HF 3528

as introduced - 81st Legislature (1999 - 2000) Posted on 12/15/2009 12:00am

  1.1                          A bill for an act 
  1.2             relating to workers' compensation insurance; requiring 
  1.3             distribution of surpluses from the assigned risk plan 
  1.4             and the workers' compensation reinsurance association; 
  1.5             amending Minnesota Statutes 1998, sections 79.251, by 
  1.6             adding a subdivision; and 79.361, subdivision 1. 
  1.7   BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
  1.8      Section 1.  Minnesota Statutes 1998, section 79.251, is 
  1.9   amended by adding a subdivision to read: 
  1.10     Subd. 9.  [SURPLUS.] If the board determines that assets of 
  1.11  the assigned risk plan are sufficient to meet the obligations of 
  1.12  the plan, the commissioner shall develop a plan, in consultation 
  1.13  with the board, to distribute the surplus funds to holders of 
  1.14  policies and contracts of coverage issued under this section.  
  1.15  The surplus funds must be distributed within six months of the 
  1.16  board's determination that a surplus exists. 
  1.17     Sec. 2.  Minnesota Statutes 1998, section 79.361, 
  1.18  subdivision 1, is amended to read: 
  1.19     Subdivision 1.  [SCOPE.] This section governs the 
  1.20  distribution of excess surplus of the workers' compensation 
  1.21  reinsurance association declared after January 1, 1993.  A 
  1.22  distribution of excess surplus is declared on the date the board 
  1.23  votes to make a distribution.  If the board determines that 
  1.24  there is an excess surplus of the workers' compensation 
  1.25  reinsurance association, the surplus must be distributed 
  1.26  according to this section.  No distribution of excess surplus 
  2.1   other than that provided by this section may be made. 
  2.2      Sec. 3.  [EFFECTIVE DATE.] 
  2.3      Sections 1 and 2 are effective the day following final 
  2.4   enactment and apply to surpluses existing on and after that date.