reglab/statecodes huggingface dataset:
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 59D — Guaranteed Asset Protection Waivers › Section 59D.06 — Disclosures.

59D.06 DISCLOSURES.
(a) Guaranteed asset protection waivers must disclose, as applicable, in writing and in clear, understandable language that is easy to read, the following:
(1) the name and address of the initial creditor and the borrower at the time of sale, and the identity of any administrator if different from the creditor;
(2) the purchase price and the terms of the GAP waiver, including without limitation, the requirements for protection, conditions, or exclusions associated with the GAP waiver;
(3) that the borrower may cancel the GAP waiver within a free-look period as specified in the waiver, and will be entitled to a full refund of the purchase price, so long as no benefits have been provided;
(4) the procedure the borrower must follow, if any, to obtain GAP waiver benefits under the terms and conditions of the waiver, including a telephone number and address where the borrower may apply for waiver benefits;
(5) whether or not the GAP waiver is cancelable after the free-look period and the conditions under which it may be canceled or terminated including the procedures for requesting a refund due;
(6) that in order to receive a refund due in the event of a borrower's cancellation of the GAP waiver agreement or early termination of the finance agreement after the free-look period of the GAP waiver, the borrower, in accordance with the terms of the waiver, must provide a written cancellation request to the creditor, administrator, or other party. If such a request is being made because of the termination of the finance agreement, notice must be provided to the creditor, administrator, or other party within 90 days of the occurrence of the event terminating the finance agreement;
(7) the methodology for calculating a refund of the unearned purchase price of the GAP waiver due in the event of cancellation of the GAP waiver or early termination of the finance agreement; and
(8) that the extension of credit, the terms of the credit, or the terms and conditions of the related motor vehicle sale or lease are not conditioned upon the purchase of the GAP waiver.
(b) The creditor or any person offering a GAP waiver must provide the following verbatim disclosure in bold, 14-point type, either in a separate writing or as part of the agreement: "THE GAP WAIVER IS OPTIONAL. YOU DO NOT HAVE TO PURCHASE THIS PRODUCT IN ORDER TO BUY [OR LEASE] THIS MOTOR VEHICLE. YOU ALSO HAVE A LIMITED RIGHT TO CANCEL."
History:
1Sp2015 c 1 art 3 s 8
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 59D — Guaranteed Asset Protection Waivers › Section 59D.07 — Cancellation; Refunds.

59D.07 CANCELLATION; REFUNDS.
Subdivision 1.
Refund requirements during free-look period.
A GAP waiver must provide that, if a borrower cancels a waiver within the free-look period, the borrower will be entitled to a full refund of the purchase price, so long as no benefits have been provided.
Subd. 2.
Refund requirements after free-look period.
(a) Guaranteed asset protection waivers may be cancelable or noncancelable after the free-look period.
(b) In the event of a borrower's cancellation of the GAP waiver or early termination of the finance agreement, after the agreement has been in effect beyond the free-look period, the borrower may be entitled to a refund of any unearned portion of the purchase price of the waiver unless the waiver provides otherwise. In order to receive a refund, the borrower, in accordance with any applicable terms of the waiver, must provide a written request to the creditor, administrator, or other party. If such a request is being made because of the termination of the finance agreement, notice must be provided to the creditor, administrator, or other party within 90 days of the occurrence of the event terminating the finance agreement.
(c) If the cancellation of a GAP waiver occurs as a result of a default under the finance agreement or the repossession of the motor vehicle associated with the finance agreement, or any other termination of the finance agreement, any refund due may be paid directly to the creditor or administrator and applied as set forth in subdivision 3.
Subd. 3.
How applied.
A refund under subdivision 1 or 2 may be applied by the creditor as a reduction of the amount owed under the finance agreement, unless the borrower can show that the finance agreement has been paid in full.
History:
1Sp2015 c 1 art 3 s 9
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.032 — Commissioner's Orders, Report.

60A.032 COMMISSIONER'S ORDERS, REPORT.
When, upon receipt of an examination report, the commissioner forwards to the company an order based on the report, the commissioner shall immediately report the fact to the governor and the attorney general. Within 20 days after submission of the report the commissioner shall submit to the governor and attorney general a supplementary report if the company has not complied with the order.
History:
1969 c 7 s 1; 1986 c 444
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.035 — Government Controlled Or Owned Company Prohibited From Transacting Business.

60A.035 GOVERNMENT CONTROLLED OR OWNED COMPANY PROHIBITED FROM TRANSACTING BUSINESS.
(a) No insurance company the voting control or ownership of which is held in whole or substantial part by any government or governmental agency or entity having a tax exemption under section 501(c)(27)(B) or 115 of the Internal Revenue Code of 1986 or which is operated for or by any such government or agency or entity having a tax exemption under section 501(c)(27)(B) or 115 of the Internal Revenue Code of 1986 is authorized to transact insurance in this state. Membership in a mutual company, subscribership in a reciprocal insurer, ownership of stock of an insurer by the alien property custodian or similar official of the United States, or supervision of an insurer by public insurance supervisory authority is not considered to be an ownership, control, or operation of the insurer for the purposes of this section.
(b) This section does not apply to an insurance company if its sole insurance business in this state is providing workers' compensation insurance and associated employers' liability coverage to an employer principally located in the insurer's state of domicile whose employee may receive benefits under section 176.041, subdivision 4, provided the operations of the employer are for fewer than 30 consecutive days in this state and provided the employer has no other significant contacts with this state.
(c) This section does not apply to a fund established under section 16B.85, subdivision 2.
History:
1Sp2003 c 1 art 4 s 1
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.0784 — Prohibited Practices.

60A.0784 PROHIBITED PRACTICES.
It is unlawful for any person to:
(1) procure or cause to be procured or effected a policy in violation of section 60A.0783;
(2) engage in STOLI practices or otherwise wager on life;
(3) solicit, market, or otherwise promote the purchase of a policy for the purpose of or with an emphasis on the subsequent sale of the policy in the secondary market;
(4) enter into a premium finance agreement with any person or agency, or any person affiliated with such person or agency, pursuant to which the lender or any person affiliated with the lender shall receive any proceeds, fees, or other consideration, directly or indirectly, from the policy or policyowner or any other person with respect to the premium finance agreement or any settlement contract or other transaction related to such policy that are in addition to the amounts required to pay the principal, interest, and service charges related to policy premiums pursuant to the premium finance agreement or subsequent sale of such agreement; provided, further, that any payments, charges, fees, or other amounts in addition to the amounts required to pay the principal, interest, and service charges related to policy premiums paid under the premium finance agreement shall be remitted to the insured or to the insured's estate if the insured is not living at the time of the determination of the overpayment; or
(5) enter into or to offer to enter into a settlement contract prior to the issuance of a policy that is the subject of the settlement contract or proposed settlement contract.
History:
2009 c 52 s 4
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.0786 — Presumption Of Stoli Practices.

60A.0786 PRESUMPTION OF STOLI PRACTICES.
Subdivision 1.
Presumption of STOLI practices.
A settlement contract, or any agreement the effect of which is to sell or acquire the policy or a beneficial interest in the policy, entered into within the four-year period commencing with the date the policy is issued creates a rebuttable presumption of STOLI practices if either of the following circumstances are present:
(1) there was an agreement or understanding, before issuance of the policy, between the insured, policyowner, or owner of a beneficial interest in the policy, and another person to guarantee any liability or to purchase, or stand ready to purchase, the policy or an interest in the policy, including through an assumption or forgiveness of a loan; or
(2) both of the following are present:
(i) all or a portion of the policy premiums were funded by means other than by the insured's personal assets or assets provided by a person who is closely related to the insured by blood or law or who has a lawful and substantial economic interest in the continued life of the insured. For purposes of this provision, funds from a premium finance loan are considered assets of the insured or that person only if the insured or that person is contractually obligated to repay the full amount of the loan and to pledge personal assets, other than the policy itself, for loan amounts exceeding the policy's cash value; and
(ii) the insured underwent a life expectancy evaluation within the 18-month time period immediately prior to the issuance of the policy and, during the same time period, the results of the life expectancy evaluation were shared with or used by any person for the purpose of determining the actual or potential value of the policy in the secondary market.
Subd. 2.
Not applicable in criminal proceedings.
The rebuttable presumption created in this section does not apply in any criminal proceeding.
History:
2009 c 52 s 6
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.0787 — Processing Change Of Ownership Or Beneficiary Requests.

60A.0787 PROCESSING CHANGE OF OWNERSHIP OR BENEFICIARY REQUESTS.
Subdivision 1.
Obligation to process change of ownership or beneficiary requests.
Upon receipt of a properly completed request for change of ownership or beneficiary of a policy and, if applicable, the completed questionnaire described in this section, the insurer shall respond in writing within 30 calendar days with written acknowledgment confirming that the change has been effected or specifying the reasons why the requested change cannot be processed. The insurer shall not unreasonably delay effecting change of ownership or beneficiary and shall not otherwise interfere with any permitted settlement contract entered into in this state.
Subd. 2.
Written questionnaire.
If the insurer receives a request for change of ownership or beneficiary within the four-year period commencing with the date the policy is issued, the insurer may require, as a condition of effecting the requested change, that the policyowner complete and return a written questionnaire designed to determine whether the change request relates to or is made in accordance with a settlement contract and if so, whether the circumstances described in section 60A.0785 are present. The questionnaire shall be in a form approved by the commissioner and shall include, but not be limited to, the following:
(1) the definition of settlement contract;
(2) an inquiry regarding whether the request for change of ownership or beneficiary relates to or is made in accordance with a settlement contract;
(3) if the answer to clause (2) is "yes," then an inquiry regarding whether the circumstances described in section 60A.0785 are present;
(4) a disclosure that presenting false material information, or concealing material information, in connection with the questionnaire is defined under the laws of this state as a fraudulent act; and
(5) a signed certification by the policyowner that the answers and information provided in and pursuant to the questionnaire are true and complete to the best of the policyowner's knowledge and belief.
Subd. 3.
Other inquiries.
Nothing in this section should be interpreted to limit an insurer's ability to make other inquiries to detect STOLI practices.
Subd. 4.
Fraternal benefit societies.
Nothing in sections 60A.078 to 60A.0789 shall prohibit a fraternal benefit society regulated under chapter 64B from enforcing the terms of its bylaws or rules regarding permitted beneficiaries and owners.
History:
2009 c 52 s 7
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.0788 — Fraudulent Acts.

60A.0788 FRAUDULENT ACTS.
Subdivision 1.
Fraudulent acts.
A person who commits a fraudulent act as defined in this section commits insurance fraud and may be sentenced under section 609.611, subdivision 3.
Subd. 2.
List of fraudulent acts.
All of the following acts are fraudulent when committed by a person who, with intent to defraud and for the purpose of depriving another of property or for pecuniary gain, commits, or permits any of its employees or its agents to commit them:
(1) failing to disclose to the insurer where the insurer has requested such disclosure that the prospective insured has undergone a life expectancy evaluation;
(2) misrepresenting a person's state of residence or facilitating the change of the state in which a person resides for the express purpose of evading or avoiding the provisions of sections 60A.078 to 60A.0789;
(3) presenting, causing to be presented, or preparing with knowledge or belief that it will be presented to an insurer any false material information, or concealing any material information, as part of, in support of, or concerning a fact material to one or more of the following:
(i) a questionnaire as provided for under section 60A.0787; or
(ii) any other documents or communications, whether written or verbal, which are intended to detect STOLI practices or demonstrate compliance with sections 60A.078 to 60A.0789;
(4) encouraging the insured, policyowner, or owner of a beneficial interest in the policy to falsely state that the circumstances described in section 60A.0785 are not present or aiding in the preparation or execution of documents designed to create the false impression that those circumstances are not present; and
(5) failing to request or to provide the broker certification required by section 60A.0785, subdivision 2, or falsely certifying that the life expectancy evaluation in section 60A.0785, subdivision 2, was not shared with any other person prior to the issuance of the policy for the purpose of determining the actual or potential value of the policy in the secondary market.
History:
2009 c 52 s 8
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.0789 — Remedies.

60A.0789 REMEDIES.
Subdivision 1.
Actions to recover death benefits.
(a) If the beneficiary, assignee, or other payee receives the death benefits under a life insurance policy initiated by STOLI practices or a policy procured or effected in violation of section 60A.0783 or section 60A.0785, the personal representative of the insured's estate or other lawfully acting agent may maintain an action to recover such benefits from the person receiving them.
(b) Where a person receives the death benefit as a result of a nonwillful violation of sections 60A.078 to 60A.0789, the court may limit the recovery to unjust enrichment, calculated as the benefits received plus interest from the date of receipt, less premiums paid under the policy by the recipient and any consideration paid by the recipient to the insured in connection with the policy.
(c) Where a person receives the death benefits as the result of a willful violation of sections 60A.078 to 60A.0789, the court may, in addition to actual damages, order the defendant or defendants to pay exemplary damages in an amount up to two times the death benefits. A pattern of violations of sections 60A.078 to 60A.0789 and conduct involving one or more fraudulent acts are evidence of willfulness. The exemplary damages shall be paid to one or more governmental agencies charged with combating consumer fraud, including the Department of Commerce.
(d) The court may award reasonable attorney fees, together with costs and disbursements, to any party that recovers damages in any action brought under this subdivision.
(e) An action under this subdivision must be brought within two years after the death of the insured.
Subd. 2.
Enforceability of contracts.
Any contract, agreement, arrangement, or transaction prohibited under sections 60A.078 to 60A.0789 is voidable.
Subd. 3.
Declaratory judgment action.
If, prior to payment of death benefits, the insurer believes the policy was initiated by STOLI practices, the insurer may bring a declaratory judgment action seeking a court order declaring the policy void.
Subd. 4.
Effect on other law.
Sections 60A.078 to 60A.0789 shall not:
(1) preempt or limit other civil remedies, including, but not limited to, declaratory judgments, injunctive relief, and interpleaders;
(2) preempt the authority or relieve the duty of other law enforcement or regulatory agencies to investigate, examine, and prosecute suspected violations of law;
(3) limit the powers granted elsewhere by the laws of this state to the commissioner or an insurance fraud unit or the attorney general to investigate and examine possible violations of law and to take appropriate actions against wrongdoers; or
(4) limit the power of this state to punish a person for conduct that constitutes a crime under other laws of this state.
History:
2009 c 52 s 9; 2014 c 198 art 4 s 3
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.081 — Aircraft Insurance.

60A.081 AIRCRAFT INSURANCE.
Subdivision 1.
Compliance exclusions prohibited; exception.
(a) No policy of insurance issued or delivered in this state covering any loss, damage, expense, or liability arising out of the ownership, maintenance, or use of an aircraft, shall exclude or deny coverage because the aircraft is operated in violation of federal or civil air regulations, state law or rules, or local ordinances. This section does not prohibit the use of specific exclusions or conditions in the policy which relate to:
(1) certification of an aircraft in a stated category by the federal aviation administration;
(2) certification of a pilot in a stated category by the federal aviation administration;
(3) establishing requirements for pilot experience; or
(4) establishing limitations on the use of the aircraft.
(b) An insured's action or failure to act is not a basis for denial of a claim, unless the insured's action or failure to act had a direct causal connection to the loss upon which the claim is based. For purposes of this paragraph, "denial of a claim" includes refusal to pay a claim due to a retroactive termination of the policy on the basis of the insured's action or failure to act.
Subd. 2.
Liability exclusions prohibited; exception.
Except as provided in subdivision 1, no policy of insurance issued or delivered in this state covering an aircraft equipped with passenger seats and covering liability hazards shall be issued excluding coverage for injury to or death of passengers or nonpassengers except as to a policy of insurance exclusively covering "commercial operations" as defined by section 360.013, subdivision 45, where the pilot of the aircraft has in force a separate policy of insurance providing for coverage on the aircraft as required by section 360.59, subdivision 10.
Subd. 3.
Nonapplication of section.
The provisions of this section shall not apply as to any policy issued covering aircraft being used in air commerce as defined by section 360.511, subdivision 4.
History:
1969 c 629 s 1; 1976 c 241 s 1; 1985 c 248 s 70; 2008 c 182 s 1
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.0811 — Breach Of Insurance Policy; Recovery Of Interest.

60A.0811 BREACH OF INSURANCE POLICY; RECOVERY OF INTEREST.
Subdivision 1.
Definitions.
For purposes of this section:
(1) "insurance policy" means a commercial or professional insurance policy or contract other than:
(i) a workers' compensation insurance policy or contract;
(ii) a health insurance policy or contract issued, executed, renewed, maintained, or delivered in this state by a health carrier as defined in section 62A.011, subdivision 2;
(iii) a life insurance or disability insurance policy or contract; or
(iv) a policy or contract issued by a township mutual fire insurance company operating under chapter 65A;
(2) "insured" means any named insured, additional insured, or insured under an insurance policy; and
(3) "insurer" means an insurer:
(i) incorporated or organized in this state; or
(ii) admitted, authorized, or licensed to do business or doing business in this state but not incorporated or organized in this state. Insurer does not include the joint underwriting association operating under chapter 62F or 62I; or a township mutual fire insurance company operating under chapter 65A.
Subd. 2.
Interest.
(a) An insured who prevails in any claim against an insurer based on the insurer's breach or repudiation of, or failure to fulfill, a duty to provide services or make payments is entitled to recover ten percent per annum interest on monetary amounts due under the insurance policy, calculated from the date the request for payment of those benefits was made to the insurer.
(b) Punitive damages or damages for nonmonetary losses are not recoverable under this section.
Subd. 3.
Application.
This section applies to a court action or arbitration proceeding, including an action seeking declaratory judgment.
History:
2009 c 148 s 1; 2012 c 187 art 1 s 10
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.082 — Group Insurance; Benefits Continued If Insurer Changed.

60A.082 GROUP INSURANCE; BENEFITS CONTINUED IF INSURER CHANGED.
A person covered under group life, group accidental death and dismemberment, group disability income or group medical expense insurance, shall not be denied benefits to which the person is otherwise entitled solely because of a change in the insurance company writing the coverage or in the group contract applicable to the person. In the case of one or more carriers replacing or remaining in place after one or more plans have been discontinued, each carrier shall accept any person who was covered under the discontinued plan or plans without denial of benefits to which other persons in the group covered by that carrier are entitled. "Insurance company" shall include a service plan corporation under chapter 62C or 62D.
For purposes of satisfying any preexisting condition limitation, the insurance company shall credit the period of time the person was covered by the prior plan, if the person has maintained continuous coverage.
The commissioner shall promulgate rules to carry out this section. Nothing in this section shall preclude an employer, union or association from reducing the level of benefits under any group insurance policy or plan.
History:
1980 c 459 s 1; 1984 c 464 s 1; 1986 c 444; 1994 c 485 s 7
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.084 — Notification On Group Policies.

60A.084 NOTIFICATION ON GROUP POLICIES.
An employer providing life or health benefits may not change benefits, limit coverage, or otherwise restrict participation until the certificate holder or enrollee has been notified of any changes, limitations, or restrictions. Notice in a format which meets the requirements of the United States Department of Labor is satisfactory for compliance with this section.
History:
1987 c 337 s 3; 2010 c 384 s 5
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.085 — Cancellation Of Group Coverage; Notification To Covered Persons.

60A.085 CANCELLATION OF GROUP COVERAGE; NOTIFICATION TO COVERED PERSONS.
(a) No cancellation of any group life, group accidental death and dismemberment, group disability income, or group medical expense policy, plan, or contract regulated under chapter 62A or 62C is effective unless the insurer has made a good faith effort to notify all covered persons of the cancellation at least 30 days before the effective cancellation date. For purposes of this section, an insurer has made a good faith effort to notify all covered persons if the insurer has notified all the persons included on the list required by paragraph (b) at the home address given and only if the list has been updated within the last 12 months.
(b) At the time of the application for coverage subject to paragraph (a), the insurer shall obtain an accurate list of the names and home addresses of all persons to be covered.
(c) Paragraph (a) does not apply if the group policy, plan, or contract is replaced, or if the insurer has reasonable evidence to indicate that it will be replaced, by a substantially similar policy, plan, or contract.
(d) In no event shall this section extend coverage under a group policy, plan, or contract more than 120 days beyond the date coverage would otherwise cancel based on the terms of the group policy, plan, or contract.
(e) If coverage under the group policy, plan, or contract is extended by this section, then the time period during which affected members may exercise any conversion privilege provided for in the group policy, plan, or contract is extended for the same length of time, plus 30 days.
History:
1992 c 564 art 4 s 3; 1994 c 485 s 8; 1995 c 258 s 2
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.086 — Retroactive Termination Of Coverage Under Group Policies Prohibited.

60A.086 RETROACTIVE TERMINATION OF COVERAGE UNDER GROUP POLICIES PROHIBITED.
Subdivision 1.
Applicability.
This section applies to:
(1) health plans as defined in section 62A.011, issued to groups;
(2) group accident and health insurance;
(3) group life insurance;
(4) group accidental death and dismemberment insurance; and
(5) group disability income insurance.
Subd. 2.
Requirement.
No plan of coverage described in subdivision 1 shall permit the issuer to retroactively cancel, retroactively rescind, or otherwise retroactively terminate the coverage of an employee, dependent, or other covered person under the group coverage, without the written consent of that employee, dependent, or other covered person. For purposes of this subdivision, "covered person" includes a person on continuation coverage or eligible for continuation coverage.
Subd. 3.
Nonapplicability.
(a) This section does not apply where the group policy or contract is lawfully terminated retroactively and not replaced with substantially similar coverage.
(b) This section does not apply where the employee, dependent, or other covered person committed fraud or misrepresentation with respect to eligibility under the terms of the group policy or contract or with respect to any other material fact, but retroactive termination without written consent must not be based upon the failure of the employee, dependent, or other covered person to meet the group sponsor's eligibility requirements, if the group sponsor requested the issuer of the coverage to include the person as a covered person.
(c) This section does not apply where the issuer of coverage described in subdivision 1 retroactively terminates coverage of an employee, dependent, or other covered person solely because the group sponsor did not notify the issuer of the coverage in advance of the employee's voluntary or involuntary termination from employment, provided that the retroactive termination of coverage is effective no earlier than the end of the day of termination from employment. This paragraph does not affect continuation rights under federal or state law and does not limit the effect of section 62Q.16.
History:
1996 c 304 s 1
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.091 — Definition; Qualified United States Financial Institution.

60A.091 DEFINITION; QUALIFIED UNITED STATES FINANCIAL INSTITUTION.
For purposes of sections 60A.092 and 60A.093, "qualified United States financial institution" means an institution that:
(1) is organized or, in the case of a United States office of a foreign banking organization, licensed, under the laws of the United States or any state;
(2) is regulated, supervised, and examined by federal or state authorities having regulatory authority over banks and trust companies; and
(3) is a member of the Federal Deposit Insurance Corporation, or the National Credit Union Administration.
History:
1991 c 325 art 1 s 11
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.093 — Reduction From Liability For Reinsurance Ceded By A Domestic Insurer; Collateral Requirements.

60A.093 REDUCTION FROM LIABILITY FOR REINSURANCE CEDED BY A DOMESTIC INSURER; COLLATERAL REQUIREMENTS.
Subdivision 1.
Reduction allowed.
A reduction from liability for reinsurance ceded by a domestic insurer to an assuming insurer not meeting the requirements of section 60A.092 shall be allowed in an amount not exceeding the liabilities carried by the ceding insurer. Such reduction shall be in the amount of funds held by or on behalf of the ceding insurer, including funds held in trust for the ceding insurer, as security for the payment of obligations under the reinsurance contract with the assuming insurer. Such security must be held in the United States subject to withdrawal solely by, and under the exclusive control of, the ceding insurer; or, in the case of a trust, held in a qualified United States financial institution. The funds held as security may be in any form of security acceptable to the commissioner or in the form of:
(1) cash;
(2) securities listed by the Securities Valuation Office of the National Association of Insurance Commissioners, including those deemed exempt from filing as defined by the Purposes and Procedures Manual of the Securities Valuation Office, and qualifying as admitted assets and, with the exception of United States treasury notes, readily marketable over a national exchange or NASDAQ with maturity dates within one year; or
(3) clean, irrevocable, unconditional letters of credit issued or confirmed by a qualified United States financial institution no later than December 31 in respect of the year for which filing is being made, and in the possession of, or in trust for, the ceding insurer on or before the filing date of its annual statement.
Subd. 2.
Letters of credit continued acceptance.
Letters of credit meeting applicable standards of issuer acceptability as of the dates of their issuance or confirmation must continue to be acceptable as security until their expiration, extension, renewal, modification, or amendment, whichever comes first.
The letter of credit of an institution failing the standards of subdivision 1, clause (3), continues to be acceptable for no more than 30 days.
History:
1991 c 325 art 1 s 13; 1995 c 214 s 4; 2018 c 125 s 4
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.095 — Reinsurance Agreements Affected.

60A.095 REINSURANCE AGREEMENTS AFFECTED.
Sections 60A.091 to 60A.093 apply to all cessions after July 1, 1991, under reinsurance agreements that have had an inception, anniversary, or renewal date not less than six months after July 1, 1991.
History:
1991 c 325 art 1 s 15
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.112 — Investment Policy Required.

60A.112 INVESTMENT POLICY REQUIRED.
Each domestic company must have a written investment policy, designed to provide guidance for investment decisions by management. The policy must be approved by its board of directors. The policy must be reviewed by the company's board of directors and reapproved no less often than once every 12 months. The investment policy must address asset type diversification, diversification within asset types, concentration risks, interest rate risk, liquidity, foreign investments, loans secured by real estate, and investment real estate. The policy must set forth, in detail, company practices relating to internal controls regarding the delegation of investment authority within the company.
The board of directors must also determine at least annually the extent to which the company has complied with its investment policy within the preceding 12 months and shall adopt a written determination.
The company must file, as an attachment to its annual statement, a certification that:
(1) the company has a written investment policy meeting the requirements of this section;
(2) the company's board of directors has reviewed and approved or reapproved the policy within the period covered by the annual statement; and
(3) the company's board of directors performed the compliance review and made the written determination required by this section for the period covered by the annual statement.
A company's failure to meet the requirements of this section does not affect its ability to enforce its legal or equitable rights with respect to its investments.
History:
1991 c 325 art 18 s 1; 1992 c 540 art 2 s 7
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.12 — Assets And Liabilities.

60A.12 ASSETS AND LIABILITIES.
Subdivision 1.
[Repealed, 2000 c 350 s 16]
Subd. 2.
[Repealed, 1991 c 325 art 8 s 18]
Subd. 3.
[Repealed, 2000 c 350 s 16]
Subd. 4.
[Repealed, 2000 c 350 s 16]
Subd. 5.
Loss reserves.
When, in the judgment of the commissioner, the loss reserves, calculated in accordance with statutory accounting practices as set forth in the National Association of Insurance Commissioners' accounting practices and procedures manual are inadequate, the commissioner may require the corporation to maintain additional reserves.
Subd. 6.
[Repealed, 1978 c 465 s 15]
Subd. 7.
[Repealed, 2000 c 350 s 16]
Subd. 8.
[Repealed, 2000 c 350 s 16]
Subd. 9.
[Repealed, 2000 c 350 s 16]
Subd. 10.
[Repealed, 1993 c 299 s 33]
History:
1967 c 395 art 1 s 12; 1975 c 359 s 23; 1978 c 465 s 6; 1986 c 444; 1991 c 325 art 16 s 1; 1992 c 540 art 2 s 8; 1992 c 564 art 1 s 17,54; 1993 c 299 s 2; 2000 c 350 s 2
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.122 — Required Written Procedures For Valuations.

60A.122 REQUIRED WRITTEN PROCEDURES FOR VALUATIONS.
An insurer shall establish written procedures, approved by the company's board of directors, for the valuation of commercial mortgage loans and real estate owned. The procedures must be made available to the commissioner upon request. The commissioner shall review the insurer's compliance with the procedures in any examination of the insurer under section 60A.031.
History:
1991 c 325 art 19 s 2
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.124 — Independent Audit.

60A.124 INDEPENDENT AUDIT.
The audit report of the independent certified public accountant that performs the audit of an insurer's annual statement as required under section 60A.1291, subdivision 2, should contain a statement as to whether anything, in connection with their audit, came to their attention that caused them to believe that the insurer failed to adopt and consistently apply the valuation procedure as required by sections 60A.122 and 60A.123.
History:
1991 c 325 art 19 s 4; 1992 c 540 art 2 s 9; 1995 c 258 s 4; 2009 c 37 art 3 s 10
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.125 — Appraisal By Independent Appraiser.

60A.125 APPRAISAL BY INDEPENDENT APPRAISER.
Subdivision 1.
Mortgage loans in the process of foreclosure.
An insurer may rely upon an appraisal by an independent appraiser to determine the carrying value of mortgage loans in the process of foreclosure only if the date of the appraisal is within six months of the date the foreclosure procedure is begun. If no appraisal exists, the insurer shall acquire an appraisal within six months after the foreclosure proceeding has begun.
Subd. 2.
Real estate owned.
An insurer may rely upon an appraisal by an independent appraiser to determine the carrying value of real estate owned only if the date of the appraisal is within six months of the date when title to the property was acquired. If no appraisal exists, the insurer shall acquire an appraisal within six months after title to the property is acquired.
Subd. 3.
[Repealed, 2000 c 350 s 16]
History:
1991 c 325 art 19 s 5
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.126 — Reports To Board; Valuations.

60A.126 REPORTS TO BOARD; VALUATIONS.
The management of the insurer shall make periodic reports, at least annually, to its board of directors, or an appropriate committee of the board, as to the application of the insurer's valuation procedures adopted under sections 60A.121 to 60A.127.
History:
1991 c 325 art 19 s 6
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.1285 — Other Impairments.

60A.1285 OTHER IMPAIRMENTS.
If distressed or delinquent mortgage loans being valued according to section 60A.123, subdivisions 3 and 4, are determined to be permanently impaired, a direct write-down must be recognized as a realized loss, and a new cost basis established.
History:
2000 c 350 s 7
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.1295 — Actuarial Opinion Of Reserves And Supporting Documentation.

60A.1295 ACTUARIAL OPINION OF RESERVES AND SUPPORTING DOCUMENTATION.
Subdivision 1.
Statement of actuarial opinion.
Every property and casualty insurance company doing business in this state, unless otherwise exempted by the domiciliary commissioner, shall annually submit the opinion of an appointed actuary entitled "Statement of Actuarial Opinion." This opinion must be filed in accordance with the appropriate National Association of Insurance Commissioners (NAIC) Property and Casualty Annual Statement Instructions.
Subd. 2.
Actuarial opinion summary.
(a) Every property and casualty insurance company domiciled in this state that is required to submit a statement of actuarial opinion shall annually submit an actuarial opinion summary, written by the company's appointed actuary. This actuarial opinion summary must be filed in accordance with the appropriate NAIC Property and Casualty Annual Statement Instructions and must be considered as a document supporting the actuarial opinion required in subdivision 1.
(b) A company licensed but not domiciled in this state shall provide the actuarial opinion summary upon request.
Subd. 3.
Actuarial report and workpapers.
(a) An actuarial report and its underlying workpapers as required by the appropriate NAIC Property and Casualty Annual Statement Instructions must be prepared to support each actuarial opinion.
(b) If the insurance company fails to provide a supporting actuarial report and/or workpapers at the request of the commissioner or the commissioner determines that the supporting actuarial report or workpapers provided by the insurance company are otherwise unacceptable to the commissioner, the commissioner may engage a qualified actuary at the expense of the company to review the opinion and the basis for the opinion and prepare the supporting actuarial report or workpapers.
Subd. 4.
Liability.
The appointed actuary shall not be liable for damages to any person, other than the insurance company and the commissioner, for any act, error, omission, decision, or conduct with respect to the actuary's opinion, except in cases of fraud or willful misconduct on the part of the appointed actuary.
History:
2013 c 135 art 3 s 6
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.131 — Other Business And Insurance Interests, Disclosure.

60A.131 OTHER BUSINESS AND INSURANCE INTERESTS, DISCLOSURE.
(a) If requested by the commissioner, an insurance company authorized to do business in this state shall disclose to the commissioner any changes in the principal management and directors of the company from that listed on page one of the annual statement within ten days of such change.
(b) Every insurance company authorized to do business in this state shall notify the commissioner within ten days after receipt of notice of any acquisition by any person, association or corporation of stock or other equity security in said insurer where such transaction, directly or indirectly, either involves five percent or more of any class of any equity security of said insurer, or such acquisition results in ownership of five percent or more of any equity security of said insurer.
(c) All principal management and directors of the company as listed on page one of its annual statement, and any person, association or corporation or any person or persons managing such company under a management contract, who are directly or indirectly the beneficial owners of more than five percent of any class of any equity security of a stock insurer or guaranty fund of a mutual insurer, shall disclose all other interests in excess of five percent which they may have in insurance agencies, other insurance companies, premium finance companies and any other companies whose principal business relates directly to the writing of insurance or the handling of claims, within 30 days following May 21, 1967. Any such interests acquired after May 21, 1967, shall be reported to the commissioner within 30 days.
History:
1967 c 609 s 1-4; 1Sp1985 c 10 s 51; 2014 c 222 art 1 s 11
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.135 — Report; Certain Transactions.

60A.135 REPORT; CERTAIN TRANSACTIONS.
Subdivision 1.
Requirement.
Every insurer domiciled in this state shall file a report with the commissioner disclosing material acquisitions and dispositions of assets or material nonrenewals, cancellations, or revisions of ceded reinsurance agreements unless the acquisitions and dispositions of assets or material nonrenewals, cancellations, or revisions of ceded reinsurance agreements have been submitted to the commissioner for review, approval, or information purposes pursuant to other provisions of law, rule, or other requirements.
Subd. 2.
Date due.
The report required in subdivision 1 is due within 15 days after the end of the calendar month in which the transactions occur.
Subd. 3.
Filing.
One complete copy of the report, including exhibits or other attachments filed as part of it, must be filed with the National Association of Insurance Commissioners.
Subd. 4.
Confidentiality.
Reports filed with the commissioner pursuant to sections 60A.135 to 60A.137 must be held as nonpublic data as defined in section 13.02, are not subject to subpoena, and may not be made public by the commissioner, the National Association of Insurance Commissioners, or other person, except to insurance departments of other states, without the prior written consent of the insurer to which it pertains. However, the commissioner may publish all or part of a report in the manner the commissioner considers appropriate if, after giving the affected insurer notice and an opportunity to be heard, the commissioner determines that the interest of policyholders, shareholders, or the public will be served by the publication.
History:
1995 c 214 s 7
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 60A — General Insurance Powers › Section 60A.136 — Acquisitions And Dispositions Of Assets.

60A.136 ACQUISITIONS AND DISPOSITIONS OF ASSETS.
Subdivision 1.
Materiality.
No acquisitions or dispositions of assets need be reported pursuant to section 60A.135 if the acquisitions or dispositions are not material. For purposes of sections 60A.135 to 60A.137, a material acquisition (or the aggregate of any series of related acquisitions during any 30-day period) or disposition (or the aggregate of any series of related dispositions during any 30-day period) is one that is nonrecurring and not in the ordinary course of business and involves more than five percent of the reporting insurer's total admitted assets as reported in its most recent statutory statement filed with the commissioner of commerce.
Subd. 2.
Scope.
(a) Asset acquisitions subject to sections 60A.135 to 60A.137 include every purchase, lease, exchange, merger, consolidation, succession, or other acquisition other than the construction or development of real property by or for the reporting insurer or the acquisition of materials for this purpose.
(b) Asset dispositions subject to sections 60A.135 to 60A.137 include every sale, lease, exchange, merger, consolidation, mortgage, hypothecation, assignment (whether for the benefit of creditors or otherwise), abandonment, destruction, or other disposition.
Subd. 3.
Information to be reported.
(a) The following information is required to be disclosed in a report of a material acquisition or disposition of assets:
(1) date of the transaction;
(2) manner of acquisition or disposition;
(3) description of the assets involved;
(4) nature and amount of the consideration given or received;
(5) purpose of, or reason for, the transaction;
(6) manner by which the amount of consideration was determined;
(7) gain or loss recognized or realized by the insurer as a result of the transaction; and
(8) name of each person from whom the assets were acquired or to whom they were disposed.
(b) Insurers are required to report material acquisitions and dispositions on a nonconsolidated basis unless the insurer is part of a consolidated group of insurers that uses a pooling arrangement or 100 percent reinsurance agreement that affects the solvency and integrity of the insurer's reserves and the insurer ceded substantially all of its direct and assumed business to the pool. An insurer is considered to have ceded substantially all of its direct and assumed business to a pool if the insurer has less than $1,000,000 total direct plus assumed written premiums during a calendar year that are not subject to a pooling arrangement and the net income of the business not subject to the pooling arrangement represents less than five percent of the insurer's capital and surplus.
History:
1995 c 214 s 8