reglab/statecodes huggingface dataset:
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-4 - Examination of foreign or alien insurer or rating organization by insurance supervisory official of another state--Examination by director unnecessary--Accreditation of examiner.

58-3-4. Examination of foreign or alien insurer or rating organization by insurance supervisory official of another state--Examination by director unnecessary--Accreditation of examiner.
In lieu of making his own examination, the director may, in his discretion, accept a full report of the last recent examination of a foreign or alien insurer, or rating organization, certified to by the insurance supervisory official of another state, territory, commonwealth, or district of the United States.
Beginning January 1, 1994, these examinations may only be accepted if the state insurance agency was at the time of the examination accredited under the National Association of Insurance Commissioners' Financial Regulation Standards and Accreditation Program or the examination is performed under the supervision of an accredited state insurance agency or with the participation of one or more examiners who are employed by an accredited state insurance agency and who, after a review of the examination work papers and report, state under oath that the examination was performed in a manner consistent with the standards and procedures required by their own state insurance agency.
Source:
SL 1966, ch 111, ch 2, §16 (3); SL 1992, ch 338, §4.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-5 - Examination of agents, managers, and promoters.

58-3-5. Examination of agents, managers, and promoters.
For the purpose of ascertaining compliance with this title, the director may as often as the director deems advisable examine the accounts, records, documents, and transactions, pertaining to or affecting its insurance affairs or proposed insurance affairs, of:
(1)Any insurance producer, surplus line broker, or general agent;
(2)Any person having a contract under which the person enjoys in fact the exclusive or dominant right to manage or control an insurer;
(3)Any person holding the shares of voting stock or policyholder proxies of a domestic insurer, for the purpose of controlling the management thereof, as voting trustee or otherwise;
(4)Any person engaged in or proposing to be engaged in or assisting in the promotion or formation of a domestic insurer or insurance holding corporation, or corporation to finance a domestic insurer or the production of its business.
Source:
SL 1966, ch 111, ch 2, §17; SL 2001, ch 286, §61.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-6 - Place where examination conducted.

58-3-6. Place where examination conducted.
The director shall conduct any such examination at the home office, if a domestic or foreign insurer, or United States branch office, if an alien insurer, of the insurer, or in any of its branch or agency offices; or with respect to persons other than insurers, at the office or other place of business of such person or at any place where his records are kept.
Source:
SL 1966, ch 111, ch 2, §18 (1).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-7 - Information to be available--Cooperation of persons being examined.

58-3-7. Information to be available--Cooperation of persons being examined.
Every person being examined, its officers, employees, insurance producers, and representatives shall produce and make freely available to the director or the director's examiners the accounts, records, documents, files, assets, and other relevant information in their possession or control relating to the subject of the examination, and shall otherwise facilitate and aid the examination as far as reasonably possible.
Source:
SL 1966, ch 111, ch 2, §18 (2); SL 2001, ch 286, §62; SL 2012, ch 241, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-7.1 - Observance of guidelines and procedures by examiner.

58-3-7.1. Observance of guidelines and procedures by examiner.
The examiner shall observe those guidelines and procedures set forth in the Examiners Handbook adopted by the National Association of Insurance Commissioners as adopted by rule by the director pursuant to chapter 1-26. The director may also establish additional guidelines or procedures the director considers appropriate.
Source:
SL 1992, ch 338, §5; SL 1993, ch 357, §1; SL 1995, ch 273, §2.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-7.2 - Penalty upon refusal to submit to examination--Suspension, refusal of, or nonrenewal of, license.

58-3-7.2. Penalty upon refusal to submit to examination--Suspension, refusal of, or nonrenewal of, license.
The refusal of any company, by its officers, directors, employees, or insurance producers, to submit to examination or to comply with any reasonable written request of the examiners constitutes grounds for suspension or refusal of, or nonrenewal of any license or authority held by the insurer or person to engage in an insurance or other business subject to the director's jurisdiction.
Source:
SL 1992, ch 338, §6; SL 2001, ch 286, §63.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-7.3 - Examination under oath--Authority of director or examiner.

58-3-7.3. Examination under oath--Authority of director or examiner.
The director or any examiner authorized by the director may issue subpoenas, administer oaths, and examine under oath any person as to any matter pertinent to the examination. Subpoenas may be enforced pursuant to chapters 1-26, 15-6, and 21-34.
Source:
SL 1992, ch 338, §7.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-7.4 - Insurer's claim files subject to examination--File maintenance requirements.

58-3-7.4. Insurer's claim files subject to examination--File maintenance requirements.
Each insurer's claim files for policies or certificates are subject to examination pursuant to chapter 58-3 by the director of insurance. To aid in the examination:
(1)The insurer shall maintain claim data that is accessible and retrievable for examination. An insurer shall be able to provide the claim number, line of coverage, date of loss, and date of payment of the claim, date of denial, or date closed without payment. This claim data shall be available for all open and closed files for five years;
(2)Detailed documentation shall be contained in each claim file in order to permit reconstruction of the insurer's activities relative to each claim;
(3)Each relevant document within the claim file shall be noted as to date received, date processed, or date mailed. Dated correspondence is sufficient to document the date mailed for the purposes of this subdivision;
(4)For those insurers that do not maintain hard copy files, claim files shall be accessible from a computer, microfilm, Cathode Ray Tube (CRT), micrographics, or other similar electronic means and be capable of duplication to hard copy; and
(5)Claim information obtained in a telephone conversation or personal interview with any source which is used in the claim determination shall be documented in the claim file.
Source:
SL 1997, ch 283, §5; SL 2009, ch 257, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-8 - Examination disclosing inadequate records--Correction of accounts.

58-3-8. Examination disclosing inadequate records--Correction of accounts.
If the director finds accounts to be inadequate, or inadequately kept or posted, he may employ experts to rewrite, post, or balance them at the expense of the person being examined if such person has failed to complete or correct such accounting after the director has given him notice and a reasonable opportunity to do so.
Source:
SL 1966, ch 111, ch 2, §18 (3).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-9 - Valuation of real estate involved in examination--Appraisers, appointment, prompt appraisal, report--Expense of appraisal, liability of person examined.

58-3-9. Valuation of real estate involved in examination--Appraisers, appointment, prompt appraisal, report--Expense of appraisal, liability of person examined.
If the director deems it necessary to value any real estate involved in any such examination, he may make written request of the person being examined to appoint one or more competent appraisers approved by the director, for the purpose of appraising such property. If no such appointment is made within ten days after such request is delivered to such person, the Department of Labor and Regulation may appoint the appraiser or appraisers. Any such appraisal shall be made promptly, and a copy of the report thereof shall be furnished to the director. The reasonable expense of the appraisal shall be borne by the person being examined.
Source:
SL 1966, ch 111, ch 2, §18 (4); SL 2003, ch 272 (Ex. Ord. 03-1), §20; SL 2011, ch 1 (Ex. Ord. 11-1), §162, eff. Apr. 12, 2011.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-10 - Examination reports required.

58-3-10. Examination reports required.
The director or his examiner shall make a full and true report of each examination.
Source:
SL 1966, ch 111, ch 2, §20 (1).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-11 - Contents of examination reports.

58-3-11. Contents of examination reports.
The report shall be comprised only of facts appearing from the books, papers, records, or documents of the person being examined, or ascertained from the statements of individuals concerning its affairs and the examiner's conclusions and recommendations based on procedures and guidelines adopted by the National Association of Insurance Commissioners or state statutes or rules. The director shall adopt the procedures and guidelines and their effective date by rule promulgated pursuant to chapter 1-26.
Source:
SL 1966, ch 111, ch 2, §20 (2); SL 1992, ch 338, §8; SL 1993, ch 357, §2; SL 1994, ch 375, §4; SL 1997, ch 283, §4.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-12 - Examination reports--Copy to company examined--Review by director--Order.

58-3-12. Examination reports--Copy to company examined--Review by director--Order.
No later than sixty days following completion of the examination, the examiner in charge shall file with the division a written report of examination under oath. Upon receipt of the report, the division shall transmit the report to the company examined. The company may make a written submission or rebuttal with respect to any matters contained in the examination report within thirty days of transmittal of the report.
Within thirty days of receipt of written submissions or rebuttals, if any, the director shall fully consider and review the report, together with any written submissions or rebuttals and any relevant portions of the examiner's work papers, and enter an order:
(1)Adopting the examination report as filed or with modification or corrections. If the examination report reveals that the company is operating in violation of any law, regulation or prior order of the director, the director may order the company to take any action the director considers necessary and appropriate to cure the violation;
(2)Rejecting the examination report with directions to the examiners to reopen the examination for purposes of obtaining additional data, documentation, or information, and refiling pursuant to the procedures in subdivision (1) for the initial report; or
(3)Calling for an investigatory hearing with no less than twenty days' notice to the company for purposes of obtaining additional documentation, data, information, and testimony.
Source: SL 1966, ch 111, ch 2, §20 (3); SL 1992, ch 338, §9; SL 2023, ch 163, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-12.1 - Examinations other than financial examinations--Examination report--Optional or mandatory.

58-3-12.1. Examinations other than financial examinations--Examination report--Optional or mandatory.
Notwithstanding §§58-3-10 and 58-3-12, for examinations, other than financial examinations, subject to the provisions of this chapter, the director or the examiner may issue an examination report. If an examination report is issued pursuant to this section, the applicable provisions of this chapter apply. If the person being examined makes a written request for an examination report within thirty days of receipt of written notice by the director of the completion of the examination, the director or examiner shall issue the examination report within sixty days of the date of the receipt of the request or the completion of the examination, whichever is later.
Source:
SL 2005, ch 262, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-12.2 - Market conduct examination--Draft examination report.

58-3-12.2. Market conduct examination--Draft examination report.
Prior to the completion of a market conduct examination, the director may request that the examiner in charge provide a draft examination report that is not to be filed under oath. The draft examination report does not constitute the conclusion of the examination and does not trigger the provisions of §58-3-12 until filed with the division under oath. Once the division has received the draft examination report, the director may share the draft examination report with the company examined to facilitate the resolution of the examination. The examiner in charge shall submit the examination report under oath and trigger the provisions of §58-3-12 within one hundred eighty days of the director sharing the draft examination report pursuant to this section, unless the secretary provides a longer timeframe to allow additional consideration of the draft examination report by the company being examined. Nothing in this section applies to financial examinations.
Source:
SL 2014, ch 232, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-12.3 - Draft examination report not governed by §§58-3-10 to 58-3-18.

58-3-12.3. Draft examination report not governed by §§58-3-10 to 58-3-18.
The provisions of §§58-3-10 to 58-3-18, inclusive, do not apply to the draft examination report.
Source:
SL 2014, ch 232, §2.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-12.4 - Confidentiality of draft examination report.

58-3-12.4. Confidentiality of draft examination report.
Each draft examination report described in §58-3-12.2 is confidential. No draft examination report may be released except pursuant to a court order.
Source:
SL 2014, ch 232, §3.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-13 - Filed examination report admissible in evidence.

58-3-13. Filed examination report admissible in evidence.
The report when so filed shall be admissible in evidence, in any action or proceeding brought by the director against the person examined, or against its officers, representatives, or insurance producers, of the facts stated therein. The director and the director's examiners may at any time testify and offer other proper evidence as to information secured during the course of an examination, whether or not a written report of the examination has at that time been either made, served, or filed in the director's office.
Source:
SL 1966, ch 111, ch 2, §20 (4); SL 2001, ch 286, §64.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-14 - Withholding of report from public inspection.

58-3-14. Withholding of report from public inspection.
Upon the adoption of the examination report under subdivision 58-3-12(1), the director shall continue to hold the content of the examination report as confidential information for a period of thirty days except to the extent provided in §§58-3-20, 58-3-21, and 58-3-22. Thereafter, the director may open the report for public inspection so long as no court of competent jurisdiction has stayed its publication.
Source:
SL 1966, ch 111, ch 2, §20 (5); SL 1992, ch 338, §21.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-15 - Expenses of examination paid by person examined.

58-3-15. Expenses of examination paid by person examined.
Each person so examined, other than as to examinations pursuant to §58-3-5, shall pay the travel expenses, a reasonable living expense allowance, and a per diem as compensation of examiners, as necessarily incurred on account of the examination, all at reasonable rates customary therefor and as established or adopted by the director, upon presentation of a detailed account of charges and expenses. The account may be so presented periodically during the course of the examination or at the termination of the examination.
The division may retain at the insurer's expense, consultants, attorneys, actuaries, accountants, and other experts not otherwise a part of the director's staff as shall be reasonably necessary to assist in the conduct of the examination. Any person so retained shall be under the direction and control of the director and shall act in a purely advisory capacity. Each insurer producing records, books, and papers for examination pursuant to this chapter is liable for and shall pay the expense of the examination.
Source:
SL 1966, ch 111, ch 2, §19; SL 1977, ch 404, §2; SL 1995, ch 273, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-17 - Order adopting examination report as final decision--Service--Affidavit of receipt.

58-3-17. Order adopting examination report as final decision--Service--Affidavit of receipt.
Each order entered pursuant to subdivision 58-3-12(1) shall be in accordance with chapter 1-26. The order shall be accompanied by findings of fact and conclusions of law and constitutes a final decision. The order shall be served upon the company by certified mail, together with a copy of the adopted examination reports. The order shall include the provisions of this section. The company shall then serve its directors. Within thirty days of the issuance of the adopted report, the company shall file affidavits executed by each of its directors stating that it has received a copy of the adopted report and related orders.
Source:
SL 1992, ch 338, §10; SL 2010, ch 234, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-18 - Confidential investigative hearing--Inconsistencies in examination report.

58-3-18. Confidential investigative hearing--Inconsistencies in examination report.
Subject to §58-3-11, any investigative hearing conducted under subdivision 58-3-12(3) shall be a confidential, investigatory proceeding for the resolution of any inconsistencies, discrepancies, or disputed issues apparent upon the face of the filed examination report or raised by or as a result of the director's review of relevant work papers or by the written submission or rebuttal of the company.
Source:
SL 1992, ch 338, §11.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-19 - Conducting hearing--Discovery.

58-3-19. Conducting hearing--Discovery.
The director may not appoint an examiner to conduct the hearing in §58-3-18. Discovery by the company is limited to the evidence, materials, and examiner's work papers specifically relating to the company being examined and which tend to substantiate or rebut any assertions set forth in any written submission. The documents produced shall be included in the record and testimony taken shall be under oath and preserved for the record.
Nothing contained in this section requires the division to disclose any information or records which would indicate or show the existence or content of any investigation or activity of a criminal justice agency.
Source:
SL 1992, ch 338, §12.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-20 - Use of information discovered during examination for legal or regulatory action.

58-3-20. Use of information discovered during examination for legal or regulatory action.
The director may use and make public any final or preliminary examination report, any examiner or company work papers or other documents, or any other information discovered or developed during the course of any examination in the furtherance of any legal or regulatory action.
Source:
SL 1992, ch 338, §13.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-21 - Disclosure of contents of examination report to insurance department or law enforcement agencies--Confidentiality.

58-3-21. Disclosure of contents of examination report to insurance department or law enforcement agencies--Confidentiality.
The director is not prohibited from disclosing the contents of an examination report, preliminary examination report or results, or any matter or documentation relating thereto, to the insurance department of this or any other state or country, or to law enforcement officials of this or any other state or agency of the federal government at any time, if the agency or office receiving the report or matters relating thereto agrees in writing to hold it confidential and in a manner consistent with this chapter. Any examination report, preliminary examiners report or results or any material or documentation relating thereto received by the director from another jurisdiction is confidential unless otherwise indicated by that jurisdiction.
Source:
SL 1992, ch 338, §14.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-22 - Confidentiality of disclosed information--Exceptions--Access by National Association of Insurance Commissioners.

58-3-22. Confidentiality of disclosed information--Exceptions--Access by National Association of Insurance Commissioners.
All working papers, recorded information, documents, and copies thereof produced by, obtained by, or disclosed to the director or any other person in the course of an examination made under this chapter are confidential and may not be made public by the director or any other person, except to the extent provided in §§58-3-14, 58-3-20, and 58-3-21 and in any administrative or court proceeding between the company and the division.
Access may also be granted to the National Association of Insurance Commissioners. The parties shall agree in writing prior to receiving the information to hold it confidential unless the prior written consent of the company to which it pertains has been obtained.
Source:
SL 1992, ch 338, §15.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-23 - Preclusion of examiner--Grounds.

58-3-23. Preclusion of examiner--Grounds.
No examiner may be appointed by the director if the examiner, either directly or indirectly, has a conflict of interest or is affiliated with the management of or owns a pecuniary interest in any person subject to examination under this chapter. This section may not be construed to automatically preclude an examiner from being:
(1)A policyholder or claimant under an insurance policy;
(2)A grantor of a mortgage or similar instrument on the examiner's residence to a regulated entity if done under customary terms and in the ordinary course of business;
(3)An investment owner in shares of regulated diversified investment companies; or
(4)A settlor or beneficiary of a "blind trust" into which any otherwise impermissible holdings have been placed.
Source:
SL 1992, ch 338, §16.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-24 - Liability of director or examiner--Liability for communicating or delivering information--Intent.

58-3-24. Liability of director or examiner--Liability for communicating or delivering information--Intent.
No cause of action may arise nor may any liability be imposed against the director, the director's authorized representatives, or any examiner appointed by the director for any statements made or conduct performed in good faith while carrying out the provisions of this chapter. This section does not abrogate or modify in any way any common law or statutory privilege or immunity enjoyed by any person identified.
No cause of action may arise, nor may any liability be imposed against any person for the act of communicating or delivering information or data to the director or the director's authorized representative or examiner pursuant to an examination, if the act of communication or delivery was performed in good faith and without fraudulent intent or the intent to deceive.
Source:
SL 1992, ch 338, §17.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-25 - Implementation of examination report's recommendations.

58-3-25. Implementation of examination report's recommendations.
When the examination is adopted and all rights to appeal have passed, the company shall implement the recommendations set forth in the final examination report within a time set by the director. The recommendations are those which are made pursuant to §58-3-11. The director may extend the time for implementation of the recommendation upon the written request of the company and if the company shows good cause for the extension. If the company does not implement the recommendations within the set time frame, the director may fine the company for each recommendation not implemented not more than twenty-five thousand dollars or revoke or suspend the certificate of authority or both.
Source:
SL 1992, ch 338, §19.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-26 - Promulgation of rules for examination.

58-3-26. Promulgation of rules for examination.
The director may promulgate rules pursuant to chapter 1-26 concerning examinations, forms and procedures for reporting, examiners and their qualifications, investigations and hearing procedures.
Source:
SL 1992, ch 338, §20.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 03 - Examination Of Insurers And Insurance Producers › Section 58-3-27 - Application of chapter.

58-3-27. Application of chapter.
This chapter applies to all persons doing insurance business notwithstanding any provision exempting them from the insurance laws of this title.
Source:
SL 1992, ch 338, §22.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-5 - Enforcement proceedings instituted by director.

58-4-5. Enforcement proceedings instituted by director.
The director shall institute such suits or other legal proceedings as may be required for the enforcement of any provisions of this title.
Source:
SL 1966, ch 111, ch 2, §12 (1).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-6 - Proceedings instituted by director--Legal representation.

58-4-6. Proceedings instituted by director--Legal representation.
The director shall be represented by the attorney general, his assistants, or by such other attorney at law as may be designated by the attorney general.
Source:
SL 1966, ch 111, ch 2, §12 (3).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-7 - Cease and desist order to prevent violations of title--Injunction.

58-4-7. Cease and desist order to prevent violations of title--Injunction.
If the director of the Division of Insurance believes, from substantial evidence, that any person is violating or about to violate any provision of this title or any order or requirement of the director issued or promulgated pursuant to authority expressly granted by law, the director may issue a temporary cease and desist order pending a hearing pursuant to chapter 1-26. The order shall set the time and place for hearing not less than ten days nor more than twenty days from the date of the order. The director may also bring an action in the name of the state against such person to enjoin that person from continuing the violation or engaging therein, or doing any act in furtherance thereof. In such action an order or judgment may be entered awarding such temporary or permanent injunction as is proper.
Source:
SL 1966, ch 111, ch 32, §6; SL 1978, ch 155, §25; SL 1985, ch 385, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-9 - Hearings by director--Purpose.

58-4-9. Hearings by director--Purpose.
The director may hold hearings for any purpose within the scope of this title deemed by him to be necessary.
Source:
SL 1966, ch 111, ch 2, §21 (1).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-15 - Orders and notices of director required to be in writing--Signature.

58-4-15. Orders and notices of director required to be in writing--Signature.
Orders and notices of the director shall not be effective unless in writing signed by him or by his authority.
Source:
SL 1966, ch 111, ch 2, §15 (1).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-16 - Order of director--Effective date--Contents.

58-4-16. Order of director--Effective date--Contents.
Every such order shall state its effective date and shall concisely state:
(1)Its intent or purpose;
(2)The grounds on which based; and
(3)The provisions of this title pursuant to which action is so taken or proposed to be taken, but failure to so designate a particular provision shall not deprive the director of the right to rely thereon.
Source:
SL 1966, ch 111, ch 2, §15 (2).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-17 - Service of orders and notices of director.

58-4-17. Service of orders and notices of director.
An order or notice may be given by delivery to the person to be ordered or notified or by mailing it, postage prepaid, addressed to him at his principal place of business as last of record in the director's office.
Source:
SL 1966, ch 111, ch 2, §15 (3).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-18 - Prosecution of action for enforcement of director's order.

58-4-18. Prosecution of action for enforcement of director's order.
The director shall prosecute an action in any court of proper venue to enforce any order made by him pursuant to the provisions of this title.
Source:
SL 1966, ch 111, ch 2, §12 (2).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-25 - Formal rules of pleading or evidence not observed at director's hearing.

58-4-25. Formal rules of pleading or evidence not observed at director's hearing.
Formal rules of pleading or evidence need not be observed at any hearing.
Source:
SL 1966, ch 111, ch 2, §24 (3).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-28.1 - Money penalty in lieu of license suspension or other action--Hearing.

58-4-28.1. Money penalty in lieu of license suspension or other action--Hearing.
In any case in which the director has the power to deny an application or registration, or to revoke, refuse to renew, or suspend the license of any insurance producer, administrator, licensee, or entity required to be registered under this title, or the certificate of authority of any insurance company or health maintenance organization, the director may impose a specified money penalty to be paid within a specified time in lieu of a license suspension or other permitted action. No penalty may be imposed under this section prior to a hearing conducted pursuant to chapter 1-26 unless the applicant, licensee, or registrant agrees to the penalty in writing.
The money penalty may not exceed five thousand dollars for an insurance producer or twenty-five thousand dollars for an insurer, administrator, health maintenance organization, licensee, or registrant for each offense.
Source:
SL 1971, ch 273; SL 1974, ch 308; SL 2000, ch 235, §1; SL 2001, ch 286, §66; SL 2014, ch 233, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-39 - Standards for determining hazardous financial condition.

58-4-39. Standards for determining hazardous financial condition.
The director shall promulgate rules, pursuant to chapter 1-26, setting forth standards for determining the hazardous financial condition of an insurer under this title.
Source:
SL 1992, ch 339, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-40 - Authority of director in determining insurer's financial condition.

58-4-40. Authority of director in determining insurer's financial condition.
In making a determination of an insurer's financial condition, the director may:
(1)Disregard any credit or amount receivable resulting from transactions with a reinsurer which is insolvent, impaired, or subject to a delinquency proceeding;
(2)Make appropriate adjustments to asset values attributable to investments in or transactions with parents, subsidiaries, or affiliates;
(3)Refuse to recognize the stated value of accounts receivable if the ability to collect receivables is highly speculative in view of the age of the account or the financial condition of the debtor;
(4)Increase the insurer's liability in an amount equal to any contingent liability, pledge, or guarantee not otherwise included if there is a substantial risk that the insurer will be called upon to meet the obligation undertaken within the next twelve-month period; or
(5)Consider the harm to policyholders, creditors, the public, and the company itself.
Source:
SL 1992, ch 339, §2.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-41 - Director's order to hazardous insurer.

58-4-41. Director's order to hazardous insurer.
If the director determines that the continued operation of an insurer licensed to transact business in this state may be hazardous to the policyholders, the creditors, or the general public, then the director may issue an order stating the reasons for the determination and requiring the insurer to:
(1)Reduce the total amount of present and potential liability for policy benefits by reinsurance;
(2)Reduce, suspend, or limit the volume of business being accepted or renewed;
(3)Reduce general insurance and commission expenses by specified methods;
(4)Increase the insurer's capital and surplus;
(5)Suspend or limit the declaration and payment of dividend by an insurer to its stockholders or to its policyholders;
(6)File reports in a form acceptable to the director concerning the market value of an insurer's assets;
(7)Limit or withdraw from certain investments or discontinue certain investment practices to the extent the director deems necessary;
(8)Document the adequacy of premium rates in relation to the risks insured;
(9)File, in addition to regular annual statements, interim financial reports on the form adopted by the national association of insurance commissioners or in a format as promulgated by the director;
(10)Correct corporate governance practice deficiencies, and adopt and utilize governance practices acceptable to the director;
(11)Provide a business plan to the director in order to continue to transact business in the state; or
(12)Notwithstanding any other provision of law limiting the frequency or amount of premium rate adjustments, adjust rates for any nonlife insurance product written by the insurer that the director determines necessary to improve the financial condition of the insurer.
If the insurer is a foreign insurer, the director's order may be limited to the extent provided by statute.
Source:
SL 1992, ch 339, §3; SL 2013, ch 244, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-42 - Hearings on director's orders.

58-4-42. Hearings on director's orders.
Any insurer subject to an order under §58-4-41 may request a hearing to review that order. The request shall be in writing and shall be made within ten days of the date of receipt of the order. The notice of hearing shall be served upon the insurer. Unless mutually agreed between the director and the insurer, the hearing shall occur not less than ten days nor more than thirty days after notice is served and shall be in Hughes County. The director shall hold all hearings under this section privately, unless the insurer requests a public hearing in which case the hearing shall be public.
Source:
SL 1992, ch 339, §4.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-43 - Application of hazardous insurer provisions.

58-4-43. Application of hazardous insurer provisions.
Sections 58-4-39 to 58-4-42, inclusive, apply to all insurers or persons doing insurance business notwithstanding any provision which exempts them from the insurance laws of this title.
Source:
SL 1992, ch 339, §5.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-44 - Investigation of insurance business--Withholding report from public inspection--Timely completion--Notice of closing investigation or final action.

58-4-44. Investigation of insurance business--Withholding report from public inspection--Timely completion--Notice of closing investigation or final action.
The director may investigate any person doing insurance business. The director may withhold from public inspection any examination or investigation report for so long as the director deems such withholding to be necessary for the protection of the person examined or investigated against unwarranted injury or to be in the public interest. The director shall complete any investigation in a timely manner. Any investigation not completed within twenty-four months shall be presented to the secretary of labor and regulation. If, after sixty days, the secretary has not completed the investigation, the secretary shall forward the matter to the attorney general who shall review the file and make recommendations to the secretary for the purpose of ensuring final action is taken concerning the investigation. If the Division of Insurance has given notice of a pending investigation to any person or legal entity, the division shall notify any such person or legal entity that the investigation is closed or final action has been taken.
Source:
SL 1992, ch 340, §1; SL 2006, ch 250, §1; SL 2011, ch 1 (Ex. Ord. 11-1), §162, eff. Apr. 12, 2011.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-46 - Liability for release of information.

58-4-46. Liability for release of information.
Any person or corporation governed by this title providing information to the Division of Insurance is not liable for the release or subsequent use of such information.
Source:
SL 1992, ch 340, §3.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-47 - Sharing and use of confidential information with other regulatory officials--Cooperation with National Association of Insurance Commissioners.

58-4-47. Sharing and use of confidential information with other regulatory officials--Cooperation with National Association of Insurance Commissioners.
The division shall allow for the sharing of otherwise confidential information, administrative or judicial orders, or other action with other state, federal, and international regulatory officials if those officials are statutorily required to maintain its confidentiality. The division shall cooperate and share all information with respect to domestic companies with other state, federal, and international regulators including committees established by the National Association of Insurance Commissioners which may be reviewing and coordinating regulatory oversight and activities. The division shall also cooperate and share information with respect to domestic companies subject to delinquency proceedings. The division may receive documents, materials, or information, including otherwise confidential and privileged documents, materials, or information from the National Association of Insurance Commissioners, its affiliates, or subsidiaries and from regulatory and law enforcement officials of other foreign or domestic jurisdictions. The division shall maintain as confidential or privileged any document, material, or information received with notice or the understanding that it is confidential or privileged under the laws of the jurisdiction that is the source of the document, material, or information. The director may use the documents, materials, or other information in the furtherance of any regulatory function or legal action brought as a part of the director's duties.
Source:
SL 1995, ch 274; SL 2007, ch 294, §5.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-48 - Minimum levels of risk-based capital required--Administrative rules.

58-4-48. Minimum levels of risk-based capital required--Administrative rules.
Any life and health and property and casualty insurer, and any insurer subject to chapters 58-37A, 58-38, 58-39, 58-40, and 58-41, domiciled in this state shall maintain minimum levels of risk-based capital to transact the business of insurance in this state. Each life and health and property and casualty domestic insurer, and any insurer subject to chapters 58-37A, 58-38, 58-39, 58-40, and 58-41, shall file with the director, on or before March first of each year, a report disclosing the insurer's level of risk-based capital. Any foreign life and health and property and casualty insurer, and any insurer subject to chapters 58-37A, 58-38, 58-39, 58-40, and 58-41, shall file a similar report upon the request of the director. The director of the Division of Insurance may promulgate rules, pursuant to chapter 1-26, regarding the filing of risk-based capital reports, the establishment of various minimum levels of risk-based capital requirements, the criteria and standards for which an insurer shall be required to submit a risk-based capital plan, the director's authority to revise or adopt the insurer's risk-based capital report or plan, the opportunity for hearing regarding the director's decision to revise an insurer's risk-based capital report or plan, the director's authority to require corrective actions, the confidentiality of risk-based capital reports and plans, and the exemption of certain insurers from the requirements of this section. The director may promulgate rules, pursuant to chapter 1-26, concerning the filing of risk-based capital reports to assist the director in the evaluation of the hazardous financial condition of an insurer pursuant to §58-4-39.
Source:
SL 1996, ch 289; SL 2001, ch 269, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-49 - Disclosure of status, existence, or outcome of investigation or examination.

58-4-49. Disclosure of status, existence, or outcome of investigation or examination.
The status, existence, or outcome of any ongoing or completed investigation or examination performed pursuant to this title may be disclosed by the director to any person who has filed a complaint or report to the director pertaining to the specific investigation or examination. The director may disclose the following information to any person identified by this section:
(1)Any remedial actions agreed to by a licensee being investigated or examined;
(2)Any remedial actions ordered by the director as a result of an examination or investigation; or
(3)Any other such information as the parties to the remedial action may agree to release in writing.
The director may also disclose the above information to any policyholder who contacts the director and who is directly affected by any action listed above. Confidential information shared with the director may not be disclosed. However, nothing in this section prevents the director from providing a copy of licensee responses or other materials submitted by a licensee to complaints or inquiries if the response or materials are not specifically marked confidential. Sections 58-4-49 to 58-4-54, inclusive, do not apply to investigations conducted pursuant to chapter 58-4A.
Source:
SL 2012, ch 242, §1; SL 2014, ch 234, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-50 - Definitions.

58-4-50. Definitions.
Terms used in §§58-4-50 to 58-4-54, inclusive, mean:
(1)"Return information," any information collected, prepared or received by the division which relates to a return, including the nature or amount of a taxpayer's income, receipts, deductions, net worth, tax liability, or deficiencies, or any part of any written determination or background file documents relating to such information. The term does not include data in a form which cannot be associated with or otherwise identify, directly or indirectly, a particular taxpayer;
(2)"Returns," all tax returns, tax reports or claims for refund which are filed with the division.
Source:
SL 2012, ch 242, §2.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-51 - Confidentiality of list of premium taxpayers--Violation as misdemeanor.

58-4-51. Confidentiality of list of premium taxpayers--Violation as misdemeanor.
Each list of premium taxpayers compiled by the division is confidential. It is a Class 2 misdemeanor to disclose any list except to the extent necessary to carry out the official duties of the division.
Source:
SL 2012, ch 242, §3.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-52 - Confidentiality of premium tax return and return information--Violation as misdemeanor.

58-4-52. Confidentiality of premium tax return and return information--Violation as misdemeanor.
A premium tax return and premium tax return information is confidential. It is a Class 1 misdemeanor to disclose this information except pursuant to §§58-4-50 to 58-4-54, inclusive.
Source:
SL 2012, ch 242, §4.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 04 - Enforcement Powers And Proceedings › Section 58-4-53 - Disclosure of premium tax return and information to taxpayer.

58-4-53. Disclosure of premium tax return and information to taxpayer.
A premium tax return and premium tax return information may be disclosed to the following:
(1)The taxpayer who is required to submit the information to the division, or his designee appointed in writing; or
(2)As otherwise authorized by Title 58.
Source:
SL 2012, ch 242, §5.