S.D. Codified Laws § 58-34-38 — SD Code / Title 58 / Chapter 34 / Section 58-34-38
Assessments against subscribers--Authority for levy
Status: in_force

Assessments may be levied upon subscribers of a domestic reciprocal insurer liable therefor under the terms of their policies by the attorney upon approval by the subscribers' advisory committee and the director; or by the director in liquidation of the insurer.

Source: SL 1966, ch 111, ch 19, § 23 (1).
S.D. Codified Laws § 58-30-9 — SD Code / Title 58 / Chapter 30 / Section 58-30-9
Rights of insurance producer following termination of appointment
Status: in_force

Following termination of an agency appointment as to property, casualty, or surety insurance, and subject to the terms of any agreement between the insurance producer and the insurer, the insurance producer may continue to service and receive from the insurer commissions or other compensation relative to business written by him the insurance producer during the existence of the appointment, so long as the insurance producer is licensed as an insurance producer.

Source: SL 1966, ch 111, ch 9, § 22 (1); SL 2001, ch 286, § 160.
S.D. Codified Laws § 58-1-3 — SD Code / Title 58 / Chapter 1 / Section 58-1-3
Exemption from title of certain entities and transactions
Status: in_force

No provision of this title applies with respect to:

(1) Fraternal benefit societies, except as stated in chapter 58-37A ;

(2) Bail bondsmen, other than corporate sureties and their agents, except as stated in chapter 58-22 ;

(3) Motor vehicle service contracts or agreements to perform or indemnify for a specific duration the repair, replacement, or maintenance of motor vehicles for operational or structural failure due to a defect in materials, workmanship, or normal wear and tear, with or without additional provisions for incidental payment of indemnity under limited circumstances, including towing, rental, and emergency road service. Consideration for a motor vehicle service contract must be stated separately from the price of the motor vehicle. A motor vehicle service contract may also provide for:

(a) The repair or replacement of motor vehicle windshields, tires, or wheels that are damaged as a result of contact with road hazards;

(b) The removal of dents, dings, or creases on a motor vehicle that can be repaired using the process of paintless dent removal without affecting the existing paint finish and without replacing vehicle body panels, sanding, bonding, or painting;

(c) The replacement of a motor vehicle key or key-fob in the event that the key or key-fob becomes inoperable, lost, or stolen; or

(d) The use, repair, replacement, or maintenance of property; indemnification for repair, replacement, or maintenance, due to excess wear; and the use, damage, or excess mileage that result in a lease-end charge, or any other charge for damage that is deemed as excess wear and use by a lessor under a motor vehicle lease; provided any such payment does not exceed the purchase price of the vehicle;

(4) Service agreements or extended warranty plans for which the primary purpose is to provide service, repair, or replacement on consumer goods or products, or for indemnification for repair, replacement, or maintenance; for operational or structural failure due to a defect in materials or workmanship, normal wear and tear, power surge; or accidental damage from handling of a consumer good or product, including appliances, merchandise, or equipment, or mechanical/electrical systems in single or multiple-family dwellings. Incidental indemnity payments under such plans where service, repair, or replacement is not feasible or economical does not void this exemption;

(5) Vehicle theft protection product warranties that provide the warrantor is required to pay to or on behalf of the warranty holder, specified incidental costs as a result of the failure of the vehicle theft protection product to perform pursuant to the terms of the warranty;

(6) Any person, trust, or other entity proven to be under the exclusive regulatory authority of the federal government or another state agency;

(7) Any agreement to provide liability protection entered into pursuant to chapter 1-24 is exempt from the regulatory requirements of Title 58, except to forms of insurance coverage provided by an insurer otherwise subject to the insurance laws of this state;

(8) Any church plan, as defined in section 414(e) of the Internal Revenue Code of 1986, as amended through December 31, 1999, and section (3)(33)(C)(i) of the Employee Retirement Income Security Act of 1974 (29 U.S. C. § 1002(33)(C)(i)); or any church benefits board, as described in section 414(e)(3)(A) of the Internal Revenue Code of 1986, as amended through December 31, 1999, and section (3)(33)(C)(i) of the Employee Retirement Income Security Act of 1974 (29 U.S.C. § 1002(33)(C)(i));

(9) Any debt cancellation contract or debt suspension contract as defined by subdivisions 51A-1-2 (10) and 51A-1-2 (11) and §§ 54-4-73 and 54-4-74 ; or

(10) Any damage guarantee program for renters administered by a nonprofit corporation that is recognized as an exempt organization under § 501(c)(3) of the Internal Revenue Code and whose mission is to increase the availability of affordable housing to low and moderate income tenants.

Source: SL 1966, ch 111, ch 1, § 3; SL 1980, ch 348, § 2; SL 1983, ch 370, § 1; SL 1987, ch 75, § 4; SL 1998, ch 286, § 1; SL 2000, ch 232, § 1; SL 2000, ch 233, § 1; SL 2001, ch 263, § 3; SL 2004, ch 290, § 3; SL 2004, ch 296, § 1; SL 2006, ch 249, § 1; SL 2012, ch 235, § 5; SL 2022, ch 180, § 2.
S.D. Codified Laws § 58-18-10 — SD Code / Title 58 / Chapter 18 / Section 58-18-10
Additions to group originally insured
Status: in_force

Each such group health insurance policy shall contain in substance a provision that to the group originally insured may be added from time to time eligible new employees or members or dependents, as the case may be, in accordance with the terms of the policy.

Source: SL 1966, ch 111, ch 26, § 2 (3).
S.D. Codified Laws § 58-15-15.5 — SD Code / Title 58 / Chapter 15 / Section 58-15-15.5
Published monthly average defined
Status: in_force

For purposes of §§ 58-15-15.4 to 58-15-15.12 , inclusive, the "published monthly average" means Moody's corporate bond yield average--monthly average corporates, as published by Moody's investors service, incorporated, by yearly order of the director, or in the event that Moody's corporate bond yield average--monthly average corporates is no longer published, a substantially similar average, established by rule promulgated by the director.

Source: SL 1982, ch 358, § 2; SL 1986, ch 22, § 28.
S.D. Codified Laws § 58-14-16.29 — SD Code / Title 58 / Chapter 14 / Section 58-14-16.29
List of assuming insurers
Status: in_force

The director shall timely create and publish a list of assuming insurers that have satisfied the conditions set forth in §§ 58-14-16.23 to 58-14-16.34, inclusive, and to which cessions must be granted credit. The director may add an assuming insurer to the list if an NAIC-accredited jurisdiction has added the assuming insurer to its list of assuming insurers or if, upon initial eligibility, the assuming insurer submits the information to the director as required under § 58-14-16.25 , except to the extent that submissions conflict with an applicable covered agreement. If an NAIC-accredited jurisdiction has determined that the conditions set forth in §§ 58-14-16.24 to 58-14-16.27 , inclusive, have been met, the director has the discretion to defer to that jurisdiction's determination and add such assuming insurer to the list of assuming insurers. The director may accept financial documentation filed with another NAIC-accredited jurisdiction or with the NAIC in satisfaction of the requirements of §§ 58-14-16.24 to 58-14-16.27 , inclusive.

When requesting that the director defer to another NAIC-accredited jurisdiction's determination, an assuming insurer shall submit a properly executed form prescribed by the director and other additional information as the director may require. A state that has received such a request will notify other states through the NAIC and provide relevant information with respect to the determination of eligibility.

Source: SL 2021, ch 211, § 7.
S.D. Codified Laws § 58-18-39 — SD Code / Title 58 / Chapter 18 / Section 58-18-39
Provisions denying choice for pharmacy services as void
Status: in_force

Any provision in a health insurance policy offered in this state which violates the provisions in § 58-18-37 is void.

Source: SL 1990, ch 395, § 3.
S.D. Codified Laws § 58-32-18 — SD Code / Title 58 / Chapter 32 / Section 58-32-18
Export of insurance where coverage available from authorized insurer prohibited--Exception
Status: in_force

Insurance must not be exported pursuant to § 58-32-16 if there is coverage readily available from an authorized insurer, unless the authorized insurer quotes a premium or terms not competitive with the premium or terms quoted by an unauthorized insurer. If one portion of the risk is acceptable to an authorized insurer, but another portion of the same risk is not acceptable, the entire coverage may be placed with an eligible unauthorized insurer, if it can be shown that an eligible unauthorized insurer will accept the entire coverage but not the rejected portion alone.

Source: SL 1966, ch 111, ch 11, § 4 (3); SL 1987, ch 382.
S.D. Codified Laws § 58-18-7.14 — SD Code / Title 58 / Chapter 18 / Section 58-18-7.14
Notification of continuation and conversion rights
Status: in_force

A notification of the continuation and conversion rights shall be included in each certificate of coverage.

Source: SL 1984, ch 326, § 10.
S.D. Codified Laws § 58-3-15 — SD Code / Title 58 / Chapter 3 / Section 58-3-15
Expenses of examination paid by person examined
Status: in_force

Each person so examined, other than as to examinations pursuant to § 58-3-5 , shall pay the travel expenses, a reasonable living expense allowance, and a per diem as compensation of examiners, as necessarily incurred on account of the examination, all at reasonable rates customary therefor and as established or adopted by the director, upon presentation of a detailed account of charges and expenses. The account may be so presented periodically during the course of the examination or at the termination of the examination.

The division may retain at the insurer's expense, consultants, attorneys, actuaries, accountants, and other experts not otherwise a part of the director's staff as shall be reasonably necessary to assist in the conduct of the examination. Any person so retained shall be under the direction and control of the director and shall act in a purely advisory capacity. Each insurer producing records, books, and papers for examination pursuant to this chapter is liable for and shall pay the expense of the examination.

Source: SL 1966, ch 111, ch 2, § 19; SL 1977, ch 404, § 2; SL 1995, ch 273, § 1.
S.D. Codified Laws § 58-24-36 — SD Code / Title 58 / Chapter 24 / Section 58-24-36
Issuance of license--Finding by director--Time for granting or denying application
Status: in_force

If the director finds that the applicant is competent, trustworthy, and otherwise qualified to act as a rating organization and that the contents of its application conform to the requirements of law, the director shall issue a license specifying the kinds of insurance, or subdivisions or classes of risks or parts or combinations thereof for which the applicant is authorized to act as a rating organization. Each application shall be granted or denied in whole or in part by the director within sixty days of the date of its filing with the director.

Source: SL 1966, ch 111, ch 15, § 6 (1); SL 2014, ch 239, § 3.
S.D. Codified Laws § 58-19-47 — SD Code / Title 58 / Chapter 19 / Section 58-19-47
Group property insurance authorized by credit card subject to chapter
Status: in_force

Any group property insurance authorized by credit card is subject to the provisions of this chapter to the extent such provisions are not inconsistent with the specific provisions of §§ 58-19-48 to 58-19-50 , inclusive.

Source: SL 2001, ch 281, § 3.
S.D. Codified Laws § 58-20-37 — SD Code / Title 58 / Chapter 20 / Section 58-20-37
Deficiency of self-insurance associations made up by members
Status: in_force

If the assets of an association are at any time insufficient to enable the association to discharge its liabilities and obligations, the association's members shall make up the deficiency or the department may order the association to levy an assessment upon its members in an amount necessary to make up the deficiency.

Source: SL 1995, ch 282, § 13.
S.D. Codified Laws § 58-29B-5 — SD Code / Title 58 / Chapter 29B / Section 58-29B-5
Commencement of proceedings despite lack of notice to insurer
Status: in_force

Delinquency proceedings pursuant to this chapter may be commenced by the director at any time, regardless of whether notice to an insurer has been given concerning impairment of capital or assets as provided in § 58-5-114 .

Source: SL 1989, ch 436, § 5.
S.D. Codified Laws § 58-30-147 — SD Code / Title 58 / Chapter 30 / Section 58-30-147
Payment of examination fees required
Status: in_force

Each individual applying for an examination shall remit a fee as prescribed by the director as set forth in § 58-2-29 and pay any fees charged by the outside testing service.

Source: SL 2001, ch 286, § 7.
S.D. Codified Laws § 58-32-45 — SD Code / Title 58 / Chapter 32 / Section 58-32-45
Premium tax when only part of risk in state--Multi-state agreement--Apportionment
Status: in_force

For a surplus lines policy issued to an insured whose home state is this state and where only a portion of the risk is located in this state, the entire premium tax shall be paid to the director in accordance with § 58-32-44 . If the director finds it would increase the efficiency of the surplus lines insurance marketplace as well as the regulation of the surplus lines market, the director may enter into a multi-state surplus lines agreement for the eligibility for placement of surplus lines insurance and the payment, reporting, collection, and apportionment of surplus lines premium taxes. If a surplus line policy covers risks or exposures only partially in this state and the director has entered into agreement with other states for the apportionment of premium taxes for multi-state risks, the tax payable under § 58-32-44 shall be computed and paid upon the proportion of the premium which is properly allocable to the risks or exposures located in this state according to the terms of any such agreement. The multi-state agreement may also include the eligibility for placement of surplus lines insurance and the payment, reporting, collection, and apportionment of surplus lines premium taxes for risks that are not multi-state and for independently procured surplus lines pursuant to §§ 58-32-47 to 58-32-55 , inclusive.

Source: SL 1966, ch 111, ch 11, § 18 (2); SL 2011, ch 223, § 5.
S.D. Codified Laws § 58-43-16.24 — SD Code / Title 58 / Chapter 43 / Section 58-43-16.24
Applicability of §§58-43-16.13to58-43-16.19
Status: in_force

The requirements of §§ 58-43-16.13 to 58-43-16.19 , inclusive, are effective beginning with the reporting period ending December 31, 2010, and each year thereafter. An insurer or group of insurers that is not required to file a report because the total written premium is below the threshold and subsequently becomes subject to the reporting requirements shall have two years following the year the threshold is exceeded (but not earlier than December 31, 2010) to file a report. An insurer acquired in a business combination shall have two calendar years following the date of acquisition or combination to comply with the reporting requirements.

Source: SL 2009, ch 271, § 39.
S.D. Codified Laws § 58-15-27 — SD Code / Title 58 / Chapter 15 / Section 58-15-27
Beneficiary to be designated in industrial life policy--Change of beneficiary--Endorsement on policy
Status: in_force

An industrial life insurance policy shall have the name of the beneficiary designated thereon with a reservation of the right to change the beneficiary after the issuance of the policy. The policy may also provide that no designation or change of beneficiary shall be binding on the insurer until endorsed on the policy by the insurer, and that the insurer may refuse to endorse the name of any proposed beneficiary who does not appear to the insurer to have an insurable interest in the life of the insured.

Source: SL 1966, ch 111, ch 23, § 15.
S.D. Codified Laws § 58-17H-24 — SD Code / Title 58 / Chapter 17H / Section 58-17H-24
Health carrier to provide free access to review staff
Status: in_force

Each health carrier shall provide covered persons and participating providers with access to its review staff by a toll-free number or collect call telephone line.

Source: SL 2011, ch 219, § 49.
S.D. Codified Laws § 58-29B-100 — SD Code / Title 58 / Chapter 29B / Section 58-29B-100
Amounts for disbursements to associations
Status: in_force

The liquidator's proposal shall provide for disbursements to the associations in amounts estimated at least equal to the claim payments made or to be made thereby for which such associations could assert a claim against the liquidator, and shall further provide that if the assets available for disbursement from time to time do not equal or exceed the amount of such claim payments made, or to be made, by the association then disbursements shall be in the amount of available assets.

Source: SL 1989, ch 436, § 100.
S.D. Codified Laws § 58-29E-17 — SD Code / Title 58 / Chapter 29E / Section 58-29E-17
Placement on a maximum allowable cost list--Requirements--Promulgation of rules
Status: in_force

Prior to placing a prescription drug on a maximum allowable cost list, a pharmacy benefit manager shall ensure that the prescription drug is:

(1) Listed as therapeutically and pharmaceutically equivalent in the latest edition of, or any supplement to, the Food and Drug Administration's publication entitled Approved Drug Products with Therapeutic Equivalence Evaluations, as adopted by the State Board of Pharmacy, in rules promulgated pursuant to chapter 1-26 ;

(2) Not obsolete or temporarily unavailable; and

(3) Available for purchase, without limitation, by every pharmacy in this state, from a national or regional wholesale distributor licensed in this state.

Source: SL 2023, ch 166, § 15.
S.D. Codified Laws § 58-17K-4 — SD Code / Title 58 / Chapter 17K / Section 58-17K-4
Cost-sharing information disclosed--Paper or other method on request--Limit on providers per request
Status: in_force

An enrollee may request, in accordance with § 58-17K-3 , the required cost-sharing information be provided in a paper form. In responding to such a request, a health insurer may limit the number of providers to no fewer than twenty providers per request. A health insurer shall disclose the applicable provider-per-request limit to the enrollee, provide the cost-sharing information in paper form, and mail the cost-sharing information no later than two business days after receiving a request without a subscription or other fee.

An enrollee may request to receive cost-sharing information through other methods, including phone or e-mail, as long as the enrollee agrees to the disclosure method and the required cost-sharing information request is fulfilled at least as rapidly as required by the paper method.

Source: SL 2021, ch 213, § 4.
S.D. Codified Laws § 58-33A-25 — SD Code / Title 58 / Chapter 33A / Section 58-33A-25
Compliance with comparable standards by financial professional
Status: in_force

Recommendations and sales of annuities made in compliance with comparable standards shall satisfy the requirements of §§ 58-33A-13 to 58-33-27 , inclusive. This section applies to all recommendations and sales of annuities made by financial professionals in compliance with business rules, controls, and procedures that satisfy a comparable standard even if such standard would not otherwise apply to the product or recommendation at issue. For this section to apply, an insurer shall:

(1) Monitor the relevant conduct of the financial professional seeking to rely on this section or the entity responsible for supervising the financial professional, such as the financial professional’s broker-dealer or an investment adviser registered under federal or state securities laws using information collected in the normal course of an insurer's business; and

(2) Provide to the entity responsible for supervising the financial professional seeking to rely on this section, such as the financial professional’s broker-dealer or investment adviser registered under federal or state securities laws, information and reports that are reasonably appropriate to assist the entity to maintain its supervision system.

Nothing in this section shall limit the director’s ability to investigate and enforce the provisions of §§ 58-33A-13 to 58-33A-27 , inclusive, or limit the insurer’s obligation to comply with § 58-33A-20 (4), although the insurer may base its analysis on information received from either the financial professional or the entity supervising the financial professional.

Source: SL 2008, ch 273, § 13; SL 2012, ch 250, § 10; SL 2022, ch 186, § 24, eff. Jan. 1, 2023.
S.D. Codified Laws § 58-11-55.1 — SD Code / Title 58 / Chapter 11 / Section 58-11-55.1
Use of age or occupation in determining issuance or renewal of policies
Status: in_force

An insurer may use age in determining whether to issue or renew life, health, or annuity policies. An insurer may use occupation in determining whether to issue or renew a life or disability policy.

Source: SL 1997, ch 287, § 2.
S.D. Codified Laws § 58-14-25 — SD Code / Title 58 / Chapter 14 / Section 58-14-25
Persons not agents
Status: in_force

The following persons are not agents:

(1) Any employee of the reinsurer;

(2) Any United States manager of the United States branch of an alien reinsurer;

(3) Any underwriting manager who, pursuant to contract, manages all the reinsurance operations of the reinsurer, is under common control with the reinsurer, subject to chapter 58-5A , and whose compensation is not based on the volume of premiums written;

(4) Any manager of a group, association, pool, or organization of insurers which engage in joint underwriting or joint reinsurance and who is subject to examination by the director or commissioner of the state in which the manager's principal business office is located.

Source: SL 1992, ch 345, § 2.
S.D. Codified Laws § 58-46-14 — SD Code / Title 58 / Chapter 46 / Section 58-46-14
Acquisitions, mergers and consolidation procedures
Status: in_force

The provisions of chapters 58-5 and 58-5A pertaining to acquisitions, mergers, and consolidations apply in determining the procedures to be followed by captive insurance companies in carrying out any of the transactions described by those chapters. However, the director may waive or modify the requirements for public notice and hearing in accordance with rules which the director may adopt pursuant to chapter 1-26 , addressing categories of transactions. If a notice of public hearing is required and no one requests a hearing, the director may cancel the hearing.

Source: SL 1996, ch 287, § 14.
S.D. Codified Laws § 58-33-13.2 — SD Code / Title 58 / Chapter 33 / Section 58-33-13.2
Definition of sex or marital status discrimination terms
Status: in_force

When used in this section and § 58-33-13.1 :

(1) "Contract" means any insurance policy, plan, or binder, including any rider or endorsement thereto offered by an insurer;

(2) "Insurer" means any insurance company, association, reciprocal or inter - insurance exchange, nonprofit hospital plan, nonprofit professional health service plan, health maintenance organization, fraternal benefit society, or beneficial association.

Source: SL 1979, ch 341, §§ 17, 18.
S.D. Codified Laws § 58-41-52 — SD Code / Title 58 / Chapter 41 / Section 58-41-52
Contracts with providers of health care services
Status: in_force

A health maintenance organization may contract with providers of health care services to render the services the health maintenance organization has promised to provide under the terms of its health maintenance contracts.

Source: SL 1974, ch 321, § 13.
S.D. Codified Laws § 58-14-11.1 — SD Code / Title 58 / Chapter 14 / Section 58-14-11.1
Trust fund requirements for single assuming insurer
Status: in_force

The trust fund in § 58-14-11 for a single assuming insurer shall consist of funds in trust in an amount not less than the assuming insurer's liabilities attributable to reinsurance ceded by United States ceding insurers, and, in addition, the assuming insurer shall maintain a trusteed surplus of not less than twenty million dollars, except as provided in this section.

At any time after a single assuming insurer has permanently discontinued underwriting new business secured by the trust for at least three years, the director with principal regulatory oversight of the trust may authorize a reduction in the required trusteed surplus, but only after a finding, based on an assessment of the risk, that the new required surplus level is adequate for the protection of United States ceding insurers, policyholders, and claimants in light of reasonably foreseeable adverse loss development. The risk assessment may involve an actuarial review, including an independent analysis of reserves and cash flows, and shall consider all material risk factors, including when applicable the lines of business involved, the stability of the incurred loss estimates, and the effect of the surplus requirements on the assuming insurer's liquidity or solvency. The minimum required trusteed surplus may not be reduced to an amount less than thirty percent of the assuming insurer's liabilities attributable to reinsurance ceded by the United States ceding insurers covered by the trust.

Source: SL 2017, ch 211, § 4.
S.D. Codified Laws § 58-19-9 — SD Code / Title 58 / Chapter 19 / Section 58-19-9
Term of insurance--Commencement
Status: in_force

The term of any credit life insurance or credit health insurance shall, subject to acceptance by the insurer, commence on the date when the debtor becomes obligated to the creditor, except that, where a group policy provides coverage with respect to existing obligations, the insurance on a debtor with respect to such indebtedness shall commence on the effective date of the policy.

Source: SL 1966, ch 111, ch 27, § 5.
S.D. Codified Laws § 58-23-5 — SD Code / Title 58 / Chapter 23 / Section 58-23-5
Effective date of vehicle coverage provisions
Status: in_force

The provisions of § 58-23-4 shall apply only to policies and renewals having effective commencement dates subsequent to July 1, 1970.

Any policy provisions used by automobile insurance companies in this state, subsequent to July 1, 1970, at variance with § 58-23-4 , shall be interpreted as to comply with the provisions of said section.

Source: SL 1970, ch 275, § 2.
S.D. Codified Laws § 58-14-16.25 — SD Code / Title 58 / Chapter 14 / Section 58-14-16.25
Credit for reinsurance for reinsurers in reciprocal jurisdictions--Adequate assurances required
Status: in_force

An assuming insurer under § 58-14-16.23 shall agree in writing to provide adequate assurance to the director, in a form prescribed by the director, as follows:

(1) The assuming insurer shall provide prompt written notice and explanation to the director if the assuming insurer falls below the minimum requirements set forth in § 58-14-16.24 , or if any regulatory action is taken against the assuming insurer for serious noncompliance with applicable law;

(2) The assuming insurer shall consent in writing to the jurisdiction of the courts of this state and to the appointment of the director as agent for service of process. The director may require that consent for service of process be provided to the director and included in each reinsurance agreement. Nothing in this subdivision limits or alters the capacity of parties to a reinsurance agreement to agree to alternative dispute resolution mechanisms, except to the extent such agreements are unenforceable under applicable insolvency or delinquency laws;

(3) The assuming insurer shall consent in writing to pay all final judgments wherever enforcement is sought as obtained by a ceding insurer or its legal successor that have been declared enforceable in the jurisdiction where the judgment was obtained;

(4) Each reinsurance agreement must include a provision requiring the assuming insurer to provide security in an amount equal to one hundred percent of the assuming insurer's liabilities attributable to reinsurance ceded pursuant to that agreement if the assuming insurer resists enforcement of a final judgment that is enforceable under the law of the jurisdiction in which it was obtained or a properly enforceable arbitration award, whether obtained by the ceding insurer or by its legal successor on behalf of its resolution estate;

(5) The assuming insurer shall confirm that it is not presently participating in any solvent scheme of arrangement that involves this state's ceding insurers and shall agree to notify the ceding insurer and the director and to provide security in an amount equal to one hundred percent of the assuming insurer's liabilities to the ceding insurer if the assuming insurer enters into such a solvent scheme of arrangement. Such security shall be in a form consistent with the provisions of this chapter. For purposes of this section, the term, solvent scheme of arrangement, means a foreign or alien statutory or regulatory compromise procedure subject to requisite majority creditor approval and judicial sanction in the assuming insurer's home jurisdiction either to finally commute liabilities of duly noticed classed members or creditors of a solvent debtor, or to reorganize or restructure the debts and obligations of a solvent debtor on a final basis, and which may be subject to judicial recognition and enforcement of the arrangement by a governing authority outside the ceding insurer's home jurisdiction; and

(6) An assuming insurer's supervisory authority shall confirm to the director on an annual basis, as of the preceding December thirty-first or at the annual date otherwise statutorily reported to the reciprocal jurisdiction, that the assuming insurer complies with the requirements of § 58-14-16.24 .

Nothing in this section precludes an assuming insurer from providing the director with information on a voluntary basis.

Source: SL 2021, ch 211, § 3.
S.D. Codified Laws § 58-40-31 — SD Code / Title 58 / Chapter 40 / Section 58-40-31
Purchasing organizations exempt from antitrust provisions
Status: in_force

Any organization formed pursuant to §§ 58-40-22 to 58-40-32 , inclusive, is exempt from the antitrust provisions under chapter 37-1 .

Source: SL 1994, ch 382, § 10.
S.D. Codified Laws § 58-3-3.4 — SD Code / Title 58 / Chapter 3 / Section 58-3-3.4
Application of examination fund to farm mutual insurers and captive insurance companies
Status: in_force

The provisions of §§ 58-3-3.1 to 58-3-3.3 , inclusive, 58-3-7.4 , and 58-3-11 do not apply to farm mutual insurers subject to chapter 58-35 and captive insurance companies subject to chapter 58-46 unless the farm mutual or captive insurance company wrote premiums in excess of one million dollars in the prior calendar year.

Source: SL 1997, ch 283, § 6; SL 2004, ch 297, § 1; SL 2013, ch 257, § 29.
S.D. Codified Laws § 58-29D-16 — SD Code / Title 58 / Chapter 29D / Section 58-29D-16
Provisions in written agreement as to withdrawals from fiduciary account
Status: in_force

The administrator may not pay any claim by withdrawals from a fiduciary account in which premiums or charges are deposited. Withdrawals from such account shall be made as provided in the written agreement between the administrator and the insurer. The written agreement shall address the following:

(1) Remittance to an insurer entitled to remittance;

(2) Deposit in an account maintained in the name of the insurer;

(3) Transfer to and deposit in a claims - paying account;

(4) Payment to a group policyholder for remittance to the insurer entitled to such remittance;

(5) Payment to the administrator of its commissions, fees or charges; or

(6) Remittance of return premium to the person or persons entitled to such return premium.

Source: SL 1992, ch 352, § 16; SL 2021, ch 210, § 19.
S.D. Codified Laws § 58-17-168 — SD Code / Title 58 / Chapter 17 / Section 58-17-168
Coverage for health care services provided through telehealth
Status: in_force

No health insurer may exclude a service for coverage solely because the service is provided through telehealth and not provided through in-person consultation or contact between a health care professional and a patient. Health care services delivered by telehealth must be appropriate and delivered in accordance with applicable law and generally accepted health care practices and standards prevailing at the time the health care services are provided, including rules adopted by the appropriate professional licensing board having oversight of the health care professional providing the health care services. Health insurers are not required to provide coverage for health care services that are not medically necessary.

This section does not:

(1) Prohibit a health insurer from establishing criteria that a health care professional must meet to demonstrate the safety and efficacy of delivering a particular health care service via telehealth that the health insurer does not already reimburse other health care professionals for delivering via telehealth so long as the criteria are not unduly burdensome or unreasonable for the particular services;

(2) Prevent a health insurer from requiring a health care professional to agree to certain documentation or billing practices designed to protect the health insurer or patients from fraudulent claims so long as the practices are not unduly burdensome or unreasonable for the particular services; or

(3) Prevent a health insurer from including a deductible, copayment, or coinsurance requirement for a health care service provided via telehealth, if the deductible, copayment, or coinsurance is not in addition to and does not exceed the deductible, copayment, or coinsurance applicable if the same services were provided through in-person contact.

Source: SL 2019, ch 211, § 2.
S.D. Codified Laws § 58-33A-16.7 — SD Code / Title 58 / Chapter 33A / Section 58-33A-16.7
Disclosure of producer conflicts of interest required--Certain factors excluded
Status: in_force

A producer shall identify and avoid or reasonably manage and disclose material conflicts of interest, including material conflicts of interest related to an ownership interest. The following factors, when considered in isolation, are not material conflicts of interest:

(1) The producer has a minority ownership in an insurer or licensed business entity;

(2) The producer has a majority ownership in a licensed business entity, if the ownership is conspicuously disclosed to the consumer; or

(3) An immediate family member is employed by a licensed business entity.

Source: SL 2022, ch 186, § 14, eff. Jan. 1, 2023; SL 2023, ch 168, § 4.
S.D. Codified Laws § 58-26-86 — SD Code / Title 58 / Chapter 26 / Section 58-26-86
Actuarial opinion summary to be filed with property, casualty, and health insurers' annual statement
Status: in_force

Each property and casualty and health insurer domiciled in this state shall file with the insurer's annual statement an actuarial opinion summary written by the company's appointed actuary which complies with the National Association of Insurance Commissioners annual statement instructions: property and casualty, title, life/accident/health, health maintenance organizations, and hospital medical and dental service or indemnity corporations as adopted by rules promulgated by the director pursuant to chapter 1-26 .

A company licensed, but not domiciled in this state, shall provide the actuarial opinion summary upon request.

Source: SL 2009, ch 271, § 41.
S.D. Codified Laws § 58-14-37 — SD Code / Title 58 / Chapter 14 / Section 58-14-37
Examination of agent or broker--Cost
Status: in_force

Any person doing business as an agent or broker under §§ 58-14-24 to 58-14-42 , inclusive, is subject to examination by the director. The director shall have access to all books, bank accounts and records of the person in a form usable to the director. Any person contracting with a reinsurer may be examined as if it were the reinsurer. The reinsurer may be required to pay the cost of examination pursuant to § 58-3-15 .

Source: SL 1992, ch 345, § 14.
S.D. Codified Laws § 58-33-47 — SD Code / Title 58 / Chapter 33 / Section 58-33-47
Process against unauthorized insurers for false advertising--Purpose of provisions
Status: in_force

The purpose of §§ 58-33-47 to 58-33-57 , inclusive, is to subject to the jurisdiction of the director and to the jurisdiction of the courts of this state insurers not authorized to transact business in this state which place in or send into this state any false advertising designed to induce residents of this state to purchase insurance from insurers not authorized to transact business in this state. The Legislature declares it is in the interest of the citizens of this state who purchase insurance from insurers which solicit insurance business in this state by false advertising that such insurers be subject to the provisions of §§ 58-33-47 to 58-33-57 , inclusive. In furtherance of such state interest, the Legislature herein provides a method of substituted service of process upon such insurers and declares that in so doing, it exercises its power to protect its residents and also exercises powers and privileges available to the state by virtue of Public Law 15, 79th Congress of the United States, Chapter 20, 1st Session, S. 340, which declares that the business of insurance and every person engaged therein shall be subject to the laws of the several states; the authority provided herein to be in addition to any existing powers of this state.

Source: SL 1966, ch 111, ch 13, § 26 (1).
S.D. Codified Laws § 58-18-41 — SD Code / Title 58 / Chapter 18 / Section 58-18-41
Coverage for phenylketonuria
Status: in_force

Every group health insurance policy 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 offer coverage for testing, diagnosis and treatment of phenylketonuria including dietary management, formulas, case management, intake and screening, assessment, comprehensive care planning and service referral.

Source: SL 1992, ch 348, § 3.
S.D. Codified Laws § 58-32-51 — SD Code / Title 58 / Chapter 32 / Section 58-32-51
Interest on delinquent tax on independently procured coverages
Status: in_force

The tax imposed under § 58-32-50 , if delinquent, shall bear interest at the Category D rate of interest as established in § 54-3-16 , compounded annually.

Source: SL 1966, ch 111, ch 11, § 22 (4); SL 1983, ch 28, § 67; SL 1984, ch 319, § 33.
S.D. Codified Laws § 58-40-39 — SD Code / Title 58 / Chapter 40 / Section 58-40-39
Policies to provide coverage for diabetes supplies, equipment, and education--Exceptions--Conditions and limitations
Status: in_force

Every service or indemnity - type contract issued by a nonprofit hospital service plan corporation 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 contract.

Source: SL 1999, ch 252, § 9.
S.D. Codified Laws § 58-9-30 — SD Code / Title 58 / Chapter 9 / Section 58-9-30
Surety insurance including workers' compensation insurance
Status: in_force

"Surety insurance" includes insurance or guaranty of the obligations of employers under workers' compensation laws.

Source: SL 1966, ch 111, ch 4, § 7 (2).
S.D. Codified Laws § 58-22-14 — SD Code / Title 58 / Chapter 22 / Section 58-22-14
Application for license or renewal--Investigation of applicant's fitness--Criminal background check
Status: in_force

The applicant for any license under this chapter shall apply in writing, on forms prepared and supplied by the director, and the director may propound any reasonable interrogatories to an applicant for a license under this chapter or on any renewal thereof, relating to the applicant's qualifications, residence, prospective place of business, and any other matters which, in the opinion of the director, are deemed necessary or expedient in order to protect the public and ascertain the qualifications of the applicant. The director may also conduct any reasonable inquiry or investigation the director sees fit, relative to the determination of the applicant's fitness to be licensed or to continue to be licensed. The applicant shall provide any necessary authorization requested by the director to facilitate an inquiry or investigation.

As part of any application to obtain licensure as a bail bondsperson or runner under this chapter, each applicant shall submit to a state and federal criminal background investigation by means of fingerprint checks by the Division of Criminal Investigation and the Federal Bureau of Investigation. Upon application, the director shall submit completed fingerprint cards to the Division of Criminal Investigation for purposes of conducting both the state and federal criminal background investigation. Upon completion of the criminal background investigation the Division of Criminal Investigation shall forward to the director all information obtained as a result of the criminal background investigation. The applicant is responsible for any costs associated with background investigations as charged by the appropriate agency conducting and furnishing any background investigations. Failure to submit or cooperate with any criminal background investigation is grounds for denial of an application for licensure under this chapter.

Source: SL 1966, ch 111, ch 31, § 5; SL 1998, ch 296, § 10; SL 2016, ch 233, § 4.
S.D. Codified Laws § 58-5-64 — SD Code / Title 58 / Chapter 5 / Section 58-5-64
Stock ownership not a prohibited pecuniary interest
Status: in_force

Any of the persons referred to in §§ 58-5-61 to 58-5-63 , inclusive, shall not be deemed pecuniarily interested in any transaction with another corporation in which such person has no pecuniary interest other than ownership of stock or other securities issued by such corporation and representing a relatively trivial interest therein.

Source: SL 1966, ch 111, ch 16, § 22 (4).
S.D. Codified Laws § 58-17K-9 — SD Code / Title 58 / Chapter 17K / Section 58-17K-9
Applicability to certain plans
Status: in_force

Nothing in this chapter applies to:

(1) A grandfathered health plan;

(2) A health reimbursement arrangement or other account-based group health plan as defined in 29 CFR 2590.715-2711(d)(6) as of January 1, 2020;

(3) A short term limited duration plan;

(4) Accident insurance;

(5) Credit insurance;

(6) Disability income insurance;

(7) Specified disease insurance;

(8) Dental insurance;

(9) Vision insurance;

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

(11) A medical payment under automobile or homeowner's insurance;

(12) Insurance under which benefits are payable with or without regard to fault and that is statutorily required to be contained in any liability policy or equivalent self-insurance;

(13) Hospital income or indemnity insurance;

(14) Long-term care insurance; and

(15) Medicare supplement insurance.

Source: SL 2021, ch 213, § 9.
S.D. Codified Laws § 58-11-26 — SD Code / Title 58 / Chapter 11 / Section 58-11-26
Underwriters' policy--Joint and several liability--True name of insurer
Status: in_force

Two or more authorized insurers may, with the director's approval, jointly issue, and shall be jointly and severally liable on, an underwriters' policy bearing their names. Any one insurer may issue policies in the name of an underwriter's department and such policy shall plainly show the true name of the insurer.

Source: SL 1966, ch 111, ch 22, § 21 (1).
S.D. Codified Laws § 58-33-66 — SD Code / Title 58 / Chapter 33 / Section 58-33-66
Unfair or deceptive insurance practices
Status: in_force

Unfair or deceptive acts or practices in the business of insurance include the following:

(1) Failing to respond to an inquiry from or failing to supply documents requested by the Division of Insurance within twenty days of receipt of such inquiry or request;

(2) Knowingly supplying the Division of Insurance with false, misleading, or incomplete information.

Source: SL 1986, ch 422, § 1; SL 1989, ch 439, § 2.
S.D. Codified Laws § 58-29A-94 — SD Code / Title 58 / Chapter 29A / Section 58-29A-94
Duplicate coverage by insolvent insurers--Factors governing primary recovery
Status: in_force

Any person having a claim which may be recovered under more than one insurance guaranty association or its equivalent shall seek recovery first from the association of the place of residence of the insured except that if it is a first - party claim for damage to property with a permanent location, the person shall seek recovery first from the association of the location of the property, and if it is a workers' compensation claim, the person shall seek recovery first from the association of the residence of the claimant. Any recovery under this chapter shall be reduced by the amount of recovery from any other insurance guaranty association or its equivalent.

Source: SL 2000, ch 247, § 41.
S.D. Codified Laws § 58-29B-88 — SD Code / Title 58 / Chapter 29B / Section 58-29B-88
Liquidator's report to court--Time limit--Content
Status: in_force

As soon as practicable, but not more than two years from the date of an order of liquidation under §§ 58-29B-41 to 58-29B-45 , inclusive, of an insurer issuing assessable policies, the liquidator shall make a report to the court setting forth:

(1) The reasonable value of the assets of the insurer;

(2) The insurer's probable total liabilities;

(3) The probable aggregate amount of the assessment necessary to pay all claims of creditors and expenses in full, including expenses of administration and costs of collecting the assessment; and

(4) A recommendation as to whether or not an assessment should be made and in what amount.

Source: SL 1989, ch 436, § 88.
S.D. Codified Laws § 58-18B-55 — SD Code / Title 58 / Chapter 18B / Section 58-18B-55
Supplemental or short term individual health benefit plans exempt from provisions of chapter--Conditions
Status: in_force

Any policy or certificate of specified disease, short - term hospital - surgical care of six months or less duration, hospital confinement indemnity, limited benefit health insurance, or other policy or certificate that provide benefits less than that of a major medical plan that is offered to a small employer in this state is exempt from the provisions of this chapter only if the carrier offering the policy or certificate at the time of filing for policy form approval, submits a statement certifying that policies or certificates described in this section are being offered and marketed as supplemental health insurance or as individual health benefit plans of six - month duration or less and not renewable, and not as a substitute for hospital or medical expense insurance or major medical insurance. For policy forms approved prior to July 1, 1998, the carrier shall submit such a statement with the director.

For purposes of this section a major medical policy is any policy which provides benefits which are actuarially equivalent to or exceed the basic plan as was approved and adopted by rule by the director pursuant to chapter 1-26 . Policies which are not certified pursuant to this section and which are not major medical policies may not be used as a substitute for major medical policies and must provide for adequate disclosure of the scope of the benefits contained therein.

Source: SL 1998, ch 289, § 21; SL 2001, ch 279, § 8.
S.D. Codified Laws § 58-17-150 — SD Code / Title 58 / Chapter 17 / Section 58-17-150
Retrospective payment of clean claims for covered services provided by health care professional during credentialing period--Requirements
Status: in_force

A health insurer shall make retrospective payment for all clean claims submitted by a health care professional after the credentialing period for covered services provided by the health care professional during the credentialing period subject to all of the following:

(1) The credentialing period begins on the application date and ends on the date that the health insurer or other entity responsible for credentialing health care professionals on behalf of the health insurer has made a final determination approving the health care professional's application to be credentialed and notice has been sent;

(2) The health insurer or other entity responsible for credentialing health care professionals on behalf of the health insurer shall, electronically or in writing, notify an applicant of its determination regarding a properly completed application for credentialing within ninety days of receipt of an application containing all information required by the health insurer's credentialing form:

(a) If an incomplete application is received, the health insurer or other entity responsible for credentialing of health care professionals on behalf of the insurer shall notify the health care professional of the incomplete application as soon as possible, but no more than thirty days after receipt of the application. The notification shall itemize all documentation or other information that the insurer or entity must receive to complete the application. The health insurer or other entity responsible for credentialing of health care professionals on behalf of the insurer may request additional information if the information provided by the health care professional to the insurer or other entity responsible for credentialing of health care professionals on behalf of the insurer pursuant to this subsection is inaccurate, incomplete, or unclear;

(b) A health insurer or other entity responsible for credentialing of health care professionals may take additional time beyond the ninety days if a special review is required;

(3) The health care professional may not submit any claim to the health insurer during the credentialing period;

(4) A health insurer may not be required to pay any claim submitted by a health care professional during the credentialing period;

(5) The health insurer's time period for timely submission of claims may not begin until the credentialing period has ended. The health insurer's rules pertaining to timely submission may not be used to deny payment of any clean claim for medical services provided by a health care professional during the credentialing period, so long as the health care professional submits all such claims within the time period required by the health insurer's rules beginning on the date the health care professional receives notice that the healthcare professional is credentialed;

(6) Unless otherwise prohibited by law, after the health care professional is credentialed, the health care professional shall submit all claims to the health insurer for covered services provided by the health care professional during the credentialing period;

(7) After the health care professional is credentialed, a health insurer shall pay or deny all clean claims submitted by the health care professional for covered services provided by the health care professional during the credentialing period.

Source: SL 2014, ch 236, § 2.
S.D. Codified Laws § 58-18B-20 — SD Code / Title 58 / Chapter 18B / Section 58-18B-20
Small employer carrier to issue plan to any small employer--Criteria--Exceptions--Two percent earned premium threshold
Status: in_force

A small employer carrier shall issue health benefit plans to any small employer that applies for a plan and agrees to make the required premium payments and to satisfy the other reasonable provisions of the health benefit plan not inconsistent with this chapter. If, on the first day of the plan year, a small employer plan has fewer than two participants who are current employees, the carrier is not required to issue a policy to the small employer. A small employer carrier may apply reasonable criteria in determining whether to accept a small employer into a particular class of business if:

(1) The criteria are not related to the health status or claim experience of the small employer;

(2) The criteria are applied consistently to all small employers applying for coverage in the class of business; and

(3) The small employer carrier provides for the acceptance of all eligible small employers into one or more classes of business.

The provisions of this section do not apply to a class of business into which the small employer carrier is no longer enrolling new small businesses. If the director determines that all carriers in the small employer market have met the two percent threshold, the threshold shall, upon order of the director, be expanded an additional two percent. The threshold shall be expanded in additional two percent increments if all small employer carriers meet the previous threshold. No small employer carrier is required to issue coverage to any small employer if the small employers who are at high - risk constitute two percent of that carrier's earned premium on an annual basis from small employer health benefit plans. The director may promulgate rules pursuant to chapter 1-26 to determine which policies may be used to determine the two percent threshold, the procedures involved, and the applicable time frames. In making that determination, the director shall develop a method designed to limit the number of high risk groups to which any one carrier may be required to issue coverage.

Source: SL 1995, ch 281, § 14; SL 1997, ch 289, § 16; SL 1998, ch 289, § 14; SL 2001, ch 279, § 3.
S.D. Codified Laws § 58-14-42 — SD Code / Title 58 / Chapter 14 / Section 58-14-42
Qualified United States financial institution
Status: in_force

For the purposes of §§ 58-14-24 to 58-14-42 , inclusive, a qualified United States financial institution is an institution that:

(1) Is organized or licensed under the laws of the United States or any state;

(2) Is regulated, supervised, and examined by United States federal or state authorities having regulatory authority over banks and trust companies; and

(3) Has been determined by either the director or the securities valuation office of the National Association of Insurance Commissioners to meet the standards of financial condition and standing as are considered necessary and appropriate to regulate the quality of financial institutions whose letters of credit may be acceptable to the director.

Source: SL 1992, ch 345, § 19.
S.D. Codified Laws § 58-5-146 — SD Code / Title 58 / Chapter 5 / Section 58-5-146
Types of asset acquisitions subject to chapter
Status: in_force

Asset acquisitions subject to this chapter include every purchase, lease, exchange, merger, consolidation, succession, or other acquisition other than the construction or development of real property by or for the reporting insurer or the acquisition of materials related thereto.

Source: SL 1995, ch 275, § 3.
S.D. Codified Laws § 58-46-15 — SD Code / Title 58 / Chapter 46 / Section 58-46-15
Financial condition reporting--Independent audit
Status: in_force

Each group or sponsored captive insurance company shall submit annually to the director a report of its financial condition pursuant to § 58-6-75 , no later than six months after the close of its financial year. The report shall be audited by an independent certified public accountant pursuant to chapter 58-43 . Each group or sponsored captive insurance company shall file with its annual report of financial condition an actuarial opinion pursuant to § 58-26-13.1 . If requested by the director, the group or sponsored captive insurance company shall submit quarterly reports of its financial condition pursuant to § 58-6-75 .

A pure, agency, or trust captive insurance company shall submit annually no later than six months after the close of its financial year to the director a report of its financial condition using statutory accounting principles certified under oath by two of its officers. A pure, agency, or trust captive insurance company shall provide a report of its financial condition audited by an independent certified public accountant every five years pursuant to chapter 58-43 if it has annual direct premiums written of less than two million five hundred thousand dollars. If a pure, agency, or trust captive insurance company has two million five hundred thousand dollars or more of annual direct premiums written, it shall provide a report of its financial condition audited by an independent certified public accountant every three years pursuant to chapter 58-43 . Following its first year of operation, and in connection with its audited statement of financial condition (or more often if requested by the director), each pure, agency, or trust captive insurance company shall file an actuarial opinion pursuant to § 58-26-13.1 .

No later than six months after the close of its financial year, a special purpose captive insurance company shall submit to the director a report of its financial condition pursuant to § 58-6-75 . The report shall be audited by an independent certified public accountant pursuant to chapter 58-43 . Following its first year of operation, and every three years thereafter, a special purpose captive insurance company shall file with its annual report of financial condition an actuarial opinion pursuant to § 58-26-13.1 . If requested by the director, the special purpose captive insurance company shall submit quarterly reports of its financial condition pursuant to § 58-6-75 .

Upon request to and approval by the director, a captive insurance company may use generally accepted accounting principles in lieu of statutory accounting principles in its certification of its financial condition and may use consolidated, nonconsolidated, or a similar type of reporting, as approved by the director.

Source: SL 1996, ch 287, § 15; SL 2009, ch 272, § 7; SL 2013, ch 257, § 13; SL 2015, ch 257, § 3.
S.D. Codified Laws § 58-29E-14 — SD Code / Title 58 / Chapter 29E / Section 58-29E-14
Adjustment of claim due to error in adjudication permitted
Status: in_force

Nothing in §§ 58-29E-12 to 58-29E-15 , inclusive, shall prohibit a pharmacy benefit manager from adjusting claim payment for the benefit of a covered individual if there was an error in the adjudication of a claim submitted by or on behalf of the covered individual.

Source: SL 2019, ch 213, § 3.
S.D. Codified Laws § 58-29A-84 — SD Code / Title 58 / Chapter 29A / Section 58-29A-84
Required contents of plan of operation
Status: in_force

The plan of operation shall:

(1) Establish the procedures whereby all the powers and duties of the association under §§ 58-29A-60 , 58-29A-68 to 58-29A-73 , inclusive, and §§ 58-29A-75 to 58-29A-82 , inclusive, will be performed;

(2) Establish procedures for handling assets of the association;

(3) Establish the amount and method of reimbursing members of the board of directors under § 58-29A-59 ;

(4) Establish procedures by which claims may be filed with the association and establish acceptable forms of proof of covered claims. Notice of claims to the receiver or liquidator of the insolvent insurer shall be deemed notice to the association or its agent and a list of such claims shall be periodically submitted to the association or similar organization in another state by the receiver or liquidator;

(5) Establish regular places and times for meetings of the board of directors;

(6) Establish procedures for records to be kept of all financial transactions of the association, its agents, and the board of directors;

(7) Provide that any member insurer aggrieved by any final action or decision of the association may appeal to the director within thirty days after the action or decision;

(8) Establish the procedures whereby selections for the board of directors will be submitted to the director;

(9) Establish procedures for the disposition of liquidating dividends or other moneys received from the estate of the insolvent insurer;

(10) Contain additional provisions necessary or proper for the execution of the powers and duties of the association.

Source: SL 2000, ch 247, § 31.
S.D. Codified Laws § 58-17-45 — SD Code / Title 58 / Chapter 17 / Section 58-17-45
Policy of domestic insurer delivered in other state--Compliance with laws of other state
Status: in_force

Any policy of a domestic insurer may, when issued for delivery in any other state or country, contain any provision permitted or required by the laws of such other state or country.

Source: SL 1966, ch 111, ch 25, § 26 (2).
S.D. Codified Laws § 58-32-44 — SD Code / Title 58 / Chapter 32 / Section 58-32-44
Tax on premiums--Time for remittance--Credit to general fund
Status: in_force

Before the first day of April of each year, each broker shall remit to the state treasurer, through the director of the Division of Insurance, a tax on the premiums, exclusive of sums collected to cover federal and state taxes and examination fees, on surplus line insurance transacted by the broker at the rate and in the manner provided by § 10-44-2 . If in any prior calendar year a broker collects and remits in excess of five thousand dollars of surplus lines premium tax, the broker shall in the following year remit the tax on a quarterly basis. The tax is in lieu of all other taxes upon such insurers with respect to the business so reported. When collected, the tax shall be credited to the general fund. If the director has entered into an agreement as provided for by § 58-32-45 , taxes may be required to be remitted as may be specified by such an agreement.

Source: SL 1966, ch 111, ch 11, § 18 (1); SL 1980, ch 360; SL 2011, ch 223, § 4.
S.D. Codified Laws § 58-23-3 — SD Code / Title 58 / Chapter 23 / Section 58-23-3
Tort liability of charitable institution--Insurer estopped from asserting charitable immunity defense
Status: in_force

Each policy issued to cover the liability of any charitable institution for negligence or any other tort shall contain a provision to the effect that the insurer shall be estopped from asserting, as a defense to any claim covered by said policy, that such institution is immune from liability on the ground that it is a charitable institution.

Source: SL 1966, ch 111, ch 32, § 3.
S.D. Codified Laws § 58-17F-9 — SD Code / Title 58 / Chapter 17F / Section 58-17F-9
Factors to consider in determining network adequacy
Status: in_force

In determining whether a health carrier has complied with any network adequacy provision of this chapter, the director shall give due consideration to the relative availability of healthcare providers in the service area and to the willingness of providers to join a network.

Source: SL 2011, ch 219, § 9.
S.D. Codified Laws § 58-40-10.1 — SD Code / Title 58 / Chapter 40 / Section 58-40-10.1
Coverage for inpatient treatment of alcoholism to be offered in individual or group plans
Status: in_force

Any nonprofit hospital service plan that 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 1979, ch 344, § 9.
S.D. Codified Laws § 58-5-104 — SD Code / Title 58 / Chapter 5 / Section 58-5-104
Participating policies--Issuance authorized by articles of domestic insurer--Nondiscrimination between policyholders
Status: in_force

If provided in its articles of incorporation, a domestic insurer may issue and classify policies with or without participation in profits, savings, or unabsorbed portions of premiums and determine the right to participate and the extent of participation of any class or classes of policies. Any such classification or determination shall be reasonable, and shall not discriminate between policyholders within the same classification. A life insurer may issue both participating and nonparticipating policies only if the right or absence of right to participate is reasonably related to the premium charged.

Source: SL 1966, ch 111, ch 16, § 32 (1).
S.D. Codified Laws § 58-12-8 — SD Code / Title 58 / Chapter 12 / Section 58-12-8
Maximum amount of annuity exemption--Excess subject to levy
Status: in_force

The total exemption under § 58-12-6 of benefits presently due and payable to any annuitant periodically or at stated times under all annuity contracts under which he is an annuitant, shall not at any time exceed two hundred and fifty dollars per month for the length of time represented by such installments, and such periodic payments in excess of two hundred and fifty dollars per month shall be subject to levy in the manner provided by law and the rules of court.

Source: SL 1966, ch 111, ch 22, § 32 (1) (b).
S.D. Codified Laws § 58-17-47 — SD Code / Title 58 / Chapter 17 / Section 58-17-47
Nonconforming and conflicting provisions construed in conformity with statute
Status: in_force

A policy delivered or issued for delivery to any person in this state in violation of this chapter shall be held valid but shall be construed as provided in this chapter. When any provision in a policy subject to this chapter is in conflict with any provision of this chapter, the rights, duties, and obligations of the insurer, the insured and the beneficiary shall be governed by the provisions of this chapter.

Source: SL 1966, ch 111, ch 25, § 27 (2).
S.D. Codified Laws § 58-19-2 — SD Code / Title 58 / Chapter 19 / Section 58-19-2
Definition of terms
Status: in_force

Terms used in this chapter mean:

(1) "Credit health insurance," insurance on a debtor to provide indemnity for payments becoming due on a specific loan, lease, or other credit transaction while the debtor is disabled as defined in the policy;

(2) "Credit life insurance," insurance on the life of a debtor pursuant to or in connection with a specific loan, lease, or other credit transaction;

(3) "Creditor," the lender of money or vendor or lessor of goods, services, or property, rights or privileges, for which payment is arranged through a credit transaction, or any successor to the right, title, or interest of any such lender, vendor, or lessor, and an affiliate, associate, or subsidiary of any of them or any director, officer, or employee of any of them or any other person in any way associated with any of them;

(4) "Debtor," a borrower of money or a purchaser or lessee of goods, services, property, rights, or privileges for which payment is arranged through a credit transaction;

(5) "Indebtedness," the total amount payable by a debtor to a creditor in connection with a loan, lease, or other credit transaction;

(6) "Group property insurance authorized by credit card," forms of property insurance issued on a group basis covering:

(a) Loss of or damage to personal property, other than loss of use or loss resulting from a defect in materials or workmanship, where such personal property is purchased using a credit card;

(b) Loss of, damage to or loss of use of personal property resulting from a defect in materials or workmanship, where the personal property is purchased using a credit card and is under warranty;

(c) Loss of or damage to a lease or rented motor vehicle, that is intended to be rented or leased for a period of ninety consecutive days or less, where the lease or rental fee is paid using a credit card;

(d) Loss of, or damage to or loss of use of baggage and its contents while in transit, where the cost of travel or accommodations is paid using a credit card;

(e) Loss of damage to or loss of use of personal property occurring in connection with use of a leased or rented motor vehicle, which motor vehicle is intended to be rented or leased for a period of ninety consecutive days or less, where the lease or rental fee is paid using a credit card;

(f) Loss incurred in connection with the unauthorized use of a credit card; or

(g) Such other forms of property insurance that are authorized by the director of the Division of Insurance by rule promulgated pursuant to chapter 1-26 and determined to be appropriate for issuance on a group basis.

Source: SL 1966, ch 111, ch 27, § 2 (3); SL 1998, ch 295, § 1; SL 2001, ch 281, § 2.
S.D. Codified Laws § 58-33-111 — SD Code / Title 58 / Chapter 33 / Section 58-33-111
Due diligence not required with respect to unassisted health benefit plan where not engaged in transacting of insurance
Status: in_force

Nothing in § 58-33-109 or 58-33-110 requires a producer, third party administrator, insurer, or preferred provider organization to conduct due diligence with respect to a health benefit plan that it is not assisting and with respect to which it does not engage in the transacting of insurance.

Source: SL 2007, ch 292, § 19.
S.D. Codified Laws § 58-17-51 — SD Code / Title 58 / Chapter 17 / Section 58-17-51
Health insurance provisions inapplicable to reinsurance
Status: in_force

Nothing in §§ 58-17-1 to 58-17-47 , inclusive, shall apply to or affect reinsurance.

Source: SL 1966, ch 111, ch 25, § 1 (4).
S.D. Codified Laws § 58-17-79 — SD Code / Title 58 / Chapter 17 / Section 58-17-79
Documentation of rating methods and practices
Status: in_force

Each carrier shall maintain at its principal place of business a complete and detailed description of its rating practices and renewal underwriting practices, including information and documentation that demonstrate that its rating methods and practices are based upon commonly accepted actuarial assumptions and are in accordance with sound actuarial principles.

Source: SL 1996, ch 286, § 14.
S.D. Codified Laws § 58-32-29 — SD Code / Title 58 / Chapter 32 / Section 58-32-29
Change in evidence of insurance--Substitute certificate by broker
Status: in_force

If after the issuance and delivery of any such certificate there is any change as to the identity of the insurers, or the proportion of the direct risk assumed by an insurer as stated in the broker's original certificate, or in any other material respect as to the insurance coverage evidenced by the certificate, the broker shall promptly issue and deliver to the insured a substitute certificate accurately showing the current status of the coverage and the insurers responsible thereunder.

Source: SL 1966, ch 111, ch 11, § 8 (3).
S.D. Codified Laws § 58-8-9 — SD Code / Title 58 / Chapter 8 / Section 58-8-9
Notice by mail to insurer--Proof of service
Status: in_force

Service of process pursuant to § 58-8-8 is sufficient, provided notice of such service and a copy of the process are sent within ten days thereafter by registered or certified mail by plaintiff or plaintiff's attorney to the defendant at its last known principal place of business, and the defendant's receipt, or receipt issued by the post office with which the letter is registered or certified, showing the name of the sender of the letter and the name and address of the person to whom the letter is addressed, and the affidavit of the plaintiff or plaintiff's attorney showing a compliance herewith are filed with the clerk of the court in which such action is pending on or before the date the defendant is required to appear, or within such further time as the court may allow.

Source: SL 1966, ch 111, ch 12, § 5; SL 1982, ch 28, § 18.
S.D. Codified Laws § 58-17B-5 — SD Code / Title 58 / Chapter 17B / Section 58-17B-5
Grounds for termination and certain provisions prohibited
Status: in_force

No long - term care insurance policy may:

(1) Be cancelled, nonrenewed, or otherwise terminated on the grounds of the age or the deterioration of the mental or physical health of the insured individual or certificate holder; or

(2) Contain a provision establishing a new waiting period in the event existing coverage is converted to or replaced by a new or other form within the same company, except with respect to an increase in benefits voluntarily selected by the insured individual or group policyholder; or

(3) Provide coverage for skilled nursing care only or provide significantly more coverage for skilled care in a facility than coverage for lower levels of care.

Source: SL 1989, ch 440, § 5; SL 1990, ch 398, § 1.
S.D. Codified Laws § 58-13-4 — SD Code / Title 58 / Chapter 13 / Section 58-13-4
Deduction for reinsurance or cosuretyship
Status: in_force

Reinsurance ceded for which credit is allowed pursuant to chapter 58-14 shall be deducted in determining risk retained. As to surety risks, deductions shall also be made of the amount assumed by any established incorporated cosurety and the value of any security deposited, pledged, or held subject to the surety's consent and for the surety's protection.

Source: SL 1966, ch 111, ch 4, § 11 (3).
S.D. Codified Laws § 58-15-15 — SD Code / Title 58 / Chapter 15 / Section 58-15-15
Insurance policy loan--Security--Maximum amount--Private placement policies
Status: in_force

There shall be a provision that after three full years' premiums have been paid and after the policy has a cash surrender value and while no premium is in default beyond the grace period for payment, the insurer shall advance, on proper assignment or pledge of the policy and on the sole security thereof, an amount not to exceed the loan value of the policy. However, in the case of a private placement policy, the obligation of the insurer to advance the loan value of the policy, or any portion of the loan value, is subject to the liquidity of separate account assets comprising such loan value, and the insurer shall advance the loan value of the policy, or any portion of the loan value, as and when the separate account assets from which the loan is to be made, can be, by their respective terms, converted to cash.

Source: SL 1966, ch 111, ch 23, § 9; SL 1974, ch 313, § 1; SL 2006, ch 252, § 2; SL 2009, ch 259, § 2.
S.D. Codified Laws § 58-17A-10 — SD Code / Title 58 / Chapter 17A / Section 58-17A-10
Filing requirements--Master policy--Rates, rating schedules, and supporting documentation--Riders or amendments to delete outpatient prescription drug benefits
Status: in_force

Every issuer providing group medicare supplement insurance benefits to a resident of this state shall file a copy of the master policy and any certificate used in this state in accordance with the filing requirements and procedures applicable to group medicare supplement policies issued in this state.

Every issuer providing medicare supplement policies or certificates in this state shall annually file its rates, rating schedule, and supporting documentation demonstrating that it is in compliance with the applicable loss ratio standards of this state. All filings of rates and rating schedules shall demonstrate that the actual and expected losses in relation to premiums comply with the requirements of this chapter.

An issuer shall file any riders or amendments to policy or certificate forms to delete outpatient prescription drug benefits as required by the Medicare Prescription Drug, Improvement, and Modernization Act of 2003 for any policy or certificate issued in this state.

Source: SL 1989, ch 431, § 4; SL 1992, ch 347, § 11; SL 2005, ch 267, § 2.
S.D. Codified Laws § 58-33-138 — SD Code / Title 58 / Chapter 33 / Section 58-33-138
Value-added product or service--Permitted raffles or drawings described
Status: in_force

An insurer or producer may conduct raffles or drawings to the extent permitted by state law as long as there is no financial cost to entrants to participate, the drawing or raffle does not obligate participants to purchase insurance, the prizes are not valued in excess of a reasonable amount as determined by the director, and the drawing or raffle is open to the public. The raffle or drawing must be offered in a manner that is not unfairly discriminatory. The consumer may not be required to purchase, continue to purchase, or renew a policy in exchange for the gift, item, or service.

Source: SL 2023, ch 167, § 3.
S.D. Codified Laws § 58-29B-99 — SD Code / Title 58 / Chapter 29B / Section 58-29B-99
Proposal to disburse assets--Contents
Status: in_force

The proposal under § 58-29B-98 shall include, but is not limited to, provisions for:

(1) Reserving amounts for the payment of expenses of administration and the payment of claims of secured creditors to the extent of the value of the security held, and claims falling within the priorities established in subdivisions 58-29B-124(1) and (2);

(2) Disbursement of the assets marshaled to date and subsequent disbursement of assets as they become available;

(3) Equitable allocation of disbursements to each of the guaranty associations and foreign guaranty associations entitled thereto;

(4) The securing by the liquidator from each of the associations entitled to disbursements pursuant to this section of an agreement to return to the liquidator such assets, together with income earned on assets previously disbursed, as may be required to pay claims of secured creditors and claims falling within the priorities established in § 58-29B-124 , in accordance with such priorities. No bond is required of any such association; and

(5) A full report to be made by each association to the liquidator accounting for all assets so disbursed to the association, all disbursements made therefrom, any interest earned by the association on such assets and any other matter as the court may direct.

Source: SL 1989, ch 436, § 99.
S.D. Codified Laws § 58-29A-54 — SD Code / Title 58 / Chapter 29A / Section 58-29A-54
Scope of application of chapter
Status: in_force

This chapter applies to any kind of direct insurance, but does not apply to:

(1) Life, annuity, health, or disability insurance;

(2) Mortgage guaranty, financial guaranty, or other forms of insurance offering protection against investment risks;

(3) Fidelity or surety bonds, or any other bonding obligations;

(4) Credit insurance, vendors' single - interest insurance, or collateral protection insurance, or any similar insurance protecting the interests of a creditor arising out of a creditor - debtor transaction;

(5) Insurance of warranties or service contracts including insurance that provides for the repair, replacement, or service of goods or property or indemnification for repair, replacement, or service for the operational or structural failure of the goods or property due to a defect in materials or workmanship or to normal wear and tear, or provides reimbursement for the liability incurred by the issuer of agreements or service contracts that provide such benefits;

(6) Title insurance;

(7) Ocean marine insurance;

(8) Any transaction or combination of transactions between a person, including affiliates of the person, and an insurer, including affiliates of the insurer, that involves the transfer of investment or credit risk unaccompanied by a transfer of insurance risk; or

(9) Any insurance provided by or guaranteed or reinsured by any governmental body.

Source: SL 2000, ch 247, § 1.
S.D. Codified Laws § 58-22-34 — SD Code / Title 58 / Chapter 22 / Section 58-22-34
Giving anything of value to attorney in bail bond matter as felony--Exception
Status: in_force

No bail bondsperson or runner may pay a fee or rebate or give anything of value to an attorney in bail bond matters; except in defense of any action on a bond. Violation of this section is a Class 6 felony.

Source: SL 1966, ch 111, ch 31, §§ 15 (3), 27; SDCL, § 58-22-48 ; SL 1978, ch 359, § 2; SL 1998, ch 296, § 24.
S.D. Codified Laws § 58-1-25 — SD Code / Title 58 / Chapter 1 / Section 58-1-25
Use of genetic tests in offer, sale, or renewal of insurance prohibited
Status: in_force

No health carrier, life insurer, or long-term care insurer, in determining eligibility for coverage, establishing premiums, limiting coverage, renewing coverage, or any other underwriting decision, may, in connection with the offer, sale, or renewal of insurance:

(1) Require or request an individual or a blood relative of the individual to take a genetic test; or

(2) Take into consideration the fact that a genetic test was refused by an individual or a blood relative of the individual.

Source: SL 2001, ch 267, § 2; SL 2021, ch 209, § 2, eff. Jan. 1, 2022.
S.D. Codified Laws § 58-27-37 — SD Code / Title 58 / Chapter 27 / Section 58-27-37
Bonds or notes secured by mortgage or trust deed guaranteed by administrator of veterans' affairs
Status: in_force

An insurer may invest any of its funds in bonds or notes secured by mortgage or trust deed guaranteed or insured as to principal in whole or in part by the administrator of veterans' affairs pursuant to the provisions of title III of an act of Congress of the United States of June 22, 1944, entitled the "Servicemen's Readjustment Act of 1944," as amended.

Source: SL 1966, ch 111, ch 6, § 24 (5).
S.D. Codified Laws § 58-18A-56 — SD Code / Title 58 / Chapter 18A / Section 58-18A-56
Exclusion of certain expenses
Status: in_force

For the purposes of this chapter, the term, allowable expense, may exclude certain types of coverage or benefits such as dental care, vision care, prescription drugs, or hearing aids. A plan that limits the application of COB to certain coverages or benefits may limit the definition of allowable expense in its contract to expenses that are similar to the expenses that it provides. If COB is restricted to specific coverages or benefits in a contract, the definition of allowable expense shall include similar expenses to which COB applies.

If a plan provides benefits in the form of services, the reasonable cash value of each service shall be considered an allowable expense and a benefit paid.

The amount of the reduction may be excluded from allowable expense if a covered person's benefits are reduced under a primary plan because the covered person does not comply with the plan provisions concerning second surgical opinions or pre-certification of admissions or services, or because the covered person has a lower benefit because the covered person did not use a preferred provider.

Source: SL 2006, ch 259, § 4.
S.D. Codified Laws § 58-46-9 — SD Code / Title 58 / Chapter 46 / Section 58-46-9
Dividends and distributions
Status: in_force

No captive insurance company may pay a dividend out of, or other distribution with respect to, capital or surplus, in excess of the limitations set forth in § 58-5A-35 , without the prior approval of the director.

Source: SL 1996, ch 287, § 9; SL 2009, ch 272, § 5; SL 2013, ch 257, § 8.
S.D. Codified Laws § 58-5A-99 — SD Code / Title 58 / Chapter 5A / Section 58-5A-99
Insurer disclosure of certain confidential information permitted--Response to false or inappropriate statements
Status: in_force

If information is released in contradiction of § 58-5A-98 , an insurer may publish an announcement in a written publication if the sole purpose of the announcement is to rebut any materially false statement with respect to the group capital calculation or any resulting group capital ratio, an inappropriate comparison of any amount to an insurer’s or insurance group’s group capital calculation or resulting group capital ratio, liquidity stress test result, supporting disclosures for the liquidity stress test, or an inappropriate comparison of any amount to an insurer’s or insurance group’s liquidity stress test result or supporting disclosures is published in any written publication and the insurer is able to demonstrate to the director with substantial proof the falsity of such statement or the inappropriateness, as the case may be.

Source: SL 2024, ch 201, § 12.
S.D. Codified Laws § 58-34-21 — SD Code / Title 58 / Chapter 34 / Section 58-34-21
Power of attorney--Form and contents
Status: in_force

The power of attorney described in § 58-34-20 must set forth:

(1) The powers of the attorney;

(2) That the attorney is empowered to accept service of process on behalf of the insurer and to authorize the director to receive service of process in actions against the insurer upon contracts exchanged;

(3) The general services to be performed by the attorney;

(4) The maximum amount to be deducted from advanced premiums or deposits to be paid to the attorney and the general items of expense in addition to losses, to be paid by the insurer; and

(5) Except as to nonassessable policies, a provision for a contingent several liability of each subscriber in a specified amount which amount shall be not less than one nor more than ten times the premium or premium deposit stated in the policy.

Source: SL 1966, ch 111, ch 19, § 10 (2).
S.D. Codified Laws § 58-47-3 — SD Code / Title 58 / Chapter 47 / Section 58-47-3
Portable electronics license required to sell or offer portable electronics insurance coverage
Status: in_force

A vendor must have a portable electronics license issued pursuant to this chapter to sell or offer coverage under a policy of portable electronics insurance. A portable electronics license issued under this chapter authorizes any employee or authorized representative of the vendor to sell or offer coverage under a policy of portable electronics insurance to a customer at each location at which the vendor engages in portable electronics transactions. Each supervising entity shall maintain a registry of vendor locations which are authorized to sell or solicit portable electronics insurance coverage in this state. The registry shall be open to inspection by the director during regular business hours of the supervising entity. The supervising entity shall be subject to examination pursuant to the applicable provisions of chapter 58-3 and must otherwise comply with § 58-33-66 .

Source: SL 2012, ch 251, § 3.
S.D. Codified Laws § 58-14-21 — SD Code / Title 58 / Chapter 14 / Section 58-14-21
Reinsurer defined--Examination of reinsurer
Status: in_force

A reinsurer is an insurer that assumes all or part of the insurance or reinsurance written by another insurer and which meets the requirements of this chapter. The director may examine a reinsurer pursuant to chapter 58-3 and costs shall be assessed pursuant to that chapter.

Source: SL 1992, ch 344, § 19.
S.D. Codified Laws § 58-15-8 — SD Code / Title 58 / Chapter 15 / Section 58-15-8
Entire contract contained in policy and application--Statement of applicant not deemed a warranty
Status: in_force

There shall be a provision that the policy, or the policy and the application therefor if a copy of such application is endorsed upon or attached to the policy when issued, shall constitute the entire contract between the parties, and that all statements contained in such an application shall, in the absence of fraud, be deemed representations and not warranties.

Source: SL 1966, ch 111, ch 23, § 6.
S.D. Codified Laws § 58-12-9 — SD Code / Title 58 / Chapter 12 / Section 58-12-9
Application of excess annuities to judgment--Factors considered
Status: in_force

If the total benefits presently due and payable to any annuitant under all annuity contracts under which he is an annuitant, shall at any time exceed payment at the rate of two hundred and fifty dollars per month, then the court may order such annuitant to pay to a judgment creditor or apply on the judgment, in installments, such portion of such excess benefits as to the court may appear just and proper, after due regard for the reasonable requirements of the judgment debtor and his family, if dependent upon him, as well as any payments required to be made by the annuitant to other creditors under prior court orders.

Source: SL 1966, ch 111, ch 22, § 32 (1) (c).
S.D. Codified Laws § 58-26-48 — SD Code / Title 58 / Chapter 26 / Section 58-26-48
Promulgation of rules for establishing higher reserves
Status: in_force

The director may provide by rules promulgated pursuant to chapter 1-26 for a transition period for establishing any higher reserves which the qualified actuary considers necessary in order to render the opinion required by §§ 58-26-46 to 58-26-50 , inclusive.

Source: SL 1995, ch 284, § 4.
S.D. Codified Laws § 58-5-28 — SD Code / Title 58 / Chapter 5 / Section 58-5-28
Eligibility to membership in domestic, foreign, or alien mutual insurer
Status: in_force

Any person, government or governmental agency, state or political subdivision thereof, public or private corporation, board, association, firm, estate, trustee, or fiduciary may be a member of a domestic, foreign, or alien mutual insurer. Any officer, stockholder, trustee, or legal representative of any such corporation, board, association, or estate may be recognized as acting on its behalf for the purpose of such membership, and shall not be personally liable upon any contract of insurance for acting in such representative capacity.

Source: SL 1966, ch 111, ch 16, § 15 (2).
S.D. Codified Laws § 58-43-16.19 — SD Code / Title 58 / Chapter 43 / Section 58-43-16.19
Confidentiality of Management's Report of Internal Control over Financial Reporting and documentation
Status: in_force

The Management's Report of Internal Control over Financial Reporting, required by § 58-43-16.13 , and any documentation provided in support thereof during the course of a financial condition examination, shall be kept confidential by the Division of Insurance.

Source: SL 2009, ch 271, § 34.
S.D. Codified Laws § 58-17H-52 — SD Code / Title 58 / Chapter 17H / Section 58-17H-52
Medical management practices complying with chapter
Status: in_force

Nothing in §§ 58-17H-50 and 58-17H-51 prohibits a health carrier from performing medical management practices that comply with the provisions of this chapter.

Source: SL 2015, ch 252, § 3, eff. Jan. 1, 2016.
S.D. Codified Laws § 58-17I-8 — SD Code / Title 58 / Chapter 17I / Section 58-17I-8
Rights of covered person or authorized representative on review--Access to documentation
Status: in_force

No covered person has the right to attend, or to have a representative in attendance, at the first level review. However, the covered person or, if applicable, the covered person's authorized representative may:

(1) Submit written comments, documents, records, and other material relating to the request for benefits for the review or reviewers to consider when conducting the review; and

(2) Receive from the health carrier, upon request and free of charge, reasonable access to, and copies of all documents, records and other information relevant to the covered person's request for benefits. A document, record, or other information shall be considered relevant to a covered person's request for benefits if the document, record, or other information:

(a) Was relied upon in making the benefit determination;

(b) Was submitted, considered, or generated in the course of making the adverse determination, without regard to whether the document, record, or other information was relied upon in making the benefit determination;

(c) Demonstrates that, in making the benefit determination, the health carrier, or its designated representatives consistently applied required administrative procedures and safeguards with respect to the covered person as other similarly situated covered persons; or

(d) Constitutes a statement of policy or guidance with respect to the health benefit plan concerning the denied health care service or treatment for the covered person's diagnosis, without regard to whether the advice or statement was relied upon in making the benefit determination.

The health carrier shall make the provisions of this section known to the covered person or, if applicable, the covered person's authorized representative within three working days after the date of receipt of the grievance.

Source: SL 2011, ch 219, § 80.
S.D. Codified Laws § 58-5-47 — SD Code / Title 58 / Chapter 5 / Section 58-5-47
Bylaws of domestic stock insurer--Adoption, modification, and revocation
Status: in_force

Before commencing business, the initial board of directors of a domestic stock insurer shall adopt bylaws which shall be subject to the approval by a two - thirds vote of the stockholders present in person or by proxy at the next succeeding stockholders' meeting. Stockholders shall have the power to make, modify, or revoke bylaws by a two - thirds vote of those stockholders present in person or by proxy at a stockholders' meeting.

Source: SL 1966, ch 111, ch 16, § 17 (1).
S.D. Codified Laws § 58-33A-16.3 — SD Code / Title 58 / Chapter 33A / Section 58-33A-16.3
Considerations for annuity replacement or exchange
Status: in_force

In the case of an exchange or replacement of an annuity, the producer shall consider the whole transaction, which include taking into consideration whether:

(1) The consumer will incur a surrender charge, be subject to the commencement of a new surrender period, lose existing benefits, such as death, living, or other contractual benefits, or be subject to increased fees, investment advisory fees, or charges for riders and similar product enhancements;

(2) The replacing product would substantially benefit the consumer in comparison to the replaced product over the life of the product; and

(3) The consumer has had another annuity exchange or replacement and, in particular, an exchange or replacement within the preceding sixty months.

Source: SL 2022, ch 186, § 9, eff. Jan. 1, 2023.
S.D. Codified Laws § 58-19-30 — SD Code / Title 58 / Chapter 19 / Section 58-19-30
Judicial review of order or final determination of director as to forms
Status: in_force

Any order or final determination of the director under the provisions of §§ 58-19-24 to 58-19-29 , inclusive, shall be subject to judicial review.

Source: SL 1966, ch 111, ch 27, § 7 (7).
S.D. Codified Laws § 58-29A-71 — SD Code / Title 58 / Chapter 29A / Section 58-29A-71
Transfer or recovery of claim from certain covered persons
Status: in_force

The association, at its sole discretion, may transfer claims handling and financial responsibility for a covered claim to, or recover from, the following persons the amount of any covered claim paid on behalf of such person pursuant to this chapter:

(1) Any insured whose net worth exceeds fifty million dollars and whose liability obligations to other persons, including obligations under workers' compensation insurance coverages, are satisfied in whole or in part by payments made under this chapter. Any insured's net worth is deemed to include the aggregate net worth of the insured and any of its subsidiaries and affiliates as calculated on a consolidated basis; and

(2) Any person who is an affiliate of the insolvent insurer and whose liability obligations to other persons are satisfied in whole or in part by payments made under this chapter.

The term, affiliate, does not include any insurance producer of the insolvent insurer.

Source: SL 2000, ch 247, § 18; SL 2001, ch 286, § 137; SL 2004, ch 310, § 3.
S.D. Codified Laws § 58-30-93 — SD Code / Title 58 / Chapter 30 / Section 58-30-93
Suspension or revocation of certificate for unauthorized issuance of policies
Status: in_force

The director may suspend or revoke the certificate of authority of any insurer violating § 58-30-92 .

Source: SL 1966, ch 111, ch 9, § 32 (2).
S.D. Codified Laws § 58-18B-3.1 — SD Code / Title 58 / Chapter 18B / Section 58-18B-3.1
Base rate increase to be filed with director--Approval or disapproval
Status: in_force

No small employer carrier may increase its small employer base rates unless the small employer carrier has filed the base rate increase with the director for review at least thirty days prior to the implementation of the rate increase. The base rates are deemed approved at the expiration of thirty days after the filing thereof unless disapproved by the director within thirty days after the date of filing. The filing of the base rate increase shall include documentation sufficient to actuarially justify the increase and a history of the earned premiums and incurred claims on the policy forms applicable to the rate increase. The base rates shall be reasonable in relation to the benefits.

Source: SL 2011, ch 216, § 18.
S.D. Codified Laws § 58-22-19 — SD Code / Title 58 / Chapter 22 / Section 58-22-19
Expiration of licenses
Status: in_force

All licenses issued shall expire annually on May first unless revoked or suspended prior thereto by the director, or upon notice served upon the director that the insurer or employer of any runner has canceled the licensee's authority to act for such insurer or employer.

Source: SL 1966, ch 111, ch 31, § 6.
S.D. Codified Laws § 58-26-65 — SD Code / Title 58 / Chapter 26 / Section 58-26-65
Tables used for individual annuity and pure endowment contracts issued prior to July 1, 1978--Interest
Status: in_force

The tables that shall be used for individual annuity and pure endowment contracts issued prior to July 1, 1978, excluding any disability and accidental death benefits in the contracts are: the 1971 Individual Annuity Mortality Table or any modification of this table approved by the director, and six percent interest for single premium immediate annuity contracts, and four percent interest for all other individual annuity and pure endowment contracts.

Source: SL 1995, ch 284, § 21.
S.D. Codified Laws § 58-5-112 — SD Code / Title 58 / Chapter 5 / Section 58-5-112
Provisions as to borrowed surplus inapplicable to loans in ordinary course of business or secured by pledge or mortgage
Status: in_force

Sections 58-5-108 to 58-5-111 , inclusive, shall not apply to loans obtained by an insurer in the ordinary course of business from banks and other financial institutions, nor to loans secured by pledge or mortgage of assets.

Source: SL 1966, ch 111, ch 16, § 34 (5).
S.D. Codified Laws § 58-18B-3 — SD Code / Title 58 / Chapter 18B / Section 58-18B-3
Regulations on premium rates
Status: in_force

Premium rates for health benefit plans subject to this chapter are subject to the following provisions:

(1) The index rate for a rating period for any class of business may not exceed the index rate for any other class of business by more than twenty percent unless:

(a) The class of business is one for which the carrier does not reject, and never has rejected, small employers included within the definition of employers eligible for the class of business or otherwise eligible employees and dependents who enroll on a timely basis, based upon their claim experience or health status;

(b) The carrier does not involuntarily transfer, and never has involuntarily transferred, a health benefit plan into or out of the class of business; or

(c) The class of business is currently available for purchase;

(2) For a class of business, the premium rates charged during a rating period to small employers with similar case characteristics for the same or similar coverage, or the rates which could be charged to such employers under the rating system for that class of business, may not vary from the index rate by more than twenty - five percent of the index rate;

(3) The percentage increase in the premium rate charged to a small employer for a new rating period may not exceed the sum of the following:

(a) The percentage change in the new business premium rate measured from the first day of the prior rating period to the first day of the new rating period. In the case of a class of business for which the small employer carrier is not issuing new policies, the carrier shall use the percentage change in the base premium rate;

(b) An adjustment, not to exceed fifteen percent annually and adjusted pro rata for rating periods of less than one year, due to the claim experience, health status or duration of coverage of the employees or dependents of the small employer as determined from the carrier's rate manual for the class of business; and

(c) Any adjustment due to change in coverage or change in the case characteristics of the small employer as determined from the carrier's rate manual for the class of business;

(4) For health benefit plans issued prior to July 1, 1991, a premium rate for a rating period may exceed the ranges described in subdivision (1) or (2) of this section for a period of five years from July 1, 1991. In that case, the percentage increase in the premium rate charged to a small employer in such a class of business for a new rating period may not exceed the sum of the following:

(a) The percentage change in the new business premium rate measured from the first day of the prior rating period to the first day of the new rating period. In the case of a class of business for which the small employer carrier is not issuing new policies, the carrier shall use the percentage change in the base premium rate; and

(b) Any adjustment due to change in coverage or change in the case characteristics of the small employer as determined from the carrier's rate manual for the class of business.

This section does not affect the use by a small employer carrier of legitimate rating factors other than claim experience, health status or duration of coverage in the determination of premium rates. Small employer carriers shall apply rating factors, including case characteristics, consistently with respect to all small employers in a class of business.

A small employer carrier may not involuntarily transfer a small employer into or out of a class of business. A small employer carrier may not offer to transfer a small employer into or out of a class of business unless the offer is made to transfer all small employers in the class of business without regard to case characteristics, claim experience, health status, or duration since issue.

Source: SL 1991, ch 402, § 3.
S.D. Codified Laws § 58-15-106 — SD Code / Title 58 / Chapter 15 / Section 58-15-106
Compliance documentation
Status: in_force

The insurer shall retain documentation of compliance with §§ 58-15-94 to 58-15-108 , inclusive, for five years.

Source: SL 2018, ch 280, § 13.
S.D. Codified Laws § 58-17A-4 — SD Code / Title 58 / Chapter 17A / Section 58-17A-4
Reasonable benefits required--Regulations to establish minimum standard from loss ratios--Policies issued through mail or mass media advertising
Status: in_force

Medicare supplement policies shall return to policyholders benefits which are reasonable in relation to the premium charged. The director shall issue regulations to establish minimum standards for loss ratios of medicare supplement policies on the basis of incurred claims experience or incurred health care expenses where coverage is provided by a health maintenance organization on a service rather than reimbursement basis and earned premiums and in accordance with accepted actuarial principles and practices. For purposes of regulations issued pursuant to this section, medicare supplement policies issued as a result of solicitations of individuals through the mail or mass media advertising, including both print and broadcast advertising, shall be treated as individual policies.

Source: SL 1982, ch 360, § 4; SL 1989, ch 431, § 3; SL 1992, ch 347, § 4.
S.D. Codified Laws § 58-33-11 — SD Code / Title 58 / Chapter 33 / Section 58-33-11
Stock operations and advisory board contracts as inducement--Misdemeanor
Status: in_force

No person may issue or deliver or permit its insurance producers, officers, or employees to issue or deliver, agency company stock or other capital stock, or benefit certificates or shares in any common law corporation, or any advisory board contract or other similar contract of any kind promising returns and profits as an inducement to insurance. Any violation of this section is a Class 2 misdemeanor.

Source: SL 1966, ch 111, ch 13, § 11; SL 1978, ch 359, § 2; SL 2001, ch 286, § 200.
S.D. Codified Laws § 58-18-31 — SD Code / Title 58 / Chapter 18 / Section 58-18-31
Continuation of coverage for child with intellectual or physical disability--Proof of dependency
Status: in_force

A group or blanket health insurance policy, which is delivered or issued for delivery in this state and which provides that coverage of a dependent child shall terminate upon attainment of the limiting age for dependent children specified in the policy, shall also provide that attainment of such limiting age shall not operate to terminate the coverage of such child while the child is and continues to be both (a) incapable of self-sustaining employment by reason of intellectual disability or physical disability and (b) chiefly dependent upon the policyholder for support and maintenance, provided proof of such incapacity and dependency is furnished to the insurer by the policyholder within thirty-one days of the child's attainment of the limiting age and subsequently as may be required by the insurer but not more frequently than annually after the two-year period following the child's attainment of the limiting age.

Source: SL 1969, ch 140; SDCL Supp, § 58-17-30.1 ; SL 2013, ch 125, § 19.
S.D. Codified Laws § 58-37A-18 — SD Code / Title 58 / Chapter 37A / Section 58-37A-18
Money or other benefits not attachable for individual debts
Status: in_force

No money or other benefit, charity, relief, or aid to be paid, provided, or rendered by any society, is liable to attachment, garnishment, or other process, or to be seized, taken, appropriated, or applied by any legal or equitable process or operation of law to pay any debt or liability of a member or beneficiary, or any other person who may have a right thereunder, either before or after payment by the society.

Source: SL 1990, ch 410, § 18.
S.D. Codified Laws § 58-19-6 — SD Code / Title 58 / Chapter 19 / Section 58-19-6
Maximum amount of credit life insurance
Status: in_force

The initial amount of credit life insurance shall not exceed the total amount repayable under the contract of indebtedness and, where an indebtedness is repayable in substantially equal installments, the amount of insurance shall at no time exceed the scheduled or actual amount of unpaid indebtedness, whichever is greater.

Source: SL 1966, ch 111, ch 27, § 4 (1).
S.D. Codified Laws § 58-29A-59 — SD Code / Title 58 / Chapter 29A / Section 58-29A-59
Reimbursement of director's expenses
Status: in_force

Members of the board may be reimbursed from the assets of the association for expenses incurred by them as members of the board of directors.

Source: SL 2000, ch 247, § 6.
S.D. Codified Laws § 58-16-24 — SD Code / Title 58 / Chapter 16 / Section 58-16-24
Debtors eligible for insurance under group life policy--Policy may define "debtor"
Status: in_force

The debtors eligible for insurance under a policy issued under § 58-16-23 shall be all of the debtors of the creditor whose indebtedness is repayable either in installments or in one sum at the end of a period not in excess of eighteen months from the initial date of debt, or all of any class or classes thereof determined by conditions pertaining to the indebtedness or to the purchase giving rise to the indebtedness. The policy may provide that the term "debtors" shall include the debtors of one or more subsidiary corporations, and the debtors of one or more affiliated corporations, proprietors, or partnerships if the business of the policyholder and of such affiliated corporations, proprietors, or partnerships is under common control through stock ownership, contract, or otherwise. No debtor shall be eligible unless the indebtedness constitutes an irrevocable obligation to repay which is binding upon him during his lifetime, at and from the date the insurance becomes effective upon his life.

Source: SL 1966, ch 111, ch 24, § 1 (2) (a).
S.D. Codified Laws § 58-16-27 — SD Code / Title 58 / Chapter 16 / Section 58-16-27
Amount of insurance on life of debtor limited
Status: in_force

The amount of insurance under § 58-16-23 on the life of any debtor may at no time exceed the amount owed by him to the creditor.

Source: SL 1966, ch 111, ch 24, § 1 (2)(f); SL 1969, ch 138; SL 1987, ch 376.
S.D. Codified Laws § 58-30-141 — SD Code / Title 58 / Chapter 30 / Section 58-30-141
Application of reciprocity provisions to surplus lines brokers
Status: in_force

Except as to the underlying requirements of a surplus lines broker holding an insurance producer license in the applicable lines and except as provided in §§ 58-30-159 to 58-30-162 , inclusive, §§ 58-30-142 to 58-30-195 , inclusive, do not apply to surplus lines brokers licensed pursuant to chapter 58-32 .

Source: SL 2001, ch 286, § 1.
S.D. Codified Laws § 58-11-9 — SD Code / Title 58 / Chapter 11 / Section 58-11-9
Motor vehicle insurance--Uninsured motorist and hit-and-run coverage--Amount of coverage--Uninsured motorist coverage not required for government owned vehicles
Status: in_force

No policy insuring against loss resulting from liability imposed by law for bodily injury or death suffered by any person arising out of the ownership, maintenance, or use of a motor vehicle may be delivered or issued for delivery in this state with respect to any motor vehicle registered or principally garaged in this state, except for snowmobiles, unless coverage is provided therein or supplemental thereto in limits for bodily injury or death equal to the coverage provided by such policy for bodily injury and death, for the protection of persons insured thereunder who are legally entitled to recover damages from owners or operators of uninsured motor vehicles and hit - and - run motor vehicles because of bodily injury, sickness, or disease, including death, resulting therefrom. However, the coverage required by this section may not exceed the limits of one hundred thousand dollars because of bodily injury to or death of one person in any one accident and, subject to the limit for one person, three hundred thousand dollars because of bodily injury to or death of two or more persons in any one accident, unless additional coverage is requested by the insured. Any policy insuring government owned vehicles may not be required to provide uninsured motorist coverage.

Source: SL 1966, ch 111, ch 22, § 16 (5); SL 1972, ch 261; SL 1975, ch 307; SL 1981, ch 359, § 3; SL 1982, ch 356; SL 1997, ch 286, § 1.
S.D. Codified Laws § 58-43-9.6 — SD Code / Title 58 / Chapter 43 / Section 58-43-9.6
Delegation of preapproval duties
Status: in_force

The audit committee may delegate to one or more designated members of the audit committee the authority to grant the preapprovals required by the provisions of § 58-43-9.5 . The decisions of any member to whom this authority is delegated shall be presented to the full audit committee at each of its scheduled meetings.

Source: SL 2009, ch 271, § 12.
S.D. Codified Laws § 58-15-43.3 — SD Code / Title 58 / Chapter 15 / Section 58-15-43.3
Initial calculation of changes in benefits or premiums--Recalculation after change
Status: in_force

In the case of a policy which causes, on a basis guaranteed in the policy, unscheduled changes in benefits or premiums, or which provides an option for changes in benefits or premiums other than a change to a new policy, the adjusted premiums and present values shall initially be calculated on the assumption that future benefits and premiums do not change from those stipulated at the date of issue of the policy. At the time of any such change in the benefits or premiums, the future adjusted premiums, nonforfeiture net level premiums and present values shall be recalculated on the assumption that future benefits and premiums do not change from those stipulated by the policy immediately after the change.

Source: SL 1982, ch 357, § 7.
S.D. Codified Laws § 58-20-34 — SD Code / Title 58 / Chapter 20 / Section 58-20-34
Liability for contractual obligations subsequent to termination in self-insurance association
Status: in_force

Any member who voluntarily terminates its membership in the association, or who is involuntarily terminated as a member of the association, shall nevertheless remain liable subsequent to the date of termination for all contractual obligations it entered into with the association during its membership in the association.

Source: SL 1995, ch 282, § 10.
S.D. Codified Laws § 58-43-9.3 — SD Code / Title 58 / Chapter 43 / Section 58-43-9.3
Exemption from disqualification provisions of §58-43-9.2
Status: in_force

Any insurer having direct written and assumed premiums of less than one hundred million dollars in any calendar year may request an exemption from the provisions of § 58-43-9.2 . The insurer shall file with the director a written statement discussing the reasons why the insurer should be exempt from these provisions. If the director finds, upon review of this statement, that compliance with these provisions would constitute a financial or organizational hardship upon the insurer, an exemption may be granted.

Source: SL 2009, ch 271, § 9.
S.D. Codified Laws § 58-34-58 — SD Code / Title 58 / Chapter 34 / Section 58-34-58
Reserves charged as liabilities
Status: in_force

The director shall charge as liabilities the same reserves as are required of incorporated insurers issuing nonassessable policies on a reserve basis.

Source: SL 1966, ch 111, ch 19, § 18 (1).
S.D. Codified Laws § 58-5B-5 — SD Code / Title 58 / Chapter 5B / Section 58-5B-5
Admission of foreign insurer to solicit applications and do business in state--Reports--Taxation--Supervision
Status: in_force

Any mutual insurer organized under laws substantially similar to this chapter of another state, for the purpose of transacting the kind of business described in this chapter may upon application and without prior operating experience or examination, be admitted to solicit applications, and if the necessary number is obtained, do business in this state if the director finds such admission is in the public interest; and shall thereafter make all reports and be subject to taxation, examination, and supervision by the director of insurance to the same extent and in the same manner as are other foreign insurers.

Source: SL 1976, ch 315, § 5.
S.D. Codified Laws § 58-15-56 — SD Code / Title 58 / Chapter 15 / Section 58-15-56
Prohibited policy provisions in industrial life insurance--Right to declare policy void because insured rejected for insurance
Status: in_force

No policy of industrial life insurance shall contain any provision giving the insurer the right to declare the policy void because the insured has been rejected for insurance, unless such right be conditioned upon a showing by the insurer that knowledge of such rejection would have led to a refusal by the insurer to make such contract.

Source: SL 1966, ch 111, ch 23, § 27 (3).
S.D. Codified Laws § 58-18-3 — SD Code / Title 58 / Chapter 18 / Section 58-18-3
Employer association group health insurance authorized--Employees defined
Status: in_force

Group health insurance may be under a policy issued to a bona fide association of employers, including a labor union, that has a constitution and bylaws and that has been organized and is maintained in good faith with at least one substantial business purpose unrelated to obtaining insurance, insuring members, employees, or employees of members of the association for the benefit of persons other than the association or its officers or trustees. For the purposes of this section, the term, employees, may include retired employees, and the term, employers, includes working owners without employees who qualify as both an employer and employee.

Source: SL 1966, ch 111, ch 26, § 1 (2); SL 2019, ch 212, § 1.
S.D. Codified Laws § 58-33-2 — SD Code / Title 58 / Chapter 33 / Section 58-33-2
Unfair method or deceptive act as misdemeanor
Status: in_force

No person shall engage in this state in any trade practice which is defined in this chapter as, or determined pursuant to this chapter to be, an unfair method of competition or an unfair or deceptive act or practice in the business of insurance. Violation of this section is a Class 2 misdemeanor.

Source: SL 1966, ch 111, ch 13, § 2; SL 1978, ch 359, § 2.
S.D. Codified Laws § 58-33-82 — SD Code / Title 58 / Chapter 33 / Section 58-33-82
Confidentiality of information regarding suspected fraud--Testimony by authorized agency personnel
Status: in_force

Any authorized agency or insurer which receives any information furnished pursuant to §§ 58-33-75 to 58-33-81 , inclusive, shall hold the information in confidence until such time as its release is required pursuant to a criminal or civil proceeding. Any authorized agency, or its personnel, may be required to testify in any litigation in which the insurer at interest is named as a party.

Source: SL 1993, ch 368, § 8.
S.D. Codified Laws § 58-3-24 — SD Code / Title 58 / Chapter 3 / Section 58-3-24
Liability of director or examiner--Liability for communicating or delivering information--Intent
Status: in_force

No cause of action may arise nor may any liability be imposed against the director, the director's authorized representatives, or any examiner appointed by the director for any statements made or conduct performed in good faith while carrying out the provisions of this chapter. This section does not abrogate or modify in any way any common law or statutory privilege or immunity enjoyed by any person identified.

No cause of action may arise, nor may any liability be imposed against any person for the act of communicating or delivering information or data to the director or the director's authorized representative or examiner pursuant to an examination, if the act of communication or delivery was performed in good faith and without fraudulent intent or the intent to deceive.

Source: SL 1992, ch 338, § 17.
S.D. Codified Laws § 58-43-16.29 — SD Code / Title 58 / Chapter 43 / Section 58-43-16.29
Exemption from internal audit function requirements
Status: in_force

An insurer is exempt from the requirements of §§ 58-43-16.25 to 58-43-16.28 , inclusive, if the insurer:

(1) Has annual direct written and unaffiliated assumed premium, including international direct and assumed premium but excluding any premium that is reinsured with the Federal Crop Insurance Corporation and Federal Flood Program, and that is less than five hundred million dollars; and

(2) Is a member of a group of insurers, the group has annual direct written and unaffiliated assumed premium including international direct and assumed premium, but excluding any premium that is reinsured with the Federal Crop Insurance Corporation and Federal Flood Program, and that is less than one billion dollars.

If an insurer or group of insurers no longer qualifies for this exemption, it has one year after the year the threshold is exceeded to comply with §§ 58-43-16.25 to 58-43-16.29 , inclusive.

Source: SL 2018, ch 283, § 7.
S.D. Codified Laws § 58-17H-25 — SD Code / Title 58 / Chapter 17H / Section 58-17H-25
Only information necessary for review or determination to be collected
Status: in_force

If conducting a utilization review, the health carrier shall collect only the information necessary, including pertinent clinical information, to make the utilization review or benefit determination.

Source: SL 2011, ch 219, § 50.
S.D. Codified Laws § 58-11-72 — SD Code / Title 58 / Chapter 11 / Section 58-11-72
Resubmitted form not to be disapproved for reasons other than in initial disapproval--Exceptions
Status: in_force

Except as provided in this section, the director may not disapprove a resubmitted policy form for reasons other than those initially set forth in the original notice of deficiencies or disapproval. The director may disapprove a resubmitted policy form for reasons other than those initially set forth in the original notice of deficiencies or disapproval if:

(1) The filer has introduced new provisions in the resubmission;

(2) The filer has materially modified any substantive provisions of the policy form;

(3) There has been a change in any statute, rule, or published bulletin; or

(4) There has been reviewer error and the written disapproval fails to state a specific provision of applicable statute, rule, or bulletin that is necessary to have the policy form conform to the requirements of law.

Source: SL 2008, ch 261, § 9.
S.D. Codified Laws § 58-15-44 — SD Code / Title 58 / Chapter 15 / Section 58-15-44
Dating back of application for insurance to reduce premium prohibited--Contract not invalidated
Status: in_force

No insurer may knowingly deliver or issue for delivery in this state any life insurance policy that purports to be issued or to take effect as of a date more than six months before the application therefor was made, if thereby the premium on the policy is reduced below the premium that would be payable thereon as determined by the insuring age of the insured at the time when such application was made. No insurance producer or other representative of an insurer may in this state prepare, submit, or accept any application for life insurance that bears a date earlier than the date when the application was made by the insured or applicant, if thereby the premium on the contract is reduced as above stated. Nothing contained in this section invalidates any contract made in violation of this section. This section does not prohibit the exchange, alteration, or conversion of any policy of life insurance.

Source: SL 1966, ch 111, ch 23, § 35; SL 2001, ch 286, § 109; SL 2021, ch 210, § 8.
S.D. Codified Laws § 58-30-1.2 — SD Code / Title 58 / Chapter 30 / Section 58-30-1.2
Rejected business defined
Status: in_force

Rejected business is a risk that an insurer then represented by the insurance producer has rejected for underwriting reasons, or is willing to accept only on a substandard basis; but which business will be accepted and issued by another authorized insurer at a lower rate.

Source: SL 1982, ch 365, § 7; SL 2001, ch 286, § 155.
S.D. Codified Laws § 58-34-63 — SD Code / Title 58 / Chapter 34 / Section 58-34-63
Failure to make up deficiency--Insurer deemed insolvent
Status: in_force

If the attorney fails to make up the deficiency described in § 58-34-62 or to make the assessment within thirty days after the director orders him to do so, or if the deficiency is not fully made up within sixty days after the date the assessment was made, the insurer shall be deemed insolvent and shall be proceeded against as authorized by this title.

Source: SL 1966, ch 111, ch 19, § 30 (2).
S.D. Codified Laws § 58-26-43 — SD Code / Title 58 / Chapter 26 / Section 58-26-43
Increase of inadequate reserves
Status: in_force

If loss experience shows that an insurer's loss reserves, however computed or estimated, are inadequate, the director shall require the insurer to maintain loss reserves in such increased amount as is needed to make them adequate.

Source: SL 1966, ch 111, ch 5, § 9.
S.D. Codified Laws § 58-17-2.2 — SD Code / Title 58 / Chapter 17 / Section 58-17-2.2
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 § 58-11-45.2 — SD Code / Title 58 / Chapter 11 / Section 58-11-45.2
Applicant for liability insurance not to be prejudiced by false reports
Status: in_force

No applicant for insurance seeking a policy for coverage of a motor vehicle as that term is defined in subdivision 58-11-45(5) shall be disadvantaged in his attempt to secure proof of financial responsibility required by chapter 32-35 by reason of any false, mistaken, or malicious report given to an insurer and by it considered in connection with his application.

Source: SL 1970, ch 270, § 1.
S.D. Codified Laws § 58-35-26 — SD Code / Title 58 / Chapter 35 / Section 58-35-26
Directors--Qualification
Status: in_force

No individual may serve as a director of a farm mutual insurer unless the individual is a member of the insurer or a member of one or more of the insurer’s affiliates.

For the purposes of this section, “affiliate” means any entity that directly, or indirectly through one or more intermediaries, controls, is controlled by, or is under common control with, the insurer at issue.

Source: SL 1966, ch 111, ch 17, § 18 (2); SL 2026, ch 202, § 2.
S.D. Codified Laws § 58-15-69 — SD Code / Title 58 / Chapter 15 / Section 58-15-69
Reinstated life insurance policy or annuity contract--Limitation of liability
Status: in_force

When any life insurance policy or annuity contract is reinstated, such reinstated policy or contract may exclude or restrict liability to the same extent that such liability could have been or was excluded or restricted when the policy or contract was originally issued and such exclusion or restriction shall be effective from the date of reinstatement.

Source: SL 1966, ch 111, ch 23, § 31 (2).
S.D. Codified Laws § 58-29E-8 — SD Code / Title 58 / Chapter 29E / Section 58-29E-8
Substitute drug--Dispensation
Status: in_force

A pharmacy benefit manager may request that a lower - priced generic and therapeutically equivalent prescription drug be dispensed to a covered individual, as a substitute for a higher - priced prescription drug.

If the substitute prescription drug's net cost is higher for the covered individual or the third-party payor than the originally prescribed drug, the substitution may be made only for medical reasons that benefit the covered individual.

If a substitution is being requested pursuant to this section, the pharmacy benefit manager must obtain the approval of the prescribing health professional.

Nothing in this section permits the substitution of an equivalent drug product contrary to § 36-11-46.2 .

Source: SL 2004, ch 311, § 8; SL 2023, ch 166, § 9.
S.D. Codified Laws § 58-19-23 — SD Code / Title 58 / Chapter 19 / Section 58-19-23
Policy received by debtor on nonacceptance of risk by named insurer--Description of substitute insurance
Status: in_force

If the named insurer does not accept the risk, then and in such event the debtor shall receive a policy or certificate of insurance setting forth the name and home office address of the substituted insurer and the amount of the premium to be charged, and if the amount of premium is less than that set forth in the notice of proposed insurance an appropriate refund shall be made.

Source: SL 1966, ch 111, ch 27, § 6 (5).
S.D. Codified Laws § 58-37A-38.1 — SD Code / Title 58 / Chapter 37A / Section 58-37A-38.1
Inapplicability of subdivision 58-37A-38(2) to certain societies, orders, and associations
Status: in_force

The provisions of subdivision 58-37A-38(2) do not apply to any society, order, or association which had a certificate of authority in this state as of July 1, 2006, nor to any society, order, or association which is formed on or after July 1, 2007. Any society, order or association not exempt pursuant to the provisions of this section shall hold a certificate of authority in this state.

Source: SL 2007, ch 55, § 2.
S.D. Codified Laws § 58-7-9 — SD Code / Title 58 / Chapter 7 / Section 58-7-9
Deposit of domestic insurer held in this state pursuant to laws of another state or country--Assets comprising--Protection of all policyholders of insurer
Status: in_force

All other deposits of a domestic insurer held in this state pursuant to the laws of another state, province, or country shall be comprised of assets of the kinds described in § 58-7-8 , and of such additional securities required or permitted by the laws of such state, province, or country except common stocks, mortgages and real estate. A deposit made in this state by a domestic insurer transacting insurance in another state, province, or country, and as required by the laws of such other state, province, or country, shall be held for the protection of all the insurer's policyholders or all its policyholders and creditors or for such other purpose or purposes as may be specified pursuant to such laws.

Source: SL 1966, ch 111, ch 7, §§ 3 (2), 4 (2).
S.D. Codified Laws § 58-29B-133 — SD Code / Title 58 / Chapter 29B / Section 58-29B-133
Audits of receivership books
Status: in_force

The court may, as it considers desirable, cause audits to be made of the books of the director relating to any receivership established under this chapter, and a report of each audit shall be filed with the director and with the court. The books, records, and other documents of the receivership shall be made available to the auditor at any time without notice. The expense of each audit shall be considered a cost of administration of the receivership.

Source: SL 1989, ch 436, § 133.
S.D. Codified Laws § 58-16-54 — SD Code / Title 58 / Chapter 16 / Section 58-16-54
Responsibilities of prior carrier and succeeding carrier upon discontinuance
Status: in_force

The following provisions dictate the responsibility of the prior carrier and succeeding carrier when coverage is discontinued:

(1) After discontinuance of the policy, contract, or certificate, the prior carrier remains liable only to the extent of its accrued liabilities and extensions of benefits. The position of the prior carrier shall be the same whether the group policyholder or other entity secures replacement coverage from a new carrier, self-insures, or foregoes the provision of coverage;

(2) If the individual was validly covered under the prior plan on the date of discontinuance, each individual who is eligible for coverage in accordance with the succeeding carrier's plan of benefits is, with respect to the class or classes of individuals, eligible and shall be covered under the succeeding carrier's plan if (a) any actively-at-work and nonconfinement rules are met, and (b) if required by the succeeding carrier, the individual requests enrollment;

(3) Each individual not covered under the succeeding carrier's plan of benefits in accordance with subdivision (2) shall nevertheless be covered by the succeeding carrier in accordance with the following rules if the individual was validly covered, including benefit extension, under the prior plan on the date of discontinuance and if the individual is a member of the class or classes of individuals eligible for coverage under the succeeding carrier's plan. Any reference in the following subdivisions to an individual who was or was not totally disabled is a reference to the individual's status immediately prior to the date the succeeding carrier's coverage becomes effective;

(4) The minimum level of benefits to be provided by the succeeding carrier shall be the applicable level of benefits of the prior carrier's plan reduced by any benefits payable by the prior plan;

(5) Coverage shall be provided by the succeeding carrier until the earliest of the following dates:

(a) The date the individual becomes eligible under the succeeding carrier's plan as described in subdivision (1);

(b) The date the individual's coverage would terminate in accordance with the succeeding carrier's plan provisions applicable to individual termination of coverage, such as at termination of employment or ceasing to be an eligible dependent; or

(c) In the case of an individual who was totally disabled, and in the case of a type of coverage for which § 58-16-53 requires an extension of benefits or accrued liability, the end of any period of extension benefits or accrued liability that is required of the prior carrier by § 58-16-53 , or if the prior carrier's policy, contract, or certificate is not subject to that section, but would have been required of the prior carrier had the policy, contract, or certificate been subject to § 58-16-53 at the time the prior carrier's plan was discontinued and replaced by the succeeding carrier's plan;

(6) In any situation in which a determination of the prior carrier's benefit is required by the succeeding carrier, at the succeeding carrier's request the prior carrier shall furnish a statement of the benefits available or pertinent information, sufficient to permit verification of the benefit determination or the determination itself by the succeeding carrier. For the purposes of this subdivision, benefits of the prior plan shall be determined in accordance with all of the definitions, conditions, and covered expense provisions of the prior plan rather than those of the succeeding plan. The benefit determination shall be made as if coverage had not been replaced by the succeeding carrier; and

(7) A succeeding carrier's policy may contain a provision limiting benefits to employees who are actively at work. However, any individual who remains as an employee, was covered by the prior carrier, and was disabled as of the date the succeeding carrier coverage became effective for that employer, will continue to be covered by the prior carrier as long as the individual remains an employee. An individual who is not disabled and is not at work on the date the succeeding carrier's coverage commences is considered actively at work as long as the absence from work is an employer-approved absence.

Source: SL 2009, ch 261, § 6; SL 2021, ch 210, § 9.
S.D. Codified Laws § 58-29B-94 — SD Code / Title 58 / Chapter 29B / Section 58-29B-94
No reductions in amounts recoverable from reinsurers--Exception--Payments
Status: in_force

The amount recoverable by the liquidator from reinsurers may not be reduced as a result of delinquency proceedings, unless the reinsurance contract provides, in substance, that in the event of the insolvency of the ceding insurer, the reinsurance is payable under a contract reinsured by the reinsurer on the basis of reported claims allowed in the liquidation proceeding or proof of payment of the claim by a guaranty association, without diminution because of the insolvency of the ceding insurer. Such payments shall be made directly to the ceding insurer or to its domiciliary liquidator unless:

(1) The contract or other written agreement specifically provides another payee of such reinsurance in the event of the insolvency of the ceding insurer; or

(2) The reinsurer, with the consent of the direct insured, has assumed such policy obligations of the ceding insurer as direct obligations of the reinsurer to the payees under such policies and in substitution for the obligations of the ceding insurer to such payees. The consent of the liquidator is required for any such assumption of policy obligations effected after an order of liquidation.

Source: SL 1989, ch 436, § 94; SL 2005, ch 274, § 1.
S.D. Codified Laws § 58-30-175 — SD Code / Title 58 / Chapter 30 / Section 58-30-175
Requirements for acting as agent of insurer
Status: in_force

No insurance producer or business entity may act as an agent of an insurer unless the insurance producer becomes an appointed insurance producer of that insurer. An insurance producer who is not acting as an agent of an insurer is not required to become appointed. This section does not apply to property and casualty insurance producers who sell, solicit, or negotiate and place insurance with admitted insurers although the insurance producer is not appointed with the insurer if all insurance business placed by the unappointed insurance producer is through a licensed insurance producer who is appointed by the insurer involved in the transaction and if the coverage is not reasonably available through the insurance producer's existing appointed insurers for placements made as authorized by this section. The unappointed insurance producer may receive compensation from the insurer or a resident appointed insurance producer.

Source: SL 2001, ch 286, § 35; SL 2010, ch 241, § 2.
S.D. Codified Laws § 58-43-16.2 — SD Code / Title 58 / Chapter 43 / Section 58-43-16.2
Responsibilities of audit committee
Status: in_force

The audit committee shall be directly responsible for the appointment, compensation, and oversight of the work of any accountant, including resolution of disagreements between management and the accountant regarding financial reporting, for the purpose of preparing or issuing the audited financial report or related work pursuant to this chapter. Each accountant shall report directly to the audit committee.

The audit committee of an insurer or a group of insurers shall be responsible for overseeing the insurer's internal audit function and granting each person performing the function suitable authority and resources to complete the audit committee's responsibilities required by §§ 58-43-16.25 to 58-43-16.28 , inclusive.

Source: SL 2009, ch 271, § 17, eff. Jan. 1, 2010; SL 2018, ch 283, § 2.
S.D. Codified Laws § 58-41-4 — SD Code / Title 58 / Chapter 41 / Section 58-41-4
Application for certificate of authority required
Status: in_force

Notwithstanding any law of this state to the contrary, any corporation organized to do so shall apply to the director of the Division of Insurance for a certificate of authority to establish and operate a health maintenance organization in compliance with the provisions of this chapter.

Source: SL 1974, ch 321, § 3; SL 1985, ch 393, § 2.
S.D. Codified Laws § 58-9-22 — SD Code / Title 58 / Chapter 9 / Section 58-9-22
Casualty insurance including insurance against congenital defects
Status: in_force

"Casualty insurance" includes insurance against congenital defects in human beings.

Source: SL 1966, ch 111, ch 4, § 6 (1) (l).
S.D. Codified Laws § 58-29C-54 — SD Code / Title 58 / Chapter 29C / Section 58-29C-54
Duties and powers of director
Status: in_force

In addition to the duties and powers enumerated elsewhere in this chapter,

A. The director shall:

(1) Upon request of the board of directors, provide the association with a statement of the premiums in this and any other appropriate states for each member insurer;

(2) When an impairment is declared and the amount of the impairment is determined, serve a demand upon the impaired insurer to make good the impairment within a reasonable time; notice to the impaired insurer shall constitute notice to its shareholders, if any; the failure of the insurer to promptly comply with such demand shall not excuse the association from the performance of its powers and duties under this chapter.

B. The director may suspend or revoke, after notice and hearing, the certificate of authority to transact insurance in this state of any member insurer which fails to pay an assessment when due or fails to comply with the plan of operation. As an alternative the director may levy a forfeiture on any member insurer that fails to pay an assessment when due. The forfeiture may not exceed five percent of the unpaid assessment per month, but no forfeiture shall be less than one hundred dollars per month.

C. A final action of the board of directors or the association may be appealed to the director by a member insurer if the appeal is taken within sixty days of its receipt of notice of the final action being appealed. A final action or order of the director shall be subject to judicial review in a court of competent jurisdiction in accordance with the laws of this state that apply to the actions or orders of the director.

D. The liquidator, rehabilitator, or conservator of an impaired or insolvent insurer may notify all interested persons of the effect of this chapter.

Source: SL 2003, ch 252, § 11; SL 2013, ch 252, § 7.
S.D. Codified Laws § 58-40-18 — SD Code / Title 58 / Chapter 40 / Section 58-40-18
Exemption from other insurance laws--Exceptions
Status: in_force

A hospital service plan corporation is exempt from all provisions of the insurance laws of this state other than in this chapter. However, the corporation is subject to the provisions of this title on matters of hearings, appeals, mergers, dissolutions, licensure of insurance producers, and procedures on such matters. The corporation is also subject to §§ 58-4-39 to 58-4-42 , inclusive; 58-6-75 ; 58-17-17 and 58-17-19 , for nongroup policies only; §§ 58-30-124 to 58-30-139 , inclusive; to the fees and taxation as insurers covered by this title; and to chapters 58-3 , 58-5A , 58-14 , 58-18B , 58-26 , 58-27 , 58-29B , 58-29D , 58-33 , 58-43 , and 58-44 .

Source: SL 1966, ch 111, ch 21, § 14; SL 1981, ch 367, § 2; SL 1982, ch 367, § 2; SL 1991, ch 408, § 3; SL 1994, ch 386, § 3; SL 2001, ch 286, § 225.
S.D. Codified Laws § 58-41-20 — SD Code / Title 58 / Chapter 41 / Section 58-41-20
Corporation operating after certification
Status: in_force

Any corporation may, upon obtaining a certificate of authority as required in this chapter, operate as a health maintenance organization.

Source: SL 1974, ch 321, § 11; SL 1985, ch 393, § 3.
S.D. Codified Laws § 58-20-24 — SD Code / Title 58 / Chapter 20 / Section 58-20-24
Policy to provide medical services and health care
Status: in_force

Effective January 1, 1995, every policy issued by any corporation, association, or organization to assure the payment of compensation under the provisions of the title, Workers' Compensation, shall contain provisions to provide medical services and health care to injured workers for compensable injuries and diseases under a case management plan that meets the requirements established in rules promulgated by the Department of Labor and Regulation pursuant to chapter 1-26 . All policies and plans shall meet the requirements of § 58-17-54 . However, the requirements of this section become effective January 1, 1994, for insurers issuing policies pursuant to § 58-20-15 .

Source: SL 1993, ch 381, § 5; SL 1999, ch 261, § 1; SL 2011, ch 1 (Ex. Ord. 11-1 ), § 33, eff. Apr. 12, 2011.
S.D. Codified Laws § 58-43-16.7 — SD Code / Title 58 / Chapter 43 / Section 58-43-16.7
Report of accountant to audit committee
Status: in_force

The audit committee shall require the accountant that performs for an insurer any audit required by this chapter to report in a timely manner to the audit committee in accordance with the requirements of AU-C 260, The Auditor's Communication with Those Charged with Governance, as of January 1, 2015, including:

(1) All significant accounting policies and material permitted practices;

(2) All material alternative treatments of financial information within statutory accounting principles that have been discussed with management officials of the insurer, ramifications of the use of the alternative disclosures and treatments, and the treatment preferred by the accountant; and

(3) Other material written communications between the accountant and the management of the insurer, such as any management letter or schedule of unadjusted differences.

Source: SL 2009, ch 271, § 22, eff. Jan. 1, 2010; SL 2015, ch 260, § 12.
S.D. Codified Laws § 58-5-115 — SD Code / Title 58 / Chapter 5 / Section 58-5-115
Curing impairment of capital or surplus
Status: in_force

The deficiency may be cured by cash or assets eligible under chapter 58-27 ; or by amendment of the insurer's certificate of authority to cover only such kind or kinds of insurance thereafter for which such insurer has sufficient basic paid - in capital or minimum basic surplus under this title.

Source: SL 1966, ch 111, ch 16, § 35 (2).
S.D. Codified Laws § 58-5-99 — SD Code / Title 58 / Chapter 5 / Section 58-5-99
Reciprocating state defined
Status: in_force

A "reciprocating" state, as used in §§ 58-5-100 to 58-5-103 , inclusive, is one under the laws of which limitations similar to those contained in said sections are imposed upon and enforced against insurers domiciled in that state.

Source: SL 1966, ch 111, ch 16, § 28 (4).
S.D. Codified Laws § 58-26-103 — SD Code / Title 58 / Chapter 26 / Section 58-26-103
Confidential information privileged--Use and sharing
Status: in_force

(1) Except as provided in §§ 58-26-102 to 58-26-104 , inclusive, a company's confidential information is confidential by law and privileged, and is not subject to open records, freedom of information, sunshine or other appropriate phrase, is not subject to subpoena and is not subject to discovery or admissible in evidence in any private civil action; provided, however, that the director is authorized to use the confidential information in the furtherance of any regulatory or legal action brought against the company as a part of the director's official duties;

(2) Neither the director nor any person who received confidential information while acting under the authority of the director is permitted to testify in any private civil action concerning any confidential information;

(3) In order to assist in the performance of the director's duties, the director may share confidential information:

(a) With other state, federal, and international regulatory agencies and with the NAIC and its affiliates and subsidiaries; and

(b) In the case of confidential information specified in subdivisions 58-26-102(1) and (4) only, with the Actuarial Board for Counseling and Discipline or its successor upon request stating that the confidential information is required for the purpose of professional disciplinary proceedings and with state, federal, and international law enforcement officials;

In the case of (a) and (b), provided that such recipient agrees, and has the legal authority to agree, to maintain the confidentiality and privileged status of such documents, materials, data, and other information in the same manner and to the same extent as required for the director;

(4) The director may receive documents, materials, data, and other information, including otherwise confidential and privileged documents, materials, data, or information, from the NAIC and its affiliates and subsidiaries, from regulatory or law enforcement officials of other foreign or domestic jurisdictions and from the Actuarial Board for Counseling and Discipline or its successor and shall maintain as confidential or privileged any document, material, data, or other information received with notice or the understanding that it is confidential or privileged under the laws of the jurisdiction that is the source of the document, material, or other information;

(5) The director may enter into agreements governing sharing and use of information consistent with this section;

(6) No waiver of any applicable privilege or claim of confidentiality in the confidential information occurs as a result of disclosure to the director pursuant to this section or as a result of sharing as authorized in subdivision (3);

(7) A privilege established under the law of any state or jurisdiction that is substantially similar to the privilege established pursuant to this section is available and enforced in any proceeding in, and in any court of, this state;

(8) For purposes of §§ 58-26-102 to 58-26-104 , inclusive, regulatory agency, law enforcement agency, and the NAIC include their employees, agents, consultants, and contractors.

Source: SL 2015, ch 254, § 37.
S.D. Codified Laws § 58-18-30 — SD Code / Title 58 / Chapter 18 / Section 58-18-30
Chapter inapplicable to prior policies
Status: in_force

The provisions of this chapter shall not apply to any contracts or policies entered into or issued prior to February 8, 1966, nor to any extensions, renewals, or modifications thereof or amendments thereto whenever made.

Source: SL 1966, ch 111, ch 26, § 8.
S.D. Codified Laws § 58-18-13 — SD Code / Title 58 / Chapter 18 / Section 58-18-13
Blanket health insurance for passengers on common carrier
Status: in_force

Blanket health insurance may be under a policy or contract issued to any common carrier or to any operator, owner, or lessee of a means of transportation, who or which shall be deemed the policyholder, covering a group defined as all persons or all persons of a class who may become passengers on such common carrier or such means of transportation.

Source: SL 1966, ch 111, ch 26, § 4 (1).
S.D. Codified Laws § 58-29B-51 — SD Code / Title 58 / Chapter 29B / Section 58-29B-51
Notice of liquidation--Methods
Status: in_force

Unless the court otherwise directs, the liquidator must give notice of the liquidation order as soon as possible but in no event more than ten days from the date of entry of the order to liquidate:

(1) By first-class mail or electronic communication to the insurance director of each jurisdiction in which the insurer is doing business;

(2) By first-class mail to any guaranty association or foreign guaranty association that is or may become obligated as a result of the liquidation;

(3) By first-class mail to any insurance producer of the insurer;

(4) By first-class mail to any person or policyholder known or reasonably expected to have claims against the insurer, at the person's or policyholder's last known address, as indicated by the records of the insurer; and

(5) By publication in a newspaper of general circulation in the county the insurer has its principal place of business and in other locations as the liquidator considers appropriate.

Source: SL 1989, ch 436, § 51; SL 2001, ch 286, § 144; SL 2025, ch 197, § 3.
S.D. Codified Laws § 58-17A-1 — SD Code / Title 58 / Chapter 17A / Section 58-17A-1
Definition of terms
Status: in_force

Terms used in this chapter mean:

(1) "Applicant," in the case of an individual medicare supplement policy or subscriber contract, the person who seeks to contract for insurance benefits; and in the case of a group medicare supplement policy or subscriber contract, the proposed certificate holder;

(2) "Certificate," any certificate issued under a group medicare supplement policy, which policy has been delivered or issued for delivery in this state;

(3) "Certificate form," the form on which the certificate is delivered or issued for delivery by the issuer;

(4) "Issuer," includes insurance companies, fraternal benefit societies, health care service plans, health maintenance organizations, and any other entity delivering or issuing for delivery in this state medicare supplement policies or certificates;

(5) "Medicare," the Health Insurance for the Aged Act, Title XVIII of the Social Security Amendments of 1965 and as amended through December 31, 1991;

(6) "Medicare supplement policy," a group or individual policy of health insurance or a subscriber contract of nonprofit hospital, medical and surgical service plans, or health maintenance organizations, which is advertised, marketed, or designed primarily as a supplement to reimbursements under medicare for the hospital, medical or surgical expenses of persons eligible for medicare. The term does not include insurance policies or health care benefit plans, including group conversion policies, provided to medicare eligible persons which policies are not marketed or held to be medicare supplement policies or benefit plans, nor does it apply to a policy or contract of one or more employers or labor organizations, or of the trustees of a fund established by one or more employers or labor organizations, or combination thereof, for employees or former employees or a combination thereof, or for members or former members, or a combination thereof, of the labor organizations. The term does not include a policy issued pursuant to a contract under Section 1876 of the federal Social Security Act, 42 U.S.C. § 1395 et seq., or a policy issued under a demonstration project specified in 42 U.S.C. § 1395ss(g)(i). The term does not include any medicare advantage plan established under Medicare Part C, any outpatient prescription drug plan established under Medicare Part D, or any health care prepayment plan that provides benefits pursuant to an agreement under § 1833(a)(1)(A) of the Social Security Act;

(7) "Policy form," the form on which the policy is delivered or issued for delivery by the issuer.

Source: SL 1982, ch 360, § 1; SL 1989, ch 431, § 1; SL 1990, ch 396, § 1; SL 1992, ch 347, § 1; SL 1996, ch 293, § 1; SL 2005, ch 267, § 1.
S.D. Codified Laws § 58-5A-10.1 — SD Code / Title 58 / Chapter 5A / Section 58-5A-10.1
Request for public hearing on consolidated basis
Status: in_force

If a proposed acquisition of control requires the approval of more than one director or commissioner, the public hearing referred to in § 58-5A-10 may be held on a consolidated basis upon request of the person filing the statement referred to in § 58-5A-2 , 58-5A-3 , or 58-5A-3.1 . The statement shall be filed with the NAIC within five days of making the request for public hearing. A director or commissioner may opt out of a consolidated hearing, and shall provide notice to the applicant within ten days of the receipt of the statement. A hearing conducted on a consolidated basis shall be public and shall be held within the United States before the directors or commissioners of the states in which the insurers are domiciled. The directors or commissioners shall hear and receive evidence. A director or commissioner may attend the hearing, in person or by telecommunication.

Source: SL 2015, ch 246, § 22.
S.D. Codified Laws § 58-27-64 — SD Code / Title 58 / Chapter 27 / Section 58-27-64
Affiliate defined
Status: in_force

The term "affiliate" when used in §§ 58-27-62 to 58-27-66 , inclusive, shall mean any person, firm, trust, corporation, or other business entity, which by stock ownership or by any contractual arrangement whatsoever, has the power, either directly or indirectly, to control twenty - five percent or more of the voting shares or voting rights of such insurer or any such organization which is similarly controlled by any such insurer to such extent and all other affiliates of any such affiliate.

Source: SL 1966, ch 111, ch 6, § 34 (1) (e).
S.D. Codified Laws § 58-29F-4 — SD Code / Title 58 / Chapter 29F / Section 58-29F-4
Requirements for conducting pharmacy audit
Status: in_force

Unless otherwise prohibited by federal statutes or regulations, any entity conducting a pharmacy audit shall:

(1) Give a pharmacy a minimum fourteen days written notice before conducting initial on-site audit;

(2) Conduct an audit that involves clinical or professional judgment in consultation with a licensed pharmacist; and

(3) Audit each pharmacy under the same standards and parameters as other similarly situated pharmacies.

Source: SL 2013, ch 254, § 4.
S.D. Codified Laws § 58-32-42 — SD Code / Title 58 / Chapter 32 / Section 58-32-42
Annual statement of broker--Form and contents
Status: in_force

The statement shall be on forms furnished by the director and shall show:

(1) Gross amount of each kind of insurance transacted;

(2) Aggregate gross premiums charged;

(3) Aggregate of returned premiums paid to insureds;

(4) Aggregate of net premiums; and

(5) Additional information as required by the director.

Source: SL 1966, ch 111, ch 11, § 17 (2).
S.D. Codified Laws § 58-43-8 — SD Code / Title 58 / Chapter 43 / Section 58-43-8
Explanation of disagreements between insurer and accountant--Letters from both insurer and accountant to director
Status: in_force

The disagreements required in § 58-43-7 to be reported include both those resolved to the former accountant's satisfaction and those not resolved to the former accountant's satisfaction. Disagreements contemplated by this section are those that occur at the decision - making level, such as, between personnel of the insurer responsible for presentation of its financial statements and personnel of the accounting firm responsible for rendering its report. The insurer shall request in writing the former accountant to furnish a letter addressed to the insurer stating whether the accountant agrees with the statements contained in the insurer's letter and, if not, stating the reasons for which he does not agree. The insurer shall furnish the responsive letter from the former accountant to the director together with its own. The accountant shall also furnish a copy of the responsive letter to the director.

Source: SL 1992, ch 357, § 8.
S.D. Codified Laws § 58-17F-10 — SD Code / Title 58 / Chapter 17F / Section 58-17F-10
Access plan required for managed care plans--Annual update--Contents--Exemptions for discounted fee-for-service networks
Status: in_force

The health carrier shall file with the director, in a manner and form defined by rules promulgated pursuant to chapter 1-26 by the director, an access plan meeting the requirements of this chapter, for each of the managed care plans that the carrier offers in this state. The carrier shall prepare an access plan prior to offering a new managed care plan, and shall annually update an existing access plan. The access plan shall describe or contain at least the following:

(1) The health carrier's network;

(2) The health carrier's procedures for making referrals within and outside its network;

(3) The health carrier's process for monitoring and assuring on an ongoing basis the sufficiency of the network to meet the health care needs of populations that enroll in managed care plans;

(4) The health carrier's methods for assessing the health care needs of covered persons and their satisfaction with services;

(5) The health carrier's method of informing covered persons of the plan's services and features, including the plan's grievance procedures and its procedures for providing and approving emergency and specialty care;

(6) The health carrier's system for ensuring the coordination and continuity of care for covered persons referred to specialty physicians, for covered persons using ancillary services, including social services and other community resources, and for ensuring appropriate discharge planning;

(7) The health carrier's process for enabling covered persons to change primary care professionals;

(8) The health carrier's proposed plan for providing continuity of care in the event of contract termination between the health carrier and any of its participating providers, or in the event of the health carrier's insolvency or other inability to continue operations. The description shall explain how covered persons will be notified of the contract termination, or the health carrier's insolvency or other cessation of operations, and transferred to other providers in a timely manner; and

(9) Any other information required by the director to determine compliance with the provisions of this chapter.

The provisions of subdivisions (2), (4), (6), (7), and (8), of this section, and the provisions regarding primary care provider-covered person ratios and hours of operation in § 58-17F-5 do not apply to discounted fee-for-service only networks.

Source: SL 2011, ch 219, § 10.
S.D. Codified Laws § 58-1-41 — SD Code / Title 58 / Chapter 1 / Section 58-1-41
Policies and advertising in language other than English permitted
Status: in_force

An authorized insurer, as defined in subdivision 58-1-2(2), may provide insurance policies, endorsements, riders, and any explanatory or advertising materials in a language other than English. If there is a dispute or complaint regarding the insurance or advertising material, the English language version of the insurance coverage shall control the resolution of the dispute or complaint.

Source: SL 2018, ch 277, § 2.
S.D. Codified Laws § 58-38-20 — SD Code / Title 58 / Chapter 38 / Section 58-38-20
Citation of chapter
Status: in_force

This chapter may be cited as the Medical and Surgical Plan Law.

Source: SL 1966, ch 111, ch 21, § 1.
S.D. Codified Laws § 58-33A-7 — SD Code / Title 58 / Chapter 33A / Section 58-33A-7
Director authorized to promulgate rules--Scope of rules
Status: in_force

The director may promulgate rules pursuant to chapter 1-26 to establish specific standards consistent with § 58-33A-2 . The rules may include standards of full and fair disclosure, that set forth the manner, content, and required disclosure. Except for conversion policies issued pursuant to a contractual conversion privilege under a group, the rules may apply to the sale of individual and group health insurance subject to this chapter and shall be in addition to and in accordance with applicable laws of this state. The rules may include:

(1) Terms of renewability;

(2) Initial and subsequent conditions of eligibility;

(3) Nonduplication of coverage provisions;

(4) Coverage of dependents;

(5) Preexisting conditions;

(6) Termination of insurance;

(7) Probationary periods;

(8) Limitations, exceptions, and reductions;

(9) Elimination periods;

(10) Requirements for replacement;

(11) Recurrent conditions;

(12) Prohibitions on the use of terms, information, phrases, or implied affiliations in advertising;

(13) Prominence, form, and style of any advertisement;

(14) Information to be disclosed on advertising or solicitation materials;

(15) Use of testimonials;

(16) Special offers or enrollment periods;

(17) Coverage comparisons;

(18) Identification of insurers, representatives of the insurers and insurance producers;

(19) Prearrangements or preneed funeral contracts; and

(20) The definition of terms including the following: hospital, accident, sickness, injury, physician, accidental means, total disability, partial disability, nervous disorder, guaranteed renewable and noncancellable.

Source: SL 1999, ch 240, § 7; SL 2000, ch 251, § 6; SL 2001, ch 286, § 215.
S.D. Codified Laws § 58-17-38 — SD Code / Title 58 / Chapter 17 / Section 58-17-38
Conformity with state statutes of insured
Status: in_force

There may be a provision as follows: "Conformity with state statutes: Any provision of this policy which, on its effective date is in conflict with the statutes of the state in which the insured resides on such date is hereby amended to conform to the minimum requirements of such statutes."

Source: SL 1966, ch 111, ch 25, § 21.
S.D. Codified Laws § 58-15-67 — SD Code / Title 58 / Chapter 15 / Section 58-15-67
Reversionary annuity contract provisions inapplicable to group annuities or to annuities included in life insurance policies
Status: in_force

Sections 58-15-65 and 58-15-66 shall not apply to group annuities or to annuities included in life insurance policies, and any of such provisions not applicable to single premium annuities shall not to that extent be incorporated therein.

Source: SL 1966, ch 111, ch 23, § 25 (2).
S.D. Codified Laws § 58-29B-108 — SD Code / Title 58 / Chapter 29B / Section 58-29B-108
Failure to provide necessary information--Liquidator may require prescribed forms and additional information
Status: in_force

The liquidator need not consider or allow a claim if it does not contain all the information in § 58-29B-107 , which may be applicable. The liquidator may require that a prescribed form be used and may require that other information and documents be included.

Source: SL 1989, ch 436, § 108.
S.D. Codified Laws § 58-16-35 — SD Code / Title 58 / Chapter 16 / Section 58-16-35
Incontestability provision required--Exceptions
Status: in_force

A policy of group life insurance shall contain a provision that the validity of the policy may not be contested, except for nonpayment of premiums, after it has been in force for two years from its date of issue; and that no statement made by any person insured under the policy relating to the person's insurability may be used in contesting the validity of the insurance with respect to which such statement was made, after such insurance has been in force prior to the contest for a period of two years during such person's lifetime. No statement made by the group policyholder or any person insured under the group policy may be contested unless it is contained in a written instrument signed by that person. The two-year limitation for contesting the validity of the insurance for any person insured under the policy does not apply to fraud on the part of the applicant or insured.

Source: SL 1966, ch 111, ch 24, § 3 (2); SL 2010, ch 236, § 1.
S.D. Codified Laws § 58-28-33 — SD Code / Title 58 / Chapter 28 / Section 58-28-33
Promulgation of rules relating to variable life insurance policies--Uniformity--Limitations
Status: in_force

The director may promulgate rules pursuant to chapter 1-26 relating to variable life insurance policies. In promulgating the rules, the director shall give substantial consideration to the standards contained in the National Association of Insurance Commissioners (NAIC) Variable Life Insurance Model Regulation and otherwise design the rules to achieve uniformity, to the degree reasonably possible, in the standards for variable life insurance. The rules shall be limited to the following:

(1) Standards for suitability of sales and sales materials;

(2) Policy benefit and design requirements;

(3) Establishment and administration of separate accounts;

(4) Disclosure requirements; and

(5) Definition of terms.

Source: SL 2003, ch 251, § 3.
S.D. Codified Laws § 58-39-10 — SD Code / Title 58 / Chapter 39 / Section 58-39-10
Practice of dentistry not authorized by chapter
Status: in_force

Nothing in this chapter shall authorize any person, association, or corporation to engage, in any manner, in the practice of dentistry.

Source: SL 1966, ch 111, ch 30, § 5.
S.D. Codified Laws § 58-6-31 — SD Code / Title 58 / Chapter 6 / Section 58-6-31
Casualty insurer transacting health insurance without additional capital or surplus
Status: in_force

A casualty insurer may also be authorized to transact health insurance without additional capital or additional surplus.

Source: SL 1966, ch 111, ch 3, § 12 (3).
S.D. Codified Laws § 58-11-77 — SD Code / Title 58 / Chapter 11 / Section 58-11-77
Appeal of disapproval of rate or policy form filing
Status: in_force

Any insurer may make a written request to the director to appeal a disapproval of a rate or policy form filing pursuant to this chapter, by requesting a hearing within thirty days of the date of the disapproval. A notice of hearing shall be issued within thirty days of receipt of a written request. The hearing shall be held pursuant to the provisions of chapter 1-26 .

Source: SL 2015, ch 248, § 1.
S.D. Codified Laws § 58-24-48 — SD Code / Title 58 / Chapter 24 / Section 58-24-48
Appeal based on failure to file for different expense system--Application of rate-making standards
Status: in_force

If an appeal under § 58-24-47 is based upon the failure of the rating organization to make a filing on behalf of the member or subscriber, which is based on a system of expense provisions which differs, in accordance with the right granted in § 58-24-8 , from the system of expense provisions included in a filing made by the rating organization, the director shall, if the director grants the appeal, order the rating organization to make the requested filing for use by the appellant. In deciding the appeal the director shall apply the standards set forth in §§ 58-24-5 to 58-24-9 , inclusive.

Source: SL 1966, ch 111, ch 15, § 8; SL 2014, ch 239, § 14.
S.D. Codified Laws § 58-14-30 — SD Code / Title 58 / Chapter 14 / Section 58-14-30
Records of reinsurance contracts
Status: in_force

For at least ten years after expiration of each contract of reinsurance transacted by the agent or broker, the agent or broker shall keep a complete record for each transaction showing:

(1) The type of contract, limits, underwriting restrictions, classes or risks, and territory;

(2) Period of coverage, including effective and expiration dates, cancellation provisions, and notice required for cancellation. The agent shall also maintain a record of the disposition of outstanding reserves on covered risks;

(3) Reporting and settlement requirements of balances;

(4) Rate used to compute the reinsurance premium;

(5) Names and addresses of reinsurers;

(6) Rates of all reinsurance commissions, including the commissions on any retrocessions handled by the agent or broker;

(7) Related correspondence and memoranda;

(8) Proof of placement;

(9) Details regarding retrocessions handled by the agent or broker including the identity of retrocessionaires and percentage of each contract assumed or ceded. Retrocessions for the agent are also subject to § 58-14-36 ;

(10) Financial records, including but not limited to, premium and loss accounts; and

(11) When the agent or broker procures a reinsurance contract on behalf of a licensed ceding insurer:

(a) Directly from any assuming reinsurer, written evidence that the assuming reinsurer has agreed to assume the risk; or

(b) If placed through a representative of the assuming reinsurer, other than an employee, written evidence that the reinsurer has delegated binding authority to the representative.

Source: SL 1992, ch 345, § 7.
S.D. Codified Laws § 58-14-1 — SD Code / Title 58 / Chapter 14 / Section 58-14-1
Reinsurance defined
Status: in_force

"Reinsurance" is a contract under which an originating insurer, called the "ceding insurer," procures insurance for itself in another insurer, called the "assuming insurer" or the "reinsurer," with respect to part or all of any insurance risk of the originating insurer.

Source: SL 1966, ch 111, ch 4, § 9.
S.D. Codified Laws § 58-21-2 — SD Code / Title 58 / Chapter 21 / Section 58-21-2
Certificate of authority as evidence of qualifications
Status: in_force

A valid subsisting certificate of authority or duly certified copy thereof issued by the director to a surety insurer shall be accepted as evidence of qualification to become sole surety on all bonds, undertakings, recognizances, and obligations required or permitted by law, or in the charter, ordinances, rules, or regulations of any municipality, board, organization, court, judge, or public officer, without further proof or qualification regarding solvency, credit, or financial sufficiency to act as surety.

Source: SL 1966, ch 111, ch 28, § 3.
S.D. Codified Laws § 58-27-43 — SD Code / Title 58 / Chapter 27 / Section 58-27-43
Deduction from loan of amount guaranteed by administrator of veterans' affairs
Status: in_force

The extent to which a mortgage loan made under § 58-27-36 or 58-27-37 is guaranteed by the administrator of veterans' affairs may be deducted before application of the limitations contained in § 58-27-42 . The provisions of § 58-27-42 shall not apply to the bonds or notes described in § 58-27-36 .

Source: SL 1966, ch 111, ch 6, § 25 (2).
S.D. Codified Laws § 58-29A-105 — SD Code / Title 58 / Chapter 29A / Section 58-29A-105
Payment of claims to be made in any reasonable order
Status: in_force

The association shall pay claims in any order which it deems reasonable, including the payment of claims as such are received from the claimants or in groups or categories of claims.

Source: SL 2000, ch 247, § 52.
S.D. Codified Laws § 58-33-26 — SD Code / Title 58 / Chapter 33 / Section 58-33-26
Unfair discrimination as to terms and conditions of insurance as misdemeanor
Status: in_force

No insurer shall make or permit any unfair discrimination between insureds or property having like insuring or risk characteristics, in the premium or rates charged for insurance, or in the dividends or other benefits payable thereon, or in any other of the terms and conditions of the insurance. Violation of this section is a Class 2 misdemeanor.

Source: SL 1966, ch 111, ch 13, § 16 (3); SL 1978, ch 359, § 2.
S.D. Codified Laws § 58-9-7 — SD Code / Title 58 / Chapter 9 / Section 58-9-7
Marine and transportation insurance including personal injury or property damage
Status: in_force

"Marine and transportation insurance" includes insurance against any kind of loss or damage to person or to property in connection with or appertaining to a marine, inland marine, transit, or transportation insurance, including liability for loss of or damage to either, arising out of or in connection with the construction, repair, operation, maintenance, or use of the subject matter of such insurance, but not including life insurance or surety bonds nor insurance against loss by reason of bodily injury to the person arising out of the ownership, maintenance, or use of automobile.

Source: SL 1966, ch 111, ch 4, § 5 (1) (b).
S.D. Codified Laws § 58-29A-64 — SD Code / Title 58 / Chapter 29A / Section 58-29A-64
Insolvency or hazardous condition reported to board of directors
Status: in_force

The director shall report to the board of directors when the director has reasonable cause to believe that any member insurer examined or being examined at the request of the board of directors may be insolvent or in a financial condition hazardous to the policyholders or the public.

Source: SL 2000, ch 247, § 11.
S.D. Codified Laws § 58-22-26 — SD Code / Title 58 / Chapter 22 / Section 58-22-26
Notice to sheriffs of discontinuance of business during license period--Return of license for cancellation
Status: in_force

Any bail bondsperson who discontinues writing bail bonds during the period for which licensed shall notify the sheriffs with whom registered and return the license to the director for cancellation within thirty days from such discontinuance.

Source: SL 1966, ch 111, ch 31, § 20; SL 1974, ch 55, § 49; SL 1998, ch 296, § 17.
S.D. Codified Laws § 58-16-1 — SD Code / Title 58 / Chapter 16 / Section 58-16-1
Forms of group life insurance permitted
Status: in_force

No policy of group life insurance shall be delivered in this state unless it conforms to one of the descriptions in §§ 58-16-2 , 58-16-7 , 58-16-12 , 58-16-23 , and 58-16-30 .

Source: SL 1966, ch 111, ch 24, § 1.
S.D. Codified Laws § 58-1-3.2 — SD Code / Title 58 / Chapter 1 / Section 58-1-3.2
Direct response and mass marketing as insurance transaction
Status: in_force

The Division of Insurance may regulate a person, trust, or other entity using direct response or mass market advertising within this state regardless of the source of the direct response or mass marketing advertisement if the advertisement is intended to place insurance within the state.

Source: SL 1983, ch 370, § 3; SL 2001, ch 286, § 57.
S.D. Codified Laws § 58-15-15.7 — SD Code / Title 58 / Chapter 15 / Section 58-15-15.7
Insurance policy loan--Allowable rate under adjustable maximum interest rate
Status: in_force

The rate of interest charged on a policy loan made under an adjustable maximum interest rate may not exceed the higher of the "published monthly average" for the calendar month ending two months before the date on which the rate is determined or the rate used to compute the cash surrender values under the policy during the applicable period plus one percent per year. If the maximum rate of interest is determined pursuant to § 58-15-15.6 as an adjustable maximum rate, the policy shall contain a provision setting forth the frequency at which the rate is to be determined for that policy.

Source: SL 1982, ch 358, § 4.
S.D. Codified Laws § 58-5-54 — SD Code / Title 58 / Chapter 5 / Section 58-5-54
Place for holding meetings of stockholders or members--Waiver
Status: in_force

Meetings of stockholders or members of a domestic insurer shall be held in the municipality of its home office or principal office or place of business in this state. However, the director may waive the provisions of this section if a wholly owned subsidiary or a company is located in a small municipality without sufficient facilities to accommodate such a meeting and such subsidiary or company can demonstrate, to the director's satisfaction, a need for such waiver. The director may also waive the provisions of this section if one percent or less of the outstanding shares of stock entitled to vote are owned by South Dakota residents.

Source: SL 1966, ch 111, ch 16, § 18(1); SL 1988, ch 388; SL 1990, ch 391.
S.D. Codified Laws § 58-46-19 — SD Code / Title 58 / Chapter 46 / Section 58-46-19
Allowable investments--Restrictions
Status: in_force

No pure, agency, or trust captive insurance company is subject to any restrictions on allowable investments. However, the director may prohibit or limit any investment that threatens the solvency or liquidity of any such company.

Unless the director has provided written approval of a different requirement or limitation, group, sponsored and special purpose captive insurance companies shall comply with the investment requirements and limitations applicable to other insurance companies pursuant to chapter 58-27 .

Source: SL 1996, ch 287, § 19; SL 2009, ch 272, § 9; SL 2013, ch 257, § 16; SL 2015, ch 257, § 5.
S.D. Codified Laws § 58-17A-14 — SD Code / Title 58 / Chapter 17A / Section 58-17A-14
Requirements for replacement of policy
Status: in_force

An issuer replaces a medicare supplement policy if:

(1) The issuer discontinues or does not renew a medicare supplement policy and offers an alternative medicare supplement policy to its insured; or

(2) The newer policy has an effective date which coincides with or which is within thirty days after the date the older policy covering that same insured discontinued. An issuer does not violate medicare supplement replacement requirements unless that issuer or its representative knew or reasonably should have known of the older policy.

Source: SL 1989, ch 432, § 2; SL 1992, ch 347, § 14; SL 1993, ch 361; SL 1995, ch 279.
S.D. Codified Laws § 58-1-27 — SD Code / Title 58 / Chapter 1 / Section 58-1-27
Transmission of electronic documents--Definitions
Status: in_force

Terms used in §§ 58-1-27 to 58-1-39 , inclusive, mean:

(1) "Covered employee," an individual participating in a group health plan who is entitled to notices and documents and who is an employee of the sponsor or policyholder of the group health plan;

(2) "Covered person," an individual participating in a group health plan who is entitled to notices and documents;

(3) "Delivered by electronic means:"

(a) Delivery to an electronic mail address at which a party has consented to receive notices or documents; or

(b) Posting on an electronic network or site accessible via the internet, mobile application, computer, mobile device, tablet, or any other electronic device, together with separate notice to a party directed to the electronic mail address at which the party consents to receive notice of the posting;

(4) "Party," any recipient of any notice or document required as part of an insurance transaction, including an applicant, a covered employee, a covered person, an insured, a policyholder, or an annuity contract holder; and

(5) "Smart device," an electronic device that combines a cell phone with a hand-held computer and that offers internet access and text or electronic mail capabilities.

Source: SL 2014, ch 230, § 1; SL 2023, ch 162, § 1.
S.D. Codified Laws § 58-16-34 — SD Code / Title 58 / Chapter 16 / Section 58-16-34
Evidence of individual insurability--Right of insurer to require
Status: in_force

A policy of group life insurance shall contain a provision setting forth the conditions, if any, under which the insurer reserves the right to require a person eligible for insurance to furnish evidence of individual insurability satisfactory to the insurer as a condition to part or all of his coverage.

Source: SL 1966, ch 111, ch 24, § 3 (4).
S.D. Codified Laws § 58-26-6 — SD Code / Title 58 / Chapter 26 / Section 58-26-6
Purchase money mortgage on real property--Restriction as to valuation
Status: in_force

Purchase money mortgages on real property referred to in § 58-26-5 shall be valued in an amount not exceeding the acquisition cost of the real property covered thereby or ninety per cent of the fair value of such real property, whichever is less.

Source: SL 1966, ch 111, ch 5, § 15.
S.D. Codified Laws § 58-22-30 — SD Code / Title 58 / Chapter 22 / Section 58-22-30
Acceptance of anything of value from principal except premium as misdemeanor--Collateral security or indemnity permitted
Status: in_force

No bail bondsperson or runner may accept anything of value from a principal except the premium. However, the bondsperson may accept collateral security or other indemnity from the principal which shall be returned upon final termination of liability on the bond. Such collateral security or other indemnity required by the bondsperson shall be reasonable in relation to the amount of the bond. Violation of this section is a Class 1 misdemeanor.

Source: SL 1966, ch 111, ch 31, §§ 15 (6), 27; SDCL, § 58-22-48 ; SL 1978, ch 359, § 2; SL 1998, ch 296, § 21.
S.D. Codified Laws § 58-1-33 — SD Code / Title 58 / Chapter 1 / Section 58-1-33
Effect of failure to obtain electronic consent or confirmation
Status: in_force

The legal effectiveness, validity, or enforceability of any contract or policy of insurance executed by a party may not be denied solely because of the failure to obtain electronic consent or confirmation of consent of the party in accordance with subsection 58-1-30(3)(b).

Source: SL 2014, ch 230, § 7.
S.D. Codified Laws § 58-38-2 — SD Code / Title 58 / Chapter 38 / Section 58-38-2
Physicians and surgeons defined
Status: in_force

The words "physicians and surgeons" as used in this chapter shall include all those persons who are licensed pursuant to chapters 36-4, 36-4A, and 36-9A.

Source: SL 1966, ch 111, ch 21, § 12; SL 1980, ch 355, § 1.
S.D. Codified Laws § 58-41-43 — SD Code / Title 58 / Chapter 41 / Section 58-41-43
Filing and approval requirements applicable
Status: in_force

A copy of the form of evidence of coverage to be used in this state, and any amendment thereto, shall be subject to the filing and approval requirements of § 58-41-42 unless it is subject to the jurisdiction of the director under the laws governing health insurance or hospital or medical service corporations in which event the filing and approval provisions of such laws shall apply. To the extent, however, that such provisions do not fulfill the requirements of §§ 58-41-35 and 58-41-36 , the requirements of said sections shall be applicable.

Source: SL 1974, ch 321, § 22.
S.D. Codified Laws § 58-15-29 — SD Code / Title 58 / Chapter 15 / Section 58-15-29
Installment payments--Table of guaranteed installments required
Status: in_force

In case the policy provides that the proceeds may be payable in installments which are determinable at the time of issuance of the policy, there shall be a table showing the amounts of the guaranteed installments.

Source: SL 1966, ch 111, ch 23, § 11.
S.D. Codified Laws § 58-5-30 — SD Code / Title 58 / Chapter 5 / Section 58-5-30
Contingent liability of member of mutual insurer not terminated by termination of policy
Status: in_force

Termination of the policy of any member of a domestic mutual insurer shall not relieve him of contingent liability for his prorata share, if any, of the obligations of the insurer which accrued while the policy was in force.

Source: SL 1966, ch 111, ch 16, § 29 (2).
S.D. Codified Laws § 58-30-179 — SD Code / Title 58 / Chapter 30 / Section 58-30-179
Renewal appointment fee
Status: in_force

An insurer shall remit, in a manner prescribed by the director, a renewal appointment fee in the amount set forth in § 58-2-29 .

Source: SL 2001, ch 286, § 39.
S.D. Codified Laws § 58-32-10.1 — SD Code / Title 58 / Chapter 32 / Section 58-32-10.1
Bond of resident surplus line broker--Amount--Conditions--Termination
Status: in_force

Within thirty days of issuance of a license as a resident surplus line broker and before procuring any insurance coverage for an insured, the broker shall file with the director, and thereafter for as long as the license remains in effect the broker shall keep in force, a bond in favor of the State of South Dakota in the penal sum of two thousand dollars with an authorized corporate surety approved by the director. The bond shall be conditioned upon the broker conducting business under the license in accordance with the provisions of this chapter and promptly remitting the taxes pursuant to §§ 58-32-44 and 58-32-45 . No such bond may be terminated unless at least thirty days' prior written notice of the termination is given to the broker and filed with the director.

Source: SL 2003, ch 253, § 1.
S.D. Codified Laws § 58-17-37 — SD Code / Title 58 / Chapter 17 / Section 58-17-37
Unpaid premiums--Deduction from benefits
Status: in_force

There may be a provision as follows: "Unpaid premiums: Upon the payment of a claim under this policy, any premium then due and unpaid or covered by any note or written order may be deducted therefrom."

Source: SL 1966, ch 111, ch 25, § 20.
S.D. Codified Laws § 58-7-34 — SD Code / Title 58 / Chapter 7 / Section 58-7-34
Release of deposit on request of domestic insurer
Status: in_force

Upon the request of a domestic insurer, the director shall direct the depository or custodian to return to the insurer the whole or any portion of the assets and securities of the insurer held on deposit if the director is satisfied that the assets and securities to be returned are subject to no liability and are no longer required to be held by any provision of law or purposes of the original deposit. If the insurer has reinsured all its outstanding risks in another insurer or insurers authorized to transact insurance in this state and the insurer, by written notice, notifies the director that the assets and securities have been assigned, transferred and set over to the reinsuring insurer or insurers, the director shall require the depository or custodian to deliver the assets and securities to the insurer or insurers assuming the risks. The notice shall be accompanied by a duly verified copy of the assignment, transfer, or conveyance. In the case of deposits of the reserves of domestic life insurers, the insurers shall submit proof satisfactory to the director that the reinsurer has deposited or will deposit, and will maintain on deposit in public custody through the insurance supervisory official of its state of domicile, assets and securities of like quality in an amount not less than the reserves of the policies and contracts so reinsured, in addition to any other deposit of such insurer required or permitted by law. Unless the reinsurer is required to have on deposit all of its reserves, the insurer shall submit proof satisfactory to the director that the deposit of the reserves will be maintained by the state of its domicile for the special benefit and protection of the holders of the life insurance policies and annuity contracts so reinsured.

Source: SL 1966, ch 111, ch 7, § 14 (2); SL 1991, ch 398, § 16.
S.D. Codified Laws § 58-29B-32.1 — SD Code / Title 58 / Chapter 29B / Section 58-29B-32.1
Appointment of deputies--Powers and responsibilities--Employment of counsel, clerks and assistants--Compensation--Advisory committee
Status: in_force

The director as rehabilitator may appoint one or more special deputies, who shall have all the powers and responsibilities of the rehabilitator granted under this section, and the director may employ such counsel, clerks, and assistants as he considers necessary. The compensation of the special deputy, counsel, or clerks and assistants and all expenses of taking possession of the insurer and of conducting the proceedings shall be fixed by the director, with the approval of the court and shall be paid out of the funds or assets of the insurer. Any persons appointed under this section shall serve at the pleasure of the director. In the event that the property of the insurer does not contain sufficient cash or liquid assets to defray the costs incurred, the director, with the approval of the secretary of the Department of Labor and Regulation, may advance the costs so incurred out of any appropriation for the maintenance of the Division of Insurance. Any amounts so advanced for expenses of administration shall be repaid to the director for the use of the Division of Insurance out of the first available money of the insurer. The director may, with the approval of the court, appoint an advisory committee of policyholders, claimants or other creditors including guaranty associations. The committee shall serve at the pleasure of the director and shall serve without compensation other than reimbursement for reasonable travel and per diem expenses. No other committee of any nature may be appointed by the director or the court in rehabilitation.

Source: SL 1989, ch 436, § 32A; SL 1992, ch 351, § 3; SL 2003, ch 272 (Ex. Ord. 03-1), § 20; SL 2011, ch 1 (Ex. Ord. 11-1 ), § 162, eff. Apr. 12, 2011.
S.D. Codified Laws § 58-27-108 — SD Code / Title 58 / Chapter 27 / Section 58-27-108
Rating and valuation of investments--Requirements--Divestment
Status: in_force

Any investment shall be rated and valued in accordance with standards promulgated by the Securities Valuation Office of the National Association of Insurance Commissioners as adopted by the director pursuant to rules promulgated pursuant to chapter 1-26 . The rating of the investment must comply with the statutory requirement for the investment.

Any insurer may purchase any investment not rated by the Securities Valuation Office of the National Association of Insurance Commissioners if the investment has received an equivalent rating by an independent rating agency which is recognized by the Securities Valuation Office. If the insurer purchases an investment not previously rated and valued by the Securities Valuation Office, application for a rating and valuation shall be filed in accordance with the standards promulgated by the Securities Valuation Office. If the investment, when rated by the Securities Valuation Office, does not comply with the statutory requirement, the insurer must divest of the investment pursuant to § 58-27-97 .

Nothing in this section is applicable to the assets in any separate accounts maintained by the insurer.

Source: SL 1994, ch 384, § 1; SL 1997, ch 294, § 30.
S.D. Codified Laws § 58-35-42 — SD Code / Title 58 / Chapter 35 / Section 58-35-42
Application and policy forms filed with director--Disapproval
Status: in_force

All forms of application for insurance and of policies proposed to be used by an insurer shall be filed with the director at least thirty days in advance of any such use. The director shall disapprove any such form found by him to be unlawful, illegible, or misleading. An insurer shall not use any such form after it has received the director's notice of disapproval setting forth the reasons therefor.

Source: SL 1966, ch 111, ch 17, § 27.
S.D. Codified Laws § 58-29B-65 — SD Code / Title 58 / Chapter 29B / Section 58-29B-65
No impairment of negotiability
Status: in_force

Nothing in this chapter may impair the negotiability of currency or negotiable instruments.

Source: SL 1989, ch 436, § 65.
S.D. Codified Laws § 58-5A-10 — SD Code / Title 58 / Chapter 5A / Section 58-5A-10
Time of hearing--Notice
Status: in_force

The public hearing required by § 58-5A-9 shall be held within thirty days after the statement required by § 58-5A-3 is filed, and at least twenty days' notice thereof shall be given by the director to the person filing the statement. Not less than seven days' notice of such public hearing shall be given by the person filing the statement to the insurer and to such other persons as may be designated by the director. The insurer shall give such notice to its security holders.

Source: SL 1972, ch 267, § 9.
S.D. Codified Laws § 58-24-39 — SD Code / Title 58 / Chapter 24 / Section 58-24-39
Notice to director of change in license application information
Status: in_force

Each rating organization shall notify the director promptly of any change in information from what was provided in its application pursuant to § 58-24-35 .

Source: SL 1966, ch 111, ch 15, § 6 (1); SL 2014, ch 239, § 6.
S.D. Codified Laws § 58-14-16.1 — SD Code / Title 58 / Chapter 14 / Section 58-14-16.1
Credit allowed for reinsurance ceded to certified reinsurer
Status: in_force

Credit shall be allowed if the reinsurance is ceded to an assuming insurer that has been certified by the director as a reinsurer in this state and secures the assuming insurer's obligations in accordance with the requirements of §§ 58-14-16.2 to 58-14-16.15 , inclusive.

Source: SL 2017, ch 211, § 12.
S.D. Codified Laws § 58-41-101 — SD Code / Title 58 / Chapter 41 / Section 58-41-101
Purchasing organization's responsibility for negotiating terms and conditions
Status: in_force

The organization shall be responsible for negotiating the terms and conditions of insurance contracts, collection of premiums, and providing notice to members.

Source: SL 1994, ch 382, § 3.
S.D. Codified Laws § 58-5A-41.4 — SD Code / Title 58 / Chapter 5A / Section 58-5A-41.4
Information in possession or control of NAIC or third-party consultant confidential
Status: in_force

Any document, material, or other information in the possession or control of the NAIC or a third-party consultant as designated by the director, shared pursuant to this chapter, is confidential by law and privileged, is not subject to subpoena, open records laws, and is not subject to discovery or admissible as evidence in any private civil action.

Source: SL 2015, ch 246, § 25; SL 2024, ch 201, § 6.
S.D. Codified Laws § 58-44-11 — SD Code / Title 58 / Chapter 44 / Section 58-44-11
Rights of director to impose penalties
Status: in_force

Nothing contained in this section affects the right of the director to impose any other penalties provided for in this title.

Source: SL 1992, ch 358, § 11.
S.D. Codified Laws § 58-24-53 — SD Code / Title 58 / Chapter 24 / Section 58-24-53
Advisory organization license required
Status: in_force

Each group, association, or other organization of insurers, whether located within or outside this state, which assists insurers which make their own filings or rating organizations in rate-making, by the collection and furnishing of loss or expense statistics, or by the submission of recommendations, but which does not make filings under this chapter shall be subject to licensure pursuant to this chapter as an advisory organization.

Source: SL 1966, ch 111, ch 15, § 10 (1); SL 2014, ch 239, § 15.
S.D. Codified Laws § 58-12-14 — SD Code / Title 58 / Chapter 12 / Section 58-12-14
Promulgation of rules for uniform health insurance claim forms
Status: in_force

The director of insurance may, pursuant to chapter 1-26 , promulgate rules for the creation, design, implementation, and use of uniform health insurance claim forms and explanation of benefit forms.

Source: SL 1994, ch 381, § 7.
S.D. Codified Laws § 58-39-15 — SD Code / Title 58 / Chapter 39 / Section 58-39-15
Investigation and examination by director--Cost borne by corporation
Status: in_force

The director may investigate and examine the books and records of any dental service 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 30, § 8; SL 1994, ch 389, § 2; SL 2001, ch 286, § 222.