reglab/statecodes huggingface dataset:
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.08 — Exceptions.

61A.08 EXCEPTIONS.
Sections 61A.02, 61A.03, 61A.07, 61A.23, and 61A.25 shall not, except as expressly provided in this chapter, apply to industrial or group term policies, or to corporations or associations operating on the assessment or fraternal plan, but every contract issued prior to the operative date specified in section 61A.245 containing a provision for a deferred annuity on the life of the insured only, unless paid for by a single premium, shall provide that, in event of the nonpayment of any premium after three full years' premium shall have been paid, the annuity shall automatically become converted into a paid-up annuity for that proportion of the original annuity as the number of completed years' premiums paid bears to the total number of premiums required under the contract.
History:
1967 c 395 art 2 s 8; 1978 c 662 s 1; 1994 c 485 s 20
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.091 — Employee Group Life Insurance Plans.

61A.091 EMPLOYEE GROUP LIFE INSURANCE PLANS.
Subdivision 1.
Mandatory participation.
No employer who makes available or otherwise sponsors a group life insurance plan that provides life insurance benefits to more than five employees of that employer, whether through insurance policies, self-insurance, or any combination of these arrangements, may require an employee to participate in the life insurance plan as a condition of employment, unless the employer pays the full cost of the plan. No employer may discharge any employee who pursuant to this section refuses to contribute to an employee group life insurance plan, nor shall the employer discriminate or otherwise retaliate against the employee who pursuant to this section refuses to contribute to an employee group life insurance plan. An employee may bring an action against an employer for recovery of any wages withheld in violation of this section. This remedy shall be in addition to any other remedy provided by law. For the purposes of this section, "employer" means any natural person, company, corporation, partnership, association or firm which employs any employee. "Employee" is an individual as defined by section 62E.02, subdivision 8. This section does not apply where a collectively bargained contract provides for mandatory participation in a group life insurance plan. This section does not apply to any insurance purchased or carried for the purpose of buying or selling any part of employer, its shares, its assets or its business. This section does not apply to any insurance purchased or carried by any pension, profit sharing or other retirement plan or trust.
Subd. 2.
Continuation of waiver of premiums for those otherwise eligible following termination of insurance.
All group life insurance policies covering employees of an employer containing a waiver of premium benefits upon total disability of the employee shall provide that termination of the master policy, for any reason whatsoever, will be without prejudice to the claim of any covered employee who is suffering from a disability, as defined in the group life policy waiver of premium section at the time of the termination. This subdivision may be superseded by a rule promulgated by the commissioner of commerce.
History:
1977 c 192 s 1; 1980 c 376 s 1; 1983 c 289 s 114 subd 1; 1984 c 655 art 1 s 92; 1986 c 444
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.093 — Certificate Of Insurance.

61A.093 CERTIFICATE OF INSURANCE.
Subdivision 1.
Coverage.
A certificate of insurance or similar evidence of coverage issued to a Minnesota resident shall provide coverage for all benefits required to be covered in group policies in Minnesota by this chapter.
This subdivision supersedes any inconsistent provision of this chapter.
A policy of life insurance that is issued or delivered in this state and that covers a person residing in another state may provide coverage or contain provisions that are less favorable to that person than required by this chapter. Less favorable coverages or provisions must meet the requirements that the state in which the person resides would have required had the policy been issued or delivered in that state.
Subd. 2.
Nonapplication.
Subdivision 1 does not apply to certificates issued in regard to a master policy issued outside the state of Minnesota if all of the following are true:
(1) the policyholder or certificate holder exists primarily for purposes other than to obtain insurance;
(2) the policyholder or certificate holder is not a Minnesota corporation and does not have its principal office in Minnesota;
(3) the policy or certificate covers fewer than 25 persons who are residents of Minnesota and the Minnesota residents represent less than 25 percent of all covered persons; and
(4) on request of the commissioner, the issuer files with the commissioner a copy of the policy and a copy of each form of certificate.
Subd. 3.
Relation to other law.
Section 60A.08, subdivision 4, shall not be construed as requiring a certificate of insurance or similar evidence of insurance that meets the conditions of subdivision 2 to comply with this chapter.
History:
1994 c 485 s 23
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.10 — Extension Of Time For Payment Of Premiums.

61A.10 EXTENSION OF TIME FOR PAYMENT OF PREMIUMS.
Parties to any policy of life insurance now or hereafter issued shall have the right at any time to mutually agree, in writing, for an extension of time in which to pay a second or subsequent premium on the policy, upon condition that the failure to pay the amount agreed upon at the time agreed, shall lapse the policy as of the date mutually agreed upon in the writing; provided, no such agreement shall impair any right to extended or paid-up insurance which the insured may have under the policy, nor any right to have the premiums, any part thereof, or the amount payable for the extension charged against the policy under the terms of the policy. No such agreement need be attached to or made a part of the insurance policy so affected.
History:
1967 c 395 art 2 s 10
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.11 — Misstatement, When Not To Invalidate Policy.

61A.11 MISSTATEMENT, WHEN NOT TO INVALIDATE POLICY.
In any claim upon a policy issued in this state without previous medical examination, or without the knowledge or consent of the insured, or, in case of a minor, without the consent of a parent, guardian, or other person having legal custody, the statements made in the application as to the age, physical condition, and family history of the insured shall be valid and binding upon the company, unless willfully false or intentionally misleading.
History:
1967 c 395 art 2 s 11; 1986 c 444
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.12 — Beneficiaries.

61A.12 BENEFICIARIES.
Subdivision 1.
Proceeds of life policy or annuity, who entitled to.
When any insurance is effected in favor of another, the beneficiary shall be entitled to its proceeds against the creditors and representatives of the person effecting the same. All premiums paid for insurance in fraud of creditors, with interest thereon, shall inure to their benefit from the proceeds of the policy, if the company be specifically notified thereof, in writing, before payment.
Subd. 2.
Exemption in favor of family.
Every policy made payable to, or for the benefit of, the spouse of the insured, or after its issue assigned to or in trust for a spouse, shall inure to that person's separate use and that of the children of the insured or the insured's spouse, subject to the provisions of this section.
Subd. 3.
[Repealed, 1973 c 725 s 91]
Subd. 4.
Change of beneficiary.
The person applying for and procuring a policy may change the beneficiary or beneficiaries, if the consent of the beneficiary or beneficiaries named in the policy is obtained, or if a power so to do is reserved in the contract of insurance or in case of the death of the beneficiary, or in the case of the dissolution of a marriage between the insured and the beneficiary subject to any limitations on the power to change beneficiaries imposed as a condition of the dissolution.
Subd. 5.
Substitution.
When a creditor requires credit life insurance, credit accident and health insurance, or both, as additional security for an indebtedness, the debtor shall be given the option of furnishing the required amount of insurance through existing policies of insurance owned or controlled by the debtor or procuring and furnishing the required coverage through any insurer authorized to transact insurance business in this state. If this subdivision is applicable, the debtor shall be informed by the creditor of the right to provide alternative coverage before the transaction is completed.
History:
1967 c 395 art 2 s 12; 1976 c 121 s 1,2; 1977 c 382 s 5; 1986 c 444; 1994 c 485 s 24
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.13 — Definitions.

61A.13 DEFINITIONS.
Subdivision 1.
Contract on a variable basis.
When used in sections 61A.13 to 61A.21, "contract on a variable basis" means any contract on either a group or an individual basis issued by a life insurance company providing for the dollar amount of benefits or other contractual payments or values thereunder to vary so as to reflect investment results of a separate account in which amounts have been placed in connection with any such contracts. Such contracts may also provide benefits or values incidental thereto payable in fixed or variable dollar amounts, or both.
Subd. 2.
[Repealed, 1969 c 752 s 18]
History:
1967 c 395 art 2 s 13; 1969 c 752 s 1; 1973 c 480 s 1
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.15 — Contract Provisions.

61A.15 CONTRACT PROVISIONS.
Subdivision 1.
Variable annuity.
All annuity contracts on a variable basis issued in this state shall stipulate the expense, mortality, and investment-increment factors to be used in computing (1) in the case of individual contracts, the dollar amount of variable benefits or other contractual payments or values, and (2) in the case of group contracts, the dollar amount payable with respect to a unit of variable benefits purchased thereunder. All such contracts shall guarantee that expenses shall not affect such dollar amounts adversely. In computing the dollar amount of variable benefits or other contractual payments or values under an individual contract on a variable basis, (a) the annual net investment increment assumption shall not exceed five percent, except with the approval of the commissioner, and (b) to the extent that the level of benefits may be affected by mortality results, the mortality factor shall be determined from the Annuity Mortality Table for 1949, Ultimate, or any modification of that table not having a higher mortality rate at any age, or, if approved by the commissioner, from another table. The term "expense," as used in this section, may exclude some or all taxes as stipulated in the contracts and may also exclude any investment management fee which is subject to change with the approval by vote of the holders of such contracts.
Subd. 2.
Variable life insurance.
Any life insurance contract on a variable basis delivered or issued for delivery in this state shall stipulate the investment increment factor to be used in computing the dollar amount of variable benefits or other variable contractual payments or values thereunder and shall guarantee that expense and mortality results shall not adversely affect such dollar amounts.
History:
1967 c 395 art 2 s 15; 1969 c 752 s 9; 1973 c 480 s 3
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.16 — Contract Provisions.

61A.16 CONTRACT PROVISIONS.
Any contract on a variable basis providing benefits payable in variable amounts delivered or issued for delivery in this state shall contain a statement of the essential features of the procedures to be followed by the insurance company in determining the dollar amount of such variable benefits. Any such contract, including a group contract and any certificate in evidence of variable benefits issued thereunder, shall state the manner in which such dollar amounts will vary and shall contain on its first page a statement to the effect that the benefits thereunder are on a variable basis.
History:
1967 c 395 art 2 s 16; 1969 c 752 s 10
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.17 — Filing Of Contracts.

61A.17 FILING OF CONTRACTS.
No contract on a variable basis shall be issued in this state until a copy of the form thereof (and, in the case of a group contract, the form of any certificate evidencing variable benefits issued pursuant thereto) and any form of application for such contract shall have been filed with the commissioner. No life insurance contract on a variable basis shall be filed for issuance in Minnesota or issued in Minnesota before the commissioner has promulgated rules under section 61A.20 regarding life insurance contracts on a variable basis.
History:
1967 c 395 art 2 s 17; 1969 c 752 s 11; 1973 c 480 s 7; 1974 c 203 s 1; 1985 c 248 s 70
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.18 — Disapproval Of Contracts.

61A.18 DISAPPROVAL OF CONTRACTS.
The commissioner shall have the power at any time to disapprove any contract form, application, or certificate (1) if it does not comply with the provisions of sections 61A.13 to 61A.21; or (2) if it contains provisions which are unjust, unfair, inequitable, ambiguous, or misleading. After the commissioner shall have notified a company of disapproval, it shall be unlawful for that company to issue or use the contract, application or certificate in the form so disapproved.
History:
1967 c 395 art 2 s 18; 1969 c 752 s 12; 1986 c 444
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.19 — Company Requirements.

61A.19 COMPANY REQUIREMENTS.
No company shall deliver or issue for delivery within this state contracts on a variable basis unless it is licensed or organized to do a life insurance or annuity business in this state, and the commissioner is satisfied that its condition or method of operation in connection with the issuance of such contracts will not render its operation hazardous to the public or its policyholders in this state. In this connection, the commissioner shall consider among other things:
(a) the history and financial condition of the company;
(b) the character, responsibility and fitness of the officers and directors of the company; and
(c) the law and regulation under which the company is authorized in the state of domicile to issue such contracts. The state of entry of an alien company shall be deemed to be state of domicile for this purpose.
History:
1967 c 395 art 2 s 19; 1969 c 752 s 13; 1973 c 480 s 4; 1995 c 214 s 14
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.20 — Rules.

61A.20 RULES.
Notwithstanding any other provision of law, the commissioner shall have sole and exclusive authority to regulate the issuance and sale of contracts on a variable basis and to provide for licensing of persons selling such contracts, and to issue such reasonable rules as may be appropriate to carry out the purposes and provisions of sections 61A.13 to 61A.21.
History:
1967 c 395 art 2 s 20; 1969 c 7 s 24; 1969 c 752 s 14; 1985 c 248 s 70
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.21 — Application Of Other Laws.

61A.21 APPLICATION OF OTHER LAWS.
Sections 61A.07, clause (4), and 61A.245 shall not apply to contracts on a variable basis. All other appropriate provisions of this chapter shall apply to separate accounts and contracts on a variable basis except those which are inconsistent with the provisions contained in sections 61A.13 to 61A.20. Any contract on a variable basis, delivered or issued for delivery in this state, shall contain in substance provisions for grace, settlement option, loan or withdrawal and nonforfeiture appropriate to such a contract and a life insurance contract on a variable basis should also contain in substance a provision for reinstatement appropriate to such a contract. The reserve liability for contracts on a variable basis shall be established in accordance with actuarial procedures that recognize the variable nature of the benefits provided and any mortality guarantees.
History:
1967 c 395 art 2 s 21; 1969 c 752 s 15; 1973 c 480 s 5; 1978 c 662 s 2
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.22 — Contracts To Specify Benefits And Consideration.

61A.22 CONTRACTS TO SPECIFY BENEFITS AND CONSIDERATION.
No life insurance company shall make any insurance, guaranty, contract, or pledge in this state, or to or with any citizen or resident thereof, which does not distinctly specify the amount and manner of payment of benefits and the consideration therefor, except that contracts on a variable basis need not specify the amount of benefits thereunder or consideration after the initial premium.
History:
1967 c 395 art 2 s 22; 1973 c 480 s 6
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.23 — Provisions In Policies; Laws Of Other States.

61A.23 PROVISIONS IN POLICIES; LAWS OF OTHER STATES.
The policies of a life insurance company, not organized under the laws of this state, may contain any provision which the laws of the state, territory, district, or country under which the company is organized, prescribe shall be in such policies, and the policies of a life insurance company organized under the laws of this state may, when issued or delivered in any other state, territory, district, or country, contain any provision required by the laws of the state, territory, district, or country in which the same are issued, anything in this section and sections 61A.02, 61A.03, 61A.07, 61A.08, and 61A.25 to the contrary notwithstanding.
History:
1967 c 395 art 2 s 23
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.255 — Smoker And Nonsmoker Mortality Tables.

61A.255 SMOKER AND NONSMOKER MORTALITY TABLES.
For the purposes of sections 61A.24 and 61A.25, insurers may utilize the 1958 Commissioners Standard Ordinary and the 1958 Commissioners Extended Term smoker and nonsmoker mortality tables and the 1980 Commissioners Standard Ordinary and the 1980 Commissioners Extended Term smoker and nonsmoker mortality tables in addition to the tables specified in sections 61A.24 and 61A.25. The tables may be utilized as provided in the model rule permitting smoker and nonsmoker mortality tables for use in determining minimum reserve liabilities and nonforfeiture benefits adopted by the National Association of Insurance Commissioners. This section applies to policies issued on or after January 1, 1984, and before January 1, 1989.
History:
1984 c 538 s 1; 1984 c 592 s 46
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.27 — Contingency Reserve; Limitations.

61A.27 CONTINGENCY RESERVE; LIMITATIONS.
Any life insurance company doing business in this state may accumulate and maintain, in addition to the capital and surplus contributed by its stockholders, and in addition to an amount equal to the net values of its policies, computed according to the laws of the jurisdiction under which it is organized, a contingency reserve not exceeding the following respective percentages of these net values: When the net values are less than $100,000, 20 percent thereof, or the sum of $10,000, whichever is the greater; when the net values are greater than $100,000, the percentage thereof measuring the contingency reserve shall decrease one-half of one percent for each $100,000 of the net values up to $1,000,000; when the net values are greater than $1,000,000, but do not exceed $25,000,000, the contingency reserve shall not exceed 15 percent thereof; when the net values are greater than $25,000,000, but do not exceed $150,000,000, the contingency reserve shall not exceed 12-1/2 percent thereof; when the net values are greater than $150,000,000, the contingency reserve shall not exceed ten percent thereof; provided, that as the net values of these policies increase and the maximum percentage measuring the contingency reserve decreases, the corporation may maintain the contingency reserve already accumulated hereunder, although for the time being it may exceed the maximum percentage herein prescribed, but may not add to the contingency reserve when the addition will bring it beyond the maximum percentage. For cause shown, the commissioner may, at any time and from time to time, permit any corporation to accumulate and maintain a contingency reserve in excess of the limit above mentioned for a prescribed period, not exceeding one year under any one permission, by filing in the commissioner's office a decision stating the reasons therefor and causing the same to be published in the next annual report. This section shall not apply to any company doing exclusively a nonparticipating business.
History:
1967 c 395 art 2 s 27; 1986 c 444
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.283 — Admitted Assets.

61A.283 ADMITTED ASSETS.
For the purpose of applying any investment limitation based on the amount of a domestic life insurance company's admitted assets, the term "admitted assets" has the meaning given in section 60A.02, subdivision 27, with an adjustment in the admitted asset figure to exclude amounts which on the December 31 immediately preceding the date the company acquires an investment are allocated to separate accounts.
History:
1969 c 494 s 19; 1991 c 325 art 10 s 9
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.284 — Investments; Capital Stock Of Other Insurance Companies.

61A.284 INVESTMENTS; CAPITAL STOCK OF OTHER INSURANCE COMPANIES.
Subdivision 1.
Purchase of insurance company.
A domestic life insurance company may acquire and hold all or part of the capital stock of another insurance company whether or not in the same line of insurance for cash or through the issuance of its own stock in payment of all or part of the purchase price. The limits contained in the other investment provisions shall not apply to these holdings providing the acquiring company secures the prior approval of the purchase agreement by the commissioner.
Subd. 2.
Organization of subsidiary insurance company.
A domestic life insurance company may organize and hold all or part of the capital stock of another insurance company whether or not in the same line of insurance. The limits contained in the other investment provisions shall not apply to these holdings providing the organizing company secures the prior approval of the commissioner.
Subd. 3.
Investments in health maintenance organizations.
An investment in a health maintenance organization may be deemed by a domestic life insurance company to be an investment under this section.
History:
1981 c 211 s 36; 1990 c 538 s 11
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.30 — Joint Investments.

61A.30 JOINT INVESTMENTS.
No domestic life insurance company shall subscribe to or participate in any underwriting of the purchase or sale of securities or other property, enter into any transactions for the purchase or sale on account of the company jointly with any other person, firm, or corporation, nor enter into any agreement to withhold from sale any of its property, unless the disposition of the property shall be, at all times, within the control of its board of directors. Nothing contained herein shall be construed to invalidate or prohibit an agreement by two or more investors to join and share in the purchase of investments for bona fide investment purposes. In the investments secured by mortgage or deed of trust, provisions shall be made for a method of resolving any matters relating thereto as to which the investors are not in agreement.
History:
1967 c 395 art 2 s 30; 1981 c 211 s 38
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.315 — Investments And Holdings; Limitations.

61A.315 INVESTMENTS AND HOLDINGS; LIMITATIONS.
The sum of the value of assets permitted to be acquired pursuant to sections 61A.31, subdivision 3 and 61A.28, subdivision 6, paragraphs (a) and (b) shall not exceed 30 percent of admitted assets as of the end of the preceding calendar year.
History:
1981 c 211 s 41
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.39 — Cooperative Life And Casualty Companies.

61A.39 COOPERATIVE LIFE AND CASUALTY COMPANIES.
Subdivision 1.
Cooperative plan.
Every corporation, society, or association which issues a certificate or policy or makes an agreement with its members by which, upon the decease of a member, any money is to be paid to, or benefit conferred upon, the legal representatives or designated beneficiaries of such member, or reaching a certain age, to pay any money or benefit to the member, such money or benefit to be derived from voluntary donations, admission fees, dues, or assessments to be collected from its members or any class thereof, and which reserves the right to make any additional assessments, or without the consent of the certificate or policyholder to increase the premium named therein, shall be deemed to be engaged in the business of life insurance upon the cooperative or assessment plan. Every corporation which likewise agrees, in case of accident, sickness, or other physical disability, or reaching a certain age, to pay money or confer benefits likewise derived and issuing certificates or policies with similar conditions with reference to the payment of dues or assessments, shall be deemed to be engaged in the business of casualty insurance upon the cooperative or assessment plan, and shall, except as herein otherwise specified, be subject to the provisions of sections 61A.39 to 61A.42 and 61A.44 to 61A.50.
Subd. 2.
Continued corporate existence.
Notwithstanding the repeal of sections 63.01, 63.011, and 63.02 to 63.35 pursuant to Laws 1983, chapter 104, section 1, any corporation, society or association formed or having existed under Laws 1933, chapter 241, whether or not it amended its articles of incorporation in accordance with Laws 1945, chapter 178, as amended by Laws 1951, chapter 257, and which has transformed itself into a cooperative life insurance company to engage in business under the cooperative plan, shall be and continue to exist as a corporation by virtue of the provisions hereof and may exercise and shall continue to have and to hold all the rights, privileges and powers which it had, prior to the repeal of such sections, including those derived under Laws 1945, chapter 178, section 1, as amended by Laws 1951, chapter 257, section 2.
History:
1967 c 395 art 2 s 39; 1984 c 602 s 1; 1986 c 444
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.40 — Qualifications For License; Number Of Members.

61A.40 QUALIFICATIONS FOR LICENSE; NUMBER OF MEMBERS.
No corporation not now authorized to transact business in this state shall be licensed to transact the business of life or casualty insurance, or both, upon the cooperative or assessment plan, until at least 300 persons eligible to membership have made individual applications, in writing, containing warranties of age, health, and other required conditions of membership, and the corporation has on deposit with the commissioner, as security for all its policyholders, stocks or bonds of this state or of the United States, or bonds of any of the municipalities of this state, or personal obligations secured by first mortgage on real estate within this state, worth, exclusive of buildings, the amount of the lien, and bearing interest of not less than three percent per annum, to an amount the actual market value of which, exclusive of interest, shall never be less than $100,000; provided, that any corporation which has heretofore procured and filed with the commissioner a part of the total number of applications required by law shall only be required to deposit securities of the market value of $5,000; and provided, that a corporation that confines its membership exclusively to the members of volunteer fire departments shall be required to have not less than 100 individual applications, in writing, from persons eligible to membership and the sum of at least $1,000, which amount shall be liable only for death or indemnity claims made under its policy or membership certificate contracts.
History:
1967 c 395 art 2 s 40; 1978 c 465 s 10
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.42 — Payments; Liens; Assessments; Policies To Be Labeled.

61A.42 PAYMENTS; LIENS; ASSESSMENTS; POLICIES TO BE LABELED.
No cooperative or assessment life insurance company shall hereafter issue any policy in this state which does not provide for the payment of a fixed minimum sum, which may be increased each year the insurance remains in force, in the amounts to be provided in the policy. Any agreement or bylaw providing for the placing of a lien upon such policy, except for nonpayment of premium or assessment, and any agreement or bylaw providing for the payment of a less sum than the minimum sum specified in the contract, because of the failure of the corporation to receive or collect the amount in the contract by assessment upon the surviving members, shall be void. Nothing in this section contained shall be so construed as to render any member liable for more than one assessment for each death occurring during the period of membership, unless otherwise specified in the policy. All policies issued by the company shall contain a title including the word "assessment" on the face and on the back of the policy correctly describing the same.
This section shall not apply to any existing domestic company until it has been in existence for four years.
History:
1967 c 395 art 2 s 42; 1986 c 444
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.43 — Accumulations; Amendment To Articles Or Bylaws.

61A.43 ACCUMULATIONS; AMENDMENT TO ARTICLES OR BYLAWS.
Any insurance company transacting the business of life or casualty insurance upon the cooperative or assessment plan under any law of this state may, upon so providing in its articles or bylaws, elect to ascertain and apportion to its outstanding policies or certificates the respective accumulations upon each such policy or certificate, and to carry to the credit of each such policy or certificate the future net premiums or assessments and the accretions thereto, less its equitable contribution to the death claims and other benefits, and that the premiums or assessments upon any such policy or certificate may, upon such credit becoming exhausted, be increased as may be necessary to meet its share of death claims and other benefits, and that the holder of any such policy or certificate may be granted extended or paid-up insurance or the right to convert into any other form of policy or insurance then being issued by such company and to have the credit on such former policy or certificate applied to such new policy or insurance. When making the ascertainment and apportionment, account shall be taken of the premiums or assessments theretofore paid and of the death claims and other benefits which should be borne by the policy or certificate, of the interest earnings and other accretions to the accumulated funds, and of other matters which should equitably be taken into consideration for the purposes of the apportionment. Subject to such adjustment as shall be equitable, the experience of the company, or any table of mortality recognized for the purpose of insurance and any law of this state, may be used as a basis for the ascertainment and apportionment herein authorized; provided, that any company availing itself of the provisions of this section shall, in its articles or bylaws, specify the table of mortality and rate of interest which are to be the basis for the charges thereafter to be made to the policies or certificates aforesaid; and, provided, further, that when any table of mortality is specified in any policy that table shall be followed.
History:
1967 c 395 art 2 s 43
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.44 — Limitation On Expenses; Life Insurance.

61A.44 LIMITATION ON EXPENSES; LIFE INSURANCE.
Every corporation, as described in section 61A.39, now or hereafter organized or admitted to transact the business of life insurance in this state, shall set aside and appropriate exclusively to its mortuary or benefit funds, including reserve or special benefit funds, not less than 65 percent of all premium receipts and all interest earnings thereon upon such life insurance policies that shall have been in force one year or more, and the entire amount of receipts upon postmortem assessment certificates, except the expense dues and charges therein provided. No such funds heretofore or hereafter so appropriated to such mortuary or benefit fund, including reserve or special benefit funds, shall ever be used for the expense of conducting such business; provided, that every such corporation which issues a certificate or policy or makes an agreement with its members, by which, upon the decease of a member, a funeral benefit is to be paid, or funeral service is to be furnished, not exceeding $200 in amount or value, and which pays no accident, disability, or other benefits, shall set aside and appropriate exclusively to its mortuary or benefit funds, including reserve or special benefit funds, not less than 60 percent of all premium receipts upon such insurance policies that shall have been in force one year or more, and the entire amount of receipts upon postmortem assessment certificates, except the expense dues and charges therein provided. No such funds heretofore or hereafter so appropriated to such mortuary or benefit funds, including reserve or special benefit funds, shall ever be used for the expense of conducting such business.
The net accretions to the funds enumerated in this section derived from interest, rents, or other sources shall also be set aside and appropriated exclusively to the fund producing the net accretions.
History:
1967 c 395 art 2 s 44
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.45 — Limitation On Expenses; Companies With Reserve Deposits.

61A.45 LIMITATION ON EXPENSES; COMPANIES WITH RESERVE DEPOSITS.
No company, as described in section 61A.39, transacting the business of casualty or health insurance in this state shall incur, lay out, or expend, in any one calendar year, as and for the expenses of conducting such business, more than its application or membership fees and 40 percent of its total premiums or assessments. When any such company shall have on deposit with the commissioner a reserve of $25,000, as provided by law, then and thereafter the company may expend, in addition to the 40 percent, the interest earnings on the reserve fund and the interest on any additional surplus funds it may accumulate.
Any officer of any corporation violating, or consenting to the violation of, this section or section 61A.44 shall be guilty of a gross misdemeanor.
History:
1967 c 395 art 2 s 45
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.48 — Change To Legal Reserve Or Level Premium Companies.

61A.48 CHANGE TO LEGAL RESERVE OR LEVEL PREMIUM COMPANIES.
Any corporation, association, or society, as described in section 61A.39, may, with the written consent of the commissioner, upon a majority vote of its governing body, amend its articles of incorporation and bylaws in such manner as to transform itself into a legal reserve or level premium insurance company and, upon so doing and upon procuring from the commissioner a certificate of authority, as provided by law, to transact business in this state as a legal reserve or level premium company, shall incur the obligations and enjoy the benefits thereof, the same as though originally thus incorporated, and this corporation, under its charter, as amended, shall be a continuation of the original corporation, and the officers thereof shall serve through their respective terms, as provided in the original charter, but their successors shall be elected and serve as in the amended articles provided; but the amendment or reincorporation shall not affect existing suits, rights, or contracts. Any corporation, association, or society so reincorporated to transact the business of life insurance, shall, unless a higher method of valuation be provided for in its policy, or certificates of membership previously written, value its assessment policies or certificates of membership previously written as yearly renewable term policies, according to the standard of valuation of life insurance policies prescribed by the laws of this state.
History:
1967 c 395 art 2 s 48
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.50 — Application.

61A.50 APPLICATION.
Section 60A.16, and all other laws and parts of laws, in so far as they may be inconsistent with sections 61A.39 to 61A.42 and 61A.44 to 61A.50, shall not apply to corporations transacting the business of life or casualty insurance solely upon the cooperative or assessment plan, as defined in sections 61A.39 to 61A.42 and 61A.44 to 61A.50.
History:
1967 c 395 art 2 s 50
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.51 — Insolvency.

61A.51 INSOLVENCY.
In case any cooperative or assessment life, endowment, or casualty insurance association or society is adjudged insolvent, the balance of its reserve fund, if any, after payment of claims and other indebtedness, shall be paid to the commissioner who shall pay it into the state treasury.
History:
1967 c 395 art 2 s 51; 1986 c 444
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.52 — Reserve Required.

61A.52 RESERVE REQUIRED.
No casualty company or association organized under the cooperative or assessment laws of this state not having a reserve of at least $25,000 on deposit with the commissioner shall issue policies or contracts providing for the payment of endowments of any kind.
History:
1967 c 395 art 2 s 52
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.53 — Definitions.

61A.53 DEFINITIONS.
Subdivision 1.
Applicability.
For purposes of sections 61A.53 to 61A.60, the terms defined in this section have the meanings given.
Subd. 2.
Replacement.
"Replacement" means any transaction in which new life insurance or a new annuity is to be purchased, and it is known or should be known to the proposing agent or broker or to the proposing insurer if there is no agent, that by reason of the transaction, existing life insurance or annuity has been or is to be:
(1) lapsed, forfeited, surrendered, or otherwise terminated;
(2) converted to reduced paid-up insurance, continued as extended term insurance, or otherwise reduced in value by the use of nonforfeiture benefits or other policy values;
(3) amended so as to effect either a reduction in benefits or in the term for which coverage would otherwise remain in force or for which benefits would be paid;
(4) reissued with any reduction in cash value; or
(5) pledged as collateral or subjected to borrowing, whether in a single loan or under a schedule of borrowing over a period of time for amounts in the aggregate exceeding 25 percent of the loan value set forth in the policy.
Subd. 3.
Conservation.
"Conservation" means any attempt by the existing insurer or its agent or broker to dissuade a policy owner or contract holder from the replacement of existing life insurance or annuity. Conservation does not include routine administrative procedures such as late payment reminders, late payment offers, or reinstatement offers.
Subd. 4.
Direct-response sale.
"Direct-response sale" means any sale of life insurance or annuity where the insurer does not use an agent in the sale or delivery of the policy or contract.
Subd. 5.
Existing insurer.
"Existing insurer" means the insurance company whose policy or contract is or will be changed or terminated in such a manner as described within the definition of "replacement."
Subd. 6.
Existing life insurance or annuity.
"Existing life insurance or annuity" means any life insurance or annuity in force, including life insurance under a binding or conditional receipt or a life insurance policy or annuity contract that is within an unconditional refund period.
Subd. 7.
Replacing insurer.
"Replacing insurer" means the insurance company that issues or proposes to issue a new policy or contract which is a replacement of existing life insurance or annuity.
History:
1996 c 446 art 1 s 13
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.54 — Exemptions.

61A.54 EXEMPTIONS.
Unless otherwise specifically included, sections 61A.53 to 61A.60 do not apply to transactions involving:
(1) credit life insurance;
(2) group life insurance or group annuities;
(3) an application to the existing insurer that issued the existing life insurance or annuity, where a contractual change or a conversion privilege is being exercised;
(4) proposed life insurance that is to replace life insurance under a binding or conditional receipt issued by the same company; or
(5) transactions where the replacing insurer and the existing insurer are the same, or are subsidiaries or affiliates under common ownership or control; provided, however, that agents or brokers proposing replacement shall comply with section 61A.55, subdivision 1.
History:
1996 c 446 art 1 s 14
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.55 — Duties Of Agents And Brokers.

61A.55 DUTIES OF AGENTS AND BROKERS.
Subdivision 1.
Submission to insurer.
Each agent or broker who initiates the application shall submit to the insurer to which an application for life insurance or annuity is presented, with or as part of each application:
(1) a statement signed by the applicant as to whether replacement of existing life insurance or annuity is involved in the transaction; and
(2) a signed statement as to whether the agent or broker knows replacement is or may be involved in the transaction.
Subd. 2.
Replacement information.
Where a replacement is involved, the agent or broker shall:
(1) present to the applicant, not later than at the time of taking the application, a "notice regarding replacement" in the form as described in section 61A.60, subdivision 1, or other substantially similar form approved by the commissioner. The notice shall be fully completed and signed by both the applicant and the agent or broker and left with the applicant. The completed notice must list all existing life insurance and annuity to be replaced, properly identified by name of insurer, the insured, and contract number. If a contract number has not been assigned by the existing insurer, alternative identification, such as an application or receipt number, shall be listed;
(2) leave with the applicant the original or a copy of any written or printed communications used for presentation to the applicant; and
(3) submit to the replacing insurer with the application a copy of the fully completed and signed replacement notice provided under this subdivision.
Subd. 3.
Materials used to dissuade replacement.
Each agent or broker who uses written or printed communications in a conservation shall leave with the applicant the original or a copy of the communications.
History:
1996 c 446 art 1 s 15
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.56 — Duties Of All Insurers.

61A.56 DUTIES OF ALL INSURERS.
Each insurer shall:
(1) inform its field representatives or other personnel responsible for compliance with sections 61A.53 to 61A.60 of the requirements of those sections; and
(2) require with or as a part of each completed application for life insurance or annuity a statement signed by the applicant as to whether the proposed insurance or annuity will replace existing life insurance or annuity.
History:
1996 c 446 art 1 s 16
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.57 — Duties Of Insurers That Use Agents Or Brokers.

61A.57 DUTIES OF INSURERS THAT USE AGENTS OR BROKERS.
Each insurer that uses an agent or broker in a life insurance or annuity sale shall:
(a) Require with or as part of each completed application for life insurance or annuity, a statement signed by the agent or broker as to whether the agent or broker knows replacement is or may be involved in the transaction.
(b) Where a replacement is involved:
(1) require from the agent or broker with the application for life insurance or annuity, a copy of the fully completed and signed replacement notice provided the applicant under section 61A.55. The existing life insurance or annuity must be identified by name of insurer, insured, and contract number. If a number has not been assigned by the existing insurer, alternative identification, such as an application or receipt number, must be listed; and
(2) send to each existing insurer a written communication advising of the replacement or proposed replacement and the identification information obtained under this section. This written communication must be made within five working days of the date that the application is received in the replacing insurer's home or regional office, or the date the proposed policy or contract is issued, whichever is sooner.
(c) The replacing insurer shall maintain evidence of the "notice regarding replacement" and a replacement register, cross-indexed, by replacing agent and existing insurer to be replaced. Evidence that all requirements were met shall be maintained for at least six years.
(d) The replacing insurer shall provide in its policy or contract, or in a separate written notice that is delivered with the policy or contract, that the applicant has a right to an unconditional refund of all premiums paid, which right may be exercised within a period of 30 days beginning from the date of delivery of the policy.
History:
1996 c 446 art 1 s 17; 2008 c 344 s 8
2023 Minnesota Statutes › Chapters 59A - 79A — Insurance › Chapter 61A — Life Insurance › Section 61A.58 — Duties Of Insurers With Respect To Direct Response Sales.

61A.58 DUTIES OF INSURERS WITH RESPECT TO DIRECT RESPONSE SALES.
(a) If in the solicitation of a direct response sale, the insurer did not propose the replacement, and a replacement is involved, the insurer shall send to the applicant with the policy or contract a replacement notice as described in section 61A.60, subdivision 2, or other substantially similar form approved by the commissioner.
(b) If the insurer proposed the replacement, it shall:
(1) provide to applicants or prospective applicants with or as a part of the application a replacement notice as described in section 61A.60, subdivision 2, or other substantially similar form approved by the commissioner;
(2) request from the applicant with or as part of the application, a list of all existing life insurance policies or annuity contracts to be replaced and properly identified by name of insurer and insured; and
(3) comply with the requirements of section 61A.57, paragraph (b), clause (2), if the applicant furnishes the names of the existing insurers, and the requirements of section 61A.57, paragraphs (c) and (d), except that it need not index the replacement register by replacing agent.
History:
1996 c 446 art 1 s 18