reglab/statecodes huggingface dataset:
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 62W — Minnesota Pharmacy Benefit Manager › Section 62W.08 — Maximum Allowable Cost Pricing.

62W.08 MAXIMUM ALLOWABLE COST PRICING.
(a) With respect to each contract and contract renewal between a pharmacy benefit manager and a pharmacy, the pharmacy benefits manager must:
(1) provide to the pharmacy, at the beginning of each contract and contract renewal, the sources utilized to determine the maximum allowable cost pricing of the pharmacy benefit manager;
(2) update any maximum allowable cost price list at least every seven business days, noting any price changes from the previous list, and provide a means by which network pharmacies may promptly review current prices in an electronic, print, or telephonic format within one business day at no cost to the pharmacy;
(3) maintain a procedure to eliminate products from the list of drugs subject to maximum allowable cost pricing in a timely manner in order to remain consistent with changes in the marketplace;
(4) ensure that the maximum allowable cost prices are not set below sources utilized by the pharmacy benefits manager; and
(5) upon request of a network pharmacy, disclose the sources utilized for setting maximum allowable cost price rates on each maximum allowable cost price list included under the contract and identify each maximum allowable cost price list that applies to the network pharmacy. A pharmacy benefit manager must make the list of the maximum allowable costs available to a contracted pharmacy in a format that is readily accessible and usable to the network pharmacy.
(b) A pharmacy benefit manager must not place a prescription drug on a maximum allowable cost list unless the drug is available for purchase by pharmacies in this state from a national or regional drug wholesaler and is not obsolete.
(c) Each contract between a pharmacy benefit manager and a pharmacy must include a process to appeal, investigate, and resolve disputes regarding maximum allowable cost pricing that includes:
(1) a 15-business-day limit on the right to appeal following the initial claim;
(2) a requirement that the appeal be investigated and resolved within seven business days after the appeal is received; and
(3) a requirement that a pharmacy benefit manager provide a reason for any appeal denial and identify the national drug code of a drug that may be purchased by the pharmacy at a price at or below the maximum allowable cost price as determined by the pharmacy benefit manager.
(d) If an appeal is upheld, the pharmacy benefit manager must make an adjustment to the maximum allowable cost price no later than one business day after the date of determination. The pharmacy benefit manager must make the price adjustment applicable to all similarly situated network pharmacy providers as defined by the plan sponsor.
History:
2019 c 39 s 11
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 62W — Minnesota Pharmacy Benefit Manager › Section 62W.10 — Synchronization.

62W.10 SYNCHRONIZATION.
(a) For purposes of this section, "synchronization" means the coordination of prescription drug refills for a patient taking two or more medications for one or more chronic conditions, to allow the patient's medications to be refilled on the same schedule for a given period of time.
(b) A contract between a pharmacy benefit manager and a pharmacy must allow for synchronization of prescription drug refills for a patient on at least one occasion per year, if the following criteria are met:
(1) the prescription drugs are covered under the patient's health plan or have been approved by a formulary exceptions process;
(2) the prescription drugs are maintenance medications as defined by the health plan and have one or more refills available at the time of synchronization;
(3) the prescription drugs are not Schedule II, III, or IV controlled substances;
(4) the patient meets all utilization management criteria relevant to the prescription drug at the time of synchronization;
(5) the prescription drugs are of a formulation that can be safely split into short-fill periods to achieve synchronization; and
(6) the prescription drugs do not have special handling or sourcing needs that require a single, designated pharmacy to fill or refill the prescription.
(c) When necessary to permit synchronization, the pharmacy benefit manager must apply a prorated, daily patient cost-sharing rate to any prescription drug dispensed by a pharmacy under this section. The dispensing fee must not be prorated, and all dispensing fees shall be based on the number of prescriptions filled or refilled.
(d) Synchronization may be requested by the patient or by the patient's parent or legal guardian if the patient is under the age of 18 or is incapacitated as defined in section 524.5-102, or by the patient's health care agent as defined in chapter 145C.
History:
2019 c 39 s 13
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 62W — Minnesota Pharmacy Benefit Manager › Section 62W.11 — Gag Clause Prohibition.

62W.11 GAG CLAUSE PROHIBITION.
(a) No contract between a pharmacy benefit manager or health carrier and a pharmacy or pharmacist shall prohibit, restrict, or penalize a pharmacy or pharmacist from disclosing to an enrollee any health care information that the pharmacy or pharmacist deems appropriate regarding the nature of treatment; the risks or alternatives; the availability of alternative therapies, consultations, or tests; the decision of utilization reviewers or similar persons to authorize or deny services; the process that is used to authorize or deny health care services or benefits; or information on financial incentives and structures used by the health carrier or pharmacy benefit manager.
(b) A pharmacy or pharmacist must provide to an enrollee information regarding the enrollee's total cost for each prescription drug dispensed where part or all of the cost of the prescription is being paid or reimbursed by the employer-sponsored plan or by a health carrier or pharmacy benefit manager, in accordance with section 151.214, subdivision 1.
(c) A pharmacy benefit manager or health carrier must not prohibit a pharmacist or pharmacy from discussing information regarding the total cost for pharmacy services for a prescription drug, including the patient's co-payment amount, the pharmacy's own usual and customary price for the prescription drug, the pharmacy's acquisition cost for the prescription drug, and the amount the pharmacy is being reimbursed by the pharmacy benefit manager or health carrier for the prescription drug.
(d) A pharmacy benefit manager must not prohibit a pharmacist or pharmacy from discussing with a health carrier the amount the pharmacy is being paid or reimbursed for a prescription drug by the pharmacy benefit manager or the pharmacy's acquisition cost for a prescription drug.
(e) A pharmacy benefit manager or health carrier must not prohibit a pharmacist or pharmacy from discussing the availability of any therapeutically equivalent alternative prescription drugs or alternative methods for purchasing the prescription drug, including but not limited to paying out-of-pocket the pharmacy's usual and customary price when that amount is less expensive to the enrollee than the amount the enrollee is required to pay for the prescription drug under the enrollee's health plan.
History:
2019 c 39 s 14; 2021 c 30 art 5 s 1
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 62W — Minnesota Pharmacy Benefit Manager › Section 62W.12 — Point Of Sale.

62W.12 POINT OF SALE.
No pharmacy benefit manager or health carrier shall require an enrollee to make a payment at the point of sale for a covered prescription drug in an amount greater than the lesser of:
(1) the applicable co-payment for the prescription drug;
(2) the allowable claim amount for the prescription drug; or
(3) the amount an enrollee would pay for the prescription drug if the enrollee purchased the prescription drug without using a health plan or any other source of prescription drug benefits or discounts.
History:
2019 c 39 s 15
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 62W — Minnesota Pharmacy Benefit Manager › Section 62W.13 — Retroactive Adjustments.

62W.13 RETROACTIVE ADJUSTMENTS.
No pharmacy benefit manager shall retroactively adjust a claim for reimbursement submitted by a pharmacy for a prescription drug, unless the adjustment is a result of a:
(1) pharmacy audit conducted in accordance with section 62W.09; or
(2) technical billing error.
History:
2019 c 39 s 16
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 62W — Minnesota Pharmacy Benefit Manager › Section 62W.14 — Prompt Filling For Specialty Drugs.

62W.14 PROMPT FILLING FOR SPECIALTY DRUGS.
(a) A health carrier or pharmacy benefit manager that requires or provides financial incentives for enrollees to use a mail order pharmacy to fill a prescription for a specialty drug must ensure through contract and other means that the mail order pharmacy dispenses the prescription drug to the enrollee in a timely manner, such that the enrollee receives the filled prescription within seven business days of the date of transmittal to the mail order pharmacy. The health carrier or pharmacy benefit manager may grant to a mail order pharmacy an exemption from this requirement if the mail order pharmacy can document that the specialty drug was out of stock due to a delay in shipment by the specialty drug manufacturer or wholesaler. If an exemption is granted, the health carrier or pharmacy benefit manager must notify the enrollee within 24 hours of granting the exemption and, if medically necessary, must provide the enrollee with an emergency supply of the specialty drug.
(b) For purposes of this section, "health carrier" includes managed care plans and county-based purchasing plans participating in a public health care program under chapter 256B or 256L, and integrated health partnerships established under section 256B.0755.
History:
2019 c 39 s 17
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.01 — Fraternal Benefit Societies.

64B.01 FRATERNAL BENEFIT SOCIETIES.
Any incorporated society, order, or supreme lodge, without capital stock, including one exempted under section 64B.38, subdivision 1, clause (2), whether incorporated or not, conducted solely for the benefit of its members and their beneficiaries and not for profit, operated on a lodge system with ritualistic form of work or branch system that confines its membership to any one religious denomination, having a representative form of government, and which provides benefits in accordance with this chapter, is hereby declared to be a fraternal benefit society.
History:
1985 c 49 s 1; 1986 c 313 s 7
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.02 — Lodge System.

64B.02 LODGE SYSTEM.
Subdivision 1.
Definition.
A society is operating on the lodge system if it has a supreme governing body and subordinate lodges into which members are elected, initiated, or admitted in accordance with its laws, rules, and rituals. Subordinate lodges shall be required by the laws of the society to hold regular meetings at least once every three months in furtherance of the purposes of the society.
Subd. 2.
Children's lodges.
A society may, at its option, organize and operate lodges for children under the minimum age for adult membership. Membership and initiation in local lodges shall not be required of the children, nor shall they have a voice or vote in the management of the society.
History:
1985 c 49 s 2
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.03 — Representative Form Of Government.

64B.03 REPRESENTATIVE FORM OF GOVERNMENT.
(a) A society has a representative form of government when it has a supreme governing body constituted in one of the following ways:
(1) The supreme governing body is an assembly composed of delegates elected directly by the members or at intermediate assemblies or conventions of members or their representatives, together with other delegates as may be prescribed in the society's laws. A society may provide for election of delegates by mail. The elected delegates shall constitute a majority in number and shall not have less than two-thirds of the votes and not less than the number of votes required to amend the society's laws. The assembly shall be elected and shall meet at least once every four years and shall elect a board of directors to conduct the business of the society between meetings of the assembly. Vacancies on the board of directors between elections may be filled in the manner prescribed by the society's laws.
(2) The supreme governing body is a board composed of persons elected by the members, either directly or by their representatives in intermediate assemblies, and any other persons prescribed in the society's laws. A society may provide for election of the board by mail. Each term of a board member may not exceed four years, except that the commissioner has the discretion to approve completion of a term of office exceeding four years where the board member completing the term was elected pursuant to clause (1). Vacancies on the board between elections may be filled in the manner prescribed by the society's laws. Those persons elected to the board shall constitute a majority in number and not less than the number of votes required to amend the society's laws. A person filling the unexpired term of an elected board member shall be considered to be an elected member. The board shall meet at least quarterly to conduct the business of the society.
(b) A society has a representative form of government when the officers of the society are elected either by the supreme governing body or by the board of directors.
(c) A society has a representative form of government when only benefit members are eligible for election to the supreme governing body and the board of directors.
(d) A society has a representative form of government when each voting member shall have one vote and no vote may be cast by proxy.
History:
1985 c 49 s 3; 1986 c 313 s 8; 2000 c 304 s 2
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.04 — Terms Used.

64B.04 TERMS USED.
For the purposes of this chapter, the following terms have the meanings given them:
(a) "Benefit contract" means the agreement for provision of benefits authorized by section 64B.16, as that agreement is described in section 64B.19, subdivision 1.
(b) "Benefit member" means an adult member who is designated by the laws or rules of the society to be a benefit member under a benefit contract.
(c) "Certificate" means the document issued as written evidence of the benefit contract.
(d) "Commissioner" means the commissioner of commerce of the state of Minnesota or a duly appointed deputy charged with the responsibility of administering the insurance laws of the state of Minnesota.
(e) "Premiums" means premiums, rates, dues, or other required contributions by whatever name known, which are payable under the certificate.
(f) "Laws" means the society's articles of incorporation, constitution, and bylaws, however designated.
(g) "Rules" means 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.
(h) "Society" means fraternal benefit society, unless otherwise indicated.
(i) "Lodge" means subordinate member units of the society, known as camps, courts, councils, branches, or by any other designation.
History:
1985 c 49 s 4
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.05 — Purposes And Powers.

64B.05 PURPOSES AND POWERS.
Subdivision 1.
Purposes.
A society shall operate for the benefit of members and their beneficiaries by:
(1) providing benefits as specified in section 64B.16; and
(2) operating for one or more social, intellectual, educational, charitable, benevolent, moral, fraternal, patriotic, or religious purposes for the benefit of its members, which may also be extended to others.
The purposes provided for in this subdivision may be carried out directly by the society, or indirectly through subsidiary corporations or affiliated organizations which are to be operated primarily for member service. The subsidiaries authorized under section 64B.12 are to be operated primarily for investment purposes.
Subd. 2.
Adoption of laws and rules.
Every society may adopt laws and rules for the government of the society, the admission of its members, and the management of its affairs. It may change, alter, add to, or amend such laws and rules and shall have such other powers as are necessary and incidental to carrying into effect the objects and purposes of the society.
History:
1985 c 49 s 5; 1Sp1986 c 3 art 1 s 9
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.06 — Qualifications For Membership.

64B.06 QUALIFICATIONS FOR MEMBERSHIP.
Subdivision 1.
Qualifications.
A society shall specify in its laws or rules:
(1) eligibility standards for each and every class of membership, provided that if benefits are provided on the lives of children, the minimum age for adult membership shall be set at not less than age 15 and not greater than age 21;
(2) the process for admission to membership for each membership class; and
(3) the rights and privileges of each membership class, provided that only benefit members may vote on the management of the insurance affairs of the society.
Subd. 2.
Social members.
A society may also admit social members who shall have no voice or vote in the management of the insurance affairs of the society.
Subd. 3.
Membership rights.
Membership rights in the society are personal to the member and are not assignable.
History:
1985 c 49 s 6
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.07 — Location Of Office, Meetings, Communications To Members, Grievance Procedures.

64B.07 LOCATION OF OFFICE, MEETINGS, COMMUNICATIONS TO MEMBERS, GRIEVANCE PROCEDURES.
Subdivision 1.
Location of office; meetings.
The principal office of any domestic society shall be located in this state. The meetings of its supreme governing body may be held in any state, district, province, or territory where the society has at least one subordinate lodge, or in any other location as determined by the supreme governing body, and all business transacted at the meetings shall be as valid in all respects as if the meetings were held in this state. The minutes of the proceedings of the supreme governing body and of the board of directors shall be in English.
Subd. 2.
Communications.
(a) A society may provide in its laws for an official publication in which any notice, report, or statement required by law to be given to members, including notice of election, may be published. The required reports, notices, and statements shall be printed conspicuously in the publication. If the records of a society show that two or more members have the same mailing address, an official publication mailed to one member is deemed to be mailed to all members at the same address unless a member requests a separate copy.
(b) Not later than June 1 of each year, a synopsis of the society's annual statement providing an explanation of the facts concerning the condition of the society thereby disclosed shall be printed and mailed to each benefit member of the society or, in lieu thereof, the synopsis may be published in the society's official publication.
Subd. 3.
Grievance procedures.
A society may provide in its laws or rules for grievance or complaint procedures for members.
History:
1985 c 49 s 7
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.09 — Waiver.

64B.09 WAIVER.
The laws of the society may provide that no subordinate body, nor any of its subordinate officers or members, may waive any of the provisions of the laws of the society. The provision is binding on the society and every member and beneficiary of a member.
History:
1985 c 49 s 9
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.11 — Amendments To Laws.

64B.11 AMENDMENTS TO LAWS.
Subdivision 1.
Amendment procedure.
A domestic society may amend its laws in accordance with the provisions thereof by action of its supreme governing body at any regular or special meeting thereof or, if its laws so provide, by referendum. The referendum may be held in accordance with the provisions of its laws by the vote of the voting members of the society, by the vote of delegates or representatives of voting members, or by the vote of local lodges. A society may provide for voting by mail. No amendment submitted for adoption by referendum shall be adopted unless, within six months from the date of submission, a majority of the members voting shall have signified their consent to the amendment by one of the methods herein specified.
Subd. 2.
Approval of amendments.
No amendment to the laws of any domestic society shall take effect unless approved by the commissioner who shall approve the amendment if the commissioner finds that it has been duly adopted and is not inconsistent with any requirement of the laws of this state or with the character, objects, and purposes of the society. Unless the commissioner disapproves the amendment within 60 days after the filing of same, the amendment shall be considered approved. The approval or disapproval by the commissioner shall be in writing and mailed to the secretary or corresponding officer of the society at its principal office. In case the commissioner disapproves the amendment, the reasons therefor shall be stated in the written notice.
Subd. 3.
Publication of amendments.
Within 90 days from the approval thereof by the commissioner, all amendments, or a synopsis thereof, shall be furnished to all members of the society either by mail or by publication in full in the official publication of the society. The affidavit of any officer of the society or of anyone authorized by it to mail any amendments or synopsis thereof, stating facts which show that same have been duly addressed and mailed, shall be prima facie evidence that the amendments or synopsis thereof, have been furnished the addressee.
Subd. 4.
Filing of amendments by foreign or alien society.
Every foreign or alien society authorized to do business in this state shall be subject to the requirements of section 72A.061, subdivision 2, as to amendments or additions to its bylaws.
Subd. 5.
Certified copies of amendments.
Printed copies of the laws as amended, certified by the secretary or corresponding officer of the society, shall be prima facie evidence of their legal adoption.
History:
1985 c 49 s 11; 1987 c 337 s 86
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.12 — Institutions.

64B.12 INSTITUTIONS.
A society may create, maintain, and operate, or may establish organizations to operate, not for profit institutions to further the purposes permitted by section 64B.05, subdivision 1, clause (2). The institutions may furnish services free or at a reasonable charge. Any real or personal property owned, held, or leased by the society for this purpose shall be reported in every annual statement.
History:
1985 c 49 s 12
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.13 — Reinsurance.

64B.13 REINSURANCE.
(a) A domestic society may, by a reinsurance agreement, cede any individual risk or risks in whole or in part to an insurer, other than another fraternal benefit society, having the power to make such reinsurance and authorized to do business in this state, or if not so authorized, one which is approved by the commissioner, but no such society may reinsure substantially all of its insurance in force without the written permission of the commissioner. It may take credit for the reserves on the ceded risks to the extent reinsured, but no credit shall be allowed as an admitted asset or as a deduction from liability to a ceding society for reinsurance made, ceded, renewed, or otherwise becoming effective after August 1, 1985, unless the reinsurance is payable by the assuming insurer on the basis of the liability of the ceding society under the contract or contracts reinsured without diminution because of the insolvency of the ceding society.
(b) Notwithstanding the limitation in paragraph (a), a society may reinsure the risks of another society in a consolidation or merger approved by the commissioner under section 64B.14, or under such other circumstances as approved by the commissioner including reinsurance of an affiliated insurance company.
History:
1985 c 49 s 13; 2006 c 204 s 9
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.15 — Conversion Of Fraternal Benefit Society Into Mutual Life Insurance Company.

64B.15 CONVERSION OF FRATERNAL BENEFIT SOCIETY INTO MUTUAL LIFE INSURANCE COMPANY.
A domestic fraternal benefit society may be converted and licensed as a mutual life insurance company by compliance with all the financial requirements for a mutual life insurance company. A plan of conversion shall be prepared in writing by the board of directors setting forth in full the terms and conditions of conversion. The affirmative vote of two-thirds of all members of the supreme governing body at a regular or special meeting shall be necessary for the approval of the plan. No conversion shall take effect unless and until approved by the commissioner who may give the approval if the commissioner finds that the proposed change is in conformity with the requirements of law and not prejudicial to the certificate holders of the society.
History:
1985 c 49 s 15
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.16 — Benefits.

64B.16 BENEFITS.
Subdivision 1.
Scope.
A society may provide the following contractual benefits on an individual or nongroup basis:
(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) such other benefits as authorized for life insurers and which are not inconsistent with this chapter.
Subd. 2.
Persons eligible for benefits; children's benefits.
A society shall specify in its rules those persons who may be issued, or covered by, the contractual benefits in subdivision 1, 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 person.
Subd. 3.
Benefit authority continued.
Subdivision 1, clauses (1) to (6), continues the benefit authority provided in Minnesota Statutes 1984, chapter 64A. Subdivision 1, clause (7), provides that the current parity between the types of products that fraternals and other life insurers can provide be maintained in the future. Under this provision, any new product authorities granted to life insurers will also be available to fraternals if the new products are not inconsistent with fraternal code provisions, such as membership, and representative forms of government.
History:
1985 c 49 s 16
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.17 — Beneficiaries.

64B.17 BENEFICIARIES.
Subdivision 1.
Change; eligibility; rights.
The owner of a benefit contract may at all times change the beneficiary or beneficiaries in accordance with the laws or rules of the society unless the owner waives this right by specifically requesting in writing that the beneficiary designation be irrevocable. A society may, through its laws or rules, limit the scope of beneficiary designations and shall provide that no revocable beneficiary shall have or obtain any vested interest in the proceeds of any certificate until the certificate has become due and payable in conformity with the provisions of the benefit contract.
Subd. 2.
Support and other payments.
The member may at any time, by written instrument, authorize the society to provide and pay for the support, care, medical and surgical treatment, and funeral of a member and deduct the amount so paid, with legal interest, from the net reserve to the credit of the member's certificate or from the amount otherwise payable under the certificate to the beneficiary, or the member may, at any time, designate the society as beneficiary and, in such case, the society shall use this reserve or amount to the extent necessary for the purpose aforesaid.
Subd. 3.
Absence of designation.
If, at the death of any person insured under a benefit contract, there is no lawful beneficiary to whom the proceeds shall be payable, the amount of the benefit, except to the extent that funeral benefits may be paid, shall be payable to the personal representative of the deceased insured, provided that if the owner of the certificate is other than the insured, the proceeds shall be payable to the owner.
History:
1985 c 49 s 17
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.18 — Benefits Not Attachable.

64B.18 BENEFITS NOT ATTACHABLE.
The cash value, proceeds, or benefits under any matured or unmatured life insurance or annuity contract issued before, on, or after June 2, 1987, by any society authorized to do business under this chapter, is exempt from attachment, garnishment, execution, or other legal process to the extent provided by section 550.37, subdivisions 10, 23, and 24.
History:
1985 c 49 s 18; 1987 c 337 s 87; 1987 c 384 art 1 s 3
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.20 — Nonforfeiture Benefits, Cash Surrender Values, Certificate Loans, And Other Options.

64B.20 NONFORFEITURE BENEFITS, CASH SURRENDER VALUES, CERTIFICATE LOANS, AND OTHER OPTIONS.
Subdivision 1.
Prior certificates.
For certificates issued prior to one year after August 1, 1985, the value of every paid-up nonforfeiture benefit and the amount of any cash surrender value, loan, or other option granted shall comply with the provisions of law applicable immediately prior to August 1, 1985.
Subd. 2.
Future certificates.
For certificates issued on or after one year from August 1, 1985 for which reserves are computed on the Commissioner's 1941 Standard Ordinary Mortality Table, the Commissioner's 1941 Standard Industrial Table, the Commissioner's 1958 Standard Ordinary Mortality Table, or the Commissioner's 1980 Standard Mortality Table, or any more recent table made applicable to life insurers, every paid-up nonforfeiture benefit and the amount of any cash surrender value, loan, or other option granted shall not be less than the corresponding amount ascertained in accordance with the laws of this state applicable to life insurers issuing policies containing like benefits based upon such tables.
History:
1985 c 49 s 20
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.21 — Investments.

64B.21 INVESTMENTS.
A society shall invest its funds only in investments authorized by the laws of this state for the investment of assets of life insurers and subject to the limitations thereon. Any foreign or alien society permitted or seeking to do business in this state that invests its funds in accordance with the laws of the state, district, territory, country, or province in which it is incorporated, shall be held to meet the requirements of this section for the investment of funds.
History:
1985 c 49 s 21
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.22 — Funds.

64B.22 FUNDS.
Subdivision 1.
Assets.
All assets shall be held, invested, and disbursed for the use and benefit of the society and no member or beneficiary shall have or acquire individual rights therein or become entitled to any apportionment on the surrender of any part thereof, except as provided in the benefit contract.
Subd. 2.
Special funds.
A society may create, maintain, invest, disburse, and apply any special fund or funds necessary to carry out any purpose permitted by the laws of the society.
Subd. 3.
Separate accounts.
A society may, pursuant to resolution of its supreme governing body, establish and operate one or more separate accounts and issue contracts on a variable basis, subject to the provisions of law regulating life insurers establishing such accounts and issuing such contracts. To the extent the society deems it necessary in order to comply with any applicable federal or state laws, or any rules issued thereunder, the society may adopt special procedures for the conduct of the business and affairs of a separate account, may, for persons having beneficial interests therein, provide special voting and other rights, including without limitation special rights and procedures relating to investment policy, investment advisor services, selection of certified public accountants, and selection of a committee to manage the business and affairs of the account, and may issue contracts on a variable basis to which section 64B.19, subdivisions 2 and 4 shall not apply.
Subd. 4.
Authority of fraternal benefit societies clarified.
Subdivision 3 clarifies the authority of a fraternal benefit society to establish separate accounts, and to provide that the open contract and maintenance of solvency provisions may be deleted from contracts issued on a variable basis if so required to be consistent with other state or federal laws regulating variable contracts. The establishment of a separate account for variable products may be difficult to integrate into a society's existing mechanisms of representative form of government, so the statute emphasizes the care that must be taken in the decision by requiring that the supreme governing body authorize the establishment of the account.
History:
1985 c 49 s 22
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.23 — Exemptions.

64B.23 EXEMPTIONS.
Subdivision 1.
Application of chapter.
Except as herein provided, the societies shall be governed exclusively by this chapter and shall be exempt from all provisions of the insurance laws of this state, not only in governmental relations with the state, but for every other purpose, and no law hereafter passed shall apply to them unless they be expressly designated therein.
Subd. 2.
Domestic and foreign societies.
All provisions of this chapter, except as otherwise provided, shall be taken and construed as applying to both domestic and foreign societies.
Subd. 3.
Application of certain sections.
The provisions of sections 61A.39 to 61A.50 shall not apply to fraternal benefit societies nor shall anything therein be construed as governing or in any way regulating these societies.
History:
1985 c 49 s 23
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.24 — Taxation.

64B.24 TAXATION.
Fraternal benefit societies are declared to be charitable institutions, and the property held and used for lodge purposes, and the funds of these societies shall be exempt from taxation under the general tax or revenue laws of this state, except that the real estate of the society shall be taxable. Insurance premiums paid to a fraternal benefit society are exempt from the taxes imposed under chapter 297I.
History:
1985 c 49 s 24; 2000 c 394 art 2 s 18
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.25 — Valuation.

64B.25 VALUATION.
Subdivision 1.
Prior certificates.
Standards of valuation for certificates issued prior to one year after August 1, 1985 shall be those provided by the laws applicable immediately prior to August 1, 1985.
Subd. 2.
Future certificates.
The minimum standards of valuation for certificates issued on or after one year from August 1, 1985 shall be based on the following tables:
(1) For certificates of life insurance: The Commissioner's 1941 Standard Ordinary Mortality Table, the Commissioner's 1941 Standard Industrial Mortality Table, the Commissioner's 1958 Standard Ordinary Mortality Table, the Commissioner's 1980 Standard Ordinary Mortality Table, or any more recent table made applicable to life insurers;
(2) For annuity and pure endowment certificates, total and permanent disability benefits, accidental death benefits, and noncancelable accident and health benefits: Such tables as are authorized for use by life insurers in this state.
All of the above shall be under valuation methods and standards (including interest assumptions) in accordance with the laws of this state applicable to life insurers issuing policies containing like benefits.
Subd. 3.
Other standards.
The commissioner may accept other standards for valuation if the commissioner finds that the reserves produced thereby will not be less in the aggregate than reserves computed in accordance with the minimum valuation standard herein prescribed. The commissioner may vary the standards of mortality applicable to all benefit contracts on substandard lives or other extra hazardous lives by any society authorized to do business in this state.
Subd. 4.
Excess reserves.
Any society, with the consent of the commissioner of the state of domicile of the society and under the conditions, if any, that the commissioner may impose, may establish and maintain reserves on its certificates in excess of the reserves required thereunder, but the contractual rights of any benefit member shall not be affected thereby.
History:
1985 c 49 s 25; 1986 c 444
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.26 — Reports.

64B.26 REPORTS.
Reports shall be filed in accordance with the provisions of this section.
Every society transacting business in this state shall annually, on or before the first day of March, unless for cause shown such time has been extended by the commissioner, file with the commissioner a true statement of its financial condition, transactions, and affairs for the preceding calendar year. The statement shall be in general form and context as approved by the National Association of Insurance Commissioners for fraternal benefit societies and as supplemented by additional information required by the commissioner.
As part of the annual statement herein required, each society shall, on or before the first day of March, file with the commissioner a valuation of its certificates in force on December 31 last preceding. The commissioner of insurance may, for cause shown, extend the time for filing the valuation for not more than two calendar months. The valuation shall be done in accordance with the standards specified in section 64B.25. The valuation and underlying data shall be certified by a qualified actuary or, at the expense of the society, verified by the actuary of the department of insurance of the state of domicile of the society.
A society neglecting to file the annual statement in the form and within the time provided by this section shall forfeit $100 for each day during which the neglect continues, and, upon notice by the commissioner to that effect, its authority to do business in this state shall cease while the default continues.
History:
1985 c 49 s 26; 1986 c 444
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.27 — Annual License.

64B.27 ANNUAL LICENSE.
Societies that are now authorized to transact business in this state may continue this business until the first day of June next succeeding August 1, 1985. The authority of the societies and all societies hereafter licensed, may thereafter be renewed annually, subject to section 60A.13, subdivisions 1, 5, 6, and 7. However, a license so issued shall continue in full force and effect until the new license is issued or specifically refused. A duly certified copy or duplicate of the license is prima facie evidence that the licensee is a fraternal benefit society within the meaning of this chapter.
History:
1985 c 49 s 27; 1987 c 337 s 88
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.28 — Examination Of Societies; No Adverse Publications.

64B.28 EXAMINATION OF SOCIETIES; NO ADVERSE PUBLICATIONS.
Subdivision 1.
Procedure.
The commissioner, or any person the commissioner may appoint, may examine any domestic, foreign, or alien society transacting or applying for admission to transact business in this state in the same manner as authorized for examination of domestic, foreign, or alien insurers. Requirements of notice and an opportunity to respond before findings are made public as provided in the laws regulating insurers shall also be applicable to the examination of societies.
Subd. 2.
Expense.
The expense of each examination and of each valuation, including compensation and actual expense of examiners, shall be paid by the society examined or whose certificates are valued, upon statements furnished by the commissioner.
History:
1985 c 49 s 28; 1986 c 444
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.29 — Foreign Or Alien Society; Admission.

64B.29 FOREIGN OR ALIEN SOCIETY; ADMISSION.
No foreign or alien society shall transact business in this state without a license issued by the commissioner. Any society desiring admission to this state shall comply substantially with the requirements and limitations of this chapter applicable to domestic societies. A society may be licensed to transact business in this state upon filing with the commissioner:
(1) a duly certified copy of its articles of incorporation;
(2) a copy of its bylaws, certified by its secretary or corresponding officer;
(3) a power of attorney to the commissioner as prescribed in section 64B.35;
(4) a statement of its business under oath of its president and secretary or corresponding officers in a form prescribed by the commissioner, duly verified by an examination made by the supervising insurance official of its home state or other state, territory, province, or country, satisfactory to the commissioner of this state;
(5) certification from the proper official of its home state, territory, province, or country that the society is legally incorporated and licensed to transact business therein;
(6) copies of its certificate forms;
(7) such other information as the commissioner may deem necessary and upon a showing that its assets are invested in accordance with the provisions of this chapter.
History:
1985 c 49 s 29
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.30 — Domestic Associations; Examination; Rehabilitation; Dissolution.

64B.30 DOMESTIC ASSOCIATIONS; EXAMINATION; REHABILITATION; DISSOLUTION.
Subdivision 1.
Visitation and examination.
The commissioner, or any person the commissioner may appoint, shall have the power of visitation and examination into the affairs of any domestic society. The commissioner shall conduct an examination at least as often as is required in section 60A.031, subdivision 1. The commissioner may:
(1) employ assistance for the purposes of examination and the commissioner, or any person the commissioner may appoint, shall have free access to any books, papers, and documents that relate to the business of the association; and
(2) summon and qualify as witnesses, under oath, and examine its officers, agents, and employees, or other persons, in relation to the affairs, transactions, and condition of the association.
Subd. 2.
Conditions.
Wherever the commissioner is satisfied that any of the conditions exist as stated in chapter 60B, the commissioner may proceed as provided therein.
Subd. 3.
Voluntary dissolution.
Upon application to the commissioner, a domestic society may request that it be dissolved and that its existence be terminated. Such application shall demonstrate that the applicant has satisfied its members' policy obligations or that it has transferred such obligations to another society, domestic or foreign, by means of assumption or bulk reinsurance or otherwise, that the applicant's supreme governing body has approved such termination and dissolution and that the application includes such other information that the commissioner requires. Any limitation in section 64B.13 related to reinsurance by a domestic society with another society shall not apply to reinsurance entered into in conjunction with the transfer of member policy obligations as a part of a voluntary dissolution. Upon the approval of the application by the commissioner, the society shall be deemed dissolved and its existence terminated upon the date set forth in the application.
History:
1985 c 49 s 30; 1986 c 444; 2000 c 483 s 18; 2005 c 118 s 11
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.31 — Suspension, Revocation, Or Refusal Of License Of Foreign Or Alien Society.

64B.31 SUSPENSION, REVOCATION, OR REFUSAL OF LICENSE OF FOREIGN OR ALIEN SOCIETY.
Subdivision 1.
Grounds for revocation.
When the commissioner upon investigation finds that a foreign or alien society transacting or applying to transact business in this state:
(1) has exceeded its powers;
(2) has failed to comply with any of the provisions of this chapter;
(3) is not fulfilling its contracts in good faith; or
(4) is conducting its business fraudulently or in a manner hazardous to its members or creditors or the public,
the commissioner shall notify the society of the deficiency or deficiencies and state in writing the reasons for dissatisfaction. The commissioner shall at once issue a written notice to the society requiring that the deficiency or deficiencies which exist are corrected. After the notice the society shall have a 30-day period in which to comply with the commissioner's request for correction, and if the society fails to comply the commissioner shall notify the society of the findings of noncompliance and require the society to show cause on a date named why its license should not be suspended, revoked, or refused. If on the date the society does not present good and sufficient reason why its authority to do business in this state should not be suspended, revoked, or refused, the commissioner may suspend or refuse the license of the society to do business in this state until satisfactory evidence is furnished to the commissioner that the suspension or refusal should be withdrawn or the commissioner may revoke the authority of the society to do business in this state.
Subd. 2.
Continuance of contracts.
Nothing contained in this section shall be taken or construed as preventing any society from continuing in good faith all contracts made in this state during the time the society was legally authorized to transact business herein.
History:
1985 c 49 s 31; 1986 c 444
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.32 — Injunction.

64B.32 INJUNCTION.
No application or petition for injunction against any domestic, foreign, or alien society, or lodge thereof, shall be recognized in any court of this state unless made by the attorney general upon request of the commissioner.
History:
1985 c 49 s 32
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 64B — Fraternal Benefit Societies › Section 64B.33 — Licensing Of Agents.

64B.33 LICENSING OF AGENTS.
Agents of societies shall be licensed in accordance with the provisions of chapters 60A and 60K regulating the licensing, revocation, suspension, or termination of license of resident and nonresident agents, except as otherwise provided in section 60K.35.
History:
1985 c 49 s 33; 1992 c 564 art 3 s 24; 2001 c 117 art 2 s 13