S.D. Codified Laws § 58-17-56 — SD Code / Title 58 / Chapter 17 / Section 58-17-56
Reimbursement for service rendered or supervised by qualified mental health professional
Status: in_force

Notwithstanding any provision of any policy of insurance subject to the general provisions of this title, whenever such policy or contract provides for reimbursement for any service rendered by or directly supervised by a qualified mental health professional as defined in § 27A-1-3 , which may be legally performed by a mental health center as defined by § 27A-1-1 , reimbursement for coverage provided under such policy or contracts may not be denied. However, the provisions of this section only apply to the services defined in § 58-17-98 .

Source: SL 1987, ch 377; SL 1991, ch 220, §§ 1 and 2; SL 2003, ch 152, § 2.
S.D. Codified Laws § 58-37A-37 — SD Code / Title 58 / Chapter 37A / Section 58-37A-37
Judicial review of actions of director
Status: in_force

All decisions and findings of the director made under the provisions of this chapter are subject to review by proper proceedings in any court of competent jurisdiction in this state.

Source: SL 1990, ch 410, § 37.
S.D. Codified Laws § 58-40-11 — SD Code / Title 58 / Chapter 40 / Section 58-40-11
Care provided by noncontracting hospitals--Contracting hospital unavailable
Status: in_force

All contracts issued by a hospital service plan corporation to the subscribers shall constitute direct obligations of the corporation and of the hospitals with which such corporation has contracted for hospital service. If at any time that the certificate holder is entitled to hospitalization no hospital care is available, said corporation shall provide care outside of hospitals to such extent as the certificate holder is entitled to under the certificate and at the same rate per day as is provided for care in nonmember hospitals, but not to exceed the limits of the certificate.

Source: SL 1966, ch 111, ch 21, § 17.
S.D. Codified Laws § 58-33-10 — SD Code / Title 58 / Chapter 33 / Section 58-33-10
False financial statement as misdemeanor
Status: in_force

No person shall file with any supervisory or other public official, or make, publish, disseminate, circulate, or deliver to any person, or place before the public, or cause directly or indirectly, to be made, published, disseminated, circulated, delivered to any person, or placed before the public, any false statement of financial condition of an insurer with intent to deceive. Violation of this section is a Class 2 misdemeanor.

Source: SL 1966, ch 111, ch 13, § 10 (1); SL 1978, ch 359, § 2.
S.D. Codified Laws § 58-29A-83 — SD Code / Title 58 / Chapter 29A / Section 58-29A-83
Plan of operation submitted to director--Approval
Status: in_force

The association shall submit to the director a plan of operation and any amendments necessary or suitable to assure the fair, reasonable, and equitable administration of the association. The plan of operation and any amendments is effective upon approval in writing by the director.

Source: SL 2000, ch 247, § 30.
S.D. Codified Laws § 58-30-128 — SD Code / Title 58 / Chapter 30 / Section 58-30-128
Settling claims--Content of contract
Status: in_force

If the managing general agent may settle claims on behalf of the insurer, the following shall be included in the contract:

(1) All claims shall be reported to the company in a timely manner;

(2) A copy of the claim file shall be sent to the insurer at its request or as soon as it becomes known that the claim:

(a) Involves a coverage dispute;

(b) May exceed the managing general agent's claims settlement authority;

(c) Is open for more than six months; or

(d) Is closed by payment of an amount set by the company;

(3) All claim files are the joint property of the insurer and managing general agent. Upon an order of liquidation of the insurer, the files shall become the sole property of the insurer or its estate and the managing general agent shall have reasonable access to and the right to copy the files on a timely basis;

(4) Any settlement authority granted to the managing general agent may be terminated for cause upon the insurer's written notice to the managing general agent or upon the termination of the contract. The insurer may suspend the settlement authority during the pendency of any dispute regarding the cause for termination;

(5) The claims settlement authority and limitations of the managing general agent.

The director may initially and at least annually review the amount for settling claims or payment of claims and direct the amount be changed.

Source: SL 1992, ch 353, § 5.
S.D. Codified Laws § 58-17E-38 — SD Code / Title 58 / Chapter 17E / Section 58-17E-38
Advertisements to be truthful and not misleading
Status: in_force

Any advertisement of a discount medical plan organization shall be truthful and not misleading in fact or in implication. An advertisement is misleading if it has a capacity or tendency to mislead or deceive based on the overall impression that the advertisement is reasonably expected to create within the segment of the public to which it is directed.

Source: SL 2006, ch 257, § 38.
S.D. Codified Laws § 58-36-1 — SD Code / Title 58 / Chapter 36 / Section 58-36-1
Certificate not to be issued for assessment life or health insurance--Transaction of business as misdemeanor
Status: in_force

No certificate of authority shall, after June 30, 1966, be issued to any insurer, organized upon the mutual assessment, cooperative, or natural premium plan for the purpose of writing assessment life, or health insurance. It is a Class 2 misdemeanor for any such insurer to transact business in South Dakota.

Source: SL 1966, ch 111, ch 18, § 1 (1); SL 1978, ch 359, § 7.
S.D. Codified Laws § 58-2-10 — SD Code / Title 58 / Chapter 2 / Section 58-2-10
Actuaries--Employment by department--Duties
Status: in_force

The Department of Labor and Regulation may employ competent insurance actuaries to perform actuarial duties of the division, to take charge of or assist in the examination of insurers, and to perform other duties assigned to them.

Source: SL 1966, ch 111, ch 2, § 4 (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 § 58-27-40 — SD Code / Title 58 / Chapter 27 / Section 58-27-40
Purchase money mortgage or other securities received by insurer upon sale or exchange of real property
Status: in_force

An insurer may invest any of its funds in purchase money mortgages or like securities received by it upon the sale or exchange of real property acquired pursuant to § 58-27-50 .

Source: SL 1966, ch 111, ch 6, § 24 (3).
S.D. Codified Laws § 58-30-207 — SD Code / Title 58 / Chapter 30 / Section 58-30-207
Rental car insurance advertising and compensation restrictions
Status: in_force

No rental car agent may:

(1) Advertise, represent, or otherwise portray itself or any of its employees or agents as licensed insurers or insurance producers; or

(2) Pay any person, including a rental car agent endorsee, any compensation, fee, or commission that is dependent solely on the placement of insurance under the license issued pursuant to §§ 58-30-197 to 58-30-208 , inclusive. Nothing in §§ 58-30-197 to 58-30-208 , inclusive, prohibits production payments or incentive payments that are not dependent solely upon the sale of rental car insurance.

Source: SL 2001, ch 272, § 11; SDCL § 58-9-44; SL 2010, ch 233, § 2.
S.D. Codified Laws § 58-46-30 — SD Code / Title 58 / Chapter 46 / Section 58-46-30
Combination of assets of protected cells for purposes of investment
Status: in_force

Notwithstanding the provisions of § 58-46-27 , a sponsored captive insurance company may combine the assets of two or more protected cells for purposes of investing those assets. Such a combination of assets may not be construed as defeating the segregation of assets for purposes of § 58-46-27 , or for accounting or other purposes. A sponsored captive insurance company shall comply with investment requirements as may be approved by the director upon application by a sponsored captive insurance company.

Source: SL 2013, ch 257, § 26.
S.D. Codified Laws § 58-15-37 — SD Code / Title 58 / Chapter 15 / Section 58-15-37
Adjusted premiums--Term insurance benefits provided by rider or supplemental policy
Status: in_force

The adjusted premiums for any policy providing term insurance benefits by rider or supplemental policy provision shall be equal to:

(1) The adjusted premiums for an otherwise similar policy issued at the same age without such term insurance benefits, increased during the period for which premiums for such term insurance benefits are payable, by

(2) The adjusted premiums for such term insurance,

Source: SL 1966, ch 111, ch 23, § 28 (5).
S.D. Codified Laws § 58-5A-90 — SD Code / Title 58 / Chapter 5A / Section 58-5A-90
Confidentiality of information submitted to division
Status: in_force

Documents, materials, or other information, including the ORSA summary report, in the possession of or control of the division that are obtained by, created by, or disclosed to the director or any other person under §§ 58-5A-81 to 58-5A-93 , inclusive, are recognized by this state as being proprietary and containing trade secrets. All such documents, materials, or other information are confidential by law and privileged, are not subject to chapter 1-27 , are not subject to subpoena, and are not subject to discovery or admissible in evidence in any private civil action. However, the director is authorized to use the documents, materials, or other information in the furtherance of any regulatory or legal action brought as a part of the director's official duties. The director may not make the documents, materials, or other information public without the prior written consent of the insurer.

Neither the director nor any person who received documents, materials, or other ORSA-related information, through examination or otherwise, while acting under the authority of the director or with whom such documents, materials, or other information are shared pursuant to §§ 58-5A-81 to 58-5A-93 , inclusive, may be permitted or required to testify in any private civil action concerning any confidential documents, materials, or information except in regulatory or legal actions brought as a part of the director's official duties.

Source: SL 2017, ch 210, § 11.
S.D. Codified Laws § 58-35-64 — SD Code / Title 58 / Chapter 35 / Section 58-35-64
Filing plan of merger and articles of merger--Approval by director--Reasons for denying hearing
Status: in_force

If two or more companies propose to merge under the provisions of § 58-35-63 and their membership has approved the plan of merger, the plan of merger shall be filed with the director of the Division of Insurance, accompanied by the articles of merger, and a request for the approval of the plan of merger. The plan shall be approved by the director after a hearing on the plan within a reasonable time unless the director finds that the plan:

(1) Is contrary to law;

(2) Is inequitable to the policyholders of any domestic insurer involved; or

(3) Would substantially reduce the security of and service to be rendered to the policyholders of the domestic insurer.

The director shall review the plan of merger and may waive any hearing if the director finds the proposed merger does not prejudice the interests of the policyholders of the companies.

Source: SL 1995, ch 293, § 5.
S.D. Codified Laws § 58-27-66 — SD Code / Title 58 / Chapter 27 / Section 58-27-66
Pension or profit-sharing trust agreement not prohibited
Status: in_force

The provisions of §§ 58-27-62 and 58-27-65 shall not be construed to prohibit the making of pension or profit - sharing trust agreements involving the employees of affiliates or consolidations, mergers, or other transactions otherwise authorized by this title.

Source: SL 1966, ch 111, ch 6, § 34 (1) (f).
S.D. Codified Laws § 58-38-6 — SD Code / Title 58 / Chapter 38 / Section 58-38-6
License to issue contracts required--Violation as misdemeanor
Status: in_force

A corporation subject to the provisions of this chapter may issue contracts only when the director has by formal license authorized it to do so. Violation of this section is a Class 2 misdemeanor.

Source: SL 1966, ch 111, ch 21, § 6; SL 1978, ch 359, § 2.
S.D. Codified Laws § 58-18-29 — SD Code / Title 58 / Chapter 18 / Section 58-18-29
Persons to whom benefits payable under blanket health policy
Status: in_force

All benefits under any blanket health policy shall be payable to the person insured, or to his designated beneficiary or beneficiaries, or to his estate; except, that if the person insured be a minor or mentally incompetent, such benefits may be made payable to his parents, guardian, conservator, or other person actually supporting him, or if the entire cost of the insurance has been borne by the employer such benefits may be made payable to the employer. The policy may provide that all or any portion of any indemnities provided by such policy on account of hospital, nursing, medical, or surgical services may, at the insurer's option, be paid directly to the hospital or person rendering such services; but the policy may not require that the service be rendered by a particular hospital or person. Payment so made shall discharge the insurer's obligation with respect to the amount of insurance so paid.

Source: SL 1966, ch 111, ch 26, § 7; SL 1993, ch 213, § 260.
S.D. Codified Laws § 58-17E-40 — SD Code / Title 58 / Chapter 17E / Section 58-17E-40
Prohibited conduct
Status: in_force

No discount medical plan organization may:

(1) Except as otherwise provided in this chapter or as a disclaimer of any relationship between discount medical plan benefits and insurance, or as a description of an insurance product connected with a discount medical plan, use the term, insurance, in any advertisement, marketing material, brochure, or discount medical plan cards;

(2) Use in any advertisement, marketing material, brochure, or discount medical plan card, the terms, health plan, coverage, co-pay, co-payments, deductible, preexisting conditions, guaranteed issue, premium, PPO, preferred provider organization, or other term in a manner that could reasonably mislead an individual into believing that the discount medical plan is health insurance;

(3) Use language in any advertisement, marketing material, brochure, or discount medical plan card with respect to being licensed or registered by the Division of Insurance in a manner that could reasonably mislead an individual into believing that the discount medical plan is insurance or has been endorsed by the state;

(4) Make misleading, deceptive, or fraudulent representations regarding the discount or range of discounts offered by the discount medical plan or the access to any range of discounts offered by the discount medical plan;

(5) Have restrictions on access to discount medical plan providers, including, except for hospital services, waiting periods and notification periods; or

(6) Pay providers any fees for medical or ancillary services or collect or accept money from a member to pay a provider for medical or ancillary services provided under the discount medical plan, unless the discount medical plan organization has an active certificate of authority to act as a third party administrator in accordance with chapter 58-29D .

Source: SL 2006, ch 257, § 39.
S.D. Codified Laws § 58-33-13.1 — SD Code / Title 58 / Chapter 33 / Section 58-33-13.1
Sex or marital status discrimination prohibited--Exceptions
Status: in_force

An insurance contract may not be denied to an insured or prospective insured on the basis of his or her sex or marital status. The amount of benefits payable, or any term, conditions, or type of coverage shall not be restricted, modified, excluded, or reduced on the basis of the sex or marital status of the insured or prospective insured except to the extent the amount of benefits, term, conditions, or type of coverage vary as a result of the application of rate differentials permitted under this title. However, an insurer may take marital status into account for the purpose of defining persons eligible for dependents benefits. This section shall not affect the right of fraternal benefit societies to determine eligibility requirements for membership. This section shall apply to all contracts delivered or issued for delivery in this state by an insurer on or after July 1, 1980 and to all existing group contracts which are amended on or after July 1, 1980.

Source: SL 1979, ch 341, §§ 19, 20.
S.D. Codified Laws § 58-15-70 — SD Code / Title 58 / Chapter 15 / Section 58-15-70
Policy settlements by life insurer
Status: in_force

Any life insurer shall have the power to hold under agreement the proceeds of any policy issued by it, upon such terms and restrictions as to revocation by the policyholder and control by beneficiaries, and with such exemptions from the claims of creditors of beneficiaries other than the policyholder as set forth in the policy or as agreed to in writing by the insurer and the policyholder. Upon maturity of a policy, in the event the policyholder has made no such agreement, the insurer shall have the power to hold the proceeds of the policy under an agreement with the beneficiaries. The insurer shall not be required to segregate the funds so held but may hold them as part of its general assets.

Source: SL 1966, ch 111, ch 23, § 32.
S.D. Codified Laws § 58-15-36 — SD Code / Title 58 / Chapter 15 / Section 58-15-36
Amount of insurance varying with duration of policy--Adjustment of premiums
Status: in_force

In the case of a policy providing an amount of insurance varying with duration of the policy, the equivalent uniform amount thereof for the purpose of §§ 58-15-35 to 58-15-38 , inclusive, shall be deemed to be the uniform amount of insurance provided by an otherwise similar policy, containing the same endowment benefit or benefits, if any, issued at the same age and for the same term, the amount of which does not vary with duration and the benefits under which have the same present value at the date of issue as the benefits under the policy, provided, however, that in the case of a policy providing a varying amount of insurance issued on the life of a child under age ten, the equivalent uniform amount may be computed as though the amount of insurance provided by the policy prior to the attainment of age ten were the amount provided by such policy at age ten.

Source: SL 1966, ch 111, ch 23, § 28 (5).
S.D. Codified Laws § 58-33-65.1 — SD Code / Title 58 / Chapter 33 / Section 58-33-65.1
Private remedy or right of action prohibited
Status: in_force

Nothing contained in §§ 58-33-59 to 58-33-65 , inclusive, may grant, or be construed to grant, any private remedy or right of action.

Source: SL 1986, ch 421, § 2.
S.D. Codified Laws § 58-5A-59 — SD Code / Title 58 / Chapter 5A / Section 58-5A-59
Notification to director of certain investments into one corporation
Status: in_force

The director shall be notified within thirty days of any investment of the domestic insurer in any one corporation if the total investment in the corporation by the insurance holding company system exceeds ten percent of the corporation's voting securities.

Source: SL 1992, ch 341, § 24.
S.D. Codified Laws § 58-5A-22 — SD Code / Title 58 / Chapter 5A / Section 58-5A-22
Initial and annual registration fees
Status: in_force

The initial fee for registration required under the provisions of this chapter shall be fifty dollars and an additional fee of fifty dollars shall be payable on July first of each calendar year thereafter so long as such registration continues.

Source: SL 1972, ch 267, § 16.
S.D. Codified Laws § 58-24-40 — SD Code / Title 58 / Chapter 24 / Section 58-24-40
Subscribers to rating services--Rules of rating organization
Status: in_force

Subject to rules and regulations of the rating organization that have been approved by the director as reasonable, each rating organization shall permit any insurer that is not a member to be a subscriber to its rating services for any kind of insurance for which it is licensed. Notice of any proposed change to a rule shall be given to each subscriber. Each rating organization shall furnish its rating services without discrimination to each member and subscriber.

Source: SL 1966, ch 111, ch 15, § 6 (2); SL 2014, ch 239, § 7.
S.D. Codified Laws § 58-17H-42 — SD Code / Title 58 / Chapter 17H / Section 58-17H-42
Insufficient information for determination of prospective urgent care requests
Status: in_force

If the benefit request involves a prospective review urgent care request, the provisions of § 58-17H-41 apply only in the case of a failure that:

(1) Is a communication by a covered person or, if applicable, the covered person's authorized representative, that is received by a person or organizational unit of the health carrier responsible for handling benefit matters; and

(2) Is a communication that refers to a specific covered person, a specific medical condition or symptom, and a specific health care service, treatment, or provider for which approval is being requested.

Source: SL 2011, ch 219, § 67.
S.D. Codified Laws § 58-18-84 — SD Code / Title 58 / Chapter 18 / Section 58-18-84
Diabetes coverage not required of certain plans and policies
Status: in_force

The provisions of § 58-18-83 do not apply to any plan, policy, or contract that provides coverage only for:

(1) Specified disease;

(2) Hospital indemnity;

(3) Fixed indemnity;

(4) Accident - only;

(5) Credit;

(6) Dental;

(7) Vision;

(8) Prescription drug;

(9) Medicare supplement;

(10) Long - term care;

(11) Disability income insurance;

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

(13) Workers' compensation or similar insurance;

(14) Automobile medical payment insurance;

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

(16) Individual nonmajor medical insurance.

Source: SL 1999, ch 252, § 4.
S.D. Codified Laws § 58-5A-97 — SD Code / Title 58 / Chapter 5A / Section 58-5A-97
Liquidity stress test framework--Scope criteria--Promulgation of rules
Status: in_force

The ultimate controlling person of every insurer subject to registration and scoped into the NAIC liquidity stress test framework must file the results of a specific year’s liquidity stress test. The filing must be made to the lead state insurance director or commissioner of the insurance holding company system as determined by the procedures within the financial analysis handbook adopted by the director pursuant to rules promulgated under chapter 1-26 .

The NAIC liquidity stress test framework includes scope criteria applicable to a specific data year. The scope criteria are reviewed at least annually by the financial stability task force or its successor. Any change to the NAIC liquidity stress test framework or to the data year for which the scope criteria are to be measured is effective on January first of the year following the calendar year when such changes are adopted. Insurers meeting at least one threshold of the scope criteria are scoped into the NAIC liquidity stress test framework for the specified data year unless the lead state insurance director or commissioner, in consultation with insurance commissioners at the NAIC financial stability task force or its successor, determines the insurer may not be scoped into the framework for that data year. Insurers that do not trigger at least one threshold of the scope criteria are considered scoped out of the NAIC liquidity stress test framework for the specified data year, unless the lead state insurance director or commissioner, in consultation with the NAIC financial stability task force or its successor, determines the insurer should be scoped into the framework for that data year.

The performance of, and filing of the results from, a specific year’s liquidity stress test must comply with the NAIC liquidity stress test framework’s instructions and reporting templates for that year and any lead state insurance director or commissioner determinations, in consultation with the NAIC financial stability task force or its successor, provided within the framework.

The director may promulgate rules pursuant to chapter 1-26 to establish requirements, standards, criteria, exemptions, and limitations for the liquidity stress test and related filings.

Source: SL 2024, ch 201, § 10.
S.D. Codified Laws § 58-25-17 — SD Code / Title 58 / Chapter 25 / Section 58-25-17
Violation of chapter--Imposition of penalties by director
Status: in_force

The director may, if he finds that any person or organization has violated any provision of this chapter, impose a penalty of not more than two hundred fifty dollars for each such violation, but, if he finds such violation to be willful he may impose a penalty of not more than one thousand dollars for each such violation. Such penalties may be in addition to any other penalty provided by law.

Source: SL 1966, ch 111, ch 14, § 6 (1).
S.D. Codified Laws § 58-18B-35 — SD Code / Title 58 / Chapter 18B / Section 58-18B-35
Director to promulgate rules regulating sale of multiple employer trusts and welfare arrangements--Scope of rules
Status: in_force

The director shall promulgate rules pursuant to chapter 1-26 regulating the solicitation and sale of multiple employer trusts and multiple employer welfare arrangements. In considering the promulgation of rules pursuant to this section, the director shall take into consideration, the status of the small employer market, the impact such rules would have on the availability of health insurance and the impact such rules may have on the fair marketing of health insurance in this state. Rules promulgated pursuant to this section may not directly or indirectly affect stop loss or excess insurance covering health claims of employees arising from self - funded employee health programs. The rules may cover:

(1) Suitability and eligibility of insureds for coverage;

(2) Method of premium payments;

(3) Contractual obligations and policy provisions of carriers;

(4) Form filing requirements, including those for approval and disapproval;

(5) Reporting and recordkeeping requirements;

(6) Definition of terms; and

(7) Eligibility of insurers.

Source: SL 1995, ch 281, § 30; SL 1997, ch 289, § 20; SL 1998, ch 293, § 1.
S.D. Codified Laws § 58-29B-112 — SD Code / Title 58 / Chapter 29B / Section 58-29B-112
Third party's claim contingent on judgment against insured--Consideration
Status: in_force

The claim of a third party which is contingent only on his first obtaining a judgment against the insured shall be considered and allowed as if there were no such contingency.

Source: SL 1989, ch 436, § 112.
S.D. Codified Laws § 58-32-34 — SD Code / Title 58 / Chapter 32 / Section 58-32-34
Liability of insurer as to losses and unearned premiums
Status: in_force

As to a surplus line risk which has been assumed by an unauthorized insurer and for which the premium has been received by the surplus line broker who placed such insurance, the insurer shall be deemed to have received the premium due to it for such coverage, and for unearned premiums which may become payable to the insured upon cancellation of such insurance, whether or not the broker is indebted to the insurer with respect to such insurance or for any other cause.

Source: SL 1966, ch 111, ch 11, § 11 (1).
S.D. Codified Laws § 58-24-20 — SD Code / Title 58 / Chapter 24 / Section 58-24-20
Disapproval of filing with respect to specially rated risks--Notice, contents
Status: in_force

If within thirty days after a specific inland marine rate on a risk specially rated by a rating organization or after a special surety or guaranty filing subject to § 58-24-17 has become effective, the director finds that such filing does not meet the requirements of this chapter, he shall send to the rating organization or insurer which made such filing written notice of disapproval of such filing specifying therein in what respects he finds that such filing fails to meet the requirements of this chapter and stating when, within a reasonable period thereafter, such filing shall be deemed no longer effective. Said disapproval shall not affect any contract made or issued prior to the expiration of the period set forth in said notice.

Source: SL 1966, ch 111, ch 15, § 5 (2).
S.D. Codified Laws § 58-22-1 — SD Code / Title 58 / Chapter 22 / Section 58-22-1
Definition of terms
Status: in_force

Terms used in this chapter mean:

(1) "Bail bond," cash, property or surety given to obtain a defendant's release;

(1A) "Bail bondsman," a surety bondsman, professional bondsman, or a property bondsman;

(1B) "Cash," the coins and bills issued by the government of the United States and does not include the transfer of funds electronically;

(2) "Insurer," any domestic, foreign, or alien surety company which has qualified generally to transact surety business and specifically to transact bail bond business in this state;

(3) "Professional bondsman," any person who has been approved by the director and who pledges cash or approved unregistered bonds as security for a bail bond in connection with a judicial proceeding and receives or is promised money or other things of value;

(4) "Property bondsman," a person who pledges real or other property as security for a bail bond in a judicial proceeding and who receives or is promised money or other things of value therefor;

(5) "Runner," a person employed by a bail bondsman for the purpose of assisting the bail bondsman in presenting the defendant in court when required or to assist in apprehension and surrender of defendant to the court, or keeping defendant under necessary surveillance. This does not affect the right of a bail bondsman to hire counsel or to ask assistance of law enforcement officers;

(6) "Surety bondsman," any person who has been approved by the director and appointed by an insurer by power of attorney to execute or countersign bail bonds for the insurer in connection with judicial proceedings and who receives or is promised money or other things of value therefor.

Source: SL 1966, ch 111, ch 31, § 1; SL 2013, ch 250, § 1.
S.D. Codified Laws § 58-29B-58 — SD Code / Title 58 / Chapter 29B / Section 58-29B-58
Guaranty associations--Standing to appear in liquidation proceedings
Status: in_force

Any guaranty association or foreign guaranty association may appear in any court proceeding concerning the liquidation of an insurer if such association is or may become liable to act as a result of the liquidation of an insurer if such association is or may become liable to act as a result of the liquidation of an insurer.

Source: SL 1989, ch 436, § 58.
S.D. Codified Laws § 58-46-12 — SD Code / Title 58 / Chapter 46 / Section 58-46-12
Governing board
Status: in_force

At least one of the members of the governing board of a captive insurance company incorporated in this state shall be a resident of this state.

Source: SL 1996, ch 287, § 12; SL 2013, ch 257, § 11.
S.D. Codified Laws § 58-5-3 — SD Code / Title 58 / Chapter 5 / Section 58-5-3
Mutual insurer defined
Status: in_force

A "mutual" insurer is an insurance corporation without capital stock, owned by its policyholders collectively, who have the right to vote in the election of its directors.

Source: SL 1966, ch 111, ch 16, § 3.
S.D. Codified Laws § 58-33-55 — SD Code / Title 58 / Chapter 33 / Section 58-33-55
Waiting period before entry of default order or judgment
Status: in_force

No cease or desist order or judgment by default under §§ 58-33-51 to 58-33-53 , inclusive, shall be entered until the expiration of thirty days from the date of the filing of the affidavit of compliance.

Source: SL 1966, ch 111, ch 13, § 30 (4).
S.D. Codified Laws § 58-6A-19.7 — SD Code / Title 58 / Chapter 6A / Section 58-6A-19.7
Surplus lines producer or excess line producer license required to solicit liability insurance from unauthorized insurer for purchasing group
Status: in_force

No person, firm, association, or corporation may act or aid in any manner in soliciting, negotiating, or procuring liability insurance from an insurer not authorized to do business in this state on behalf of a purchasing group located in this state unless the person, firm, association, or corporation is licensed as a surplus lines producer or excess line producer in accordance with Title 58.

Source: SL 1988, ch 392, § 15; SL 2001, ch 286, § 96.
S.D. Codified Laws § 58-15-84 — SD Code / Title 58 / Chapter 15 / Section 58-15-84
Provisions required in annuity contracts
Status: in_force

In the case of contracts issued on or after July 1, 2004, no contract of annuity, except as stated in § 58-15-83 , may be delivered or issued for delivery in this state unless it contains in substance the following provisions, or corresponding provisions which in the opinion of the director are at least as favorable to the contract holder, upon cessation of payment of considerations under the contract:

(1) That upon cessation of payment of considerations under a contract, or upon the written request of the contract owner, the company shall grant a paid-up annuity benefit on a plan stipulated on the contract of such value as is specified in §§ 58-15-86 , 58-15-87 , 58-15-88 , 58-15-89 , and 58-15-91 ;

(2) If a contract provides for a lump sum settlement at maturity, or at any other time, that upon surrender of the contract at or prior to the commencement of any annuity payments, the company shall pay in lieu of a paid-up annuity benefit a cash surrender benefit of such amount as is specified in §§ 58-15-86 , 58-15-87 , 58-15-89 , and 58-15-91 . Except for a private placement policy the company may reserve the right to defer the payment of the cash surrender benefit for a period not to exceed six months after demand therefor with surrender of the contract after making written request and receiving written approval of the director. The request shall address the necessity and equitability to all policyholders of the deferral. In the case of a private placement policy, the company may reserve the right to defer the payment of the cash surrender value attributable to separate account assets until such assets can, by their respective terms, be converted to cash, which may be greater than six months after demand for such surrender value with surrender of the contract;

(3) A statement of the mortality table, if any, and interest rates used in calculating any minimum paid-up annuity, cash surrender, or death benefits that are guaranteed under the contract, together with sufficient information to determine the amounts of the benefits; and

(4) A statement that any paid-up annuity, cash surrender, or death benefits that may be available under the contract are not less than the minimum benefits required by any statute of the state in which the contract is delivered and an explanation of the manner in which the benefits are altered by the existence of any additional amounts credited by the company to the contract, and indebtedness to the company on the contact, or any prior withdrawals from or partial surrenders of the contract.

Notwithstanding the requirements of this section, a deferred annuity contract may provide that if no considerations have been received under a contract for a period of two full years and the portion of the paid-up annuity benefit at maturity on the plan stipulated in the contract arising from prior considerations paid would be less than twenty dollars monthly, the company may, at its option, terminate the contract by payment in cash of the then present value of the portion of the paid-up annuity benefit, calculated on the basis on the mortality table, if any, and interest rate specified in the contract for determining the paid-up annuity benefit, and by this payment shall be relieved of any further obligation under the contract.

Source: SL 2004, ch 299, § 3; SL 2006, ch 252, § 7.
S.D. Codified Laws § 58-33-42 — SD Code / Title 58 / Chapter 33 / Section 58-33-42
Finality of cease and desist order--Appeal by intervener
Status: in_force

A cease and desist order pursuant to § 58-33-40 shall become final upon expiration of the time allowed for appeals from the director's orders, if no such appeal is taken, or, in event of such an appeal, upon final decision of the court if the court affirms the director's order or dismisses the appeal. An intervener in such hearing shall have the right to appeal as provided in § 58-33-41 .

Source: SL 1966, ch 111, ch 13, § 4 (2).
S.D. Codified Laws § 58-2-14 — SD Code / Title 58 / Chapter 2 / Section 58-2-14
Division personnel--Termination of employment by department
Status: in_force

The Department of Labor and Regulation may at any time terminate the employment of any person in the division.

Source: SL 1966, ch 111, ch 2, § 4 (7); 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 § 58-34-4 — SD Code / Title 58 / Chapter 34 / Section 58-34-4
Application of chapter to foreign reciprocal insurers
Status: in_force

All authorized reciprocal insurers shall be governed by those sections of this chapter not expressly made applicable to domestic reciprocals.

Source: SL 1966, ch 111, ch 19, § 3 (1).
S.D. Codified Laws § 58-18C-7 — SD Code / Title 58 / Chapter 18C / Section 58-18C-7
Continuation policy not required in certain circumstances
Status: in_force

No insurer may be required to offer or renew a continuation policy covering any person if:

(1) The person is covered for similar benefits by another individual or group policy;

(2) Similar benefits are provided for or available to such person, by reason of any state or federal law;

(3) The benefits under sources of the kind referred to in subdivision (1) for such person or benefits provided or available under sources of the kind referred to in subdivision (2) for such person, together with the continued policy's benefits, would result in overinsurance according to the insurer's standards for overinsurance;

(4) There has been fraud or material misrepresentation in applying for any benefits under continued or converted policy;

(5) The person failed to pay any required contribution; or

(6) Cancellation of all similar insurance policies in the entire state.

Source: SL 1998, ch 294, § 7; SL 2005, ch 270, § 4.
S.D. Codified Laws § 58-29D-9 — SD Code / Title 58 / Chapter 29D / Section 58-29D-9
Director's access to administrator's records--Confidentiality
Status: in_force

The director shall have access to books and records maintained by an administrator for the purposes of examination, audit, and inspection. Any trade secrets contained in such books and records, including the identity and addresses of policyholders and certificate holders, shall be kept confidential, except that the director may use such information in any proceeding instituted against the administrator.

Source: SL 1992, ch 352, § 9.
S.D. Codified Laws § 58-26-55 — SD Code / Title 58 / Chapter 26 / Section 58-26-55
Confidentiality of material supporting opinion of qualified actuary
Status: in_force

Any memorandum in support of the opinion, required pursuant to §§ 58-26-46 to 58-26-49 , inclusive, and any other material provided by the company to the director in connection with the opinion, shall be kept confidential by the director, other than for the purpose of defending an action seeking damages from any person by reason of any action required by this chapter or by rules promulgated pursuant to this chapter. However, the memorandum or other material may otherwise be released by the director with the written consent of the company or to the American Academy of Actuaries upon request stating that the memorandum or other material is required for the purpose of professional disciplinary proceedings and setting forth procedures satisfactory to the director for preserving the confidentiality of the memorandum or other material. If any portion of the confidential memorandum is cited by the company in its marketing or is cited before any governmental agency other than a state insurance department or division or is released by the company to the news media, all portions of the confidential memorandum are no longer confidential.

Source: SL 1995, ch 284, § 11.
S.D. Codified Laws § 58-5B-1 — SD Code / Title 58 / Chapter 5B / Section 58-5B-1
Definition of terms
Status: in_force

Terms as used in this chapter, unless the context otherwise requires, mean:

(1) "Director," the director of insurance or a designee;

(2) "Licensed health care provider," includes a physician and surgeon, osteopath, osteopathic physician and surgeon, or nurse licensed pursuant to the laws of a state, and a hospital licensed pursuant to the laws of a state;

(3) "Medical malpractice insurance," insurance coverage against the legal liability of the insured and against loss, damage, or expense incident to a claim arising out of the death or injury of any person as the result of negligence or malpractice in rendering professional service by any licensed health care provider;

(4) "State" or "states," any or all of the states of Montana, Nebraska, North Dakota, South Dakota, and Wyoming.

Source: SL 1976, ch 315, § 1.
S.D. Codified Laws § 58-15-33 — SD Code / Title 58 / Chapter 15 / Section 58-15-33
Cash surrender value--Amount available under policy on default of premium--Paid-up policy
Status: in_force

Any cash surrender value available under the policy in the event of default in a premium payment due on any policy anniversary, whether or not required by § 58-15-31 shall be an amount not less than the excess, if any, of the present value on such anniversary, of the future guaranteed benefits which would have been provided for by the policy, including any existing paid - up additions, if there had been no default, over the sum of the then present value of the adjusted premiums as defined in §§ 58-15-35 to 58-15-38 , inclusive, and §§ 58-15-43.1 to 58-15-43.11 , inclusive, corresponding to premiums which would have fallen due on and after such anniversary, and the amount of any indebtedness to the insurer on the policy. Any cash surrender value available within thirty days after any policy anniversary under any policy paid up by completion of all premium payments or any policy continued under any paid - up nonforfeiture benefit, whether or not required by § 58-15-31 , shall be an amount not less than the present value, on such anniversary, of the future guaranteed benefits provided for by the policy, including any existing paid - up additions, decreased by any indebtedness to the insurer on the policy.

However, for any policy issued on or after the operative date of §§ 58-15-43.1 to 58-15-43.11 , inclusive, which provides supplemental life insurance or annuity benefits at the option of the insured and for an identifiable additional premium by rider or supplemental policy provision, the cash surrender value referred to in the first paragraph of this section shall be an amount not less than the sum of the cash surrender value as defined in that paragraph for an otherwise similar policy issued at the same age without a rider or supplemental policy provision and the cash surrender value as defined in that paragraph for a policy which provides only the benefits otherwise provided by a rider or supplemental policy provision.

Further, for any family policy issued on or after the operative date of §§ 58-15-43.1 to 58-15-43.11 , inclusive, which defines a primary insured and provides term insurance on the life of the spouse of the primary insured expiring before the spouse's age seventy - one, the cash surrender value referred to in the first paragraph of this section shall be an amount not less than the sum of the cash surrender value as defined in that paragraph for an otherwise similar policy issued at the same age without term insurance on the life of the spouse and the cash surrender value as defined in that paragraph for a policy which provides only the benefits otherwise provided by term insurance on the life of the spouse.

Any cash surrender value available within thirty days after any policy anniversary under any policy paid - up by completion of all premium payments or any policy continued under any paid - up nonforfeiture benefit, whether or not required by § 58-15-31 , shall be an amount not less than the present value, on such anniversary of the future guaranteed benefits provided for by the policy, including any existing paid - up additions, decreased by any indebtedness to the insurer on the policy.

If the cash surrender value is in excess of one million dollars, the term, cash surrender value, may include payment of assets to the policyholder as well as payment of cash, if allowed under the policy, with the consent of the policyholder.

Source: SL 1966, ch 111, ch 23, § 28 (3); SL 1982, ch 357, § 2; SL 2001, ch 54, § 6; SL 2003, ch 245, § 6.
S.D. Codified Laws § 58-32-26 — SD Code / Title 58 / Chapter 32 / Section 58-32-26
Violation as misdemeanor--Revocation of licenses after hearing--Waiting period for new license
Status: in_force

A broker who violates any provision in §§ 58-32-21 to 58-32-25 , inclusive, is guilty of a Class 2 misdemeanor. If the director finds, after hearing conducted pursuant to chapter 1-26 , that the broker has violated any of such sections he shall revoke all licenses held by him under this title, and shall not again license such individual under this title within a period of two years after such revocation became final.

Source: SL 1966, ch 111, ch 11, § 7; SL 1978, ch 359, § 6.
S.D. Codified Laws § 58-6A-16.1 — SD Code / Title 58 / Chapter 6A / Section 58-6A-16.1
Exemptions for purchasing group and insurer in regard to liability insurance--Subject to other laws
Status: in_force

A purchasing group and its insurer or insurers are subject to all applicable laws of this state, except that a purchasing group and its insurer or insurers are exempt, in regard to liability insurance for the purchasing group, from any law that would:

(1) Prohibit the establishment of a purchasing group;

(2) Make it unlawful for an insurer to provide or offer to provide insurance on a basis providing advantages to a purchasing group or its members based on their loss and expense experience, which coverage is not afforded to other persons with respect to rates, policy forms, coverages, or other matters;

(3) Prohibit a purchasing group or its members from purchasing insurance on a group basis as described in subdivision (2) of this section;

(4) Prohibit a purchasing group from obtaining insurance on a group basis because the group has not been in existence for a minimum period of time or because any member has not belonged to the group for a minimum period of time;

(5) Require that a purchasing group shall have a minimum number of members, common ownership or affiliation, or certain legal form;

(6) Require that a certain percentage of a purchasing group shall obtain insurance on a group basis;

(7) Otherwise discriminate against a purchasing group or any of its members; or

(8) Require that any insurance policy issued to a purchasing group or any of its members be countersigned by an insurance producer residing in this state.

Source: SL 1988, ch 392, § 4; SL 2001, ch 286, § 91.
S.D. Codified Laws § 58-33-113 — SD Code / Title 58 / Chapter 33 / Section 58-33-113
Continuing education--Summary of supervision procedures and controls
Status: in_force

An insurer providing health insurance in this state shall require its listed producers to obtain not less than one hour of continuing education every four years covering:

(1) Identification of unauthorized health insurance; and

(2) The producer's responsibilities under §§ 58-33-93 to 58-33-116 , inclusive.

A third party administrator, preferred provider organization, or insurer shall include in its application for a license a brief summary of its procedures and controls required under § 58-33-112 . A license or registration application may be denied if the applicant fails to demonstrate that the applicant maintains the required procedures and controls.

Source: SL 2007, ch 292, § 21.
S.D. Codified Laws § 58-16-38 — SD Code / Title 58 / Chapter 16 / Section 58-16-38
Certificate to be delivered to insured
Status: in_force

Except as provided in § 58-16-31 , a policy of group life insurance shall contain a provision that the insurer will issue to the policyholder for delivery to each person insured an individual certificate setting forth a statement as to the insurance protection to which he is entitled, to whom the insurance benefits are payable, and the rights and conditions set forth in §§ 58-16-39 to 58-16-41 , inclusive.

Source: SL 1966, ch 111, ch 24, § 3 (7).
S.D. Codified Laws § 58-33-21 — SD Code / Title 58 / Chapter 33 / Section 58-33-21
Reduced rate permitted for life or health insurance policies or annuity contracts on payroll deduction plan
Status: in_force

Nothing in §§ 58-33-14 and 58-33-15 shall be construed as including within the definition of discrimination or rebates, issuing life or health insurance policies or annuity contracts on a salary savings or payroll deduction plan or other distribution plan at reduced rate reasonably commensurate with the savings made by the use of such plan.

Source: SL 1966, ch 111, ch 13, § 15 (5).
S.D. Codified Laws § 58-18A-81 — SD Code / Title 58 / Chapter 18A / Section 58-18A-81
Time for bringing existing contract into compliance with statutory requirements
Status: in_force

A contract that provides health care benefits and that was issued before July 1, 2006, shall be brought into compliance with §§ 58-18A-53 to 58-18A-83 , inclusive, by the later of:

(1) The next anniversary date or renewal date of the contract;

(2) Twelve months following July 1, 2006; or

(3) The expiration of any applicable collectively bargained contract pursuant to which it was written.

For the transition period between the adoption of §§ 58-18A-53 to 58-18A-83 , inclusive, and the timeframe for which plans are to be in compliance pursuant to this section, no plan that is subject to the prior COB requirements may be considered a noncomplying plan by a plan subject to the new COB requirements. If there is a conflict between the prior COB requirements under the prior act and the new COB requirements under §§ 58-18A-53 to 58-18A-83 , inclusive, the prior COB requirements shall apply.

Source: SL 2006, ch 259, § 29.
S.D. Codified Laws § 58-30-122 — SD Code / Title 58 / Chapter 30 / Section 58-30-122
Continuing education requirements--Provider and instructor--Approval or disapproval by director--Prohibitions--Promulgation of rules
Status: in_force

The director may approve or disapprove a provider or instructor. Each provider is responsible for the actions of the provider's instructor. The provider and the instructor shall conduct themselves in a professional manner and may not:

(1) Offer or teach any course not approved by the director or not complying with any insurance statute or rule;

(2) Deviate from approved course outlines; or

(3) Misrepresent any course material or other information.

The director may promulgate rules, in accordance with chapter 1-26 , to establish the necessary criteria for disapproval of a provider or instructor.

Source: SL 1990, ch 406, § 2; SL 2025, ch 197, § 6.
S.D. Codified Laws § 58-28-31 — SD Code / Title 58 / Chapter 28 / Section 58-28-31
Regulation of variable contracts by director--Rules--Review of contracts--Disclosure document
Status: in_force

The director has sole authority to regulate the issuance and sale of variable contracts and promulgate rules to carry out the purposes and provisions of this chapter. The Division of Insurance may, upon request by the director, review the underlying investments in securities of variable contracts. The Division of Insurance may require filing a disclosure document with the Division of Insurance pursuant to chapter 47-31B .

Source: SL 1966, ch 111, ch 6, § 36(10) as added by SL 1967, ch 131; SDCL § 58-28-11; SL 1969, ch 133; SL 1971, ch 266, § 4; SL 1986, ch 22, § 37; SL 1993, ch 365; SL 2004, ch 278, § 66; SL 2017, ch 231 (Ex. Ord. 17-2 ), § 19, eff. Apr. 13, 2017.
S.D. Codified Laws § 58-27-69 — SD Code / Title 58 / Chapter 27 / Section 58-27-69
Authorization of investment or loan by board or committee of insurer
Status: in_force

An insurer may not make any investment or loan, other than policy loans or annuity contract loans of a life insurer, unless the same is authorized, approved, or ratified by the insurer's board of directors or by a committee authorized by such board and charged with the supervision or making of such investment or loan. The minutes of any such committee shall be recorded and regular reports of such committee shall be submitted to the board of directors.

Source: SL 1966, ch 111, ch 6, § 4; SL 1997, ch 294, § 19.
S.D. Codified Laws § 58-44-4 — SD Code / Title 58 / Chapter 44 / Section 58-44-4
Chapter not applicable under certain circumstances
Status: in_force

The provisions of this chapter do not apply if:

(1) The controlling broker:

(a) Places insurance only with the controlled insurer, or only with the controlled insurer and a member or members of the controlled insurer's holding company system, or the controlled insurer's parent, affiliate or subsidiary and receives no compensation based upon the amount of premiums written in connection with the insurance; and

(b) Accepts insurance placements only from nonaffiliated brokers, and not directly from insureds; and

(2) The controlled insurer, except for insurance business written through a residual market facility, accepts insurance business only from a controlling broker, a broker controlled by the controlled insurer, a broker that is a subsidiary of the controlled insurer. Residual market facility includes government insurance programs, risk pools, and assigned risk plans.

Source: SL 1992, ch 358, § 4.
S.D. Codified Laws § 58-26-57 — SD Code / Title 58 / Chapter 26 / Section 58-26-57
Mortality tables used for ordinary life insurance policies
Status: in_force

The tables that shall be used for ordinary policies of life insurance issued on the standard basis, excluding any disability and accidental death benefits in the policies are: the Commissioners 1941 Standard Ordinary Mortality Table for policies issued prior to the operative date of §§ 58-15-38 and 58-15-42 , the Commissioners 1958 Standard Ordinary Mortality Table for policies issued on or after the operative date of §§ 58-15-38 and 58-15-42 , and prior to the operative date of §§ 58-15-43.1 to 58-15-43.11 , inclusive, provided that for any category of policies issued on female risks, all modified net premiums and present values referred to in this chapter may be calculated according to an age not more than six years younger than the actual age of the insured; and for such policies issued on or after the operative date of §§ 58-15-43.1 to 58-15-43.11 , inclusive, (i) the Commissioners 1980 Standard Ordinary Mortality Table, or (ii) at the election of the company for any one or more specified plans of life insurance, the Commissioners 1980 Standard Ordinary Mortality Table with ten-year select mortality factors, or (iii) any ordinary mortality table, adopted after 1980 by the NAIC, which is approved by rules promulgated pursuant to chapter 1-26 by the director for use in determining the minimum standard of valuation for the policies.

Source: SL 1995, ch 284, § 13; SL 2015, ch 254, § 7.
S.D. Codified Laws § 58-29B-30 — SD Code / Title 58 / Chapter 29B / Section 58-29B-30
Records to remain confidential--Exceptions
Status: in_force

In any proceeding and judicial review thereof under the provisions of §§ 58-29B-13.1 to 58-29B-29 , inclusive, all records of the insurer, other documents, and all Division of Insurance files and court records and papers, so far as they pertain to or are a part of the record of the proceedings, shall be and remain confidential except as is necessary to obtain compliance therewith, unless the circuit court of Hughes County, after hearing arguments from the parties in chambers, shall order otherwise, or unless the insurer requests that the matter be made public. Until such court order, all papers filed with the clerk of the circuit court of Hughes County shall be held by him in a confidential file.

Source: SL 1989, ch 436, § 30.
S.D. Codified Laws § 58-20-8 — SD Code / Title 58 / Chapter 20 / Section 58-20-8
Payment of compensation by employer or insurance carrier bars recovery against the other
Status: in_force

Payment of such compensation, in whole or in part, by either the employer or the insurance carrier shall, to the extent thereof, be a bar to the recovery against the other of the amount so paid.

Source: SL 1966, ch 111, ch 29, § 7.
S.D. Codified Laws § 58-29E-16 — SD Code / Title 58 / Chapter 29E / Section 58-29E-16
Prohibition regarding the assessment or collection of fees
Status: in_force

A pharmacy benefit manager may not assess, charge, or collect, from a pharmacy or pharmacist, any remuneration or fee, including:

(1) An accreditation fee;

(2) A brand effective rate fee;

(3) A claim processing fee;

(4) A credentialing fee;

(5) A dispensing fee;

(6) An effective rate fee;

(7) A generic effective rate fee;

(8) A pharmacy network participation fee; and

(9) A performance-based fee.

Source: SL 2023, ch 166, § 14.
S.D. Codified Laws § 58-40-26 — SD Code / Title 58 / Chapter 40 / Section 58-40-26
Additional chapters applicable to purchasing organization
Status: in_force

Any organization is subject to all applicable provisions of chapter 58-3 and chapter 58-33 .

Source: SL 1994, ch 382, § 5.
S.D. Codified Laws § 58-28-18 — SD Code / Title 58 / Chapter 28 / Section 58-28-18
Separate account not chargeable with liabilities from other business
Status: in_force

If and to the extent so provided under the applicable contracts, that portion of the assets of any such separate account equal to the reserves and other contract liabilities with respect to such account shall not be chargeable with liabilities arising out of any other business the insurer may conduct.

Source: SL 1966, ch 111, ch 6, § 36 as added by SL 1969, ch 131; SDCL Supp, § 58-28-6.1; SL 1971, ch 266, § 1 (5).
S.D. Codified Laws § 58-4A-6 — SD Code / Title 58 / Chapter 4A / Section 58-4A-6
Unit investigators--Qualifications--Powers--Costs of investigation
Status: in_force

The insurance fraud prevention unit investigators may investigate violations of this chapter. The unit investigators shall be qualified pursuant to the requirements of §§ 23-3-41 , 23-3-42 , and 23-3-44 and have all the powers and authority of law enforcement officers while performing duties pursuant to this chapter. The insurance fraud prevention unit may refer or request assistance from persons delineated in subdivision 58-4A-1(3) for the investigation of fraudulent insurance acts, including access to records. All costs associated with the investigation of fraudulent insurance acts, including those incurred by designees assisting or acting on behalf of the insurance fraud prevention unit, may be paid by the insurance fraud prevention unit fund.

Source: SL 1999, ch 241, § 6; SL 2013, ch 245, § 3.
S.D. Codified Laws § 58-29E-21 — SD Code / Title 58 / Chapter 29E / Section 58-29E-21
Licensure--Denial--Failure to provide information
Status: in_force

In addition to any grounds set forth in § 58-29D-31 , the director may deny a pharmacy benefit manager's application for an initial or a renewed license, and may suspend or revoke a pharmacy benefit manager's license, if the director determines that the pharmacy benefit manager, or an applicant for a license, failed to provide information as required by this chapter.

Source: SL 2023, ch 166, § 19.
S.D. Codified Laws § 58-40-10.4 — SD Code / Title 58 / Chapter 40 / Section 58-40-10.4
Individual policy required for covered spouse of insured--Eligibility--Coverage--Waiting periods
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 eligibility for medicare or social security disability benefits by one spouse the other spouse shall be entitled to have issued to him or her, without evidence of insurability, upon application to the company within sixty 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 1979, ch 343.
S.D. Codified Laws § 58-30-152 — SD Code / Title 58 / Chapter 30 / Section 58-30-152
Issuance of insurance producer license--Permitted lines of authority
Status: in_force

Unless denied licensure pursuant to § 58-30-167 , any person who has met the requirements of §§ 58-30-145 to 58-30-151 , inclusive, shall be issued an insurance producer license. An insurance producer may receive qualification for a license in one or more of the following lines of authority:

(1) Life--insurance coverage on human lives including benefits of endowment and annuities and may include benefits in the event of death or dismemberment by accident and benefits for disability income;

(2) Accident and health or sickness--insurance coverage for sickness, bodily injury, or accidental death and may include benefits in the event of death or dismemberment by accident and for disability income;

(3) Property--insurance coverage for the direct or consequential loss or damage to property of every kind;

(4) Casualty--insurance coverage against legal liability, including that for death, injury, or disability, damage to real or personal property, or fidelity and surety bonds;

(5) Variable life and variable annuity products--insurance coverage provided under variable life insurance contracts and variable annuities;

(6) Personal lines--property and casualty insurance coverage sold to individuals and families for primarily noncommercial purposes;

(7) Limited lines;

(8) Any other line of insurance permitted under state laws or rules.

Source: SL 2001, ch 286, § 12; SL 2010, ch 233, § 12.
S.D. Codified Laws § 58-15-89 — SD Code / Title 58 / Chapter 15 / Section 58-15-89
Election to have payments commence at optional maturity date--Maturity date used for calculation of benefits
Status: in_force

For the purpose of determining the benefits calculated under §§ 58-15-87 and 58-15-88 , in the case of annuity contracts under which an election may be made to have annuity payments commence at optional maturity dates, the maturity date shall be deemed to be the latest date for which election shall be permitted by the contract, but may not be deemed to be later than the anniversary of the contract next following the annuitant's seventieth birthday or the tenth anniversary of the contract, whichever is later.

Source: SL 2004, ch 299, § 8.
S.D. Codified Laws § 58-14-44 — SD Code / Title 58 / Chapter 14 / Section 58-14-44
Restrictions on who may act as agent
Status: in_force

No person, firm, association, or corporation may act as an agent:

(1) For a reinsurer domiciled in this state, unless the agent is a licensed producer in this state;

(2) In this state, if the agent maintains an office either directly or as a member or employee of a firm or association, or an officer, director, or employee of a corporation in this state, unless the agent is a licensed producer in this state;

(3) In another state for a nondomestic insurer, unless the agent is a licensed producer in this state or another state having a law substantially similar to this law or the person is licensed in this state as a nonresident reinsurance intermediary.

Source: SL 1994, ch 379, § 4.
S.D. Codified Laws § 58-5-22 — SD Code / Title 58 / Chapter 5 / Section 58-5-22
Expendable surplus funds required of domestic mutual insurer
Status: in_force

In addition to surplus deposited and thereafter to be maintained as shown in columns (g) and (h) of the schedule in § 58-5-21 , the insurer when first authorized must have on hand surplus funds, which it can thereafter expend in the conduct of its business, in amount not less than fifty percent of the deposited and maintained surplus required of it under the said schedule.

Source: SL 1966, ch 111, ch 16, § 9.
S.D. Codified Laws § 58-26-71 — SD Code / Title 58 / Chapter 26 / Section 58-26-71
Calendar year statutory valuation interest rates defined
Status: in_force

The interest rates used in determining the minimum standard for the valuation of life insurance policies issued in a particular calendar year, on or after the operative date of §§ 58-15-43.1 to 58-15-43.11 , inclusive; individual annuity and pure endowment contracts issued in a particular calendar year on or after January 1, 1983; annuities and pure endowments purchased in a particular calendar year on or after January 1, 1983, under group annuity and pure endowment contracts; and the net increase, if any, in a particular calendar year after January 1, 1983, in amounts held under guaranteed interest contracts; shall be the calendar year statutory valuation interest rates as defined in this section.

(1) The calendar year statutory valuation interest rates, "I", shall be determined as follows and the results rounded to the nearer one-quarter of one percent:

(a) For life insurance,

I = .03 + W(R1 - .03) + W (R2 - .09);

2

(b) For single premiums immediate annuities and for annuity benefits involving life contingencies arising from other annuities with cash settlement options and from guaranteed interest contracts with cash settlement options,

I = .03 + W(R - .03)

where R1 is the lesser of R and .09, R2 is the greater of R and .09, R is the reference interest rate defined in §§ 58-26-71 to 58-26-74 , inclusive, and W is the weighting factor defined in §§ 58-26-71 to 58-26-74 , inclusive;

(c) For other annuities with cash settlement options and guaranteed interest contracts with cash settlement options, valued on an issue year basis, except as stated in subdivision (b), the formula for life insurance stated in subdivision (a) applies to annuities and guaranteed interest contracts with guarantee durations in excess of ten years and the formula for single premium immediate annuities stated in subdivision (b) applies to annuities and guaranteed interest contracts with guarantee duration of ten years or less;

(d) For other annuities with no cash settlement options and for guaranteed interest contracts with no cash settlement options, the formula for single premium immediate annuities stated in subdivision (b) applies;

(e) For other annuities with cash settlement options and guaranteed interest contracts with cash settlement options, valued on a change in fund basis, the formula for single premium immediate annuities stated in subdivision (b) applies.

(2) However, if the calendar year statutory valuation interest rate for any life insurance policies issued in any calendar year determined without reference to this sentence differs from the corresponding actual rate for similar policies issued in the immediately preceding calendar year by less than one-half of one percent, the calendar year statutory valuation interest rate for life insurance policies is equal to the corresponding actual rate for the immediately preceding calendar year. For purposes of applying the immediately preceding sentence, the calendar year statutory valuation interest rate for life insurance policies issued in a calendar year shall be determined for 1980, using the reference interest rate defined in 1979, and shall be determined for each subsequent calendar year regardless of when §§ 58-15-43.1 to 58-15-43.11 , inclusive, became operative.

Source: SL 1995, ch 284, § 27; SL 2015, ch 254, § 15.
S.D. Codified Laws § 58-17-155 — SD Code / Title 58 / Chapter 17 / Section 58-17-155
Exceptions to application of §§58-17-154to58-17-162
Status: in_force

Nothing in §§ 58-17-154 to 58-17-162 , inclusive, applies to nongrandfathered plans in the individual and small group markets that are required to include essential health benefits under the federal Patient Protection and Affordable Care Act of 2010, as in effect on January 1, 2015, or to Medicare supplement, accident-only, specified disease, hospital indemnity, disability income, long-term care, major medical policies with a limited duration of less than twelve months, or other limited benefit hospital insurance policies, or any plan or coverage exempted from state regulation by the Employee Retirement Income Security Act of 1974 (ERISA), 29 U.S.C. 18, as in effect on January 1, 2015.

Source: SL 2015, ch 250, § 2.
S.D. Codified Laws § 58-17H-23 — SD Code / Title 58 / Chapter 17H / Section 58-17H-23
Utilization review to be coordinated with other medical management activity of health carrier
Status: in_force

Each health carrier shall coordinate the utilization review program with other medical management activity conducted by the carrier, such as quality assurance, credentialing, provider contracting data reporting, grievance procedures, processes for assessing member satisfaction, and risk management.

Source: SL 2011, ch 219, § 48.
S.D. Codified Laws § 58-19-35 — SD Code / Title 58 / Chapter 19 / Section 58-19-35
Order for compliance issued by director--Notice and hearing
Status: in_force

Whenever the director finds that there has been a violation of this chapter or any rules or regulations issued pursuant thereto, and after written notice thereof and hearing given to the insurer or other person authorized or licensed by the director, he shall set forth the details of his findings together with an order for compliance by a specified date. Such order shall be binding on the insurer and other person authorized or licensed by the director on the date specified unless sooner withdrawn by the director or a stay thereof has been ordered by a court of competent jurisdiction.

Source: SL 1966, ch 111, ch 27, § 12.
S.D. Codified Laws § 58-25-9 — SD Code / Title 58 / Chapter 25 / Section 58-25-9
Change in rates or premiums or in contract forms--Filing with and approval by director required
Status: in_force

No change in rates or premiums or in the forms of contracts, policies, or guarantees of insurance shall be permitted to any insurer, unless and until a report indicating such change is filed and approved by the director.

Source: SL 1966, ch 111, ch 14, § 3 (3).
S.D. Codified Laws § 58-24-37 — SD Code / Title 58 / Chapter 24 / Section 58-24-37
Duration of rating organization license--Fee
Status: in_force

Each license issued pursuant to § 58-24-36 remains in effect for three years unless suspended or revoked by the director. The license fee for any applicant pursuant to this chapter is twenty-five dollars.

Source: SL 1966, ch 111, ch 15, § 6 (1); SL 2014, ch 239, § 4.
S.D. Codified Laws § 58-29C-52 — SD Code / Title 58 / Chapter 29C / Section 58-29C-52
Funding provided by assessment of members--Classification of assessments--Amounts of assessments--Abatements--Refunds
Status: in_force

A. For the purpose of providing the funds necessary to carry out the powers and duties of the association, the board of directors shall assess the member insurers, separately for each account, at the time and for the amounts as the board finds necessary. Assessments are due not less than thirty days after prior written notice to the member insurers and accrue interest at ten percent per annum on and after the due date.

B. There are two classes of assessments, as follows:

(1) Class A assessments are authorized and called for the purpose of meeting administrative and legal costs and other expenses. Class A assessments may be authorized and called whether or not related to a particular impaired or insolvent insurer.

(2) Class B assessments are authorized and called to the extent necessary to carry out the powers and duties of the association under § 58-29C-51 with regard to an impaired or an insolvent insurer.

C. (1) The amount of a Class A assessment shall be determined by the board and may be authorized and called on a pro rata or non-pro rata basis. If pro rata, the board may provide that it be credited against future Class B assessments.

(2) The amount of a Class B assessment, except for assessments related to long-term care insurance shall be allocated for assessment purposes between the accounts and among the subaccounts of the life insurance and annuity account, pursuant to an allocation formula which may be based on the premiums or reserves of the impaired or insolvent insurer or any other standard the board in its sole discretion determines is fair and reasonable under the circumstances.

(3) The amount of the Class B assessment for long-term care insurance written by the impaired or insolvent insurer shall be allocated according to a methodology included in the association's plan of operation and approved by the director. The methodology shall provide for fifty percent of the assessment to be allocated to accident and health member insurers and fifty percent to be allocated to life and annuity member insurers.

(4) Class B assessments against member insurers for each account and subaccount shall be in the proportion that the premiums received on business in this state by each assessed member insurer on policies or contracts covered by each account for the three most recent calendar years for which information is available preceding the year in which the member insurer became insolvent (or, in the case of an assessment with respect to an impaired insurer, the three most recent calendar years for which information is available preceding the year in which the member insurer became impaired) bears to premiums received on business in this state for those calendar years by all assessed member insurers.

(5) Assessments for funds to meet the requirements of the association with respect to an impaired or insolvent insurer may not be authorized or called until necessary to implement the purposes of this chapter. Classification of assessments under subpart B and computation of assessments under this subpart shall be made with a reasonable degree of accuracy, recognizing that exact determinations may not always be possible. The association shall notify each member insurer of the member insurer's anticipated pro rata share of an authorized assessment not yet called within one hundred eighty days after the assessment is authorized.

D. The association may abate or defer, in whole or in part, the assessment of a member insurer if, in the opinion of the board, payment of the assessment would endanger the ability of the member insurer to fulfill its contractual obligations. In the event an assessment against a member insurer is abated, or deferred in whole or in part, the amount by which the assessment is abated or deferred may be assessed against the other member insurers in a manner consistent with the basis for assessments set forth in this section. Once the conditions that caused a deferral have been removed or rectified, the member insurer shall pay all assessments that were deferred pursuant to a repayment plan approved by the association.

E. (1)(a) Subject to the provisions of subsection (b) of this subdivision, the total of all assessments authorized by the association with respect to a member insurer for each subaccount of the life insurance and annuity account and for the health account may not in one calendar year exceed two percent of that member insurer's average annual premiums received in this state on the policies and contracts covered by the subaccount or account during the three calendar years preceding the year in which the member insurer became an impaired or insolvent insurer.

(b) If two or more assessments are authorized in one calendar year with respect to member insurers that become impaired or insolvent in different calendar years, the average annual premiums for purposes of the aggregate assessment percentage limitation referenced in subsection (a) of this subdivision shall be equal and limited to the higher of the three-year average annual premiums for the applicable subaccount or account as calculated pursuant to this section.

(c) If the maximum assessment, together with the other assets of the association in an account, does not provide in one year in either account an amount sufficient to carry out the responsibilities of the association, the necessary additional funds shall be assessed as soon thereafter as permitted by this chapter.

(2) The board may provide in the plan of operation a method of allocating funds among claims, whether relating to one or more impaired or insolvent insurers, when the maximum assessment will be insufficient to cover anticipated claims.

(3) If the maximum assessment for a subaccount of the life and annuity account in one year does not provide an amount sufficient to carry out the responsibilities of the association, then pursuant to subdivision C(4), the board shall assess the other subaccounts of the life and annuity account for the necessary additional amount, subject to the maximum stated in subdivision (1) of this section.

F. The board may, by an equitable method as established in the plan of operation, refund to member insurers, in proportion to the contribution of each member insurer to that account, the amount by which the assets of the account exceed the amount the board determines is necessary to carry out during the coming year the obligations of the association with regard to that account, including assets accruing from assignment, subrogation, net realized gains, and income from investments. A reasonable amount may be retained in any account to provide funds for the continuing expenses of the association and for future claims.

G. It is proper for any member insurer, in determining the member insurer's premium rates and policy owner dividends as to any kind of insurance within the scope of this chapter, to consider the amount reasonably necessary to meet the member insurer's assessment obligations under this chapter.

H. The association shall issue to each member insurer paying an assessment under this chapter, other than a Class A assessment, a certificate of contribution, in a form prescribed by the director, for the amount of the assessment paid. All outstanding certificates are of equal dignity and priority without reference to amounts or dates of issue. The member insurer in its financial statement may show a certificate of contribution as an asset in the form, amount, and period of time as approved by the director.

I. (1) A member insurer that wishes to protest all or part of an assessment shall pay when due the full amount of the assessment as set forth in the notice provided by the association. The payment is available to meet association obligations during the pendency of the protest or any subsequent appeal. Payment shall be accompanied by a statement in writing that the payment is made under protest and setting forth a brief statement of the grounds for the protest.

(2) Within sixty days following the payment of an assessment under protest by a member insurer, the association shall notify the member insurer in writing of the association's determination with respect to the protest unless the association notifies the member insurer that additional time is required to resolve the issues raised by the protest.

(3) Within thirty days after a final decision has been made, the association shall notify the protesting member insurer in writing of that final decision. Within sixty days of receipt of notice of the final decision, the protesting member insurer may appeal that final action to the director.

(4) In the alternative to rendering a final decision with respect to a protest based on a question regarding the assessment base, the association may refer protests to the director for a final decision, with or without a recommendation from the association.

(5) If the protest or appeal on the assessment is upheld, the amount paid in error or excess shall be returned to the member insurer. Interest on a refund due a protesting member insurer shall be paid at the rate actually earned by the association.

J. The association may request information of member insurers in order to aid in the exercise of the association's power under this section and member insurers shall promptly comply with a request.

Source: SL 2003, ch 252, § 9; SL 2013, ch 252, § 5; SL 2020, ch 210, § 6.
S.D. Codified Laws § 58-41-125 — SD Code / Title 58 / Chapter 41 / Section 58-41-125
Confidentiality of information
Status: in_force

Any information provided to the director by a health maintenance organization relative to risk bearing entities with which it is contracted is confidential and may not be disclosed to any person except to the extent that it is necessary to carry out the purposes of §§ 58-41-120 to 58-41-126 , inclusive, and as allowed by state law, regardless of whether the information is in the form of paper, is preserved on microfilm, or is stored in computer readable form. If the information is disclosed pursuant to this section, the health maintenance organization providing the notice is not liable for the disclosure or any subsequent use or misuse of the information. The health maintenance organization is entitled to claim any statutory privileges against disclosure that the entity that provided the information to the health maintenance organization is entitled to claim. This section is not intended to create a private right of action.

Source: SL 2013, ch 256, § 40.
S.D. Codified Laws § 58-6A-10 — SD Code / Title 58 / Chapter 6A / Section 58-6A-10
Prohibited acts by risk retention group
Status: in_force

The following acts by a risk retention group are hereby prohibited:

(1) The solicitation or sale of insurance by a risk retention group to any person who is not eligible for membership in such group; and

(2) The solicitation or sale of insurance by, or operation of, a risk retention group that is in a hazardous financial condition or is financially impaired.

Source: SL 1987, ch 372, § 10.
S.D. Codified Laws § 58-15-40 — SD Code / Title 58 / Chapter 15 / Section 58-15-40
Additional accident benefits--Premiums disregarded in ascertaining cash surrender value
Status: in_force

Notwithstanding the provisions of § 58-15-33 , additional benefits payable in the event of death or dismemberment by accident or accidental means, in the event of total and permanent disability, as reversionary annuity or deferred reversionary annuity benefits, as term insurance benefits provided by a rider or supplemental policy provision to which if issued as a separate policy, §§ 58-15-31 to 58-15-43 , inclusive, would not apply, as term insurance on the life of a child or on the lives of children provided in a policy on the life of a parent of the child, if such term insurance expires before the child's age is twenty - six, is uniform in amount after the child's age is one, and has not become paid up by reason of the death of a parent of the child, and as other policy benefits additional to life insurance and endowment benefits, and premiums for all such additional benefits, shall be disregarded in ascertaining cash surrender values and nonforfeiture benefits required by §§ 58-15-33 and 58-15-34 , and no such additional benefits shall be required to be included in any paid - up nonforfeiture benefits.

Source: SL 1966, ch 111, ch 23, § 28 (6).
S.D. Codified Laws § 58-16-47 — SD Code / Title 58 / Chapter 16 / Section 58-16-47
Notice to beneficiary of interest
Status: in_force

In any case in which interest on the proceeds of, or payments under, any policy of life insurance becomes payable pursuant to § 58-16-44 , the insurer shall notify the named beneficiary or beneficiaries at their last known address that interest will be paid on the proceeds of or payments under the policy. The notice shall specify the rate of interest to be paid.

Source: SL 1987, ch 375, § 4.
S.D. Codified Laws § 58-38-23 — SD Code / Title 58 / Chapter 38 / Section 58-38-23
Coverage for phenylketonuria
Status: in_force

Every service or indemnity - type contract issued by a nonprofit medical and surgical service plan corporation 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, § 4.
S.D. Codified Laws § 58-3-12.1 — SD Code / Title 58 / Chapter 3 / Section 58-3-12.1
Examinations other than financial examinations--Examination report--Optional or mandatory
Status: in_force

Notwithstanding §§ 58-3-10 and 58-3-12 , for examinations, other than financial examinations, subject to the provisions of this chapter, the director or the examiner may issue an examination report. If an examination report is issued pursuant to this section, the applicable provisions of this chapter apply. If the person being examined makes a written request for an examination report within thirty days of receipt of written notice by the director of the completion of the examination, the director or examiner shall issue the examination report within sixty days of the date of the receipt of the request or the completion of the examination, whichever is later.

Source: SL 2005, ch 262, § 1.
S.D. Codified Laws § 58-5-95 — SD Code / Title 58 / Chapter 5 / Section 58-5-95
Director's consent required for removal of records or assets from state--Unauthorized removal or concealment as felony
Status: in_force

Removal of all or a material part of the records or assets of a domestic insurer from this state except pursuant to a plan of merger or consolidation approved by the director under this title, or for such reasonable purposes and periods of time as may be approved by the director in writing in advance of such removal, or concealment of such records or assets or material part thereof from the director, is prohibited. Any person who removes or attempts to remove such records or assets or such material part thereof from the home office or other place of business or of safekeeping of the insurer in this state with the intent to remove the same from this state, or who conceals or attempts to conceal the same from the director, in violation of this section, is guilty of a Class 5 felony.

Source: SL 1966, ch 111, ch 16, § 24 (3); SL 1978, ch 359, § 4.
S.D. Codified Laws § 58-29B-94.1 — SD Code / Title 58 / Chapter 29B / Section 58-29B-94.1
Association election to succeed to rights and obligations of insolvent insurer under reinsurance contract--Reinsurer's liability to pay claims
Status: in_force

Notwithstanding § 58-29B-94 , if a life and health insurance guaranty association has made the election to succeed to the rights and obligations of the insolvent insurer under the contract of reinsurance, the reinsurer's liability to pay covered reinsured claims continues under the contract of reinsurance, subject to the payment to the reinsurer of the reinsurance premiums for such coverage. Payment for such reinsured claims may only be made by the reinsurer pursuant to the direction of the guaranty association or its designated successor. Any payment made at the direction of the guaranty association or its designated successor by the reinsurer discharges the reinsurer of any further liability to any other party for the claim payment.

Source: SL 2005, ch 274, § 2.
S.D. Codified Laws § 58-32-25 — SD Code / Title 58 / Chapter 32 / Section 58-32-25
Financial condition of surplus line insurer--Ascertainment by broker--Violation as misdemeanor
Status: in_force

A broker shall not knowingly place surplus line insurance with an insurer that is unsound financially, or that is ineligible under §§ 58-32-21 to 58-32-24 , inclusive. The broker shall ascertain the financial condition of the unauthorized insurer to the extent that the same is shown by recent financial statements of the insurer filed with public authorities or published, or as otherwise known to the broker, before placing insurance therewith. Violation of this section is a Class 2 misdemeanor.

Source: SL 1966, ch 111, ch 11, § 6 (1); SL 1978, ch 359, § 2.
S.D. Codified Laws § 58-32-53 — SD Code / Title 58 / Chapter 32 / Section 58-32-53
Deposits of taxes and interest collected on independently procured coverage
Status: in_force

The director shall promptly deposit all taxes and interest collected under §§ 58-32-50 to 58-32-52 , inclusive, with the state treasurer to the credit of the state's general fund.

Source: SL 1966, ch 111, ch 11, § 22 (6).
S.D. Codified Laws § 58-5A-52 — SD Code / Title 58 / Chapter 5A / Section 58-5A-52
Fine, suspension, or revocation for violation of cease and desist order
Status: in_force

Any person who violates a cease and desist order of the director may, after notice and hearing, be subject to one or more of the following:

(1) An administrative fine of not more than ten thousand dollars for every day of violation; and

(2) Suspension or revocation of the person's license.

Source: SL 1992, ch 341, § 14.
S.D. Codified Laws § 58-41-115 — SD Code / Title 58 / Chapter 41 / Section 58-41-115
Health insurance policies to provide coverage for biologically-based mental illnesses
Status: in_force

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

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

Source: SL 1998, ch 291, § 6; SL 1999, ch 251, § 6.
S.D. Codified Laws § 58-35-74 — SD Code / Title 58 / Chapter 35 / Section 58-35-74
Rights of dissenting members and proxy voters not applicable to mergers
Status: in_force

The provisions of §§ 47-1A-1101 to 47-1A-1108 , inclusive, regarding the rights of dissenting members and proxy voting do not apply to mergers of farm mutual insurers pursuant to §§ 58-35-60 to 58-35-74 , inclusive.

Source: SL 1995, ch 293, § 15; SL 2005, ch 202, § 28.
S.D. Codified Laws § 58-37A-10 — SD Code / Title 58 / Chapter 37A / Section 58-37A-10
Procedure for formation of a society--Transaction by unincorporated society is a misdemeanor
Status: in_force

A domestic society organized on or after January 1, 1991, shall be formed according to this section.

Seven or more citizens of the United States, a majority of whom are citizens of this state, who desire to form a fraternal benefit society, may sign and acknowledge before some officer competent to take acknowledgment of deeds, articles of incorporation, in which shall be stated the proposed corporate name of the society, which may not so closely resemble the name of any society or insurance company as to be misleading or confusing; the purposes for which it is being formed and the mode in which its corporate powers are to be exercised; and the names and residences of the incorporators and the names, residences and official titles of all the officers, trustees, directors, or other persons who are to have and exercise the general control of the management of the affairs and funds of the society for the first year or until the ensuing election at which all the officers shall be elected by the supreme governing body, which election shall be held not later than one year from the date of issuance of the permanent certificate of authority.

The articles of incorporation, duly certified copies of the society's bylaws and rules, copies of all proposed forms of certificates, applications therefor, and circulars to be issued by the society and a bond conditioned upon the return to applicants of the advanced payments if the organization is not completed within one year shall be filed with the director, who may require more information as the director considers necessary. The bond with sureties approved by the director shall be in an amount, not less than four hundred thousand dollars nor more than one million five hundred thousand dollars as required by the director. All documents filed are to be in the English language. If the purposes of the society conform to the requirements of this chapter and all provisions of the law have been complied with, the director shall certify, retain and file the articles of incorporation and furnish the incorporators a preliminary certificate of authority authorizing the society to solicit members.

No preliminary certificate of authority granted under the provisions of this section is valid after one year from its date or after a further period, not exceeding one year, as may be authorized by the director upon cause shown, unless the five hundred applicants as required by this chapter are secured and the organization is completed. The articles of incorporation and all other proceedings are void in one year from the date of the preliminary certificate of authority, or at the expiration of the extended period, unless the society completes its organization and receives a certificate of authority to do business.

Upon receipt of a preliminary certificate of authority from the director, the society may solicit members for the purpose of completing its organization, shall collect from each applicant the amount of not less than one regular monthly premium in accordance with its table of rates, and shall issue to each applicant a receipt for the amount collected. No society may incur any liability other than for the return of the advance premium, nor issue any certificate, nor pay, allow, or offer or promise to pay or allow, any benefit to any person until:

(1) Actual bona fide applications for benefits have been secured on five hundred applicants, and any necessary evidence of insurability has been furnished to and approved by the society;

(2) At least ten subordinate lodges have been established into which the five hundred applicants have been admitted;

(3) There has been submitted to the director, under oath of the president or secretary, or corresponding officer of the society, a list of applicants, giving their names, addresses, date each was admitted, name and number of the subordinate lodge of which each applicant is a member, amount of benefits to be granted and premiums therefor; and

(4) It is shown to the director, by sworn statement of the treasurer, or corresponding officer of the society, that five hundred applicants have each paid in cash at least one regular monthly premium, which premiums in the aggregate amount to at least one hundred fifty thousand dollars. The advance premiums shall be held in trust during the period of organization and if the society does not qualify for a certificate of authority within one year, the premiums shall be returned to the applicants.

The director may make an examination and require further information. Upon presentation of satisfactory evidence that the society has complied with all the provisions of law, the director shall issue to the society a certificate of authority to that effect and that the society is authorized to transact business pursuant to the provisions of this chapter. The certificate of authority is prima facie evidence of the existence of the society at the date of the certificate. The director shall cause a record of the certificate of authority to be made. A certified copy of the record may be given in evidence with like effect as the original certificate of authority.

No incorporated society authorized to transact business in this state on January 1, 1991, may be required to reincorporate.

It is a Class 2 misdemeanor for an unincorporated or voluntary association to transact business in the state as a fraternal benefit society.

Source: SL 1990, ch 410, § 10.
S.D. Codified Laws § 58-30-8.2 — SD Code / Title 58 / Chapter 30 / Section 58-30-8.2
Notice requirements inapplicable to exclusive agencies or termination for cause
Status: in_force

The provisions of § 58-30-8.1 do not apply to those agency contracts in which the insurance producer agrees to represent exclusively one company or a group of companies under common management or to the termination of an insurance producer's contract for insolvency, abandonment, gross and willful misconduct, or failure to pay over to the company moneys due to the company after the insurance producer's receipt of a written demand therefor, or after revocation of the insurance producer's license by the director.

Source: SL 1971, ch 271; SL 2001, ch 286, § 159.
S.D. Codified Laws § 58-15-35 — SD Code / Title 58 / Chapter 15 / Section 58-15-35
Adjustment of premiums under nonforfeiture provisions
Status: in_force

Except as provided in § 58-15-37 , the adjusted premiums for any policy shall be calculated on an annual basis and shall be such uniform percentage of the respective premiums specified in the policy for each policy year, excluding any extra premiums charged because of impairments or special hazards, that the present value, at the date of issue of the policy, of all such adjusted premiums shall be equal to the sum of:

(1) The then present value of the future guaranteed benefits provided for by the policy;

(2) Two percent of the amount of the insurance, if the insurance be uniform in amount, or of the equivalent uniform amount, as defined in § 58-15-36 , if the amount of insurance varies with duration of the policy;

(3) Forty percent of the adjusted premium for the first policy year;

(4) Twenty - five percent of either the adjusted premium for the first policy year or the adjusted premium for a whole life policy of the same uniform or equivalent uniform amount with uniform premiums for the whole of life issued at the same age for the same amount of insurance, whichever is less.

However, in applying the percentages specified in subdivisions (3) and (4) above, no adjusted premium shall be deemed to exceed four percent of the amount of insurance or uniform amount equivalent thereto. The date of issue of a policy for the purpose of §§ 58-15-35 to 58-15-38 , inclusive, shall be the date as of which the rated age of the insured is determined. This section and §§ 58-15-36 to 58-15-38 , inclusive, may not apply to policies issued on or after the operative date of §§ 58-15-43.1 to 58-15-43.11 , inclusive.

Source: SL 1966, ch 111, ch 23, § 28 (5); SL 1982, ch 357, § 3.
S.D. Codified Laws § 58-18-45 — SD Code / Title 58 / Chapter 18 / Section 58-18-45
Preexisting conditions--Limitation of waiting periods
Status: in_force

Any health carrier providing group coverage, other than excepted benefits, shall comply with the following provisions:

(1) No policy may deny, exclude, or limit benefits for a covered individual for claims incurred more than twelve months following the effective date of the individual's coverage due to a preexisting condition. No policy may define a preexisting condition more restrictively than a condition for which medical advice, diagnosis, care, or treatment was recommended or received during the six months immediately preceding the effective date of coverage;

(2) A policy shall waive any time period applicable to a preexisting condition exclusion or limitation period for the aggregate period of time an individual was previously covered by creditable coverage that provided benefits with respect to such services, if the creditable coverage was continuous to a date not more than sixty-three days prior to the effective date of the new coverage. The waiver for prior creditable coverage also applies to late enrollees. A period of time a person was previously covered may not be aggregated if there was a break in coverage of sixty-three days or more. The policy shall count a period of creditable coverage, without regard to the specific benefits covered under the policy, unless the policy elects to credit it based on coverage of benefits within several classes or categories of benefits specified in rules adopted by the director. A condition may not be defined or considered as preexisting if the condition arose after a person began creditable coverage and if there was not a break in coverage which exceeded sixty-three days;

(3) A policy may exclude coverage for late enrollees for the greater of eighteen months or for an eighteen-month preexisting condition exclusion. However, if both a period of exclusion from coverage and a preexisting condition exclusion are applicable to a late enrollee, the combined period may not exceed eighteen months from the date the individual enrolls for coverage under the policy;

(4) Genetic information may not be treated as a condition for which a preexisting condition exclusion may be imposed in the absence of a diagnosis of the condition related to such information;

(5) A health maintenance organization which does not utilize a preexisting waiting period may use an affiliation period in lieu of a preexisting waiting period. No affiliation period may exceed two months in length. No premium may be charged for any portion of the affiliation period. If the health maintenance organization utilizes neither a preexisting waiting period nor an affiliation period, the health maintenance organization may use other criteria designed to avoid adverse selection provided that those criteria are approved by the director. In the case of a late enrollee who is subject to an affiliation period, the affiliation period may not exceed three months.

For purposes of this section, the effective date of coverage is the first day the person became covered for either accidents or sicknesses. No covered person under the age of nineteen is subject to a preexisting condition limitation or exclusion for any plan year beginning on or after September 23, 2010. (SL 2011, ch 216, § 19 provides: "The provisions of this Act are repealed if the Patient Protection and Affordable Care Act, Pub. L. No. 111-148, 124 Stat. 119 (2010), as amended by the Health Care and Education Reconciliation Act of 2010, Pub. L. No. 111-152, 124 Stat. 1029 (2010) is found to be unconstitutional in its entirety by a final decision of a federal court of competent jurisdiction and all appeals exhausted or time for appeals elapsed.")

Source: SL 1994, ch 383, § 4; SL 1997, ch 289, § 9; SL 1998, ch 289, § 6; SL 2001, ch 275, § 7; SL 2003, ch 248, § 3; SL 2011, ch 216, § 10.
S.D. Codified Laws § 58-30-150 — SD Code / Title 58 / Chapter 30 / Section 58-30-150
Verification of application information
Status: in_force

The director may require any documents reasonably necessary to verify the information contained in an application.

Source: SL 2001, ch 286, § 10.
S.D. Codified Laws § 58-15-86 — SD Code / Title 58 / Chapter 15 / Section 58-15-86
Present value of paid-up annuity benefit--Computation
Status: in_force

Any paid - up annuity benefit available under a contract shall be such that its present value on the date annuity payments are to commence is at least equal to the minimum nonforfeiture amount on that date. Present value shall be computed using the mortality table, if any, and the interest rates specified in the contract for determining the minimum paid - up annuity benefits guaranteed in the contract.

Source: SL 2004, ch 299, § 5.
S.D. Codified Laws § 58-17E-4 — SD Code / Title 58 / Chapter 17E / Section 58-17E-4
Discount medical plan organization defined
Status: in_force

For the purposes of this chapter, discount medical plan organization, means an entity that, in exchange for fees, dues, charges, or other consideration, provides access for discount medical plan members to providers of medical or ancillary services and the right to receive medical or speciality services from those providers at a discount. It is the organization that contracts with providers, provider networks, or other discount medical plan organizations to offer access to medical or speciality services at a discount and determines the charge to discount medical plan members.

Source: SL 2006, ch 257, § 4.
S.D. Codified Laws § 58-27-90 — SD Code / Title 58 / Chapter 27 / Section 58-27-90
Limitations on acquiring medium or lower grade obligations
Status: in_force

No domestic insurer may acquire, directly or indirectly, any medium or lower grade obligation of any institution if, after acquisition, the aggregate amount of all medium and lower grade obligations then held by the domestic insurer would exceed twenty percent of its admitted assets. Of that twenty percent, no more than ten percent may consist of obligations rated four, five, or six. Of the ten percent, not more than three percent may be a combination of obligations rated five and six. Obligations rated six may not exceed one percent. Attaining or exceeding the limit of any one category does not preclude an insurer from acquiring obligations in other categories subject to the specific and multi - category limits. An insurer may exceed the limit of any one category if the rating of an obligation changes after the purchase, but at no time may the insurer exceed the twenty percent limitation.

Source: SL 1992, ch 350, § 2.
S.D. Codified Laws § 58-25-15 — SD Code / Title 58 / Chapter 25 / Section 58-25-15
False or misleading information as misdemeanor
Status: in_force

No person or organization shall knowingly give false or misleading information to the director, to any insurer or to any other person which will in any manner affect the proper determination of rates or premiums, or the proper issuance of a contract, policy, or guarantee of insurance. Violation of this section is a Class 2 misdemeanor.

Source: SL 1966, ch 111, ch 14, § 5; SL 1978, ch 359, § 2.
S.D. Codified Laws § 58-17I-14 — SD Code / Title 58 / Chapter 17I / Section 58-17I-14
Expedited review decision not initial determination for benefits--Notification--Time periods--Continuation of service involving concurrent review urgent care requests
Status: in_force

An expedited review decision, that is not an initial determination for benefits, shall be made and the covered person or, if applicable, the covered person's authorized representative, shall be notified of the decision in accordance with § 58-17I-15 as expeditiously as the covered person's medical condition requires, but in no event more than seventy-two hours after the date of receipt of the request for the expedited review. If the expedited review is of a grievance involving an adverse determination with respect to a concurrent review urgent care request, the service shall be continued without liability to the covered person until the covered person has been notified of the determination.

For purposes of calculating the time periods within which a decision is required to be made under this section, the time period within which the decision is required to be made shall begin on the date the request is filed with the health carrier in accordance with the health carrier's procedures established pursuant to § 58-17I-6 for filing a request, without regard to whether all of the information necessary to make the determination accompanies the filing.

Source: SL 2011, ch 219, § 86.
S.D. Codified Laws § 58-17K-7 — SD Code / Title 58 / Chapter 17K / Section 58-17K-7
Acting in good faith--Error or omission--Reliance on other entity
Status: in_force

A health insurer acting in good faith and with reasonable diligence is not in violation of this chapter solely because the health insurer:

(1) Makes an error or omission in a disclosure required in this chapter, provided the health insurer corrects the information as soon as practicable; or

(2) Maintains an internet website that is temporarily inaccessible, provided the health insurer makes the information available as soon as practicable.

To the extent this chapter requires a health insurer to obtain information from any other entity, the health insurer does not fail to comply with this chapter if the health insurer relies in good faith on the information from the other entity, unless the health insurer knows, or reasonably should know, the information is incomplete or inaccurate.

Source: SL 2021, ch 213, § 7.
S.D. Codified Laws § 58-8-19 — SD Code / Title 58 / Chapter 8 / Section 58-8-19
Citation of unauthorized insurers process provisions
Status: in_force

Sections 58-8-6 to 58-8-19 , inclusive, constitute and may be cited as the Unauthorized Insurers Process Act.

Source: SL 1966, ch 111, ch 12, § 2 (1).
S.D. Codified Laws § 58-30-151 — SD Code / Title 58 / Chapter 30 / Section 58-30-151
Program of instruction required for licensed insurance producers--Approval by director
Status: in_force

Each insurer that sells, solicits, or negotiates any form of limited line credit insurance shall provide a program of instruction to each business entity acting as a licensed insurance producer for the insurer. Using the insurer's program of instruction, the insurer or the business entity shall train any employee of the business entity whose duties include selling, soliciting, or negotiating limited credit line insurance. Upon request by the director, the program of instruction is subject to approval by the director.

Source: SL 2001, ch 286, § 11.
S.D. Codified Laws § 58-33A-15 — SD Code / Title 58 / Chapter 33A / Section 58-33A-15
Exemptions from requirements
Status: in_force

Unless otherwise specifically included, §§ 58-33A-13 to 58-33A-27 , inclusive, do not apply to any transactions involving:

(1) A direct response solicitation if there is no recommendation based on information collected from the consumer pursuant to §§ 58-33A-13 to 58-33A-27 , inclusive; or

(2) Any contract used to fund:

(a) An employee pension or welfare benefit plan that is covered by the Employee Retirement and Income Security Act (ERISA);

(b) A plan described by sections 401(a), 401(k), 403(b), 408(k), or 408(p) of the Internal Revenue Code (IRC), as of January 1, 2023, if established or maintained by an employer;

(c) A government or church plan defined in section 414 of the IRC as of January 1, 2023, a government or church welfare benefit plan, or a deferred compensation plan of a state or local government or tax exempt organization under section 457 of the IRC as of January 1, 2023; or

(d) A nonqualified deferred compensation arrangement established or maintained by an employer or plan sponsor;

(3) A settlement of or assumption of liabilities associated with personal injury litigation or any dispute or claim resolution process; or

(4) A formal prepaid funeral contract.

The director may, by rules promulgated pursuant to chapter 1-26 , adopt revisions of the Internal Revenue Code which are in substantial compliance with the intent of subsections (b) and (c) of this section.

Source: SL 2008, ch 273, § 3; SL 2022, ch 186, § 3, eff. Jan. 1, 2023.
S.D. Codified Laws § 58-24-45 — SD Code / Title 58 / Chapter 24 / Section 58-24-45
Regulation of payment of dividends, savings, or unabsorbed premium deposits prohibited
Status: in_force

No rating organization may adopt any rule the effect of which would prohibit or regulate the payment of dividends, savings, or unabsorbed premium deposits allowed or returned by insurers to their policyholders, members, or subscribers.

Source: SL 1966, ch 111, ch 15, § 6 (3); SL 2014, ch 239, § 11.
S.D. Codified Laws § 58-5-84 — SD Code / Title 58 / Chapter 5 / Section 58-5-84
Principal place of business during national emergency
Status: in_force

At any time the board of directors of a domestic insurer may, by resolution, provide that in the event of such national emergency the home office or principal place of business of the insurer shall be at such location as is named or described in the resolution. Such resolution may provide for alternate locations and establish an order of preference.

Source: SL 1966, ch 111, ch 16, § 43 (6).
S.D. Codified Laws § 58-15-95 — SD Code / Title 58 / Chapter 15 / Section 58-15-95
Definition of terms regarding identification and location of beneficiaries
Status: in_force

Terms used in §§ 58-15-94 to 58-15-108 , inclusive, mean:

(1) "Beneficiary," any party entitled to receive the proceeds from a policy, an annuity contract, or a retained asset account;

(2) "Beneficiary search," reasonable and good faith efforts, that an insurer documents, to identify a beneficiary, determine a current address for the beneficiary, and contact the beneficiary;

(3) "Death Master File" or "DMF," the United States Social Security Administration's Death Master File or any other database or service that is at least as comprehensive as the United States Social Security Administration's Death Master File for determining that an individual has reportedly died;

(4) "Death Master File match," a search of the DMF that results in a match of the social security number or name and date of birth of an insured;

(5) "Insured," an individual identified in a policy, retained asset account, or annuity contract whose death obligates the insurer to pay benefits or proceeds;

(6) "Knowledge of death," knowledge of death of insured by:

(a) Receipt of an original or valid copy of a certified death certificate; or

(b) A DMF match validated in good faith efforts by the insurer;

(7) "Lapse," the termination of a policy resulting from nonpayment of premiums or, in the case of variable life and universal life insurance policies, the depletion of cash value below the amount needed to keep the policy in force;

(8) "Policy," any policy or certificate of life insurance that provides a death benefit. The term does not include:

(a) Any policy or certificate of life insurance that provides a death benefit under an employee welfare benefit plan subject to the federal Employee Retirement Income Security Act of 1974 (ERISA) as of January 1, 2018, for which the insurer does not provide record-keeping services or under any federal employee benefit program;

(b) Preneed insurance;

(c) Any policy or certificate of credit life or mortgage life;

(d) Any accidental death or health policies, riders, or certificates, including disability and long-term care policies, riders, or certificates; or

(e) Any policy issued to a group master policyholder for which the insurer does not provide record-keeping services;

(9) "Preneed insurance," any life insurance policy or certificate that is used in combination with, in support of, with an assignment to, or as a guarantee for a prearrangement agreement for goods and services to be provided at the time of and immediately following the death of the insured. Goods and services includes embalming, cremation, body preparation, viewing or visitation, coffin or urn, memorial stone, and transportation of the deceased. The status of the policy or contract as preneed insurance is determined at the time of issue in accordance with the policy form filing;

(10) "Record-keeping services," those circumstances under which the insurer has agreed with a group life insurance policy holder or contract owner to be responsible for obtaining, maintaining, and administering the insurer's system or a system for its agents. The information about each individual insured under an insured's group insurance contract (or a line of coverage thereunder) in the system shall include at least the following information:

(a) Social security number or name and date of birth;

(b) Beneficiary designation information;

(c) Coverage eligibility;

(d) Benefit amount; and

(e) Premium payment status;

(11) "Records," information regarding any policy, annuity contract, and retained asset account maintained in the insurer's administrative system or the administrative system of any third party retained by the insurer. The term does not include the information maintained by a group life insurance policyholder or contract owner;

(12) "Retained asset account," any mechanism whereby the settlement of proceeds payable under a policy or individual annuity contract, including the payment of cash surrender value, is accomplished by the insurer or an entity acting on behalf of the insurer establishing an account with check or draft-writing privileges, where those proceeds are retained by the insurer, pursuant to a supplementary contract not involving annuity benefits;

(13) "Retained asset account holder," the owner of a retained asset account or other person to file a claim for, or otherwise receive proceeds in accordance with the terms of the retained asset account.

Source: SL 2018, ch 280, § 2.
S.D. Codified Laws § 58-41-38 — SD Code / Title 58 / Chapter 41 / Section 58-41-38
Statements deemed untrue
Status: in_force

For the purposes of this chapter, a statement or item of information shall be deemed to be untrue if it does not conform to fact in any respect which is or may be significant to an enrollee of, or person considering enrollment in, a health maintenance organization.

Source: SL 1974, ch 321, § 32 (1) (a).
S.D. Codified Laws § 58-10-7 — SD Code / Title 58 / Chapter 10 / Section 58-10-7
Insurance of property--Insurable interest required
Status: in_force

No contract of insurance of property or of any interest in property or arising from property shall be enforceable as to the insurance except for the benefit of persons having an insurable interest in the things insured as at the time of the loss.

Source: SL 1966, ch 111, ch 22, § 6 (1).
S.D. Codified Laws § 58-1-14.1 — SD Code / Title 58 / Chapter 1 / Section 58-1-14.1
Notice of refusal to renew--Thirty-day delivery requirement--Exception
Status: in_force

Notice of refusal to renew an insurance policy as defined in § 58-9-31 is not effective unless mailed or delivered by the insurer to the named insured at least thirty days before the effective renewal date. The policy provisions control if the policy provides for a notice of refusal to renew that exceeds thirty days.

Source: SL 2003, ch 244, § 2.
S.D. Codified Laws § 58-38-17 — SD Code / Title 58 / Chapter 38 / Section 58-38-17
Annual statement of financial condition--Filing--Verification--Form and contents
Status: in_force

Every medical and surgical plan corporation shall annually on or before the first day of March file in the office of the director a statement verified by at least two of the principal officers of said corporation showing its condition on the preceding thirty - first day of December; the statement shall be in such form and shall contain such matters as the director shall prescribe.

Source: SL 1966, ch 111, ch 21, § 7.
S.D. Codified Laws § 58-17E-29 — SD Code / Title 58 / Chapter 17E / Section 58-17E-29
Agreements with entity contracting with provider network
Status: in_force

A provider agreement between a discount medical plan organization and an entity that contracts with a provider network shall require that the entity, in its contracts with the provider network, require the provider network to have written agreements with its providers that comply with the provisions of § 58-17E-28 .

Source: SL 2006, ch 257, § 29.
S.D. Codified Laws § 58-24-46 — SD Code / Title 58 / Chapter 24 / Section 58-24-46
Cooperation between organizations and insurers authorized--Review of cooperative activities by director
Status: in_force

Cooperation among rating organizations or among rating organizations and insurers in rate - making or in other matters within the scope of this chapter is hereby authorized, provided the filings resulting from such cooperation are subject to all the provisions of this chapter which are applicable to filings generally. The director may review such cooperative activities and practices and if, after a hearing, he finds that any such activity or practice is unfair or unreasonable or otherwise inconsistent with the provisions of this chapter, he may issue a written order specifying in what respects such activity or practice is unfair or unreasonable or otherwise inconsistent with the provisions of this chapter and requiring the discontinuance of such activity or practice.

Source: SL 1966, ch 111, ch 15, § 6 (4).
S.D. Codified Laws § 58-24-75 — SD Code / Title 58 / Chapter 24 / Section 58-24-75
Premium increase prohibited for certain accidents involving law enforcement, emergency, or snow removal personnel--Exception
Status: in_force

No insurer may increase the premium or rate of an insured at policy issuance, during the term of a policy, or at renewal because of an accident if the insured was lawfully engaged in the performance of official duties as a law enforcement officer, firefighter, emergency medical technician, or operator of emergency snow removal equipment, if the operation of the emergency snow removal equipment is in response to a request from and in support of a law enforcement officer, firefighter, or emergency medical technician for any accident:

(1) That occurred while the law enforcement officer, firefighter, emergency medical technician, or operator of emergency snow removal equipment was lawfully engaged in the performance of official duties; and

(2) That occurred while the law enforcement officer, firefighter, emergency medical technician, or operator of emergency snow removal equipment was driving an emergency vehicle; and

(3) For which the law enforcement officer, firefighter, emergency medical technician, or operator of emergency snow removal equipment furnishes notice to the insurer that the accident occurred under circumstances identified in subdivisions (1) and (2) of this section.

Source: SL 2007, ch 181, § 3; SL 2008, ch 162, § 2; SL 2014, ch 240, § 1.
S.D. Codified Laws § 58-29B-19 — SD Code / Title 58 / Chapter 29B / Section 58-29B-19
Waiver of hearing--Application for judicial relief--Judicial review of order after hearing
Status: in_force

If the director issues an order under § 58-29B-14 , the insurer may, at any time, waive a director's hearing and apply for immediate judicial relief by means of any remedy afforded by law without first exhausting administrative remedies. If a hearing is held subsequent to the hearing, any party to the proceedings whose interests are substantially affected shall be entitled to judicial review of any order issued by the director.

Source: SL 1989, ch 436, § 19.
S.D. Codified Laws § 58-17K-5 — SD Code / Title 58 / Chapter 17K / Section 58-17K-5
Prescription drug file--Required public disclosure--Method, format, and updates
Status: in_force

A health insurer shall make available to the public on a website a machine-readable prescription drug file that includes:

(1) A health insurance oversight identifier or employer identification number;

(2) The NDC and the proprietary and nonproprietary name assigned to the NDC by the Food and Drug Administration;

(3) A negotiated rate that is:

(a) Reflected as a dollar amount by an in-network provider, including an in-network pharmacy or other prescription drug dispenser;

(b) Associated with the national provider identifier, tax identification number, or place of service code; and

(c) Associated with the last date of the contract term; and

(4) Historical net prices that are:

(a) Reflected as a dollar amount by an in-network provider, including an in-network pharmacy or other prescription drug dispenser;

(b) Associated with the national provider identifier, tax identification number, or place of service code; and

(c) Associated with the ninety-day time period that begins one hundred eighty days prior to publication date of the machine-readable file for each provider-specific historical net price that applies to each NDC, unless a health insurer must omit data in relation to a particular NDC and provider when compliance with this subsection would require the health insurer to report payment of historical net prices calculated using fewer than twenty different claims for payments.

The prescription drug file shall be available in the method and format as promulgated by the director in rule pursuant to chapter 1-26 . The prescription drug file shall be publicly available and accessible to any person free of charge and without conditions, including the establishment of a user account, password, or other credentials, or submission of personally identifiable information to access the file.

A health insurer shall update the prescription drug file monthly and indicate the date the file was most recently updated.

Source: SL 2021, ch 213, § 5.
S.D. Codified Laws § 58-17-11 — SD Code / Title 58 / Chapter 17 / Section 58-17-11
Return of policy by purchaser--Refund of premium paid--Dissatisfaction with terms after examination
Status: in_force

Every individual health insurance policy or contract, except single premium nonrenewable policies or contracts, issued for delivery in South Dakota on or after December 31, 1966, by an insurance company, nonprofit hospital service plan, or medical service corporation, shall have printed thereon or attached thereto a notice stating in substance that the person to whom the policy or contract is issued shall be permitted to return the policy or contract within ten days of its delivery to said purchaser and to have the premium paid refunded if, after examination of the policy or contract, the purchaser is not satisfied with it for any reason. If a policyholder or purchaser pursuant to such notice, returns the policy or contract to the company or association at its home or branch office or to the insurance producer through whom it was purchased, it is void from the beginning and the parties shall be in the same position as if no policy or contract had been issued.

Source: SL 1966, ch 111, ch 25, § 2 (8); SL 2001, ch 286, § 114.
S.D. Codified Laws § 58-25-18 — SD Code / Title 58 / Chapter 25 / Section 58-25-18
Suspension of license of insurer--Failure to comply with order of director--Time of taking effect--Duration
Status: in_force

The director may suspend the license of any insurer who fails to comply with any lawful order of the director within the time limited by such order, or any extension thereof which the director may grant. The director shall not suspend the license of any insurer for failure to comply with an order until the time prescribed for an appeal therefrom has expired or, if any appeal has been taken, until such order has been affirmed. The director may determine when a suspension of license shall become effective, and it shall remain in effect for a period fixed by him, unless he modifies or rescinds such suspension, or until the order upon which such suspension is based is modified, rescinded, or reversed.

Source: SL 1966, ch 111, ch 14, § 6 (2).
S.D. Codified Laws § 58-37A-4 — SD Code / Title 58 / Chapter 37A / Section 58-37A-4
Definition of terms
Status: in_force

Terms used in this chapter mean:

(1) "Benefit contract," the agreement for provision of benefits authorized by § 58-37A-16 , as that agreement is described in § 58-37A-19 ;

(2) "Benefit member," any adult member who is designated by the laws or rules of the society to be a benefit member under a benefit contract;

(3) "Certificate," the document issued as written evidence of the benefit contract;

(4) "Laws," the society's articles of incorporation, constitution, and bylaws, however designated;

(5) "Lodge," subordinate member units of the society, known as camps, courts, councils, branches, or by any other designation;

(6) "Premiums," premiums, rates, dues, or other required contributions by whatever name known, which are payable under the certificate;

(7) "Rules," all rules, regulations, or resolutions adopted by the supreme governing body or board of directors which are intended to have general application to the members of the society;

(8) "Society," fraternal benefit society, unless otherwise indicated.

Source: SL 1990, ch 410, § 4.
S.D. Codified Laws § 58-24-24 — SD Code / Title 58 / Chapter 24 / Section 58-24-24
Finding that filing does not comply--Order discontinuing filing--Effective date
Status: in_force

If, after hearing pursuant to § 58-24-23 , the director finds that the filing does not meet the requirements of this chapter, he shall issue an order specifying in what respect he finds that such filing fails to meet the requirements of this chapter, and stating when, within a reasonable period thereafter, such filing shall be deemed no longer effective. Copies of said order shall be sent to the applicant and to every such insurer and rating organization. Said order shall not affect any contract or policy made or issued prior to the expiration of the period set forth in said order.

Source: SL 1966, ch 111, ch 15, § 5 (4).
S.D. Codified Laws § 58-15-43.11 — SD Code / Title 58 / Chapter 15 / Section 58-15-43.11
Notice of election to comply with revised nonforfeiture
Status: in_force

After July 1, 1982, any insurer may file with the director of the Division of Insurance a written notice of its election to comply with the provisions of §§ 58-15-43.1 to 58-15-43.11 , inclusive, after a specified date before January 1, 1989, which shall be the effective date of §§ 58-15-43.1 to 58-15-43.11 , inclusive, for the insurer. If an insurer makes no election, the operative date of this section for such insurer is January 1, 1989.

Source: SL 1982, ch 357, § 15.
S.D. Codified Laws § 58-33-96 — SD Code / Title 58 / Chapter 33 / Section 58-33-96
Unauthorized health insurance defined
Status: in_force

For the purposes of §§ 58-33-93 to 58-33-116 , inclusive, the term, unauthorized health insurance, means health insurance offered by a nonadmitted insurer except to the extent the laws of this state allow the coverage to be offered by a nonadmitted insurer licensed in another state through an employer or group located out of state; and includes health care benefits or coverage offered by a professional employer organization or an employee leasing arrangement that is not:

(1) Fully insured by an admitted insurer; or

(2) Licensed or otherwise authorized under the laws of this state to offer a self-funded health benefit plan.

Source: SL 2007, ch 292, § 4.
S.D. Codified Laws § 58-17-97 — SD Code / Title 58 / Chapter 17 / Section 58-17-97
Provisions covering preexisting conditions
Status: in_force

Any accident and sickness policy or certificate subject to the provisions of this chapter, other than credit health insurance as defined in subdivision 58-19-2(1) and a health benefit plan as defined in § 58-17-66 , shall comply with the following provisions:

(1) No policy or certificate may deny, exclude, or limit benefits for a covered individual for claims incurred more than twelve months following the effective date of the person's coverage due to a preexisting condition;

(2) No policy or certificate may define a preexisting condition more restrictively than:

(a) A condition that would have caused an ordinarily prudent person to seek medical advice, diagnosis, care, or treatment during the twelve months immediately preceding the effective date of coverage;

(b) A condition for which medical advice, diagnosis, care, or treatment was recommended or received during the twelve months immediately preceding the effective date of coverage; or

(c) A pregnancy existing on the effective date of coverage.

Source: SL 1997, ch 288, § 2; SL 2001, ch 275, § 4; SL 2013, ch 248, § 1.
S.D. Codified Laws § 58-18B-26 — SD Code / Title 58 / Chapter 18B / Section 58-18B-26
Increase in minimum requirements for employee participation or employer contribution prohibited after acceptance for coverage
Status: in_force

No small employer carrier may increase any requirement for minimum employee participation or any requirement for minimum employer contribution applicable to a small employer at any time after the small employer has been accepted for coverage.

Source: SL 1995, ch 281, § 20.
S.D. Codified Laws § 58-48-6 — SD Code / Title 58 / Chapter 48 / Section 58-48-6
Application review--Additional information required
Status: in_force

In addition to § 58-48-5 , an applicant shall provide any additional information that the director determines is necessary, including proof of sufficient assets, accounts, liability coverage, surety bond coverage or other preparation by the applicant to ensure that consumers are protected, evidence that the applicant will be able to cover ongoing duties when the testing period terminates or terminates early, prior industry ratings, and past performance of the applicant. An applicant's failure to provide any information requested by the director forfeits the application for a waiver. The director may require the applicant to retain independent consultants to determine the accuracy of any information submitted by the applicant at the applicant's expense.

Source: SL 2021, ch 214, § 6.
S.D. Codified Laws § 58-29B-46 — SD Code / Title 58 / Chapter 29B / Section 58-29B-46
Order of liquidation--Financial reports required--Annual filing
Status: in_force

Any order issued under §§ 58-29B-41 to 58-29B-45 , inclusive, shall require financial reports to the court by the liquidator.

Financial reports shall include, at a minimum, the assets and liabilities of the insurer and all funds received or disbursed by the liquidator during the current period. Financial reports shall be filed within one year of the liquidation order and at least annually thereafter.

Source: SL 1989, ch 436, § 46; SL 1992, ch 351, § 4.
S.D. Codified Laws § 58-12-12 — SD Code / Title 58 / Chapter 12 / Section 58-12-12
Use of uniform health insurance claim forms
Status: in_force

The director shall prescribe the use of nationally recognized uniform health insurance claim forms for hospitals and other medical or dental providers and for governmental agencies which shall be used and accepted by all insurers transacting health insurance, providing medical coverage through a personal automobile policy, workers' compensation, or otherwise providing coverage for medical services and by all hospitals and medical providers, and by governmental agencies of the state that require insurance claim forms for their records. The director shall also prescribe the use of nationally recognized uniform explanation of benefit forms by insurers.

Source: SL 1994, ch 381, § 5.
S.D. Codified Laws § 58-48-12 — SD Code / Title 58 / Chapter 48 / Section 58-48-12
Record keeping by participants
Status: in_force

The director shall establish reporting requirements for each participant, including information about consumer complaints. A participant shall retain records, documents, and data produced in the course of business regarding an innovative insurance product or service subject to a waiver for a period of five years after the waiver has terminated.

A participant shall make its records, documents, and data available for inspection by the director immediately upon request. Nothing in this chapter limits the director's authority to examine applicants or participants in accordance with chapter 58-3 .

Source: SL 2021, ch 214, § 12.
S.D. Codified Laws § 58-35-47 — SD Code / Title 58 / Chapter 35 / Section 58-35-47
Investment of funds authorized
Status: in_force

The directors of a farm mutual insurer may invest the insurer's funds or any part of the insurer's funds in any of the following:

(1) Bonds or other securities issued by the United States government or by any agency or instrumentality of the United States government, or by any United States government-sponsored enterprise;

(2) Bonds or other obligations the payment of the interest and principal of which is assumed or guaranteed by the United States government or any agency or instrumentality of the United States government, or by any United States government-sponsored enterprise;

(3) General obligation bonds or warrants of this state or of any other state of the United States, or of any of the political subdivisions or other taxing districts of this state or any other state;

(4) Certificates of deposit in any bank wherein the deposits are insured by the federal deposit insurance corporation up to the amount to which such insurance protection applies;

(5) Shares or savings accounts of savings and loan and building and loan associations to the extent that such an account is insured by the federal savings and loan insurance corporation;

(6) When authorized by a majority vote of its members present at a duly called and held meeting of members, and with the consent of the director, in a home office building and the land on which such building is situated;

(7) With the approval of the director of the Division of Insurance, in the preferred stock of any solvent corporation existing under the laws of the United States of America, or any state of the United States and in the common stock of any other solvent insurer;

(8) Bonds, notes, or other obligations issued by any federal land bank, federal intermediate credit bank, bank for cooperatives, or any or all of the federal farm credit banks;

(9) With the approval of the director of the Division of Insurance, in common stocks, mutual funds and exchange traded funds consisting of common stocks, not to exceed twenty percent of the company's admitted assets. No individual common stock may exceed five percent of the company's admitted assets;

(10) Money market funds which would qualify as an investment pursuant to § 58-27-101 ;

(11) With the approval of the director of the Division of Insurance, in an insurance agency;

(12) Investments set forth in § 58-27-103 if the aggregate value of the investments pursuant to that section do not exceed ten percent of the farm mutual's total admitted assets and do not exceed the limitation set forth in § 58-27-53 ;

(13) With the approval of the director of the Division of Insurance, in corporate bonds, convertible bonds, preferred stocks, or other fixed income mutual funds, or exchange traded funds consisting of income securities issued by corporations. No issuer may exceed five percent of admitted assets and no one mutual fund or exchange traded fund may exceed twenty percent of admitted assets. All individual holdings must be rated A3 or better by Moody's Investor Service or rated A- or better by Standard & Poor's Corporation. All mutual funds or exchange traded funds must have an average credit quality of A3 or better as rated by Moody's Investor Service or A- or better as rated by Standard & Poor's Corporation.

Source: SL 1966, ch 111, ch 17, § 23; SL 1967, ch 135, §§ 1, 2; SL 1974, ch 320; SL 1979, ch 37, § 8; SL 1986, ch 423; SL 1987, ch 383; SL 1990, ch 409; SL 1993, ch 372; SL 1994, ch 388; SL 2004, ch 297, § 4; SL 2014, ch 243, § 1.
S.D. Codified Laws § 58-18-21 — SD Code / Title 58 / Chapter 18 / Section 58-18-21
Policy and application constitute entire contract--Statements by policyholder not warranties--Written statement required for use in defense of claim
Status: in_force

Subject to § 58-18-20 , every blanket health insurance policy shall contain a provision that the policy and the application shall constitute the entire contract between the parties, and that all statements made by the policyholder shall, in absence of fraud, be deemed representations and not warranties, and that no such statements shall be used in defense to a claim under the policy, unless it is contained in a written application.

Source: SL 1966, ch 111, ch 26, § 5 (1).
S.D. Codified Laws § 58-17-4.2 — SD Code / Title 58 / Chapter 17 / Section 58-17-4.2
Premium rates required to be reasonable--Rules to establish minimum standards promulgated by director
Status: in_force

Premium rates charged for any individual accident and health insurance policy pursuant to this chapter shall be reasonable in relation to the benefits available under the policy. The director shall promulgate rules pursuant to chapter 1-26 to establish minimum standards in accordance with accepted actuarial principles and practices, for loss ratios of individual accident and health insurance policies on the basis of incurred claims experience and earned premiums.

Source: SL 1988, ch 399, § 2.
S.D. Codified Laws § 58-16-8 — SD Code / Title 58 / Chapter 16 / Section 58-16-8
Labor union groups--Members of union eligible
Status: in_force

The members eligible for insurance under a policy issued under § 58-16-7 shall be all of the members of the union, or all of any class or classes thereof determined by conditions pertaining to their employment, or to membership in the union, or both.

Source: SL 1966, ch 111, ch 24, § 1 (3) (a).
S.D. Codified Laws § 58-41-79 — SD Code / Title 58 / Chapter 41 / Section 58-41-79
Hearing on cease and desist order--Procedure--Judicial review
Status: in_force

Within twenty days after service of the order to cease and desist, the respondent may request a hearing on the question of whether acts or practices in violation of this chapter have occurred. Such hearings shall be conducted pursuant to, and judicial review shall be available as provided by, chapter 1-26 .

Source: SL 1974, ch 321, § 48.
S.D. Codified Laws § 58-5-45 — SD Code / Title 58 / Chapter 5 / Section 58-5-45
Management of domestic mutual insurer
Status: in_force

The bylaws of a domestic mutual insurer shall include other provisions necessary for the management of its affairs.

Source: SL 1966, ch 111, ch 16, § 16 (2) (f).
S.D. Codified Laws § 58-16-11 — SD Code / Title 58 / Chapter 16 / Section 58-16-11
Labor union group--Payment of premium
Status: in_force

The premium for a policy issued under § 58-16-7 shall be paid by the policyholder, either wholly from the union's funds, or partly from such funds and partly from funds contributed by the insured members specifically for their insurance. No policy may be issued on which the entire premium is to be derived from funds contributed by the insured members specifically for their insurance. A policy on which part of the premium is to be derived from funds contributed by the insured members specifically for their insurance may be placed in force only if at least seventy - five per cent of the then eligible members, excluding any as to whom evidence of individual insurability is not satisfactory to the insurer, elect to make the required contributions. A policy on which no part of the premium is to be derived from funds contributed by the insured members specifically for their insurance must insure all eligible members, or all except any as to whom evidence of individual insurability is not satisfactory to the insurer.

Source: SL 1966, ch 111, ch 24, § 1 (3) (b).
S.D. Codified Laws § 58-41-29 — SD Code / Title 58 / Chapter 41 / Section 58-41-29
Contracts and necessary activities
Status: in_force

A health maintenance organization may enter into health maintenance contracts in this state and engage in any other activities consistent with this chapter which are necessary to the performance of its obligations under such contracts or authorize its representatives to do so.

Source: SL 1974, ch 321, § 12.
S.D. Codified Laws § 58-28-16 — SD Code / Title 58 / Chapter 28 / Section 58-28-16
Gains and losses from allocated assets credited or charged to separate account
Status: in_force

The income, gains, and losses, realized or unrealized, from assets allocated to a separate account shall be credited to or charged against the account, without regard to other income, gains, or losses of the insurer.

Source: SL 1966, ch 111, ch 6, § 36 (3); SL 1967, ch 131; SDCL, § 58-28-3; SL 1971, ch 266, § 1 (1).
S.D. Codified Laws § 58-37A-16 — SD Code / Title 58 / Chapter 37A / Section 58-37A-16
Contractual benefits allowed
Status: in_force

A society may provide the following contractual benefits in any form:

(1) Death benefits;

(2) Endowment benefits;

(3) Annuity benefits;

(4) Temporary or permanent disability benefits;

(5) Hospital, medical, or nursing benefits;

(6) Monument or tombstone benefits to the memory of deceased members; and

(7) Any other benefits as authorized for life and health insurers and which are not inconsistent with this chapter.

A society shall specify in its rules those persons who may be issued, or covered by, the contractual benefits consistent with providing benefits to members and their dependents. A society may provide benefits on the lives of children under the minimum age for adult membership upon application of an adult.

Source: SL 1990, ch 410, § 16.
S.D. Codified Laws § 58-26-10 — SD Code / Title 58 / Chapter 26 / Section 58-26-10
Assets not allowed in determining financial condition
Status: in_force

In addition to assets impliedly excluded by other provisions of this title, the following expressly may not be allowed as assets in any determination of the financial condition of an insurer:

(1) Goodwill, except goodwill permitted by § 58-26-1 , trade names, and other like intangible assets;

(2) Advances to officers, other than policy loans, whether secured or not, and advances to employees, representatives, insurance producers, and other persons on personal security only;

(3) Stock of such insurer, owned by it, or any material equity therein or loans secured thereby, or any material proportionate interest in such stock acquired or held through the ownership by such insurer of an interest in another firm, corporation, or business unit;

(4) Furniture, fixtures, furnishings, safes, vehicles, libraries, stationery, literature, and supplies, except in the case of title insurers such materials and plants as the insurer is expressly authorized to invest in under this title and except, in the case of any insurer, such personal property as the insurer is permitted to hold pursuant to this title, or which is acquired through foreclosure of chattel mortgages or which is reasonably necessary for the maintenance and operation of real estate lawfully acquired and held by the insurer other than real estate used by it for home office, branch office, and similar purposes;

(5) The amount, if any, by which the aggregate book value of investments as carried in the ledger assets of the insurer exceeds the aggregate value thereof as determined under this title.

Source: SL 1966, ch 111, ch 5, § 3; SL 2001, ch 286, § 134; SL 2004, ch 308, § 2.
S.D. Codified Laws § 58-15-43.8 — SD Code / Title 58 / Chapter 15 / Section 58-15-43.8
Adjusted premiums and present values--Calculation--Applicable procedures and tables
Status: in_force

All adjusted premiums and present values referred to in §§ 58-15-31 to 58-15-43 , inclusive, are calculated for all policies of ordinary insurance on the basis of the commissioner's 1980 standard ordinary mortality table or, at the election of the insurer, for any one or more specified plans of life insurance, the commissioner's 1980 standard ordinary mortality table with ten-year select mortality factors are calculated for all policies of industrial insurance on the basis of the commissioner's 1961 standard industrial mortality table; and are calculated for all policies issued in a particular calendar year on the basis of a rate of interest not exceeding the nonforfeiture interest rate as defined in this section for policies issued in that calendar year. However, the following procedures apply:

(1) At the option of the insurer, calculations for all policies issued in a particular calendar year may be made on the basis of a rate of interest not exceeding the nonforfeiture interest rate, as defined in this section, for policies issued in the immediately preceding calendar year;

(2) Under any paid-up nonforfeiture benefit, including any paid-up dividend additions, any cash surrender value available, whether or not required by § 58-15-31 , shall be calculated on the basis of the mortality table and rate of interest used in determining the amount of the paid-up nonforfeiture benefit and paid-up dividend additions, if any;

(3) An insurer may calculate the amount of any guaranteed paid-up nonforfeiture benefit including any paid-up additions under the policy on the basis of an interest rate no lower than that specified in the policy for calculating cash surrender values;

(4) In calculating the present value of any paid-up term insurance with accompanying pure endowment, if any, offered as a nonforfeiture benefit, the rates of mortality assumed may be not more than those shown in the commissioner's 1980 extended term insurance table for policies of ordinary insurance and not more than the commissioner's 1961 industrial extended term insurance table for policies of industrial insurance;

(5) For insurance issued on a substandard basis, the calculation of any adjusted premiums and present values may be based on appropriate modifications of the aforementioned tables;

(6) For policies issued prior to the operative date of the valuation manual, any commissioner's standard ordinary mortality tables, adopted after 1980 by the national association of insurance commissioners, that are approved by rules promulgated by the director for use in determining the minimum nonforfeiture standard may be substituted for the commissioner's 1980 standard ordinary mortality table with or without ten-year select mortality factors or for the commissioner's 1980 extended term insurance table. For policies issued on or after the operative date of the valuation manual, the valuation manual shall provide the commissioner's standard mortality table for use in determining the minimum nonforfeiture standard that may be substituted for the commissioner's 1980 standard ordinary mortality table with or without ten-year select mortality factors or for the commissioner's 1980 extended term insurance table. If the director approves by regulation any commissioner's standard ordinary mortality table adopted by the national association of insurance commissioners for use in determining the minimum nonforfeiture standard for policies issued on or after the operative date of the valuation manual that minimum nonforfeiture standard supersedes the minimum nonforfeiture standard provided by the valuation manual; and

(7) For policies issued prior to the operative date of the valuation manual, any commissioner's standard industrial mortality tables, adopted after 1980 by the national association of insurance commissioners, that are approved by rules promulgated by the director for use in determining the minimum nonforfeiture standard may be substituted for the commissioner's 1961 standard industrial mortality table or the commissioner's 1961 industrial extended term insurance table. For policies issued on or after the operative date of the valuation manual the valuation manual shall provide the commissioner's standard mortality table for use in determining the nonforfeiture standard that may be substituted for the commissioner's 1961 standard industrial mortality table or the commissioner's 1962 industrial extended term insurance table. If the director approves by regulation any commissioner's standard industrial mortality table adopted by the national association of insurance commissioners for use in determining the minimum nonforfeiture standard for policies issued on or after the operative date of the valuation manual then that minimum nonforfeiture standard supersedes the minimum nonforfeiture standard provided by the valuation manual.

Source: SL 1982, ch 357, § 12; SL 1986, ch 22, § 29; SL 2015, ch 254, § 41.
S.D. Codified Laws § 58-43-16.28 — SD Code / Title 58 / Chapter 43 / Section 58-43-16.28
Member of insurance holding company system or group of insurers
Status: in_force

If an insurer is a member of an insurance holding company system or included in a group of insurers, the insurer may satisfy the internal audit function requirements provided in §§ 58-43-16.25 to 58-43-16.27 , inclusive, at the ultimate controlling parent level, an intermediate holding company level, or the individual legal entity level.

Source: SL 2018, ch 283, § 6.
S.D. Codified Laws § 58-17K-2 — SD Code / Title 58 / Chapter 17K / Section 58-17K-2
Cost-sharing information described--Required disclosure to enrollees
Status: in_force

At the request of an enrollee, the health insurer shall provide:

(1) An estimate, which is accurate at the time of the request, of the enrollee's cost-sharing liability for a requested covered item or service furnished by a provider reflecting any cost-sharing reductions the enrollee would receive that is calculated based on:

(a) Accumulated amounts;

(b) In-network negotiated rate, reflected as a dollar amount, or underlying fee schedule rate, reflected as a dollar amount, to the extent it is different from the negotiated rate; and

(c) Out-of-network allowed amount or any other rate that provides a more accurate estimate of an amount the health insurer will pay for the requested covered item or service, reflected as a dollar amount. In circumstances in which a health insurer reimburses an out-of-network provider a percentage of the billed charge for a covered item or service, the out-of-network allowed amount will be that percentage;

(2) Information for an item or service subject to a bundled payment arrangement and a list of the items and services included in the bundled payment arrangement for which cost-sharing information is being disclosed;

(3) If applicable, notification that coverage of a specific item or service is subject to a prerequisite; and

(4) Further information and consumer notices required for compliance with federal standards as provided under rules promulgated pursuant to chapter 1-26 by the director.

Source: SL 2021, ch 213, § 2.
S.D. Codified Laws § 58-1-28 — SD Code / Title 58 / Chapter 1 / Section 58-1-28
Transmission and storage of electronic documents permitted
Status: in_force

Subject to § 58-1-30 , any notice to a party or any other document required under applicable law in an insurance transaction or that is to serve as evidence of insurance coverage may be delivered, stored, and presented by electronic means if it meets the requirements of chapter 53-10 .

Source: SL 2014, ch 230, § 2.
S.D. Codified Laws § 58-14-16.5 — SD Code / Title 58 / Chapter 14 / Section 58-14-16.5
Eligibility of non-United States domiciliary jurisdiction to be recognized as qualified jurisdiction
Status: in_force

To determine whether the domiciliary jurisdiction of a non-United States assuming insurer is eligible to be recognized as a qualified jurisdiction, the director shall evaluate the appropriateness and effectiveness of the reinsurance supervisory system of the jurisdiction, both initially and on an ongoing basis, and consider the rights, benefits, and the extent of reciprocal recognition afforded by the non-United States jurisdiction to reinsurers licensed and domiciled in the United States. A qualified jurisdiction shall agree to share information and cooperate with the director with respect to all certified reinsurers domiciled within that jurisdiction. A jurisdiction may not be recognized as qualified jurisdiction if the director has determined the jurisdiction does not adequately and promptly enforce final United States judgments and arbitration awards. Additional factors may be considered at the discretion of the director.

Source: SL 2017, ch 211, § 16.
S.D. Codified Laws § 58-18-5 — SD Code / Title 58 / Chapter 18 / Section 58-18-5
Issuance to person or organization to which group life insurance policy may be issued
Status: in_force

Group health insurance may be under a policy issued to any person or organization to which a policy of group life insurance may be issued or delivered in this state to insure any class or classes of individuals that could be insured under such group life policy.

Source: SL 1966, ch 111, ch 26, § 1 (4).
S.D. Codified Laws § 58-14-13 — SD Code / Title 58 / Chapter 14 / Section 58-14-13
Establishment of trust--Annual report of balance and investments--Certification of termination of trust
Status: in_force

The form of the trust in § 58-14-11 and any trust amendments shall be filed with the director of each state in which the ceding insurer beneficiaries of the trust are domiciled. The trust instrument shall provide that contested claims shall be valid and enforceable upon the final order of any court of competent jurisdiction in the United States. The trust shall vest legal title to its assets in the trustees of the trust for its United States policyholders and ceding insurers, their assigns and successors in interest. The trust and the assuming insurer are subject to examination as determined by the director. The trust shall remain in effect for as long as the assuming insurer has outstanding obligations due under the reinsurance agreements subject to the trust.

No later than February twenty-eighth of each year, the trustees shall report to the director in writing setting forth the balance of the trust and listing the trust's investments at the preceding year end and shall certify the date of termination of the trust, if so planned, or certify that the trust does not expire prior to the next following December thirty-first.

Source: SL 1992, ch 344, § 7; SL 2017, ch 211, § 7.
S.D. Codified Laws § 58-18-38 — SD Code / Title 58 / Chapter 18 / Section 58-18-38
Annual period of enrollment for licensed pharmacies--Actual notice of enrollment period not required
Status: in_force

All health benefit programs, as defined in § 58-18-37 , shall provide an annual period of enrollment of at least thirty days during which period any pharmacy licensed under chapter 36-11 may elect to participate in the plan under the terms and conditions then offered unless the pharmacy has lost its status as a participating provider due to its failure to comply with the terms and conditions of its participating provider agreement. Health benefit programs are not required to provide actual notice of the period of open enrollment to the pharmacy.

Source: SL 1990, ch 395, § 2.
S.D. Codified Laws § 58-6A-3.11 — SD Code / Title 58 / Chapter 6A / Section 58-6A-3.11
Notice to director of noncompliance with standards
Status: in_force

If the manager, president, or chief executive officer of the risk retention group becomes aware of any material noncompliance with any standards described in §§ 58-6A-3.1 to 58-6A-3.11 , inclusive, the manager, president, or officer shall promptly notify the domestic regulator in writing.

Source: SL 2016, ch 232, § 13.
S.D. Codified Laws § 58-5A-54 — SD Code / Title 58 / Chapter 5A / Section 58-5A-54
Report of dividends and distributions to shareholders--Time limit
Status: in_force

In addition to the filing requirements of §§ 58-5A-23 and 58-5A-35 , each registered insurer shall file with the director a report of all dividends and other distributions to shareholders within fifteen business days following the declaration thereof. However, payment may not be made until ten days after the division receives the report. However, payment of an ordinary dividend may be made on the day that it is declared if an intention to declare the dividend is received by the division ten days before the date of payment. The division shall hold the notice of intention to declare a dividend confidential until the dividend has been declared.

Source: SL 1992, ch 341, § 17; SL 1993, ch 359, § 2; SL 1994, ch 373.
S.D. Codified Laws § 58-4-51 — SD Code / Title 58 / Chapter 4 / Section 58-4-51
Confidentiality of list of premium taxpayers--Violation as misdemeanor
Status: in_force

Each list of premium taxpayers compiled by the division is confidential. It is a Class 2 misdemeanor to disclose any list except to the extent necessary to carry out the official duties of the division.

Source: SL 2012, ch 242, § 3.
S.D. Codified Laws § 58-17H-13 — SD Code / Title 58 / Chapter 17H / Section 58-17H-13
Health carrier may be deemed to meet emergency medical coverage requirements if met by private accrediting body
Status: in_force

If the director and the secretary find that the requirements of any private accrediting body meet the requirements of coverage of emergency medical services as set forth in §§ 58-17H-4 to 58-17H-12 , inclusive, the health carrier may, at the discretion of the director and secretary, be deemed to have met the applicable requirements.

Source: SL 2011, ch 219, § 38.
S.D. Codified Laws § 58-34-35 — SD Code / Title 58 / Chapter 34 / Section 58-34-35
Liability of subscribers several and proportionate
Status: in_force

The liability of each subscriber, other than as to a nonassessable policy, for the obligations of the reciprocal insurer shall be an individual, several and proportionate liability, and not joint.

Source: SL 1966, ch 111, ch 19, § 21 (1).
S.D. Codified Laws § 58-2-16 — SD Code / Title 58 / Chapter 2 / Section 58-2-16
Technical or professional personnel--Bond required, amount, approval and filing, payment of premium
Status: in_force

Any technical or professional personnel hired by the Department of Labor and Regulation upon a part-time or fee basis may be required to furnish a bond in such amount as the department may determine, such bond to be approved and filed and the premium therefor paid in the same manner as provided in § 58-2-12 .

Source: SL 1966, ch 111, ch 2, § 6; 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 § 58-17F-17 — SD Code / Title 58 / Chapter 17F / Section 58-17F-17
Filing changes in registration information
Status: in_force

Any managed care contractor which has previously registered in this state shall, on or before July first of each year, file with the Division of Insurance any changes to the initial or subsequent annual registration for the managed care contractor.

Source: SL 2011, ch 219, § 17.
S.D. Codified Laws § 58-17-167 — SD Code / Title 58 / Chapter 17 / Section 58-17-167
Definitions pertaining to telehealth coverage
Status: in_force

Terms used in §§ 58-17-167 to 58-17-170 , inclusive, mean:

(1) "Health care professional," as defined in § 58-17F-1 ;

(2) "Health care services," as defined in § 58-17F-1 ;

(3) "Health insurer," as defined in § 58-17-100 ;

(4) "Telehealth," the delivery of health care services through the use of HIPAA-compliant interactive audio-video. The term does not include the delivery of health care services through audio-only telephone, electronic mail message, text message, mail service, facsimile transmission, or any combination thereof.

Source: SL 2019, ch 211, § 1.
S.D. Codified Laws § 58-29B-43 — SD Code / Title 58 / Chapter 29B / Section 58-29B-43
Rights and liabilities fixed upon issuance of order
Status: in_force

Upon issuance of the order to liquidate, the rights and liabilities of any such insurer and of its creditors, policyholders, shareholders, members, and all other persons interested in its estate shall become fixed as of the date of entry of the order of liquidation, except as provided in §§ 58-29B-47 and 58-29B-112 to 58-29B-114 , inclusive.

Source: SL 1989, ch 436, § 43.
S.D. Codified Laws § 58-29B-50.1 — SD Code / Title 58 / Chapter 29B / Section 58-29B-50.1
Obligations of liquidator subsequent to entry of liquidation order
Status: in_force

Notwithstanding the powers of the liquidator as stated in §§ 58-29B-47 and 58-29B-50 , the liquidator has no obligation to defend claims or to continue to defend claims subsequent to the entry of a liquidation order.

Source: SL 1992, ch 351, § 8.
S.D. Codified Laws § 58-29D-24 — SD Code / Title 58 / Chapter 29D / Section 58-29D-24
Denial of license
Status: in_force

The director may not issue a license if the director determines that the administrator, or any individual responsible for the conduct of affairs of the administrator as defined in subdivision 58-29D-22(3), is not qualified for licensure by reason of § 58-30-167 .

Source: SL 1992, ch 352, § 24; SL 2002, ch 240, § 1.
S.D. Codified Laws § 58-48-5 — SD Code / Title 58 / Chapter 48 / Section 58-48-5
Application for waiver--Persons excluded from waiver application
Status: in_force

An applicant shall submit an application in the form and manner prescribed by the director that:

(1) Identifies the person applying for the waiver;

(2) Contains relevant personal and contact information for the applicant, including legal names, addresses, telephone numbers, e-mail addresses, website addresses, and other information required by the director;

(3) Demonstrates the applicant is subject to the jurisdiction of the state;

(4) Demonstrates the applicant has established a physical or virtual location that is adequately accessible to the division, from which testing will be developed and performed and where all required records, documents, and data will be maintained;

(5) Discloses criminal convictions of the applicant and all participating personnel;

(6) Demonstrates that the applicant has the necessary personnel, financial and technical expertise, access to capital, and developed plan to test, monitor, and assess the innovative insurance product or service;

(7) Describes the innovative insurance product or service to be offered if the waiver is granted, including how the product or service functions, how the innovative insurance product or service is different from other insurance products or services available in the state, and the manner and terms on which it will be offered, including copies of any contracts to be tested;

(8) Identifies state laws, regulations, licensing, and other requirements in title 58 that prohibit the introduction, sale, or offering of the innovative insurance product or service that the applicant is seeking to have waived for testing;

(9) Explains the potential benefits to consumers of the innovative insurance product or service;

(10) Explains the potential risks to consumers posed by the product or service and how the applicant proposes to mitigate such risks, including all proposed consumer disclosures;

(11) Explains how participating in the insurance innovation waiver would enable a successful test of the innovative insurance product or service with narratives for proposed beginning operations, ongoing operations, and the proposed process regarding waiver termination, including plans to obtain necessary licensure or authorizations after the waiver is terminated;

(12) Explains how the applicant will terminate the waiver and protect consumers if the test fails, including providing evidence of sufficient liability coverage and financial reserves to protect consumers and to protect against insolvency of the applicant; and

(13) Includes a nonrefundable application fee of two thousand dollars that may be reduced or eliminated by the director if the applicant holds a license issued by the division.

The director may not grant a waiver to an applicant or any other person who has been convicted, entered a plea of nolo contendere, or entered a plea of guilty or nolo contendere held in abeyance, for a crime involving theft, fraud, or dishonesty that bears a substantial relationship to the applicant's or participant's ability to safely or competently administer an innovative insurance product or service.

Source: SL 2021, ch 214, § 5.
S.D. Codified Laws § 58-15-7 — SD Code / Title 58 / Chapter 15 / Section 58-15-7
Description of policy in title
Status: in_force

There shall be a title on the policy, briefly describing the same.

Source: SL 1966, ch 111, ch 23, § 16.
S.D. Codified Laws § 58-11-39 — SD Code / Title 58 / Chapter 11 / Section 58-11-39
Construction of insurance contract--Terms and conditions--Modification by rider, endorsement, or application made part of policy
Status: in_force

Every insurance contract shall be construed according to the entirety of its terms and conditions as set forth in the policy and as amplified, extended, or modified by any rider, endorsement, or application lawfully made a part of the policy.

Source: SL 1966, ch 111, ch 22, § 23.
S.D. Codified Laws § 58-29B-83 — SD Code / Title 58 / Chapter 29B / Section 58-29B-83
Conditions creating personal liability to liquidator for amount of preference
Status: in_force

Every officer, manager, employee, shareholder, member, subscriber, attorney, or any other person acting on behalf of the insurer who knowingly participates in giving any preference when he has reasonable cause to believe the insurer is or is about to become insolvent at the time of the preference shall be personally liable to the liquidator for the amount of the preference. Reasonable cause may be inferred if the transfer was made within four months before the date of filing of the successful petition for liquidation. Every person receiving any property from the insurer or the benefit thereof as a preference voidable under this section is personally liable therefore and shall be bound to account to the liquidator. Nothing in this section may prejudice any other claim by the liquidator.

Source: SL 1989, ch 436, § 83.
S.D. Codified Laws § 58-37A-8 — SD Code / Title 58 / Chapter 37A / Section 58-37A-8
Liability of officers and members of governing body--Indemnification and reimbursement--Insurance--Liability of noncompensated member
Status: in_force

The officers and members of the supreme governing body or any subordinate body of a society are not personally liable for any benefits provided by a society.

Any person may be indemnified and reimbursed by any society for expenses reasonably incurred by, and liabilities imposed upon, the person in connection with or arising out of any action, suit, or proceeding, whether civil, criminal, administrative, or investigative, or threat thereof, in which the person may be involved because the person was a director, officer, employee, or insurance producer of the society or of any firm, corporation, or organization which the person served in any capacity at the request of the society. No person may be indemnified or reimbursed in relation to any matter in any action, suit, or proceeding if the person is finally adjudged to be guilty of a breach of a duty as a director, officer, employee, or insurance producer of the society or in relation to any matter in any action, suit, or proceeding, or threat thereof, which is the subject of a compromise settlement; unless in either case the person acted in good faith for a purpose the person reasonably believed to be in or not opposed to the best interests of the society and, in a criminal action or proceeding, had no reasonable cause to believe that the person's conduct was unlawful. The determination whether the conduct of the person met the standard required in order to justify indemnification and reimbursement in relation to any matter described in the preceding sentence may only be made by the supreme governing body or board of directors by a majority vote of a quorum consisting of persons who were not parties to the action, suit, or proceeding or by a court of competent jurisdiction. The termination of any action, suit, or proceeding by judgment, order, settlement, conviction, or upon a plea of no contest, as to the person does not create a conclusive presumption that the person did not meet the standard of conduct required to justify indemnification and reimbursement. The right of indemnification and reimbursement is not exclusive of other rights to which a person may be entitled as a matter of law and shall inure to the benefit of the person's heirs and personal representatives.

A society may purchase and maintain insurance on behalf of any person who is or was a director, officer, employee, or insurance producer of the society, or who is or was serving at the request of the society as a director, officer, employee, or insurance producer of any other firm, corporation, or organization against any liability asserted against the person and incurred by the person in any capacity or arising out of the person's status as such, whether or not the society would have the power to indemnify the person against the liability under this section.

No director, officer, employee, member, or volunteer of a society serving without compensation is liable, and no cause of action may be brought, for damages resulting from the exercise of judgment or discretion in connection with the duties or responsibilities of the person for the society unless the act or omission involved willful or wanton misconduct.

Source: SL 1990, ch 410, § 8; SL 2001, ch 286, § 217.
S.D. Codified Laws § 58-14-12 — SD Code / Title 58 / Chapter 14 / Section 58-14-12
Trust fund requirements for group of incorporated underwriters
Status: in_force

In the case of a group of incorporated underwriters, the trust in § 58-14-11 shall be in an amount not less than the group's several liabilities attributable to business ceded by United States ceding insurers to any member of the group pursuant to reinsurance contracts issued in the name of the group. In addition, the group shall maintain a joint trusteed surplus of which one hundred million dollars shall be held jointly for the benefit of United States ceding insurers of any member of the group as additional security for any liabilities, and each member of the group shall make available to the director an annual certification of the member's solvency by the member's domiciliary regulator and financial statements of each underwriter member of the group prepared by its independent public accountant within ninety days after its financial statements are due to be filed with the group's domiciliary regulator. The group shall maintain a trust fund in an amount not less than the group's several liabilities attributable to business ceded by United States domiciled ceding insurers to any member of the group pursuant to reinsurance contracts issued in the name of the group.

A group of incorporated underwriters under this section are those under common administration which comply with the filing requirements contained in § 58-14-11 , that has continuously transacted an insurance business outside the United States for at least three years immediately prior to making application for accreditation, that submits to this state's authority to examine its books and records and bears the expense of the examination, and that has aggregate policyholders' surplus of at least ten billion dollars.

Source: SL 1992, ch 344, § 6; SL 2017, ch 211, § 5.
S.D. Codified Laws § 58-26-30 — SD Code / Title 58 / Chapter 26 / Section 58-26-30
Reserve requirements for health insurance
Status: in_force

For all health insurance policies the insurer shall maintain an active life reserve which shall place a sound value on its liabilities under such policies and be not less than the reserve according to appropriate standards set forth in regulations issued by the director and, in no event, less in the aggregate than the prorata gross unearned premiums for such policies.

Source: SL 1966, ch 111, ch 5, § 7.
S.D. Codified Laws § 58-5-78 — SD Code / Title 58 / Chapter 5 / Section 58-5-78
Nonliability for insider trading acts in good faith in conformity with rule or regulation
Status: in_force

No provision of §§ 58-5-69 to 58-5-73 , inclusive, imposing any liability shall apply to any act done or omitted in good faith in conformity with any rule or regulation of the insurance director, notwithstanding that such rule or regulation may, after such act or omission, be amended or rescinded or determined by judicial or other authority to be invalid for any reason.

Source: SL 1966, ch 111, ch 16, § 27 (8).
S.D. Codified Laws § 58-5C-4 — SD Code / Title 58 / Chapter 5C / Section 58-5C-4
Number of insurance applications required before certificate issued to mutual insurer
Status: in_force

No original certificate of authority may be issued by the director of the Division of Insurance until one hundred applications have been received from licensed attorneys to be affected, and until the director has satisfied himself that such a mutual insurer has bona fide applications representing the number of applicants required.

Source: SL 1977, ch 405, § 4; SL 1979, ch 342.
S.D. Codified Laws § 58-22-39 — SD Code / Title 58 / Chapter 22 / Section 58-22-39
Affidavit of property bondsman as to consideration for undertaking--Willful misstatement as perjury
Status: in_force

Every property bondsman shall file with the undertaking an affidavit stating whether or not he or anyone for his use has been promised or has received any security or consideration for his undertaking, and if so, the nature and amount thereof, and the name of the person by whom such promise was made or from whom such security or consideration was received. Any willful misstatement in such affidavit relating to the security or consideration promised or given shall render the person making it subject to the same prosecution and penalty as one who commits perjury.

Source: SL 1966, ch 111, ch 31, § 25.
S.D. Codified Laws § 58-41-67 — SD Code / Title 58 / Chapter 41 / Section 58-41-67
Promulgation of rules
Status: in_force

The director may, pursuant to chapter 1-26 , promulgate such reasonable rules as are necessary to carry out the provisions of this chapter. Included among such rules shall be those which provide minimum requirements for the provision of comprehensive health maintenance services, as defined in subdivision 58-41-1(1), and reasonable exclusions therefrom.

Source: SL 1974, ch 321, § 42; SL 1986, ch 22, § 43; SL 2013, ch 256, § 19.
S.D. Codified Laws § 58-29A-81 — SD Code / Title 58 / Chapter 29A / Section 58-29A-81
Proration of payments when assets insufficient for full payment
Status: in_force

If the maximum assessment, together with the other assets of the association in any account, does not provide in any one year in any account an amount sufficient to make all necessary payments from that account, the funds available shall be prorated and the unpaid portion shall be paid as soon thereafter as funds become available.

Source: SL 2000, ch 247, § 28.
S.D. Codified Laws § 58-29B-123 — SD Code / Title 58 / Chapter 29B / Section 58-29B-123
Valuation made under supervision of court--Treatment of deficiency and surrender of security
Status: in_force

The determination made pursuant to § 58-29B-122 shall be under the supervision and control of the court with due regard for the recommendation of the liquidator. The amount so determined shall be credited upon the secured claim, and any deficiency shall be treated as an unsecured claim. If the claimant shall surrender his security to the liquidator, the entire claim shall be allowed as if unsecured.

Source: SL 1989, ch 436, § 123.
S.D. Codified Laws § 58-44-7 — SD Code / Title 58 / Chapter 44 / Section 58-44-7
Annual report of loss ratios and loss reserves
Status: in_force

In addition to any other required loss reserve certification, the controlled insurer shall annually, on April first of each year, file with the director an opinion of an independent casualty actuary or other independent loss reserve specialist acceptable to the director reporting loss ratios for each line of business written and attesting to the adequacy of loss reserves established for losses incurred and outstanding as of year - end, including incurred but not reported, on business placed by the broker.

The controlled insurer shall annually report to the director the amount of commissions paid to the controlling broker, the percentage the amount represents of the net premiums written and comparable amounts and percentage paid to noncontrolling brokers for placements of the same kinds of insurance.

Source: SL 1992, ch 358, § 7.
S.D. Codified Laws § 58-27-4 — SD Code / Title 58 / Chapter 27 / Section 58-27-4
Prior legal investment deemed eligible
Status: in_force

Any particular investment held by an insurer on July 1, 1997, and which was a legal investment at the time it was made, and which the insurer was legally entitled to possess immediately prior to July 1, 1997 shall be deemed to be an eligible investment.

Source: SL 1966, ch 111, ch 6, § 2 (2); SL 1997, ch 294, § 2.
S.D. Codified Laws § 58-11-34 — SD Code / Title 58 / Chapter 11 / Section 58-11-34
Insurance of motor vehicle sales contracts, copy of policy delivered to vendee, mortgagor, or pledgor, contents--Inapplicable to inland marine floater policies
Status: in_force

In event the original policy is delivered or is so required to be delivered to or for deposit with any vendor, mortgagee, or pledgee of any motor vehicle, and in which policy any interest of the vendee, mortgagor, or pledgor in or with reference to such vehicle is insured, a duplicate of such policy setting forth the name and address of the insurer, insurance classification of vehicle, type of coverage, limits of liability, premiums for the respective coverages, and duration of the policy, or memorandum thereof containing the same such information, shall be delivered by the vendor, mortgagee, or pledgee to each such vendee, mortgagor, or pledgor named in the policy or coming within the group of persons designated in the policy to be so included. If the policy does not provide coverage of legal liability for injury to persons or damage to the property of third parties, a statement of such fact shall be printed, written, or stamped conspicuously on the face of such duplicate policy or memorandum. This section does not apply to inland marine floater policies.

Source: SL 1966, ch 111, ch 22, § 25 (2).
S.D. Codified Laws § 58-5A-41.5 — SD Code / Title 58 / Chapter 5A / Section 58-5A-41.5
Confidentiality not waived by disclosure of information
Status: in_force

No waiver of any applicable privilege or claim of confidentiality in the documents, materials, or information may occur as a result of disclosure to the director pursuant to this chapter or as a result of sharing as authorized pursuant to this chapter.

Source: SL 2015, ch 246, § 28.
S.D. Codified Laws § 58-38-28 — SD Code / Title 58 / Chapter 38 / Section 58-38-28
Purchasing organization's notice of premium charge
Status: in_force

The organization may provide not less than forty - five days advance notice of any benefit or premium change to its members.

Source: SL 1994, ch 382, § 4.
S.D. Codified Laws § 58-17-23 — SD Code / Title 58 / Chapter 17 / Section 58-17-23
Claim forms--Furnishing by insurer
Status: in_force

There shall be a provision as follows: "Claim forms: The insurer, upon receipt of a notice of claim, will furnish to the claimant such forms as are usually furnished by it for filing proofs of loss. If such forms are not furnished within fifteen days after the giving of such notice the claimant shall be deemed to have complied with the requirements of this policy as to proof of loss upon submitting, within the time fixed in the policy for filing proofs of loss, written proof covering the occurrence, the character and the extent of the loss for which claim is made."

Source: SL 1966, ch 111, ch 25, § 9.
S.D. Codified Laws § 58-17-151 — SD Code / Title 58 / Chapter 17 / Section 58-17-151
Applications to be credentialed
Status: in_force

Within ten business days of receiving a request for an application to be credentialed by a health care professional, a health insurer or other entity responsible for the credentialing of health care professionals on behalf of the health insurer shall send an application form to the professional, unless the application to be credentialed is available electronically on a public website. The application form shall identify and itemize all documentation and other information that the insurer or entity must receive in order for an application to be complete.

Source: SL 2014, ch 236, § 3.
S.D. Codified Laws § 58-17-106 — SD Code / Title 58 / Chapter 17 / Section 58-17-106
No reduction or limitation of coverage otherwise required by law
Status: in_force

Sections 58-17-100 to 58-17-106 , inclusive, may not be used to reduce or limit coverage for off - label use of drugs otherwise required by law or contract.

Source: SL 2000, ch 242, § 7.
S.D. Codified Laws § 58-17F-19 — SD Code / Title 58 / Chapter 17F / Section 58-17F-19
Activities of nonregistered managed care contractor prohibited
Status: in_force

No managed care contractor may engage in managed care activities in this state unless the managed care contractor is properly registered. The director may issue a cease and desist order against any managed care contractor which fails to comply with the requirements of §§ 58-17F-16 to 58-17F-20 , inclusive, prohibiting the managed care contractor from engaging in managed care activities in this state.

Source: SL 2011, ch 219, § 19.
S.D. Codified Laws § 58-11-3 — SD Code / Title 58 / Chapter 11 / Section 58-11-3
Statement of basis and rates for determination of premium included in policy
Status: in_force

If under the policy, the exact amount of premium is determinable only at stated intervals or at termination of the contract, a statement of the basis and rates upon which the premium is to be determined and paid shall be included.

Source: SL 1966, ch 111, ch 22, § 16 (2).
S.D. Codified Laws § 58-16-13 — SD Code / Title 58 / Chapter 16 / Section 58-16-13
Industry fund groups--Issuance to commercial correspondent prohibited, exception
Status: in_force

No policy may be issued under § 58-16-12 to insure employees of any employer whose eligibility to participate in the fund as an employer arises out of considerations directly related to the employer being a commercial correspondent or business client or patron of another employer, except where such other employer exercises substantial control over the business operations of the participating employers.

Source: SL 1966, ch 111, ch 24, § 1 (4) (a).
S.D. Codified Laws § 58-16-50 — SD Code / Title 58 / Chapter 16 / Section 58-16-50
Application of §§58-16-49to58-16-54
Status: in_force

The provisions of §§ 58-16-49 to 58-16-54 , inclusive, apply to any group life insurance policy issued or provided by a carrier on a group or group-type basis covering persons as employees of employers or as members of unions or associations.

Source: SL 2009, ch 261, § 2.
S.D. Codified Laws § 58-5A-21 — SD Code / Title 58 / Chapter 5A / Section 58-5A-21
Form and contents of registration statement
Status: in_force

Each insurer subject to registration pursuant to § 58-5A-20 shall file a registration statement with the director on a form and in the format provided by the division, which contains current information about:

(1) The capital structure, general financial condition, ownership, and management of the insurer and any person controlling the insurer;

(2) The following agreements in force and transactions currently outstanding between the insurer and its affiliates:

(a) Loans, or other investments, or purchases, sales or exchanges of securities of the affiliate by the insurer or of the insurer by its affiliates;

(b) Purchases, sales, or exchanges of assets;

(c) Transactions not in the ordinary course of business;

(d) Guarantees or undertakings for the benefit of an affiliate which result in an actual contingent exposure of the insurer's assets to liability, other than insurance contracts entered into in the ordinary course of the insurer's business;

(e) All management and service contracts and all cost sharing arrangements;

(f) Dividends and other distributions to shareholders; and

(g) Consolidated tax allocation agreements;

(3) Other matters concerning transactions between a registered insurer and any affiliate as may be required by the director;

(4) The identity and relationship of each member of the insurance holding company system;

(5) Any pledge of the insurer's stock, including stock of any subsidiary of or controlling affiliate, for a loan made to any member of the insurance holding company system;

(6) The financial statement of or within an insurance holding company system, including each affiliate. The financial statement may include the annual audited financial statement filed with the U.S. Securities and Exchange Commission (SEC) pursuant to the Securities Act of 1933, as of January 1, 2015, or the Securities Exchange Act of 1934, as of January 1, 2015. An insurer required to file a financial statement pursuant to this section shall satisfy the requirements by providing the director with the most recently filed parent corporation financial statements that have been filed with the SEC;

(7) A statement that the insurer's board of directors oversees corporate governance and internal controls and that the insurer's officers or senior management have approved, implemented, and continue to maintain and monitor corporate governance and internal control procedures; and

(8) Any other information required by the director pursuant to law or rule.

All registration statements shall contain a summary outlining all items in the current registration statement representing changes from the prior registration statement.

Source: SL 1972, ch 267, § 15; SL 1992, ch 341, § 16; SL 2015, ch 246, § 7.
S.D. Codified Laws § 58-43-19 — SD Code / Title 58 / Chapter 43 / Section 58-43-19
Availability of workpapers and communications related to audit between insurer and accountant--Confidentiality of documents
Status: in_force

The insurer and the accountant shall make available for review by the division or its examiners, all workpapers prepared in the conduct of his audit and any communications related to the audit between the accountant and the insurer, at the offices of the insurer, at the division or at any other reasonable place designated by the director. The accountant shall retain the audit workpapers and communications until the division has filed a report on examination covering the period of the audit but no longer than seven years from the date of the audit report.

In the conduct of the division's review, the division may copy any audit workpapers and may retain them. The reviews by the division examiners shall be considered investigations and all working papers and communications obtained during the course of the investigations shall be afforded the same confidentiality as other examination workpapers generated by the division under chapter 58-3 .

Source: SL 1992, ch 357, § 19.
S.D. Codified Laws § 58-29D-15 — SD Code / Title 58 / Chapter 29D / Section 58-29D-15
Records of deposits and withdrawals from fiduciary account
Status: in_force

If charges or premiums deposited in a fiduciary account have been collected on behalf of or for one or more insurers, the administrator shall keep records clearly recording the deposits in and withdrawals from the account on behalf of each insurer. The administrator shall keep copies of all the records and, upon request of an insurer, shall furnish the insurer with copies of the records pertaining to such deposits and withdrawals.

Source: SL 1992, ch 352, § 15.
S.D. Codified Laws § 58-5C-2 — SD Code / Title 58 / Chapter 5C / Section 58-5C-2
Malpractice insurance contracts among attorneys
Status: in_force

Any number of attorneys licensed to practice their profession in any of the states, may enter into contracts with each other for the purpose of protecting themselves by insurance against loss by reason of actions at law on account of their alleged error, mistake, negligence, or omission or malpractice in the performance of their profession, or for loss by reason of damages in other respects, and to reimburse any member in case of such loss.

Source: SL 1977, ch 405, § 2.
S.D. Codified Laws § 58-18B-48 — SD Code / Title 58 / Chapter 18B / Section 58-18B-48
Chapter not applicable to certain group health insurance plans
Status: in_force

Unless the carrier otherwise subjects itself to this chapter, this chapter does not apply to any bona fide association insurance plan or to the insurance carrier underwriting the group plan if the bona fide association meets the following criteria:

(1) The association has been actively in existence for at least five years;

(2) The association has been formed and maintained in good faith for purposes other than obtaining insurance;

(3) The association does not condition membership in the association on any health status - related factor relating to an individual, including an employee of an employer or a dependent of an employee;

(4) Health insurance coverage offered through the association is available to all members regardless of any health status - related factor relating to such members or individual eligible for coverage through a member;

(5) The association does not make health insurance coverage offered through the association available other than in connection with a member of the association;

(6) The association and any plan issued through the association are complying with any applicable provisions of Title 47 and §§ 58-18-42 to 58-18-62 , inclusive.

Source: SL 1995, ch 281, § 43; SL 1997, ch 289, § 23.
S.D. Codified Laws § 58-17E-27 — SD Code / Title 58 / Chapter 17E / Section 58-17E-27
Contents of provider agreement
Status: in_force

A provider agreement between a discount medical plan organization and a provider shall provide the following:

(1) A list of the medical or ancillary services and products to be provided at a discount;

(2) The amount or amounts of the discounts or, alternatively, a fee schedule that reflects the provider's discounted rates; and

(3) That the provider will not charge members more than the discounted rates.

Source: SL 2006, ch 257, § 27.
S.D. Codified Laws § 58-26-105 — SD Code / Title 58 / Chapter 26 / Section 58-26-105
Exemption of certain forms or product lines of domestic insurer
Status: in_force

The director may exempt specific product forms or product lines of a domestic company that is licensed and doing business only in South Dakota from the requirements of §§ 58-26-91 to 58-26-97 , inclusive, provided:

(1) The director has issued an exemption in writing to the company and has not subsequently revoked the exemption in writing; and

(2) The company computes reserves using assumptions and methods used prior to the operative date of the valuation manual in addition to any requirements established by the director and promulgated by regulation.

For any company granted an exemption pursuant to this section, §§ 58-26-46 to 58-26-84 , inclusive, are applicable. With respect to any company applying this exemption, any reference to §§ 58-26-91 to 58-26-97 , inclusive, found in §§ 58-26-46 to 58-26-84 , inclusive, is not applicable.

Source: SL 2015, ch 254, § 39.
S.D. Codified Laws § 58-48-13 — SD Code / Title 58 / Chapter 48 / Section 58-48-13
Termination of waivers
Status: in_force

If a participant tests an innovative insurance product or service requiring ongoing duties after the termination date of a waiver, the participant shall continue to fulfill those duties or arrange for another person to fulfill those duties after the date the waiver terminates. At the termination of the testing period provided by a waiver, the participant shall immediately stop offering all innovative insurance products or services being tested. The participant shall submit a final report showing test results in a form and manner prescribed by the director within sixty days of waiver termination.

Source: SL 2021, ch 214, § 13.
S.D. Codified Laws § 58-27-58 — SD Code / Title 58 / Chapter 27 / Section 58-27-58
Limitations on investments in corporate stock--Exceptions
Status: in_force

An insurer may invest and have invested at any one time in aggregate amount not more than twenty percent of its assets in all investments under §§ 58-27-23 and 58-27-24 and not more than twenty - five percent of its assets in all investments under subdivisions 58-27-17(4) and (5) and §§ 58-27-23 and 58-27-24 . Determination of the amount which an insurer has invested for the purposes of this section shall be based on the cost of such investments to the insurer. This section does not apply to stock of a controlled or subsidiary insurance corporation or other corporation under §§ 58-27-25 and 58-27-26 . This section does not apply to § 58-27-101 . For purposes of determining compliance with this section, the investments under subdivision 58-27-17(4) are limited to those mutual funds investing less than ninety percent in bonds defined in subdivisions 58-27-17(1), (2), and (3) and §§ 58-27-9 to 58-27-13 , inclusive.

Source: SL 1966, ch 111, ch 6, § 5 (6); SL 1983, ch 376, § 8; SL 1992, ch 350, § 22; SL 1997, ch 294, § 17.
S.D. Codified Laws § 58-22-45 — SD Code / Title 58 / Chapter 22 / Section 58-22-45
Liability on undertaking unaffected by defects
Status: in_force

The liability of a person on an undertaking shall not be affected by reason of the lack of any qualifications, sufficiency, or competency provided in the criminal procedure law, or by reason of any other agreement that is expressed in the undertaking, or because the defendant has not joined in the undertaking.

Source: SL 1966, ch 111, ch 31, § 3.
S.D. Codified Laws § 58-17-46 — SD Code / Title 58 / Chapter 17 / Section 58-17-46
Policy provisions not subject to chapter--Conforming to statute required
Status: in_force

No policy provision which is not subject to this chapter shall make a policy, or any portion thereof, less favorable in any respect to the insured or the beneficiary than the provisions thereof which are subject to this chapter.

Source: SL 1966, ch 111, ch 25, § 27 (1).
S.D. Codified Laws § 58-35-16 — SD Code / Title 58 / Chapter 35 / Section 58-35-16
Qualifications of county mutual insurer for certificate of authority
Status: in_force

When applying for an original certificate of authority, a county mutual insurer must be otherwise qualified therefor under this title, and it must have received acceptable applications from twenty - five persons for substantial insurance, aggregating at least one hundred thousand dollars; and such applicants must have given to the insurer the obligations referred to in § 58-35-41 , or paid the premium required, subject to the insurer qualifying to transact insurance.

Source: SL 1966, ch 111, ch 17, § 11 (1).
S.D. Codified Laws § 58-8-1 — SD Code / Title 58 / Chapter 8 / Section 58-8-1
Representing or aiding unauthorized insurer as misdemeanor
Status: in_force

No person may in this state, directly or indirectly, act as insurance producer for, or otherwise represent any insurer not then authorized to transact insurance business in this state, in the solicitation, negotiation, or effectuation of insurance or of annuity contracts, inspection of risks, fixing of rates, investigation or adjustment of losses, collection of premiums, or in any other manner in the transaction of insurance business with respect to subjects of insurance resident, located or to be performed in this state. Any violation of this section is a Class 2 misdemeanor.

Source: SL 1966, ch 111, ch 12, § 1 (1); SL 1978, ch 359, § 2; SL 2001, ch 286, § 98.