reglab/statecodes huggingface dataset:
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 35 - Farm Mutual Insurers › Section 58-35-60 - Merger of farm mutual insurers--Plan of merger.

58-35-60. Merger of farm mutual insurers--Plan of merger.
Any two or more farm mutual corporations authorized to transact business pursuant to this chapter may merge into one farm mutual corporation pursuant to a plan of merger as provided in this section and §§58-35-61 to 58-35-74, inclusive. The board of directors of each corporation, shall, by resolution adopted by each such board, approve a plan of merger setting forth:
(1)A statement that the merger is advisable;
(2)The names of the corporations proposing to merge, and the name of the corporation into which they propose to merge, to be known as the surviving corporation;
(3)The terms and conditions of the proposed merger;
(4)The names of the surviving corporation's first board of directors;
(5)The surviving corporation's principal office;
(6)The manner and basis of converting the assets and liabilities of each corporation into the assets, liabilities, or obligations or other securities of the surviving corporation or of any other corporation, or, in whole or in part, into cash or other property;
(7)A statement of any changes in the articles of incorporation of the surviving corporation to be affected by the merger;
(8)That the board of directors approves the merger of the corporation into the surviving corporation; and
(9)Any other provisions with respect to the proposed merger that are necessary or desirable.
Source:
SL 1995, ch 293, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 35 - Farm Mutual Insurers › Section 58-35-61 - Policyholders to vote on merger plan--Notice of vote.

58-35-61. Policyholders to vote on merger plan--Notice of vote.
Following the adoption of the resolution approving the plan of merger required by §58-35-60, a meeting of the policyholders of each of the corporations shall be held to vote upon the proposed merger plan. Written notice of the meeting of the policyholders shall be given to all policyholders, which may be either an annual or special meeting. Written notice shall be given to each policyholder of record whether or not entitled to vote at the meeting, not less than twenty days before the meeting, in the manner provided in §§47-1A-701 to 47-1A-747, inclusive, and §§47-1A-1601 to 47-1A-1620, inclusive, for the giving of notice of meetings of shareholders. Whether the meeting is an annual or special meeting, the notice shall state that the purpose or one of the purposes of the meeting is to consider the proposed plan of merger. A copy of the resolution passed by the board of directors shall be included in or enclosed with the notice.
Source:
SL 1995, ch 293, §2; SL 2005, ch 202, §26; SL 2021, ch 210, § 21.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 35 - Farm Mutual Insurers › Section 58-35-62 - Approval of plan of merger by majority of voters.

58-35-62. Approval of plan of merger by majority of voters.
At the meeting of the policyholders, the policyholders shall vote on the proposed plan of merger. The plan of merger is approved if the majority of the policyholders present at the meeting vote for the proposed plan of merger. No policyholder may vote by proxy.
Source:
SL 1995, ch 293, §3.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 35 - Farm Mutual Insurers › Section 58-35-63 - Execution and acknowledgment of articles of merger--Contents of articles.

58-35-63. Execution and acknowledgment of articles of merger--Contents of articles.
If the plan of merger is approved, an original and one exact or conforming copy of the articles of merger shall be executed by each corporation by the chairman of the board of directors of the corporation or by its president or by another of its officers. The articles shall be acknowledged and shall set forth:
(1)The plan of merger;
(2)The number of votes voted for and against the merger;
(3)The terms and conditions of the proposed merger;
(4)The names of the surviving corporation's first board of directors;
(5)The surviving corporation's principal office;
(6)The manner and basis of converting the assets and the liabilities of each corporation into assets, liabilities, obligations, or other securities of the surviving corporation or of any other corporation or, in whole or in part, into cash or other property.
Source:
SL 1995, ch 293, §4.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 35 - Farm Mutual Insurers › Section 58-35-64 - Filing plan of merger and articles of merger--Approval by director--Reasons for denying hearing.

58-35-64. Filing plan of merger and articles of merger--Approval by director--Reasons for denying hearing.
If two or more companies propose to merge under the provisions of §58-35-63 and their membership has approved the plan of merger, the plan of merger shall be filed with the director of the Division of Insurance, accompanied by the articles of merger, and a request for the approval of the plan of merger. The plan shall be approved by the director after a hearing on the plan within a reasonable time unless the director finds that the plan:
(1)Is contrary to law;
(2)Is inequitable to the policyholders of any domestic insurer involved; or
(3)Would substantially reduce the security of and service to be rendered to the policyholders of the domestic insurer.
The director shall review the plan of merger and may waive any hearing if the director finds the proposed merger does not prejudice the interests of the policyholders of the companies.
Source:
SL 1995, ch 293, §5.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 35 - Farm Mutual Insurers › Section 58-35-65 - Notification of disapproval of plan.

58-35-65. Notification of disapproval of plan.
If the director of the Division of Insurance does not approve any such plan and agreement, the director shall notify the corporations in writing, specifying the reasons.
Source:
SL 1995, ch 293, §6.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 35 - Farm Mutual Insurers › Section 58-35-66 - Examination of articles of merger by attorney general--Submission to secretary of state.

58-35-66. Examination of articles of merger by attorney general--Submission to secretary of state.
The director of the Division of Insurance, after approving the articles of merger, shall submit the proposed articles of merger to the attorney general for examination. If the attorney general finds that the articles of merger comply with the provisions of §§58-35-60 to 58-35-74, inclusive, and the constitution and laws of the United States and of this state, the attorney general shall endorse and return the proposed articles to the director. The director shall submit the original and two copies to the secretary of state for approval.
Source:
SL 1995, ch 293, §7.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 35 - Farm Mutual Insurers › Section 58-35-67 - Approval of articles of merger by secretary of state--Endorsement--Filing--Certificate of merger.

58-35-67. Approval of articles of merger by secretary of state--Endorsement--Filing--Certificate of merger.
Following the delivery of the articles of merger from the director of the Division of Insurance to the secretary of state, the secretary shall, on finding that the articles conform to law, if all required fees have been paid:
(1)Endorse the word "filed" on the original and the copy and the month, day, and year of filing;
(2)File the original in the secretary's office; and
(3)Issue a certificate of merger to which the secretary shall affix the copy.
The certificate of merger, together with a copy, shall be returned to the surviving corporation or its representative.
Source:
SL 1995, ch 293, §8.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 35 - Farm Mutual Insurers › Section 58-35-68 - Merger effective upon issuance of certificate.

58-35-68. Merger effective upon issuance of certificate.
Upon the issuance of the certificate of merger by the secretary of state, the merger is effective.
Source:
SL 1995, ch 293, §9.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 35 - Farm Mutual Insurers › Section 58-35-69 - Surviving corporation exists separate from parties to merger.

58-35-69. Surviving corporation exists separate from parties to merger.
If a merger has been effected pursuant to §§58-35-60 to 58-35-74, inclusive:
(1)The several corporations to the plan of merger are a single corporation which is that corporation designated in the plan of merger as the surviving corporation;
(2)The separate existence of all corporations parties to the plan of merger, except the surviving or new corporation shall cease; and
(3)The surviving or new corporation has all the rights, privileges, immunities, and powers and is subject to all the duties and liabilities of a corporation organized under §§58-35-60 to 58-35-74, inclusive, and §§47-1A-101 to 47-1A-863.3, inclusive, §§47-1A-1001 to 47-1A-1021, inclusive, and §§47-1A-1201 to 47-1A-1202.6, inclusive.
Source:
SL 1995, ch 293, §10; SL 2005, ch 202, §27.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 35 - Farm Mutual Insurers › Section 58-35-70 - Rights, privileges, immunities, and franchises of surviving or new corporation.

58-35-70. Rights, privileges, immunities, and franchises of surviving or new corporation.
If a merger or consolidation has been effected pursuant to §§58-35-60 to 58-35-74, inclusive:
(1)The surviving or new corporation thereupon and thereafter possesses all the rights, privileges, immunities, and franchises, of a public as well as of a private nature, of each of the merging corporations;
(2)All property, real, personal, and mixed and all debts due on whatever account and any other chose in action and all and every other interest, of or belonging to or due to each of the corporations so merged or consolidated, shall be taken and considered transferred to and vested in the single corporation without further act or deed; and
(3)The title to any real estate, or any interest in the real estate, vested in any of the corporations may not revert or be in any way impaired by reason of such merger.
Source:
SL 1995, ch 293, §11.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 35 - Farm Mutual Insurers › Section 58-35-71 - Liabilities and obligations of surviving or new corporation.

58-35-71. Liabilities and obligations of surviving or new corporation.
If a merger or consolidation has been effected pursuant to this chapter:
(1)The surviving or new corporation is thenceforth responsible and liable for all the liabilities and obligations of each of the corporations so merged; and
(2)Any claim existing or action or proceeding pending by or against any of the corporations may be prosecuted as if the merger had not taken place, or the surviving or new corporation may be substituted in its place.
Neither the rights of creditors nor any liens upon the property of any such corporation may be impaired by the merger or consolidation.
Source:
SL 1995, ch 293, §12.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 35 - Farm Mutual Insurers › Section 58-35-72 - Articles of incorporation of surviving corporation amended by plan of merger.

58-35-72. Articles of incorporation of surviving corporation amended by plan of merger.
If a merger has been effected pursuant to §§58-35-60 to 58-35-74, inclusive, the articles of incorporation of the surviving corporation shall be deemed to be amended to the extent, if any, the changes in its articles of incorporation are stated in the plan of merger.
Source:
SL 1995, ch 293, §13.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 35 - Farm Mutual Insurers › Section 58-35-73 - Dissolution of farm mutual insurer.

58-35-73. Dissolution of farm mutual insurer.
A farm mutual insurer may dissolve under the applicable procedures prescribed by the statutes of this state applying to corporations for profit and be subject to any additional requirements found in chapter 58-35.
Source:
SL 1995, ch 293, §14.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 35 - Farm Mutual Insurers › Section 58-35-74 - Rights of dissenting members and proxy voters not applicable to mergers.

58-35-74. Rights of dissenting members and proxy voters not applicable to mergers.
The provisions of §§47-1A-1101 to 47-1A-1108, inclusive, regarding the rights of dissenting members and proxy voting do not apply to mergers of farm mutual insurers pursuant to §§58-35-60 to 58-35-74, inclusive.
Source:
SL 1995, ch 293, §15; SL 2005, ch 202, §28.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 35 - Farm Mutual Insurers › Section 58-35-75 - Division of farm mutual insurers--Plan.

58-35-75. Division of farm mutual insurers--Plan.
Any farm mutual may divide itself into two or more farm mutuals. A written plan of division shall be prepared by the board of directors or by a committee selected by the board for that purpose. The plan of division shall set forth all the terms of the division and the proposed effect of the division on all members of the farm mutual. The plan shall also contain the articles of each new farm mutual being formed, if applicable, and any amendments to the articles of the remaining farm mutual. The applicable provisions of §58-35-60 apply to the plan of division and to the merger or integration of the divided farm mutual into another farm mutual or farm mutuals.
Source:
SL 2005, ch 277, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 35 - Farm Mutual Insurers › Section 58-35-76 - Members to vote on plan of division.

58-35-76. Members to vote on plan of division.
The members of the farm mutual shall vote on the proposed plan of division in the manner provided in §§58-35-61 and 58-35-62.
Source:
SL 2005, ch 277, §2.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 35 - Farm Mutual Insurers › Section 58-35-77 - Articles of division of farm mutual--Articles of incorporation--Filing--Application of chapter provisions.

58-35-77. Articles of division of farm mutual--Articles of incorporation--Filing--Application of chapter provisions.
The articles of division of a farm mutual, if approved, shall set forth the approved plan and such other information as required by §58-35-63 and shall be filed and approved as provided for by §58-35-64. Each part of the plan that contains the articles of a new farm mutual shall be separately filed and recorded as articles of incorporation for such new farm mutual. Any new farm mutual formed pursuant to §§58-35-75 to 58-35-77, inclusive, is subject to the provisions of this chapter in the same manner as any other farm mutual.
Source:
SL 2005, ch 277, §3.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 35 - Farm Mutual Insurers › Section 58-35-78 - Annual audit--Independent audit--Report--Extension.

58-35-78. Annual audit--Independent audit--Report--Extension.
Any farm mutual insurer having direct premiums written in this state of more than two million dollars in any calendar year and more than two thousand policyholders or certificate holders of directly written policies nationwide at the end of a calendar year shall have an annual audit by an accountant of the financial statements reporting the financial position and the results of operations. This section also applies to insurers having assumed premiums pursuant to contracts or treaties of reinsurance of two million dollars or more. The director may require insurers with less than two million dollars in direct premiums and less than two thousand policyholders or certificate holders to have independent audits to determine the financial status of the insurer.
The insurer shall file an audited financial report with the director on or before June first for the year that ended on the immediately preceding December thirty-first. The director may require an insurer to file an audited financial report earlier than June first with ninety days advance notice to the insurer.
Extensions of the June first filing date may be granted by the director for thirty-day periods upon a showing by the insurer and its accountant to the director that there is good cause for an extension. The request for extension shall be submitted in writing to the director not less than ten days prior to the due date in sufficient detail to permit the director to make an informed decision.
Source:
SL 2008, ch 274, §2.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 36 - Mutual Assessment Life And Health Insurers › Section 58-36-1 - Certificate not to be issued for assessment life or health insurance--Transaction of business as misdemeanor.

58-36-1. Certificate not to be issued for assessment life or health insurance--Transaction of business as misdemeanor.
No certificate of authority shall, after June 30, 1966, be issued to any insurer, organized upon the mutual assessment, cooperative, or natural premium plan for the purpose of writing assessment life, or health insurance. It is a Class 2 misdemeanor for any such insurer to transact business in South Dakota.
Source:
SL 1966, ch 111, ch 18, §1 (1); SL 1978, ch 359, §7.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 36 - Mutual Assessment Life And Health Insurers › Section 58-36-45 - Mutual property insurance association maintained by members of church--Risks covered--Conduct of business--License not required.

58-36-45. Mutual property insurance association maintained by members of church--Risks covered--Conduct of business--License not required.
The members of any one church or of any one religious denomination may maintain for the exclusive benefit of their members, an association for the mutual insurance of the property of its members against loss or damage by fire, lightning, storm, or hail, or all of them. Any such company, whether heretofore or hereafter organized, may also if specified in its articles of incorporation and bylaws, insure, in connection with fire and lightning policies, against loss or damage caused by smoke, explosion, riot, riot attending a strike, aircraft and vehicles, vandalism, theft, or other risk or risks. Such an association shall furnish no insurance except on property of an actual member of such church or denomination. It may conduct business upon the plan and method adopted by it, satisfactory to the director, and shall not be required to be licensed by or report to the director of insurance.
Source:
SDC 1939, §31.2919; SL 1951, ch 170, §11; SL 1955, ch 119; repealed SL 1966, ch 111, §5; re-enacted SL 1978, ch 366, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 36 - Mutual Assessment Life And Health Insurers › Section 58-36-46 - Validation of past actions of religious society mutual.

58-36-46. Validation of past actions of religious society mutual.
All actions of any religious society mutual which was organized pursuant to §31.2919 of the 1960 Supplement to the South Dakota Code of 1939, are valid despite the repeal of the section.
Source:
SL 1978, ch 366, §2.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-1 - Fraternal benefit society defined.

58-37A-1. Fraternal benefit society defined.
Any incorporated society, order, or supreme lodge, without capital stock, including one exempted under the provisions of subdivision 58-37A-38(2), whether incorporated or not, conducted solely for the benefit of its members and their beneficiaries and not for profit, operated on a lodge system with ritualistic form of work, having a representative form of government, and which provides benefits in accordance with this chapter, is a fraternal benefit society for the purposes of this chapter.
Source:
SL 1990, ch 410, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-2 - Lodge system--Regular meetings--Lodges for children.

58-37A-2. Lodge system--Regular meetings--Lodges for children.
A society is operating on the lodge system if it has a supreme governing body and subordinate lodges into which members are elected, initiated, or admitted in accordance with its laws, rules and ritual. Subordinate lodges shall be required by the laws of the society to hold regular meetings at least once in each month in furtherance of the purposes of the society. A society may organize and operate lodges for children under the minimum age for adult membership. No membership and initiation in local lodges may be required of those children, nor may they have a voice or vote in the management of the society.
Source:
SL 1990, ch 410, §2.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-3 - Representative form of government determined.

58-37A-3. Representative form of government determined.
A society has a representative form of government if:
(1)It has a supreme governing body constituted in one of the following ways:
(a)The supreme governing body is an assembly composed of delegates elected directly by the members or at intermediate assemblies or conventions of members or their representatives, together with other delegates as may be prescribed in the society's laws. A society may provide for election of delegates by mail. The elected delegates shall constitute a majority in number and may not have less than two-thirds of the votes and not less than the number of votes required to amend the society's laws. The assembly shall be elected and shall meet at least once every four years and shall elect a board of directors to conduct the business of the society between meetings of the assembly. Vacancies on the board of directors between elections may be filled in the manner prescribed by the society's laws;
(b)The supreme governing body is a board composed of persons elected by the members, either directly or by their representatives in intermediate assemblies, and any other persons prescribed in the society's laws. A society may provide for election of the board by mail. Each term of a board member may not exceed four years. Vacancies on the board between elections may be filled in the manner prescribed by the society's laws. Those persons elected to the board shall constitute a majority in number and not less than the number of votes required to amend the society's laws. A person filling the unexpired term of an elected board member shall be considered to be an elected member. The board shall meet at least quarterly to conduct the business of the society;
(2)The officers of the society are elected either by the supreme governing body or by the board of directors;
(3)Only benefit members are eligible for election to the supreme governing body and the board of directors; and
(4)Each voting member shall have one vote; no vote may be cast by proxy.
Source:
SL 1990, ch 410, §3.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-4 - Definition of terms.

58-37A-4. Definition of terms.
Terms used in this chapter mean:
(1)"Benefit contract," the agreement for provision of benefits authorized by §58-37A-16, as that agreement is described in §58-37A-19;
(2)"Benefit member," any adult member who is designated by the laws or rules of the society to be a benefit member under a benefit contract;
(3)"Certificate," the document issued as written evidence of the benefit contract;
(4)"Laws," the society's articles of incorporation, constitution, and bylaws, however designated;
(5)"Lodge," subordinate member units of the society, known as camps, courts, councils, branches, or by any other designation;
(6)"Premiums," premiums, rates, dues, or other required contributions by whatever name known, which are payable under the certificate;
(7)"Rules," all rules, regulations, or resolutions adopted by the supreme governing body or board of directors which are intended to have general application to the members of the society;
(8)"Society," fraternal benefit society, unless otherwise indicated.
Source:
SL 1990, ch 410, §4.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-5 - Benefits and purposes of society--Power to adopt laws and rules for governing the society.

58-37A-5. Benefits and purposes of society--Power to adopt laws and rules for governing the society.
A society shall operate for the benefit of members and their beneficiaries by providing benefits as specified in §58-37A-16, and operating for one or more social, intellectual, educational, charitable, benevolent, moral, fraternal, patriotic, or religious purposes for the benefit of its members, which may also be extended to others. These purposes may be carried out directly by the society, or indirectly through subsidiary corporations or affiliated organizations. These subsidiaries or affiliated organizations shall comply with all other applicable provisions of the laws and are also subject to the requirements of chapter 58-5A.
Every society may adopt laws and rules for the government of the society, the admission of its members, and the management of its affairs. It may change, alter, add to, or amend the laws and rules and has any other powers that are necessary and incidental to carrying into effect the objects and purposes of the society.
Source:
SL 1990, ch 410, §5.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-6 - Specification of laws or rules--Membership rights.

58-37A-6. Specification of laws or rules--Membership rights.
A society shall specify in its laws or rules:
(1)Eligibility standards for each class of membership. If benefits are provided on the lives of children, the minimum age for adult membership shall be set at not less than age fifteen and not greater than age twenty-one;
(2)The process for admission to membership for each membership class; and
(3)The rights and privileges of each membership class. However, only benefit members have the right to vote on the management of the insurance affairs of the society.
A society may also admit social members who have no voice or vote in the management of the insurance affairs of the society. Membership rights in the society are personal to the member and are not assignable.
Source:
SL 1990, ch 410, §6.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-7 - Location of office and meetings--Official publication--Annual synopsis--Grievance procedures provided.

58-37A-7. Location of office and meetings--Official publication--Annual synopsis--Grievance procedures provided.
The principal office of any domestic society shall be located in this state. The meetings of its supreme governing body may be held in any state, district, province, or territory wherein the society has at least one subordinate lodge, or in any other location as determined by the supreme governing body, and all business transacted at these meetings shall be as valid in all respects as if these meetings were held in this state. The minutes of the proceedings of the supreme governing body and of the board of directors shall be in the English language.
A society may provide in its laws for an official publication in which any notice, report, or statement required by law to be given to members, including notice of election, may be published. Each required report, notice, and statement shall be printed conspicuously in the publication. If the records of a society show that two or more members have the same mailing address, an official publication mailed to one member is deemed to be mailed to all members at the same address unless a member requests a separate copy.
Not later than June first of each year, a synopsis of the society's annual statement providing an explanation of the facts concerning the condition of the society thereby disclosed shall be printed and mailed to each benefit member of the society or such synopsis may be published in the society's official publication.
A society may provide in its laws or rules for grievance or complaint procedures for members.
Source:
SL 1990, ch 410, §7.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-9 - Provisions of laws may not be waived.

58-37A-9. Provisions of laws may not be waived.
The laws of the society may provide that no subordinate body, nor any of its subordinate officers or members may waive any of the provisions of the laws of the society. This provision is binding on the society and every member and beneficiary of a member.
Source:
SL 1990, ch 410, §9.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-11 - Amendments to society laws--Adoption--Filing--Printing as prima facie evidence.

58-37A-11. Amendments to society laws--Adoption--Filing--Printing as prima facie evidence.
A domestic society may amend its laws in accordance with the provisions of this chapter by action of its supreme governing body at any regular or special meeting or, if its laws so provide, by referendum. A referendum may be held in accordance with the provisions of its laws by the vote of the voting members of the society, by the vote of delegates or representatives of voting members or by the vote of local lodges. A society may provide for voting by mail. No amendment submitted for adoption by referendum may be adopted unless, within six months from the date of submission, two-thirds of the members voting have signified their consent to the amendment by one of the methods specified.
No amendment to the laws of any domestic society may take effect unless approved by the director who shall approve the amendment if the director finds that it has been duly adopted and is not inconsistent with any requirement of the laws of this state or with the character, objects and purposes of the society. Unless the director disapproves the amendment within sixty days after the filing of it, the amendment shall be considered approved. The approval or disapproval of the director shall be in writing and mailed to the secretary or corresponding officer of the society at its principal office. If the director disapproves the amendment, the reasons shall be stated in the written notice.
Within ninety days from the approval by the director, each amendment, or a synopsis of the amendment, shall be furnished to all members of the society either by mail or by publication in full in the official publication of the society. The affidavit of any officer of the society or of anyone authorized by it to mail each amendment or synopsis, stating facts which show that same have been addressed and mailed, is prima facie evidence that the amendment or synopsis has been furnished to the addressee.
Every foreign or alien society authorized to do business in this state shall file with the director a certified copy of all amendments of, or additions to, its laws within thirty days after their enactment.
Printed copies of the laws as amended, certified by the secretary or corresponding officer of the society are prima facie evidence of their legal adoption.
Source:
SL 1990, ch 410, §11.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-12 - Nonprofit organization created by society.

58-37A-12. Nonprofit organization created by society.
A society may create, maintain, and operate, or may establish organizations to operate, not for profit institutions to further the purposes permitted by §58-37A-5. The institutions may furnish services free or at a reasonable charge. Any real or personal property owned, held or leased by the society for this purpose shall be reported in the annual statement required by §58-37A-26.
It is a Class 2 misdemeanor for a society to own or operate a funeral home or an undertaking establishment.
Source:
SL 1990, ch 410, §12.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-13 - Reinsurance agreement--Ceding risks.

58-37A-13. Reinsurance agreement--Ceding risks.
A domestic society may, by a reinsurance agreement, cede any individual risk to an insurer, other than another fraternal benefit society, having the power to make such reinsurance and authorized to do business in this state, or if not authorized, one which is approved by the director, but no society may reinsure substantially all of its insurance in force without the written permission of the director. It may take credit for the reserves on the ceded risks to the extent reinsured, but no credit may be allowed as an admitted asset or as a deduction from liability, to a ceding society for reinsurance made, ceded, renewed, or otherwise becoming effective after January 1, 1991, unless the reinsurance is payable by the assuming insurer on the basis of the liability of the ceding society under the contract or contracts reinsured without diminution because of the insolvency of the ceding society.
Notwithstanding this limitation, a society may reinsure the risks of another society in a consolidation or merger approved by the director under §58-37A-14.
Source:
SL 1990, ch 410, §13.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-15 - Conversion into life insurance company--Plan--Approval.

58-37A-15. Conversion into life insurance company--Plan--Approval.
Any fraternal benefit society incorporated under the laws of the state may reorganize and convert itself into a mutual life insurance company or into a stock life insurance company by compliance with all the requirements of the insurance laws of this state for mutual life insurance companies. A plan of conversion shall be prepared in writing by the board of directors setting forth the terms and conditions of conversion. The affirmative vote of two-thirds of all members of the supreme governing body at a regular or special meeting is necessary for the approval of the plan. No conversion may take effect unless approved by the director who may approve the plan if the director finds that the proposed change conforms to the requirements of law and is not prejudicial to the certificate holders of the society.
Source:
SL 1990, ch 410, §15.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-16 - Contractual benefits allowed.

58-37A-16. Contractual benefits allowed.
A society may provide the following contractual benefits in any form:
(1)Death benefits;
(2)Endowment benefits;
(3)Annuity benefits;
(4)Temporary or permanent disability benefits;
(5)Hospital, medical, or nursing benefits;
(6)Monument or tombstone benefits to the memory of deceased members; and
(7)Any other benefits as authorized for life and health insurers and which are not inconsistent with this chapter.
A society shall specify in its rules those persons who may be issued, or covered by, the contractual benefits consistent with providing benefits to members and their dependents. A society may provide benefits on the lives of children under the minimum age for adult membership upon application of an adult.
Source:
SL 1990, ch 410, §16.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-17 - Beneficiary designations--Funeral benefits.

58-37A-17. Beneficiary designations--Funeral benefits.
The owner of a benefit contract may change the beneficiaries in accordance with the laws or rules of the society unless the owner waives this right by specifically requesting in writing that the beneficiary designation be irrevocable. A society may, through its laws or rules, limit the scope of beneficiary designations and shall provide that no revocable beneficiary may obtain any vested interest in the proceeds of any certificate until the certificate has become due and payable in conformity with the provisions of the benefit contract. A society shall honor the request of the owner of a benefit contract to assign the contract to, or designate an irrevocable beneficiary of, a trust which provides for the payment of funeral or burial related expenses and is established by the insured, the insurer, or owner of the benefit contract, unless the request does not conform to the laws or rules of the society. In no event may the certificate proceeds paid to such a trust exceed the actual funeral or burial related expenses incurred.
A society may provide for the payment of funeral benefits to the extent of the portion of any payment under a certificate as might reasonably appear to be due to any person equitably entitled to it by reason of having incurred expense occasioned by the burial of the member. A society shall honor the request of the owner of a benefit contract to collaterally assign the contract to, or make an irrevocable beneficiary designation of, a funeral home solely for the payment of funeral or burial related expenses, unless the request does not conform to the laws or rules of the society.
If, at the death of any person insured under a benefit contract, there is no lawful beneficiary to whom the proceeds are payable, the amount of the benefit, except to the extent that funeral benefits may be paid as provided in this chapter, is payable to the estate of the deceased insured the same as other property not exempt. However, if the owner of the certificate is other than the insured, the proceeds are payable to the owner.
Source:
SL 1990, ch 410, §17; SL 2005, ch 278, §1; SL 2010, ch 245, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-18 - Money or other benefits not attachable for individual debts.

58-37A-18. Money or other benefits not attachable for individual debts.
No money or other benefit, charity, relief, or aid to be paid, provided, or rendered by any society, is liable to attachment, garnishment, or other process, or to be seized, taken, appropriated, or applied by any legal or equitable process or operation of law to pay any debt or liability of a member or beneficiary, or any other person who may have a right thereunder, either before or after payment by the society.
Source:
SL 1990, ch 410, §18.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-20 - Basis for computing value of nonforfeiture benefits.

58-37A-20. Basis for computing value of nonforfeiture benefits.
For certificates issued before one year after January 1, 1991, the value of every paid-up nonforfeiture benefit and the amount of any cash surrender value, loan, or other option granted shall comply with the provisions of law applicable immediately before January 1, 1991.
For certificates issued on or after one year from January 1, 1991, every paid-up nonforfeiture benefit and the amount of any cash surrender value, loan, or other option granted may not be less than the corresponding amount based on the interest rate and mortality tables authorized by the laws of this state for the calculation of these benefits by life and health insurers issuing policies containing like benefits based upon such interest rate and mortality tables.
Source:
SL 1990, ch 410, §20.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-21 - Authorized investments.

58-37A-21. Authorized investments.
A society shall invest its funds only in the investments that are authorized by the laws of this state for the investment of assets of life insurers and subject to the same limitations. Any foreign or alien society permitted or seeking to do business in this state which invests its funds in accordance with the laws of the state, district, territory, country, or province in which it is incorporated, shall be held to meet the requirements of this section for the investment of funds.
Source:
SL 1990, ch 410, §21.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-22 - Permissible use of assets and special funds--Establishing separate accounts and issuing contracts.

58-37A-22. Permissible use of assets and special funds--Establishing separate accounts and issuing contracts.
All assets shall be held, invested, and disbursed for the use and benefit of the society and no member or beneficiary has individual rights in the assets or is entitled to any apportionment on the surrender of any part of the assets, except as provided in the benefit contract.
A society may create, maintain, invest, disburse, and apply any special fund or funds necessary to carry out any purpose permitted by the laws of the society.
A society may, pursuant to resolution of its supreme governing body, establish and operate separate accounts and issue contracts on a variable basis, subject to the provisions of law regulating life and health insurers establishing the accounts and issuing the contracts. To the extent the society considers it necessary in order to comply with any applicable federal or state laws, or any rules issued under those federal or state laws, the society may adopt special procedures for the conduct of the business and affairs of a separate account, may, for persons having beneficial interests in a separate account, provide special voting and other rights, including special rights and procedures relating to investment policy, investment advisory services, selection of certified public accountants, and selection of a committee to manage the business and affairs of the account, and may issue contracts on a variable basis to which the provisions of the second and third paragraphs in §58-37A-19 do not apply.
Source:
SL 1990, ch 410, §22.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-23 - Exemption from other insurance laws.

58-37A-23. Exemption from other insurance laws.
Except as provided in this chapter, societies are exempt from all other provisions of the insurance laws of this state unless they are expressly designated in the law, or unless it is specifically made applicable by this chapter.
Source:
SL 1990, ch 410, §23.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-24 - Exemption from certain taxes.

58-37A-24. Exemption from certain taxes.
Every society organized or licensed under this chapter is a charitable and benevolent institution for the purposes of this chapter, and all of its funds are exempt from all and every state, county, district, municipal, and school tax, other than sales taxes, use taxes, and taxes on real estate and office equipment.
Source:
SL 1990, ch 410, §24.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-25 - Standards of valuation for certificates--Maintenance of excess reserves.

58-37A-25. Standards of valuation for certificates--Maintenance of excess reserves.
Any standards of valuation for certificates issued before one year after January 1, 1991, shall be those provided by the laws applicable immediately before January 1, 1991.
The minimum standards of valuation for certificates issued on or after one year from January 1, 1991, shall be based on the following:
(1)For certificates of life insurance--the commissioner's standard ordinary mortality tables applicable to life and health insurers in this state; and
(2)For annuity and pure endowment certificates, for total and permanent disability benefits, for accidental death benefits and for noncancelable accident and health benefits--the tables that are authorized for use by life and health insurers in this state.
All of the above shall be under valuation methods and standards including interest assumptions in accordance with the laws of this state applicable to life and health insurers issuing policies containing like benefits.
The director may accept other standards for valuation if the director finds that the reserves produced by the other standards will not be less in the aggregate than reserves computed in accordance with the minimum valuation standard prescribed in this section. The director may vary the standards of mortality applicable to all benefit contracts on substandard lives or other extra hazardous lives by any society authorized to do business in this state.
Any society, with the consent of the insurance supervisory official of the state of domicile of the society and under such conditions, if any, which the director may impose, may establish and maintain reserves on its certificates in excess of the reserves required under this section, but no contractual rights of any benefit member may be affected by maintaining excess reserves.
Source:
SL 1990, ch 410, §25.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-26 - Annual statement of affairs--Valuation of certificates--Filing requirements.

58-37A-26. Annual statement of affairs--Valuation of certificates--Filing requirements.
Every society transacting business in this state shall annually, on or before the first day of March, unless for cause shown the time has been extended by the director, file with the director a true statement of its financial condition, transactions and affairs for the preceding calendar year. A fraternal benefit society receiving premiums, as defined in subdivision 10-44-1(5), in an amount of two hundred thousand dollars or more shall pay a five hundred dollar annual statement filing fee to the state. A fraternal benefit society receiving premiums, as defined in subdivision 10-44-1(5), in an amount less than two hundred thousand dollars, shall pay a one hundred dollar annual statement filing fee to the state. The statement shall be in general form and content as approved by the national association of insurance commissioners for fraternal benefit societies and as supplemented by additional information required by the director.
As a part of the annual statement, each society shall, on or before the first day of March, file with the director a valuation of its certificates in force on December thirty-first last preceding. However, the director may for cause shown, extend the time for filing the valuation for not more than two calendar months. The valuation shall be done in accordance with the standards specified in §58-37A-25. The valuation and underlying data shall be certified by a qualified actuary or, at the expense of the society, verified by the actuary of the insurance regulatory agency of the state of domicile of the society.
A society neglecting to file the annual statement in the form and within the time provided by this section shall forfeit one hundred dollars for each day during which the neglect continues, and, upon notice by the director to that effect, its authority to do business in this state shall cease while the default continues.
Source:
SL 1990, ch 410, §26.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 37A - Fraternal Benefit Societies › Section 58-37A-27 - License to transact business--Annual expiration and renewal--License fee--Copy of license as evidence.

58-37A-27. License to transact business--Annual expiration and renewal--License fee--Copy of license as evidence.
Societies which are now authorized to transact business in this state, and all societies hereafter licensed, may continue their business until May 1, 1991. The authority of these societies and all societies hereafter licensed, may thereafter be renewed annually, but in all cases to terminate on the first day of the succeeding May. However, a license issued shall continue in effect until the new license is issued or specifically refused. A fraternal benefit society making application for a certificate of authority or original license to transact business in this state shall pay a five hundred dollar license fee to the state. A fraternal benefit society receiving premiums, as defined in subdivision 10-44-1(5), in an amount less than two hundred thousand dollars shall pay a one hundred dollar annual renewal license fee to the state. A fraternal benefit society receiving premiums, as defined in subdivision 10-44-1(5), in an amount of two hundred thousand dollars or more shall pay a five hundred dollar annual renewal license fee to the state. A certified copy or duplicate of the license is prima facie evidence that the licensee is a fraternal benefit society within the meaning of this chapter.
Source:
SL 1990, ch 410, §27.