ceded only when the reinsurer meets any one of the requirements of § 58-14-8 , 58-14-9 , 58-14-10 , 58-14-11 , 58-14-14 , or 58-14-16.1 . If meeting the requirements of § 58-14-10 or 58-14-11 , the requirements of § 58-14-15 shall also be met. Credit shall be allowed under § 58-14-8 , 58-14-9 , or 58-14-10 only as respects cessions of those kinds or classes of business which the assuming insurer is licensed or permitted to write or assume in its state of domicile or, in the case of a United States branch of an alien assuming insurer, in the state through which it is entered and licensed to transact insurance or reinsurance.

Source: SL 1992, ch 344, § 1; SL 2017, ch 211, § 1.
S.D. Codified Laws § 58-18-16 — SD Code / Title 58 / Chapter 18 / Section 58-18-16
Blanket health insurance for religious, charitable, recreational, educational, or civic organizations
Status: in_force

Blanket health insurance may be under a policy or contract issued in the name of any religious, charitable, recreational, educational, or civic organization, which shall be deemed the policyholder, covering participants in activities sponsored by the organization.

Source: SL 1966, ch 111, ch 26, § 4 (4).
S.D. Codified Laws § 58-19-34 — SD Code / Title 58 / Chapter 19 / Section 58-19-34
Promulgation of rules by director--Purpose and scope
Status: in_force

The director may promulgate rules pursuant to chapter 1-26 as deemed appropriate for the supervision of this chapter. The rules may cover any type of credit insurance including credit life, credit health, credit unemployment, and credit property insurance, including guaranteed automobile protection. The rules shall be designed to protect the insurance buying public from discriminatory rating and underwriting and claims practices, from being charged excessive rates, and from requirements to purchase credit insurance when purchasing goods and services. The rules may cover the following areas:

(1) Definition of terms;

(2) Filing requirements;

(3) The setting of loss ratios and prima facie rates;

(4) Underwriting criteria;

(5) Sales and marketing practices;

(6) Minimum benefit standards;

(7) Permissible exclusions;

(8) Claims practices; and

(9) Disclosure requirements.

Source: SL 1966, ch 111, ch 27, § 12; SL 1986, ch 22, § 31; SL 2001, ch 282, § 1.
S.D. Codified Laws § 58-17-5 — SD Code / Title 58 / Chapter 17 / Section 58-17-5
Identification of forms, riders and endorsements--Form number, location
Status: in_force

Each form for a policy of health insurance, including riders and endorsements, shall be identified by a form number in the lower left - hand corner of the first page thereof.

Source: SL 1966, ch 111, ch 25, § 2 (6).
S.D. Codified Laws § 58-24-38 — SD Code / Title 58 / Chapter 24 / Section 58-24-38
Suspension or revocation of license
Status: in_force

Any license issued pursuant to § 58-24-36 may be suspended or revoked by the director, after hearing upon notice, if the rating organization ceases to meet any requirement of this chapter, including the requirements of initial licensure.

Source: SL 1966, ch 111, ch 15, § 6 (1); SL 2014, ch 239, § 5.
S.D. Codified Laws § 58-18-36.1 — SD Code / Title 58 / Chapter 18 / Section 58-18-36.1
Policies required to cover occult breast cancer screening
Status: in_force

Each group health insurance policy that covers a female and that is delivered, issued for delivery, or renewed in this state, except for a policy that provides coverage for specified disease or other limited benefit coverage, shall provide coverage for screening for the presence of occult breast cancer.

The provisions of this section apply only to plans that are not grandfathered pursuant to 75 Fed. Reg. 116 (2010) to be codified at 26 C.F.R. §§ 54 and 602, 29 C.F.R. § 2590, and 45 C.F.R. § 147. (SL 2011, ch 216, § 19 provides: "The provisions of this Act are repealed if the Patient Protection and Affordable Care Act, Pub. L. No. 111-148, 124 Stat. 119 (2010), as amended by the Health Care and Education Reconciliation Act of 2010, Pub. L. No. 111-152, 124 Stat. 1029 (2010) is found to be unconstitutional in its entirety by a final decision of a federal court of competent jurisdiction and all appeals exhausted or time for appeals elapsed.")

Source: SL 2011, ch 216, § 15.
S.D. Codified Laws § 58-5A-70 — SD Code / Title 58 / Chapter 5A / Section 58-5A-70
Promulgation of rules by director
Status: in_force

The director may promulgate rules pursuant to chapter 1-26 covering requirements, standards, criteria, and limitations on acquisitions, mergers, and divestitures; notification of acquisitions or divestitures and the format for notification; competitive impact and the plans to remedy anticompetitive impact; the registration statement, information needed for compliance with the chapter, and material transactions; loans, extensions of credit; reinsurance agreements; extraordinary dividends; admittance or disallowance of assets and transactions of which the director needs notification; and standards and criteria for determining transactions which may adversely affect policyholders or the insurer.

Source: SL 1992, ch 341, § 37.
S.D. Codified Laws § 58-4-16 — SD Code / Title 58 / Chapter 4 / Section 58-4-16
Order of director--Effective date--Contents
Status: in_force

Every such order shall state its effective date and shall concisely state:

(1) Its intent or purpose;

(2) The grounds on which based; and

(3) The provisions of this title pursuant to which action is so taken or proposed to be taken, but failure to so designate a particular provision shall not deprive the director of the right to rely thereon.

Source: SL 1966, ch 111, ch 2, § 15 (2).
S.D. Codified Laws § 58-38-11.5 — SD Code / Title 58 / Chapter 38 / Section 58-38-11.5
Conversion privileges of insured's spouse upon divorce
Status: in_force

No accident or health insurance policy providing coverage of hospital or medical expense which in addition to covering the insured also provides coverage to the spouse of the insured shall be issued without a provision that provides that upon divorce of the insured and the insured's spouse, the spouse is entitled to have issued to him or her, without evidence of insurability, upon application to the company within thirty days following the eligibility, and upon payment of the appropriate premium, an individual policy of accident or health insurance. Such policy shall provide the coverage then being issued by the insurer which is most nearly similar to the existing coverages. This obligation can be met by continuation of coverage for spouse under existing policy at the appropriate premium. Any and all probationary or waiting periods set forth in such policy shall be considered as being met to the extent coverage was in force under the prior policy.

Source: SL 1980, ch 354.
S.D. Codified Laws § 58-11-70 — SD Code / Title 58 / Chapter 11 / Section 58-11-70
Correction of deficiencies
Status: in_force

A filer may resubmit a policy form that corrects any deficiencies or resubmit a disapproved policy form, and a revised certification, within thirty days of its receipt of the director's notice of deficiencies or disapproval. Any policy form not resubmitted within thirty days of the notice of deficiencies is deemed withdrawn. Any disapproved policy form not resubmitted within thirty days is disapproved.

Source: SL 2008, ch 261, § 7.
S.D. Codified Laws § 58-17E-26 — SD Code / Title 58 / Chapter 17E / Section 58-17E-26
Services to be provided in accordance with written agreement
Status: in_force

Any provider offering medical or ancillary services to members shall provide the services in accordance with a written agreement entered into directly by the provider or indirectly by a provider network to which the provider belongs.

Source: SL 2006, ch 257, § 26.
S.D. Codified Laws § 58-17K-10 — SD Code / Title 58 / Chapter 17K / Section 58-17K-10
Rules and regulations
Status: in_force

The director shall promulgate rules, pursuant to chapter 1-26 , for the following:

(1) The definition of terms;

(2) Required cost-sharing liability disclosures;

(3) The method and format requirements for disclosures;

(4) Calculations pertaining to information, disclosure, and historical net prices under this chapter;

(5) Required information, including bundled payment arrangements, preventive services, and accumulated amounts;

(6) The applicability of this chapter to certain plans; and

(7) If any federal standards are in place which would require additional steps to meet those standards beyond what is required by this chapter, additional rules to require the price transparency in this state to minimally meet the federal standards.

Source: SL 2021, ch 213, § 10.
S.D. Codified Laws § 58-11-40 — SD Code / Title 58 / Chapter 11 / Section 58-11-40
Application for life or health insurance as evidence--Annuity contract--Copy made a part of policy--Inapplicable to industrial life policy
Status: in_force

No application for the issuance of any life or health insurance policy or annuity contract shall be admissible in evidence in any action relative to such policy or contract, unless a true copy of the application was attached to or otherwise made a part of the policy or contract when issued. This provision shall not apply to industrial life insurance policies.

Source: SL 1966, ch 111, ch 22, § 11 (1).
S.D. Codified Laws § 58-30-132 — SD Code / Title 58 / Chapter 30 / Section 58-30-132
Acts of managing general agent--Examination by director--Costs
Status: in_force

The acts of the managing general agent are considered to be the acts of the insurer on whose behalf it is acting. A managing general agent is subject to examination by the director pursuant to chapter 58-3 . Unless otherwise set forth in the contract between the insurer and the managing general agent, the insurer shall pay the costs and expenses of the examination pursuant to § 58-3-15 .

Source: SL 1992, ch 353, § 9.
S.D. Codified Laws § 58-27-12 — SD Code / Title 58 / Chapter 27 / Section 58-27-12
Revenue bonds of states, provinces, and political subdivisions
Status: in_force

An insurer may invest in bonds, notes, or evidences of indebtedness of any state of the United States or province of Canada, or any political subdivision thereof or any agency or instrumentality of any of the foregoing, which are payable from revenues or earnings specifically pledged for the payment of the principal and interest on such obligations, and for the payment of which a lawful debt service fund or reserve fund has been established and is being maintained.

Source: SL 1966, ch 111, ch 6, § 9.
S.D. Codified Laws § 58-33-45 — SD Code / Title 58 / Chapter 33 / Section 58-33-45
Violation of desist order as misdemeanor
Status: in_force

A violation of a desist order authorized by this chapter is a Class 2 misdemeanor.

Source: SL 1966, ch 111, ch 13, § 4 (5); SL 1978, ch 359, § 2; SL 1990, ch 158, § 27.
S.D. Codified Laws § 58-17-1.2 — SD Code / Title 58 / Chapter 17 / Section 58-17-1.2
Policies to provide coverage for diabetes supplies, equipment and education--Exceptions--Conditions and limitations
Status: in_force

Every policy of health insurance delivered, issued for delivery, or renewed in this state, except for policies that provide coverage for specified disease or other limited benefit coverage, shall provide, in writing, coverage for equipment, supplies, and self - management training and education, including medical nutrition therapy, for treatment of persons diagnosed with diabetes if prescribed by a physician or other licensed health care provider legally authorized to prescribe such treatment. Medical nutrition therapy does not include any food items or nonprescription drugs.

Coverage for medically necessary equipment and supplies shall include blood glucose monitors, blood glucose monitors for the legally blind, test strips for glucose monitors, urine testing strips, insulin, injection aids, lancets, lancet devices, syringes, insulin pumps and all supplies for the pump, insulin infusion devices, prescribed oral agents for controlling blood sugars, glucose agents, glucagon kits, insulin measurement and administration aids for the visually impaired, and other medical devices for treatment of diabetes.

Diabetes self - management training and education shall be covered if: (a) the service is provided by a physician, nurse, dietitian, pharmacist, or other licensed health care provider who satisfies the current academic eligibility requirements of the National Certification Board for Diabetic Educators and has completed a course in diabetes education and training or has been certified as a diabetes educator; and (b) the training and education is based upon a diabetes program recognized by the American Diabetes Association or a diabetes program with a curriculum approved by the American Diabetes Association or the South Dakota Department of Health.

Coverage of diabetes self - management training is limited to (a) persons who are newly diagnosed with diabetes or have received no prior diabetes education; (b) persons who require a change in current therapy; (c) persons who have a co - morbid condition such as heart disease or renal failure; or (d) persons whose diabetes condition is unstable. Under these circumstances, no more than two comprehensive education programs per lifetime and up to eight follow - up visits per year need be covered. Coverage is limited to the closest available qualified education program that provides the necessary management training to accomplish the prescribed treatment.

The benefits provided in this section are subject to the same dollar limits, deductibles, coinsurance, and other restrictions established for all other benefits covered in the policy.

Source: SL 1999, ch 252, § 1.
S.D. Codified Laws § 58-30-130 — SD Code / Title 58 / Chapter 30 / Section 58-30-130
Restrictions on managing general agents
Status: in_force

A managing general agent may not:

(1) Bind reinsurance or retrocessions on behalf of the insurer, except that the managing general agent may bind facultative reinsurance contracts pursuant to obligatory facultative agreements if the contract with the insurer contains reinsurance underwriting guidelines including, for both reinsurance assumed and ceded, a list of reinsurers with which automatic agreements are in effect, the coverages and amounts or percentages that may be reinsured and commission schedules;

(2) Commit the insurer to participate in insurance or reinsurance syndicates;

(3) Appoint any insurance producer without assuring that the insurance producer is lawfully licensed to transact the type of insurance for which the insurance producer is appointed;

(4) Without prior approval of the insurer, pay or commit the insurer to pay a claim over a specified amount, net of reinsurance, which may not exceed one percent of the insurer's policyholder's surplus as of December thirty - first of the last completed calendar year;

(5) Collect any payment from a reinsurer or commit the insurer to any claim settlement with a reinsurer, without prior approval of the insurer. If prior approval is given, a report shall be promptly forwarded to the insurer;

(6) Permit its subagent to serve on the insurer's board of directors;

(7) Jointly employ an individual who is employed with the insurer; or

(8) Appoint a submanaging general agent.

Source: SL 1992, ch 353, § 7; SL 2001, ch 286, § 190.
S.D. Codified Laws § 58-6A-23 — SD Code / Title 58 / Chapter 6A / Section 58-6A-23
Enforcement of injunction against risk retention group in hazardous financial condition
Status: in_force

Any order issued by any district court of the United States enjoining a risk retention group from soliciting or selling insurance, or operating in any state or in all states or in any territory or possession of the United States upon a finding that such a group is in a hazardous financial condition is enforceable in the courts of this state.

Source: SL 1987, ch 372, § 23.
S.D. Codified Laws § 58-27-109 — SD Code / Title 58 / Chapter 27 / Section 58-27-109
Institution defined
Status: in_force

For purposes of this chapter, an institution is a corporation, a joint stock company, an association, a trust, a business partnership, a business joint venture, or a similar entity.

Source: SL 1994, ch 384, § 4.
S.D. Codified Laws § 58-26-63 — SD Code / Title 58 / Chapter 26 / Section 58-26-63
Tables to be approved by director
Status: in_force

The tables for group life insurance, life insurance issued on the substandard basis, and other special benefits shall be approved by the director.

Source: SL 1995, ch 284, § 19.
S.D. Codified Laws § 58-29E-7.1 — SD Code / Title 58 / Chapter 29E / Section 58-29E-7.1
Prohibition on publication or disclosure of information
Status: in_force

Except as provided in chapter 58-17K , and in accordance with the audit provisions in § 58-29E-7 , a third-party payor that has contracted with a licensed pharmacy benefit manager may not publish, or directly or indirectly disclose:

(1) Any information that reveals the identity of a specific third-party payor or manufacturer;

(2) Prices charged for a specific drug or class of drugs;

(3) The amount of any rebates provided for a specific drug or class of drugs; or

(4) Any information that has the potential to compromise the financial, competitive, or proprietary nature of the pharmacy benefit manager's business.

The information referenced in § 58-29E-7 is protected from disclosure as confidential and proprietary. The information is privileged and not open to public inspection or disclosure.

A third-party payor that has contracted with a licensed pharmacy benefit manager shall impose the confidentiality protections set forth in § 58-29E-7 on any vendor or third party that may receive or have access to the information.

Source: SL 2023, ch 166, § 8.
S.D. Codified Laws § 58-29B-52 — SD Code / Title 58 / Chapter 29B / Section 58-29B-52
Duties of claimant upon notice of liquidation
Status: in_force

Notice to any potential claimant under § 58-29B-51 requires such claimant to file with the liquidator his claims together with proper proofs thereof under §§ 58-29B-106 to 58-29B-110 , inclusive, on or before a date the liquidator shall specify in the notice. The liquidator need not require any person claiming cash surrender values or other investment values in life insurance and annuities to file a claim. All claimants shall keep the liquidator informed of any changes of address. If notice is given in accordance with § 58-29B-51 , the distribution of assets of the insurer under this chapter shall be conclusive with respect to all claimants, whether or not they received notice.

Source: SL 1989, ch 436, § 52.