reglab/statecodes huggingface dataset:
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-106 - Dividends on participating policies not contingent on renewal premiums.

58-5-106. Dividends on participating policies not contingent on renewal premiums.
After the third policy year, no dividend otherwise earned shall be made contingent upon the payment of a renewal premium on any participating policy.
Source:
SL 1966, ch 111, ch 16, §32 (2).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-107 - Participating policyholder as member.

58-5-107. Participating policyholder as member.
Wherever, in any statutory provision, there is use of the word "member" as applying to a mutual and stock insurance company, the same shall be construed as meaning a participating policyholder of such company and shall have no connotation of membership in such company as when used with reference to mutual insurers.
Source:
SL 1966, ch 111, ch 16, §19.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-108 - Borrowed surplus of domestic stock or mutual insurer--Agreement to repay, interest.

58-5-108. Borrowed surplus of domestic stock or mutual insurer--Agreement to repay, interest.
A domestic stock or mutual insurer may borrow money to defray the expenses of its organization, provide it with surplus funds, or for any purpose of its business, upon a written agreement that such money shall be repaid only out of the insurer's surplus in excess of that stipulated in such agreement. The agreement may provide for the interest rate to be negotiated between the borrower and the lender, which interest shall or shall not constitute a liability of the insurer as to its funds other than such excess of surplus, as stipulated in the agreement. No commission or promotion expense shall be paid in connection with any such loan.
Source:
SL 1966, ch 111, ch 16, §34 (1); SL 1980, ch 351.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-109 - Approval of loan and agreement by director--Disapproval of proposed loan or agreement, grounds.

58-5-109. Approval of loan and agreement by director--Disapproval of proposed loan or agreement, grounds.
Any loan pursuant to §58-5-108 shall be subject to the approval of the director of the Division of Insurance. The insurer shall, in advance of the loan, file with the director a statement of the purpose of the loan and a copy of the proposed loan agreement. The loan and agreement shall be deemed approved unless within fifteen days after date of such filing the insurer is notified of the director's disapproval and the reasons therefor. The director shall disapprove any proposed loan or agreement if he finds the loan is unnecessary or excessive for the purpose intended, or that the terms of the loan agreement are not fair and equitable or that the information so filed by the insurer is inadequate.
Source:
SL 1966, ch 111, ch 16, §34 (3).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-110 - Legal liabilities of insurer on borrowed funds--Disclosure in financial statement.

58-5-110. Legal liabilities of insurer on borrowed funds--Disclosure in financial statement.
Money borrowed pursuant to §58-5-108, together with the interest thereon if so stipulated in the agreement, shall not form a part of the insurer's legal liabilities except as to its surplus in excess of the amount thereof stipulated in the agreement, or be the basis of any setoff; but until repaid, financial statements filed or published by the insurer shall show as a footnote thereto the amount thereof then unpaid together with any interest thereon accrued but unpaid.
Source:
SL 1966, ch 111, ch 16, §34 (2).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-111 - Repayment of loan by domestic insurer.

58-5-111. Repayment of loan by domestic insurer.
Any loan pursuant to §58-5-108 or substantial portion thereof shall be repaid by the insurer, upon the director's prior approval, when no longer reasonably necessary for the purpose originally intended.
Source:
SL 1966, ch 111, ch 16, §34 (4).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-112 - Provisions as to borrowed surplus inapplicable to loans in ordinary course of business or secured by pledge or mortgage.

58-5-112. Provisions as to borrowed surplus inapplicable to loans in ordinary course of business or secured by pledge or mortgage.
Sections 58-5-108 to 58-5-111, inclusive, shall not apply to loans obtained by an insurer in the ordinary course of business from banks and other financial institutions, nor to loans secured by pledge or mortgage of assets.
Source:
SL 1966, ch 111, ch 16, §34 (5).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-113 - Illegal dividends--Revocation or suspension of certificate of authority.

58-5-113. Illegal dividends--Revocation or suspension of certificate of authority.
The director may revoke or suspend the certificate of authority of an insurer which has declared or paid a dividend contrary to the general corporation laws of this state.
Source:
SL 1966, ch 111, ch 16, §33.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-114 - Impairment of capital or surplus of domestic stock or mutual insurer--Determination of amount of deficiency by director--Notice to insurer.

58-5-114. Impairment of capital or surplus of domestic stock or mutual insurer--Determination of amount of deficiency by director--Notice to insurer.
If a domestic stock insurer's basic paid-in capital as required by §§58-6-23 to 58-6-26, inclusive, or the minimum basic surplus of a domestic mutual insurer as required by §§58-5-21 and 58-5-22 becomes impaired, the director of the Division of Insurance shall at once determine the amount of deficiency and serve notice upon the insurer to cure the deficiency and file proof thereof with him within the period specified in the notice, which period shall be not less than thirty nor more than ninety days from the date of the notice.
Source:
SL 1966, ch 111, ch 16, §35 (1).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-115 - Curing impairment of capital or surplus.

58-5-115. Curing impairment of capital or surplus.
The deficiency may be cured by cash or assets eligible under chapter 58-27; or by amendment of the insurer's certificate of authority to cover only such kind or kinds of insurance thereafter for which such insurer has sufficient basic paid-in capital or minimum basic surplus under this title.
Source:
SL 1966, ch 111, ch 16, §35 (2).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-116 - Assessment of stockholders to cure impairment of capital or surplus--Enforcement.

58-5-116. Assessment of stockholders to cure impairment of capital or surplus--Enforcement.
A stock insurer, upon receiving the director's notice of deficiency as set forth in §58-5-114, by resolution of its board of directors and subject to any limitations upon assessment contained in its articles of incorporation, may assess its stockholders for amounts necessary to cure the deficiency and provide for a reasonable amount of surplus. If a stockholder fails to pay such assessment after notice, the insurer may require the return of the original certificate of stock, deduct such assessment, and issue a new certificate for such stockholder's remaining interest. The insurer may pay for or reissue fractional shares under this section.
Source:
SL 1966, ch 111, ch 16, §36 (1).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-117 - Levy of assessment by mutual insurer to cure deficiency.

58-5-117. Levy of assessment by mutual insurer to cure deficiency.
A mutual insurer, upon receiving the director's notice of deficiency as set forth in §58-5-114, shall levy such an assessment upon members as is provided for in §§58-5-32 to 58-5-36, inclusive.
Source:
SL 1966, ch 111, ch 16, §36 (2).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-118 - Officers and directors permitting new business during impairment of capital or surplus--Liability for losses.

58-5-118. Officers and directors permitting new business during impairment of capital or surplus--Liability for losses.
The officers and each director of an insurer who, after knowing that the insurer's capital is impaired, if a stock insurer, or surplus, if a mutual insurer, as provided in §58-5-114, permits or assents in the writing of new business by the insurer in this state after the expiration of the period allowed by the director under §58-5-114 within which to cure the deficiency, shall, together with their respective estates, be severally and jointly liable for the amount of losses which may be incurred by the insured under any such new insurance.
Source:
SL 1966, ch 111, ch 16, §37.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-119 - Failure to cure deficiency, insurer deemed insolvent--Delinquency proceedings.

58-5-119. Failure to cure deficiency, insurer deemed insolvent--Delinquency proceedings.
If the deficiency is not cured as required by §58-5-114, the insurer shall be deemed insolvent and the director shall institute delinquency proceedings as provided in this title.
Source:
SL 1966, ch 111, ch 16, §35 (3).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-120 - Bulk reinsurance by domestic stock insurer--Agreement, filing with and approval by director.

58-5-120. Bulk reinsurance by domestic stock insurer--Agreement, filing with and approval by director.
A domestic stock insurer may reinsure all or substantially all of its insurance in force, or of a major class thereof, with another insurer by an agreement of bulk reinsurance; provided however no such agreement shall become effective unless filed with the director of the Division of Insurance and approved by him in writing after a hearing thereon.
Source:
SL 1966, ch 111, ch 16, §40 (1).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-121 - Approval by director of bulk reinsurance agreement--Disapproval.

58-5-121. Approval by director of bulk reinsurance agreement--Disapproval.
The director shall approve such agreement within a reasonable time after such filing unless he finds that it is inequitable to the stockholders or would substantially reduce the protection or service to the policyholders of such domestic insurer. If the director does not approve, he shall so notify the insurer in writing specifying his reasons therefor.
Source:
SL 1966, ch 111, ch 16, §40 (2).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-122 - Compensation for promoting bulk reinsurance prohibited.

58-5-122. Compensation for promoting bulk reinsurance prohibited.
No director, officer, insurance producer, or employee of any insurer party to such reinsurance, nor any other person, may receive any fee, commission, or other valuable consideration whatsoever for in any manner aiding, promoting, or assisting therein except as set forth in the reinsurance agreement.
Source:
SL 1966, ch 111, ch 16, §40 (3); SL 2001, ch 286, §71.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-123 - Bulk reinsurance by mutual insurer--Agreement, filing with and approval by director.

58-5-123. Bulk reinsurance by mutual insurer--Agreement, filing with and approval by director.
A domestic mutual insurer may reinsure all or substantially all of its insurance in force, or a major class thereof, with another insurer, by an agreement of bulk reinsurance, provided however no such agreement shall become effective unless filed with the director of the Division of Insurance and approved by him in writing after a hearing thereon.
Source:
SL 1966, ch 111, ch 16, §41 (1).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-124 - Members of domestic mutual insurer voting on bulk insurance, requirement by director--Calling of meeting, notice--Limited rights of members of life insurer to vote.

58-5-124. Members of domestic mutual insurer voting on bulk insurance, requirement by director--Calling of meeting, notice--Limited rights of members of life insurer to vote.
The director may require that plan and agreement for reinsurance be approved by a vote of not less than two-thirds of each domestic mutual insurer's members voting thereon at meetings of members called for the purpose, pursuant to such reasonable notice and procedure as the director may determine. If a life insurer, right to vote may be limited to members whose policies are other than term or group policies, and have been in effect for more than one year.
Source:
SL 1966, ch 111, ch 16, §41 (3).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-125 - Bulk reinsurance by domestic mutual insurer in stock insurer--Payments to members.

58-5-125. Bulk reinsurance by domestic mutual insurer in stock insurer--Payments to members.
If for reinsurance in a stock insurer of all or substantially all of the insurance in force of a mutual insurer, the agreement must provide for payment in cash to each member of the insurer entitled thereto of his equity, if any, in the business reinsured as determined under a fair formula approved by the director, as based upon the reserves, assets (whether or not "admitted" assets) and surplus, if any, of the mutual insurer to be taken over by the stock insurer.
Source:
SL 1966, ch 111, ch 16, §41 (4).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-126 - Approval by director of bulk reinsurance by mutual insurer--Disapproval--Notice.

58-5-126. Approval by director of bulk reinsurance by mutual insurer--Disapproval--Notice.
The director of the Division of Insurance shall approve any agreement pursuant to §58-5-123 within a reasonable time after filing if he finds it to be fair and equitable to each domestic insurer involved, and that such reinsurance would not substantially reduce the protection or service to its policyholders. If the director does not approve, he shall notify each insurer involved in writing specifying his reasons therefor.
Source:
SL 1966, ch 111, ch 16, §41 (2).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-127 - Compensation for promoting bulk reinsurance by mutual insurer.

58-5-127. Compensation for promoting bulk reinsurance by mutual insurer.
No director, officer, insurance producer, or employee of any insurer party to such reinsurance, nor any other person, may receive any fee, commission, or other valuable consideration whatsoever for in any manner aiding, promoting, or assisting therein except as set forth in the reinsurance agreement.
Source:
SL 1966, ch 111, ch 16, §41 (5); SL 2001, ch 286, §72.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-128 - Merger or consolidation of stock insurers.

58-5-128. Merger or consolidation of stock insurers.
A domestic stock insurer may merge or consolidate with other domestic or foreign insurers authorized to transact insurance in this state, by complying with the applicable statutes of this state that govern the merger or consolidation of corporations formed for profit but subject to the provisions of §§58-5-129 to 58-5-133, inclusive.
Source:
SL 1966, ch 111, ch 16, §38 (1); SL 1982, ch 352, §1; SL 1983, ch 371, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-129 - Stock acquisition plan deemed merger--Approval required.

58-5-129. Stock acquisition plan deemed merger--Approval required.
Any plan by which a stock insurer proposes to acquire a substantial or controlling stock interest in another stock insurer through an exchange of stock is deemed to be a plan of merger which requires the approval of the director of the Division of Insurance in accordance with provisions of §§58-5-131 to 58-5-133, inclusive.
Source:
SL 1966, ch 111, ch 16, §38 (6).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-130 - Compensation for promoting merger or consolidation of stock insurers.

58-5-130. Compensation for promoting merger or consolidation of stock insurers.
No director, officer, insurance producer, or employee of any insurer party to such merger or consolidation may receive any fee, commission, compensation, or other valuable consideration whatsoever for aiding, promoting, or assisting therein except as set forth in such plan and agreement.
Source:
SL 1966, ch 111, ch 16, §38 (3); SL 2001, ch 286, §73.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-131 - Filing and hearing on consolidation or merger plan--Grounds for disapproval.

58-5-131. Filing and hearing on consolidation or merger plan--Grounds for disapproval.
No such merger or consolidation shall go into effect until the plan and agreement therefor is filed with the director and approved by him after a hearing thereon. Such plan and agreement shall be approved by the director within a reasonable time unless he finds such plan or agreement:
(1)Is contrary to law; or
(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 policyholders of the domestic insurer.
Source:
SL 1966, ch 111, ch 16, §38 (2).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-132 - Participation by other states in hearing on merger or consolidation.

58-5-132. Participation by other states in hearing on merger or consolidation.
If any domestic insurer involved in the proposed merger or consolidation is authorized to transact insurance in other states, the director may request the insurance supervisory officials of such other states to participate in the hearing provided for under §58-5-131.
Source:
SL 1966, ch 111, ch 16, §38 (5).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-133 - Disapproval of merger or consolidation--Notice to insurer.

58-5-133. Disapproval of merger or consolidation--Notice to insurer.
If the director does not approve any such plan and agreement, he shall notify the insurer in writing, specifying his reasons therefor.
Source:
SL 1966, ch 111, ch 16, §38 (4).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-134 - Merger or consolidation of mutual insurers--Procedure.

58-5-134. Merger or consolidation of mutual insurers--Procedure.
A domestic mutual insurer may merge or consolidate with another insurer under the applicable procedures prescribed by the statutes of this state applying to corporations formed for profit, subject to the provisions of §§58-5-135 and 58-5-136.
Source:
SL 1966, ch 111, ch 16, §39 (2); SL 1982, ch 352, §2; SL 1983, ch 371, §2.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-135 - Members of mutual insurer voting on merger or consolidation--Procedure--Limited right of members of life insurer.

58-5-135. Members of mutual insurer voting on merger or consolidation--Procedure--Limited right of members of life insurer.
The plan and agreement for merger or consolidation shall be submitted to and approved by at least two-thirds of the members of each mutual insurer involved voting thereon at meetings called for the purpose pursuant to such reasonable notice and procedure as has been approved by the director of the Division of Insurance. If a life insurer, right to vote may be limited to members whose policies are other than term and group policies, and have been in effect for more than one year.
Source:
SL 1966, ch 111, ch 16, §39 (3).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-136 - Provisions applicable to mutual mergers and consolidations.

58-5-136. Provisions applicable to mutual mergers and consolidations.
Sections 58-5-130 to 58-5-133, inclusive, shall also apply to mergers and consolidations of mutuals.
Source:
SL 1966, ch 111, ch 16, §39 (4).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-138 - Conversion of mutual to stock insurer restricted.

58-5-138. Conversion of mutual to stock insurer restricted.
No domestic mutual insurer in this state may reorganize or convert into a corporation with capital stock unless the reorganization or conversion plan provides each member of the mutual insurer with cash or other valuable consideration for the fair value of the member's equity in the company as determined under a formula approved by the director of the Division of Insurance and the secretary of labor and regulation.
Source:
SL 1966, ch 111, ch 16, §4; SL 1984, ch 325, §1; SL 2018, ch 278, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-138.1 - Compensation of officer, insurance producer, or employee of converting mutual insurer prohibited.

58-5-138.1. Compensation of officer, insurance producer, or employee of converting mutual insurer prohibited.
No director, officer, insurance producer, or employee of any mutual insurer party to a reorganization or conversion to a corporation with capital stock may receive any fee, commission, compensation, or other valuable consideration for that participation except as set forth in the reorganization or conversion plan.
Source:
SL 1984, ch 325, §2; SL 2001, ch 286, §74.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-139 - Liquidation of domestic mutual insurer--Distribution of remaining assets to members.

58-5-139. Liquidation of domestic mutual insurer--Distribution of remaining assets to members.
Upon any liquidation of a domestic mutual insurer, its assets remaining after liquidation of its indebtedness, policy obligations, repayment of contributed or borrowed surplus, if any, and expenses of administration, shall be distributed to existing persons who were its members at any time within thirty-six months next preceding the date such liquidation was authorized or ordered, or date of last termination of the insurer's certificate of authority, whichever date is the earlier.
Source:
SL 1966, ch 111, ch 16, §42 (1).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-140 - Distributive share of each member on liquidation of mutual insurer--Classification of policies.

58-5-140. Distributive share of each member on liquidation of mutual insurer--Classification of policies.
The distributive share of each such member shall be in the proportion that the aggregate premiums earned by the insurer on the policies of the member during the combined periods of his membership bear to the aggregate of all premiums so earned on the policies of all such members. The insurer may, and if a life insurer shall, make a reasonable classification of its policies so held by such member and a formula based upon such classification, for determining the equitable distributive share of each such member. Such classification and formula shall be subject to the approval of the director of the Division of Insurance.
Source:
SL 1966, ch 111, ch 16, §42 (2).
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-143 - Disclosure of certain material transactions required--Filing a report.

58-5-143. Disclosure of certain material transactions required--Filing a report.
Every insurer domiciled in this state shall file a report with the director disclosing material acquisitions and dispositions of assets or material nonrenewals, cancellations, or revisions of ceded reinsurance programs unless the acquisitions and dispositions of assets or material nonrenewals, cancellations, or revisions of ceded reinsurance programs have been submitted to the director for review, approval, or information purposes pursuant to other provisions of the insurance code, laws, regulations, or other requirements. The report is due within fifteen days after the end of the calendar month in which any of the foregoing transactions occur. One complete copy of the report, including any exhibits or other attachments filed as part thereof, shall be filed with:
(1)The insurance regulatory agency of the insurer's state of domicile; and
(2)The National Association of Insurance Commissioners.
Source:
SL 1995, ch 275, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-144 - Confidentiality of disclosure report.

58-5-144. Confidentiality of disclosure report.
Any report obtained by or disclosed to the director pursuant to §§58-5-143 to 58-5-153, inclusive, shall be given confidential treatment and may not be subject to subpoena and may not be made public by the director, the National Association of Insurance Commissioners, or any other person, except to insurance departments of other states, without the prior written consent of the insurer to which it pertains unless the director, after giving the insurer who would be affected thereby, notice and an opportunity to be heard, determines that the interest of policyholders, shareholders, or the public will be served by the publication of the report, in which event the director may publish all or any part of the report in such manner as the director considers appropriate.
Source:
SL 1995, ch 275, §1A.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-145 - Exception from disclosure requirement--"Material acquisition" defined.

58-5-145. Exception from disclosure requirement--"Material acquisition" defined.
No acquisitions or dispositions of assets need be reported pursuant to §58-5-143 if the acquisitions or dispositions are not material. For purposes of this chapter, a material acquisition, or the aggregate of any series of acquisitions during any thirty-day period, or disposition, or the aggregate of any series of dispositions during any thirty-day period, is any acquisition or disposition that is nonrecurring and not in the ordinary course of business and involves more than five percent of the reporting insurer's total admitted assets as reported in its most recent statutory statement filed with the insurance regulatory agency of the insurer's state of domicile.
Source:
SL 1995, ch 275, §2; SL 2000, ch 236, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-146 - Types of asset acquisitions subject to chapter.

58-5-146. Types of asset acquisitions subject to chapter.
Asset acquisitions subject to this chapter include every purchase, lease, exchange, merger, consolidation, succession, or other acquisition other than the construction or development of real property by or for the reporting insurer or the acquisition of materials related thereto.
Source:
SL 1995, ch 275, §3.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-147 - Types of asset dispositions subject to chapter.

58-5-147. Types of asset dispositions subject to chapter.
Asset dispositions subject to this chapter include every sale, lease, exchange, merger, consolidation, mortgage, hypothecation, assignment, whether for the benefit of creditors or otherwise, abandonment, destruction, or other disposition.
Source:
SL 1995, ch 275, §4.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-148 - Information required in report of material acquisition or disposition of assets.

58-5-148. Information required in report of material acquisition or disposition of assets.
The following information shall be disclosed in any report of a material acquisition or disposition of assets:
(1)Date of the transaction;
(2)Manner of acquisition or disposition;
(3)Description of the assets involved;
(4)Nature and amount of the consideration given or received;
(5)Purpose of, or reason for, the transaction;
(6)Manner by which the amount of consideration was determined;
(7)Gain or loss recognized or realized as a result of the transaction; and
(8)Name of any person from whom the assets were acquired or to whom the assets were disposed.
Source:
SL 1995, ch 275, §5.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-149 - Determining whether to report acquisitions on a nonconsolidated or consolidated basis.

58-5-149. Determining whether to report acquisitions on a nonconsolidated or consolidated basis.
Insurers shall report acquisitions and dispositions on a nonconsolidated basis unless the insurer is part of a consolidated group of insurers which utilizes an intercompany pooling agreement or arrangement or a one hundred percent reinsurance agreement whereunder the ceding company has ceded substantially one hundred percent of its direct and assumed business to a pool. An insurer is deemed to have ceded "substantially one hundred percent" of its direct and assumed business to a pool if the insurer has less than one million dollars of total direct plus assumed written premiums during a calendar year that are not subject to the pooling agreement or arrangement and the net income of the business not subject to the pooling agreement or arrangement represents less than five percent of the insurer's capital and surplus. If a group of insurers reports on a consolidated basis, the report shall identify the individual insurers that are members of the group.
Source:
SL 1995, ch 275, §6.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-150 - Materiality of nonrenewals, cancellations or revisions.

58-5-150. Materiality of nonrenewals, cancellations or revisions.
No nonrenewals, cancellations, or revisions of ceded reinsurance programs need to be reported pursuant to §58-5-143 if the nonrenewals, cancellations, or revisions are not material. For purposes of the chapter, a material nonrenewal, cancellation, or revision is one that affects the property and casualty business, including accident and health business, by more than fifty percent of an insurer's ceded written premium, or for life, annuity, and accident and health business, more than fifty percent of the total reserve credit taken for business ceded, on an annualized basis as indicated in the insurer's most recently filed statutory statement. However, no filing is required if the insurer's ceded written premium or the total reserve credit taken for business ceded represents, on an annualized basis, less than ten percent of direct plus assumed written premium or ten percent of the statutory reserve requirement prior to any cession, respectively.
Source:
SL 1995, ch 275, §7.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-151 - Reporting material nonrenewal, cancellation or revision.

58-5-151. Reporting material nonrenewal, cancellation or revision.
Subject to the criteria provided in §58-5-150, a report shall be filed without regard to which party has initiated the nonrenewal, cancellation or revision of ceded reinsurance whenever one or more of the following conditions exist:
(1)The entire cession has been cancelled, nonrenewed, or revised and ceded indemnity and loss adjustment expense reserves after any nonrenewal, cancellation, or revision represent less than fifty percent of the comparable reserves that would have been ceded had the nonrenewal, cancellation, or revision not occurred;
(2)An authorized or accredited reinsurer has been replaced on an existing cession by an unauthorized reinsurer; or
(3)Collateral requirements previously established for unauthorized reinsurers have been reduced.
Subject to the materiality criteria, for purposes of subdivisions (2) and (3), a report shall be filed if the result of the revision affects more than ten percent of the cession.
Source:
SL 1995, ch 275, §8.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-152 - Required information in reporting material nonrenewal, cancellation, or revision.

58-5-152. Required information in reporting material nonrenewal, cancellation, or revision.
The following information shall be disclosed in any report of a material nonrenewal, cancellation, or revision of ceded reinsurance agreements:
(1)Effective date of the nonrenewal, cancellation, or revision;
(2)The description of the transaction with an identification of the initiator thereof;
(3)Purpose of, or reason for, the transaction; and
(4)If applicable, the identity of the replacement reinsurers.
Source:
SL 1995, ch 275, §9.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-153 - Determining whether to report material nonrenewals, cancellations, or revisions on a nonconsolidated or consolidated basis.

58-5-153. Determining whether to report material nonrenewals, cancellations, or revisions on a nonconsolidated or consolidated basis.
Insurers shall report all material nonrenewals, cancellations, or revisions of ceded reinsurance agreements on a nonconsolidated basis unless the insurer is part of a consolidated group of insurers which utilizes a pooling arrangement or one hundred percent reinsurance agreement that affects the solvency and integrity of the insurer's reserves and the insurer ceded substantially all of its direct and assumed business to the pool. An insurer is deemed to have ceded substantially all of its direct and assumed business to a pool if the insurer has less than one million dollars of total direct plus assumed written premiums during a calendar year that are not subject to a pooling arrangement and the net income of the business not subject to the pooling arrangement represents less than five percent of the insurer's capital and surplus.
Source:
SL 1995, ch 275, §10.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-154 - "Qualified education loan insurer" defined.

58-5-154. Qualified education loan insurer defined.
The term, qualified education loan insurer, means a domestic stock insurer formed under chapter 58-5 for the principal purposes of transacting surety insurance, in this state only, in the education loan market and principally or beneficially owning or through a wholly-owned subsidiary investing in education loans, including loans originated in accordance with the terms of the Higher Education Act of 1965, as amended.
Source:
SL 1998, ch 287, §1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-155 - Qualified education loan insurer subject to Title 58--Exceptions.

58-5-155. Qualified education loan insurer subject to Title 58--Exceptions.
Any qualified education loan insurer is subject to the provisions of Title 58 except as otherwise specifically provided in §§58-5-154 to 58-5-160, inclusive. Notwithstanding any other provision of Title 58, a qualified education loan insurer is not subject to the following provisions of Title 58 and any rules promulgated to implement any such provisions:
(1)Sections 58-4-48 and 58-5-85;
(2)Subdivision 58-5-7(5) to the extent that this subdivision permits only one class of authorized voting common stock or otherwise restricts the authorization of preferred stock, with or without voting rights; and
(3)Chapter 58-5A.
Source:
SL 1998, ch 287, §2; SL 2021, ch 210, § 2.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-157 - Investment of funds in securities.

58-5-157. Investment of funds in securities.
In addition to any investment permitted pursuant to §58-5-156, a qualified education loan insurer may also invest any amount in common stock, preferred stock, debt obligations, and other securities, including without limitation, membership in a limited liability company, of any subsidiary engaged or organized to engage in any of the following:
(1)The principal or beneficial ownership and management of assets authorized as investments for the qualified education loan insurer under §58-5-156; or
(2)The origination, administration, and servicing of education loans, the provision of services to any school, lender, student, and borrower and otherwise providing services for any educational purposes.
Source:
SL 1998, ch 287, §4.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-158 - Subsidiary investment to be counted as admitted asset.

58-5-158. Subsidiary investment to be counted as admitted asset.
Notwithstanding §58-4-43 or any other provision of Title 58, a qualified education loan insurer's subsidiary investment permitted under §58-5-157 shall be counted fully as an admitted asset on the qualified education loan insurer's balance sheet and may not be disregarded as an admitted asset by the director of the Division of Insurance in enforcing the provisions of §§58-4-39 to 58-4-43, inclusive, and chapter 58-29B, and any rule promulgated to implement such provisions.
Source:
SL 1998, ch 287, §5.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-159 - Applicability of federal Bankruptcy Code.

58-5-159. Applicability of federal Bankruptcy Code.
Notwithstanding the other provisions of chapter 58-29B, for the purposes of determining:
(1)If a qualified education loan insurer has, in any transaction involving the transfer of any education loans or other assets, sold such education loans or other assets or pledged such education loans or other assets to secure indebtedness of the qualified education loan insurer; and
(2)If a wholly owned subsidiary of a qualified education loan insurer shall be treated as a separate entity, distinct from the qualified education loan insurer, or the subsidiary's assets and liabilities shall be consolidated with the assets and liabilities of the qualified education loan insurer;
chapter 58-29B shall be construed as referring to available and analogous case law under the federal Bankruptcy Code for making determinations in any receivership, rehabilitation, or liquidation of the qualified education loan insurer.
Source:
SL 1998, ch 287, §6.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-160 - Additional exemptions or exemption authority.

58-5-160. Additional exemptions or exemption authority.
The director of the Division of Insurance may promulgate rules, pursuant to chapter 1-26, to provide any qualified education loan insurer with additional exemptions from the provisions of Title 58 or to provide additional investment authority.
Source:
SL 1998, ch 287, §7.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-161 - Definitions for §§ 58-5-161 through 58-5-171.

58-5-161  .  Definitions for §§  58-5-161   through   58-5-171  .
Terms used in §§58-5-161 through 58-5-171 mean:
(1) "Corporate Governance Annual Disclosure," a confidential report filed by an insurer or insurance group in accordance with §  58-5-163  ;
(2) "Insurance group," those insurers and affiliates included within an insurance holding company system as defined in chapter   58-5A  .
Source:  SL 2020, ch 212, § 1.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-162 - Corporate governance disclosure--Requirements and limitations.

58-5-162  .  Corporate governance disclosure--Requirements and limitations.
Nothing in §§  58-5-161   to   58-5-171  , inclusive, may be construed to prescribe or impose corporate governance standards and internal procedures beyond that which is required under applicable state corporate law.
Nothing in §§  58-5-161   to   58-5-171  , inclusive, may be construed to limit the director’s authority, or the rights or obligations of third parties, under chapter   58-3  . The requirements in §§  58-5-161   to   58-5-171  , inclusive, apply to all insurers domiciled in this state.
Source:  SL 2020, ch 212, § 2.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-163 - Submission of disclosure--Requirement.

58-5-163  .  Submission of disclosure--Requirement.
An insurer, or the insurance group of which the insurer is a member, shall submit a corporate governance annual disclosure containing the information described in §§  58-5-161   to 58-5-171, inclusive, to the director no later than June first of each calendar year. If the insurer is a member of an insurance group, the insurer shall submit the report   required by this section to the director, commissioner, superintendent, or other official who is the lead state for the insurance group in accordance with the laws of the lead state. The disclosure must be signed by the insurer or insurance group's chief executive officer or corporate secretary attesting to the best of that individual's belief and knowledge that the insurer has implemented the corporate governance practices and that a copy of the disclosure has been provided to the insurer's board of directors or the appropriate committee thereof.
Notwithstanding the foregoing, the director may request any insurer to submit the disclosure.
Source:  SL 2020, ch 212, § 3.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-164 - Information provided with disclosure--Appropriate corporate level.

58-5-164  .  Information provided with disclosure--Appropriate corporate level.
For purposes of completing the corporate governance annual disclosure, the insurer or insurance group may provide information regarding corporate governance at the ultimate controlling parent level, an intermediate holding company level, the individual legal entity level, or any combination of the levels depending upon how the insurer or insurance group has structured its system of corporate governance.
An insurer or insurance group shall make the disclosures at the level where the insurer's or insurance group's:
(1) Risk appetite is determined;
(2) Earnings, capital, liquidity, operations, and reputation of the insurer are collectively overseen and the supervision of those factors is coordinated and exercised; or
(3) Legal liability for failure of general corporate governance duties is placed.
When an insurer or insurance group determines the level of reporting based on the criteria under this section, the insurer or insurance group shall indicate which of the criteria under this section was used to determine the level of reporting and explain any subsequent change in the level of reporting. Any additional request for information by the director shall be made through the lead state.
Source:  SL 2020, ch 212, § 4.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-165 - Duplicate information not required--Documentation.

58-5-165  .  Duplicate information not required--Documentation.
An insurer who provides information substantially similar to the information required in §§  58-5-161   to 58-5-171, inclusive, in other documents provided to the   director is not required to duplicate information in the corporate governance annual disclosure if the insurer reports where the information is included.
Source:  SL 2020, ch 212, § 5.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-166 - Content and maintenance--Promulgation of Rules.

58-5-166  .  Content and maintenance--Promulgation of Rules.
The insurer or insurance group has discretion over the responses to the corporate governance annual disclosure inquiries if the disclosure contains the material information necessary to permit the director to gain an understanding of the insurer's or group's corporate governance structure, policies, and practices. The director may request additional information the director determines is material and necessary to provide a clear understanding of the corporate governance policies and the reporting or information system or controls implementing those policies. Documentation and supporting information must be maintained and made available upon examination by the division or upon a request of the director.
The corporate governance annual disclosure must be prepared consistent with applicable administrative rules which may be promulgated by the division pursuant to chapter   1-26   regarding the contents and filing of the disclosure.
Source:  SL 2020, ch 212, § 6.
2023 South Dakota Codified Laws › Title 58 - Insurance › Chapter 05 - Organization And General Powers Of Insurers › Section 58-5-167 - Disclosure documents and other information--Confidential and privileged--Exempt from public record--Permitted uses.

58-5-167  .  Disclosure documents and other information--Confidential and privileged--Exempt from public record--Permitted uses.
Any document, materials, or other information, including the corporate governance annual disclosure, in the possession or control of the division that is obtained by, created by, or disclosed to the director or any other person under the provisions of §§  58-5-161   to 58-5-171, inclusive, is recognized by this state as being proprietary and to contain trade secrets. The document, materials, or other information is confidential and privileged, is not a record open to public inspection under chapter   1-27  , is not subject to subpoena, and is not discoverable or admissible in evidence in any private civil action.
The director may use corporate governance annual disclosure documents, materials, or other information in the furtherance of any regulatory or legal action brought as a part of the director's official duties. The director may not otherwise make the document, materials, or other information public without the prior written consent of the insurer.
Nothing in this section may be construed to require written consent of the insurer before the director may share or receive any confidential document, materials, or other   related information pursuant to §58-5-169 to assist in the performance of the director's regular duties.
Source:  SL 2020, ch 212, § 7.