HF 2389

1st Engrossment - 94th Legislature (2025 - 2026)

Posted on 03/24/2025 03:44 p.m.

A bill for an act
relating to insurance; authorizing certain data calls; providing for and regulating
limited long-term care insurance; modifying various provisions governing
automobile insurance; classifying certain data; providing penalties; making technical
changes; amending Minnesota Statutes 2024, sections 45.027, subdivisions 1, 2,
by adding a subdivision; 65B.02, subdivision 7; 65B.05; 65B.06, subdivisions 1,
2, 3; 65B.10, subdivision 2; proposing coding for new law in Minnesota Statutes,
chapter 62A; repealing Minnesota Statutes 2024, section 65B.10, subdivision 3.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2024, section 45.027, subdivision 1, is amended to read:

Subdivision 1.

General powers.

new text begin (a) new text end In connection with the duties and responsibilities
entrusted to the commissioner, and Laws 1993, chapter 361, section 2, the commissioner
of commerce may:

(1) make public or private investigations within or without this state as the commissioner
considers necessary to determine whether any person has violated or is about to violate any
law, rule, or order related to the duties and responsibilities entrusted to the commissioner;

(2) require or permit any person to file a statement in writing, under oath or otherwise
as the commissioner determines, as to all the facts and circumstances concerning the matter
being investigated;

(3) hold hearings, upon reasonable notice, in respect to any matter arising out of the
duties and responsibilities entrusted to the commissioner;

(4) conduct investigations and hold hearings for the purpose of compiling information
related to the duties and responsibilities entrusted to the commissioner;

(5) examine the books, accounts, records, and files of every licensee, and of every person
who is engaged in any activity regulated; the commissioner or a designated representative
shall have free access during normal business hours to the offices and places of business of
the person, and to all books, accounts, papers, records, files, safes, and vaults maintained
in the place of business;

(6) publish information which is contained in any order issued by the commissioner;

(7) require any person subject to duties and responsibilities entrusted to the commissioner,
to report all sales or transactions that are regulated. The reports must be made within ten
days after the commissioner has ordered the report. The report is accessible only to the
respondent and other governmental agencies unless otherwise ordered by a court of competent
jurisdiction; deleted text begin and
deleted text end

(8) assess a natural person or entity subject to the jurisdiction of the commissioner the
necessary expenses of the investigation performed by the department when an investigation
is made by order of the commissioner. The cost of the investigation shall be determined by
the commissioner and is based on the salary cost of investigators or assistants and at an
average rate per day or fraction thereof so as to provide for the total cost of the investigation.
All money collected must be deposited into the general fund. A natural person or entity
licensed under chapter 60K, 82, or 82B shall not be charged costs of an investigation if the
investigation results in no finding of a violation. This clause does not apply to a natural
person or entity already subject to the assessment provisions of sections 60A.03 and
60A.031 deleted text begin . deleted text end new text begin ; and
new text end

new text begin (9) issue data calls.
new text end

new text begin (b) For purposes of this section, "data call" means a written request from the
commissioner to two or more natural persons or entities subject to the commissioner's
jurisdiction to provide data or other information within a reasonable time period
commensurate with the volume and nature of the data required to be collected in the data
call for a specific, targeted regulatory oversight purpose. A data call is not market analysis,
as defined under section 60A.031, subdivision 4, paragraph (f), and is not subject to section
60A.033.
new text end

Sec. 2.

Minnesota Statutes 2024, section 45.027, is amended by adding a subdivision to
read:

new text begin Subd. 1b. new text end

new text begin Data calls. new text end

new text begin (a) Information provided in response to a data call issued by the
commissioner: (1) must be treated as nonpublic data, as defined under section 13.02,
subdivision 9; and (2) is not subject to subpoena. If the commissioner performs a data call,
the commissioner may make the results available for public inspection in an aggregated
format and in such a manner as to not disclose the identity of a specific natural person or
entity, including the name of any natural person or entity who responded to the data call.
Prior to making the aggregated results of a data call available for public inspection, the
commissioner must provide all natural persons and entities that responded to the data call
15 days' notice of the information to be publicly released. Nothing in this subdivision requires
the commissioner to publicly release aggregated results from a data call. The results of a
data call that requests data for the National Association of Insurance Commissioners' Market
Conduct Annual Statement is subject to confidential treatment as provided under section
60A.031, subdivision 4, paragraph (f).
new text end

new text begin (b) The commissioner may grant access to data submitted by insurers in response to a
data call issued by the commissioner with other state, federal, and international regulatory
agencies; with the National Association of Insurance Commissioners and its affiliates and
subsidiaries; and with state, federal, and international law enforcement authorities, provided
that the recipient agrees in writing to maintain the data as nonpublic data and has the legal
authority to maintain the data as nonpublic data.
new text end

Sec. 3.

Minnesota Statutes 2024, section 45.027, subdivision 2, is amended to read:

Subd. 2.

Power to compel production of evidence.

For the purpose of any investigation,
hearing, proceeding, or inquiry related to the duties and responsibilities entrusted to the
commissioner, the commissioner or a designated representative may new text begin issue data calls, new text end
administer oaths and affirmations, subpoena witnesses, compel their attendance, take
evidence, and require the production of books, papers, correspondence, memoranda,
agreements, or other documents or records that the commissioner considers relevant or
material to the inquiry.

A subpoena issued pursuant to this subdivision must state that the person to whom the
subpoena is directed may not disclose the fact that the subpoena was issued or the fact that
the requested records have been given to law enforcement personnel except:

(1) insofar as the disclosure is necessary to find and disclose the records; or

(2) pursuant to court order.

Sec. 4.

new text begin [62A.481] LIMITED LONG-TERM CARE INSURANCE.
new text end

new text begin Subdivision 1. new text end

new text begin Short title. new text end

new text begin This section may be known and cited as the "Limited
Long-Term Care Insurance Act."
new text end

new text begin Subd. 2. new text end

new text begin Definitions. new text end

new text begin (a) For purposes of this section, the following terms have the
meanings given.
new text end

new text begin (b) "Applicant" means:
new text end

new text begin (1) in the case of an individual limited long-term care insurance policy, the individual
who seeks to contract for benefits; or
new text end

new text begin (2) in the case of a group limited long-term care insurance policy, the proposed group
policy holder.
new text end

new text begin (c) "Elimination period" means the length of time between meeting the eligibility for
benefit payment and receiving benefit payments from an insurer.
new text end

new text begin (d) "Group limited long-term care insurance policy" means a limited long-term care
insurance policy that is delivered or issued for delivery in this state and issued to:
new text end

new text begin (1) one or more employers or labor organizations, a trust or the trustees of a fund
established by one or more employers, labor organizations, or a combination of employers
and labor organizations for: (i) employees, former employees, or a combination of employees
or former employees; or (ii) members, former members, or a combination of members or
former members of the labor organizations;
new text end

new text begin (2) a professional, trade, or occupational association for the association's members,
former members, retired members, or a combination of members, former members, or retired
members, if the association:
new text end

new text begin (i) is composed of individuals, all of whom are or were actively engaged in the same
profession, trade, or occupation; and
new text end

new text begin (ii) has been maintained in good faith for purposes other than obtaining insurance;
new text end

new text begin (3) an association, a trust, or the trustees of a fund established, created, or maintained
for the benefit of members of one or more associations. Prior to advertising, marketing, or
offering the policy within Minnesota, an association, or the insurer of an association, must
file evidence with the commissioner that the association has at the outset: (i) a minimum
of 100 individuals; (ii) been organized and maintained in good faith for purposes other than
obtaining insurance; (iii) been in active existence for at least one year; and (iv) a constitution
and bylaws that provide:
new text end

new text begin (A) the association holds regular meetings not less than annually to further purposes of
the members;
new text end

new text begin (B) except for credit unions, the association collects dues or solicits contributions from
members; and
new text end

new text begin (C) the members have voting privileges and representation on the governing board and
committees.
new text end

new text begin Thirty days after the filing, an association is deemed to satisfy the organizational requirements
unless the commissioner makes a finding that an association does not satisfy the
organizational requirements; or
new text end

new text begin (4) a group other than a group described in clauses (1) to (3), subject to the commissioner
finding that:
new text end

new text begin (i) issuing the policy is not contrary to the public interest;
new text end

new text begin (ii) issuing the policy results in acquisition or administrative economies; and
new text end

new text begin (iii) the policy's benefits are reasonable in relation to the premiums charged.
new text end

new text begin (e) "Limited long-term care insurance policy" means a policy, contract, subscriber
agreement, certificate, rider, or endorsement:
new text end

new text begin (1) delivered or issued for delivery in this state by: an insurance company licensed under
chapter 60A; a nonprofit health service plan corporation operating under chapter 62C; a
health maintenance organization operating under chapter 62D; or a fraternal benefit society
operating under chapter 64B;
new text end

new text begin (2) advertised, marketed, offered, or designed to provide coverage for less than 12
consecutive months for each insured individual on an expense-incurred, indemnity, prepaid,
or other basis; and
new text end

new text begin (3) for one or more necessary or medically necessary diagnostic, preventive, therapeutic,
rehabilitative, maintenance, or personal care service provided in a setting other than a
hospital's acute care unit.
new text end

new text begin Limited long-term care insurance policy includes a group limited long-term care insurance
policy. Limited long-term care insurance includes a policy that provides for payment of
benefits based upon cognitive impairment or the loss of functional capacity. A limited
long-term care insurance policy does not include an insurance policy that is offered primarily
to provide basic Medicare supplement coverage, basic hospital expense coverage, basic
medical-surgical expense coverage, hospital confinement indemnity coverage, major medical
expense coverage, disability income or related asset-protection coverage, accident-only
coverage, specified disease or specified accident coverage, or limited benefit health coverage.
new text end

new text begin (f) "Waiting period" means the time an insured individual must wait before some or all
of the insured individual's coverage becomes effective.
new text end

new text begin Subd. 3. new text end

new text begin Group limited long-term care insurance; extra-territorial jurisdiction. new text end

new text begin Group
limited long-term care insurance coverage must not be offered to a Minnesota resident under
a group policy issued in another state to a group described in subdivision 2, paragraph (d),
clause (4), unless the commissioner makes a determination that the statutory limited long-term
care insurance requirements of this section have been met.
new text end

new text begin Subd. 4. new text end

new text begin Limited long-term care insurance; disclosure and performance
standards. new text end

new text begin (a) A limited long-term care insurance policy must not:
new text end

new text begin (1) cancel, not renew, or otherwise terminate on the basis of the insured individual's or
certificate holder's age, gender, or deterioration of mental or physical health;
new text end

new text begin (2) contain a provision that establishes a new waiting period in the event existing coverage
is converted to or replaced by a new or other form of coverage by the same issuer, except
with respect to an increase in benefits voluntarily selected by the insured individual or group
policyholder; or
new text end

new text begin (3) provide coverage for only skilled nursing care or provide significantly more coverage
for skilled nursing care in a facility than coverage provided for lower levels of care.
new text end

new text begin (b) A group limited long-term care insurance policy is prohibited from: (1) using a
definition for preexisting condition that is more restrictive than or excludes a condition for
which medical advice or treatment was recommended by or received from a health care
services provider within the six months preceding the date an insured individual's coverage
is effective; and (2) excluding coverage for a loss or confinement that is the result of a
preexisting condition unless the loss or confinement begins within six months of the date
an insured individual's coverage is effective. The commissioner may extend the limitation
periods established in clauses (1) and (2) with respect to specific age group categories in
specific policy forms upon a finding that the extension is in the public interest. The definition
of preexisting condition required under clause (1) does not prohibit the policy issuer from
using an application form designed to elicit the complete health history of an applicant and,
on the basis of the applicant's answers on the application, from underwriting in accordance
with established underwriting standards. Unless otherwise provided in the policy, an issuer
is not required to cover a preexisting condition, regardless of whether the preexisting
condition is disclosed on the application, until the waiting period under clause (2) expires.
A limited long-term care insurance policy is prohibited from excluding or using waivers or
riders of any kind to exclude, limit, or reduce coverage or benefits for specifically named
or described preexisting diseases or physical conditions beyond the waiting period established
in clause (2).
new text end

new text begin (c) A limited long-term care insurance policy must not be delivered or issued for delivery
in this state if the policy conditions eligibility: new text end new text begin (1) for any benefits, on a prior hospitalization
requirement; (2) for benefits provided in an institutional care setting, on the receipt of a
higher level of institutional care; or (3) for any benefits other than waiver of premium,
post-confinement, post-acute care, or recuperative benefits, on a prior institutionalization
requirement. A limited long-term care insurance policy is prohibited from conditioning
eligibility for noninstitutional benefits on the prior or continuing receipt of skilled care
services.
new text end

new text begin (d) An applicant has the right to:
new text end

new text begin (1) return the policy to the issuer within 30 days of its receipt; and
new text end

new text begin (2) have the premium refunded if, after examination, the applicant is not satisfied with
the policy for any reason.
new text end

new text begin (e) A limited long-term care insurance policy must have the below notice prominently
printed on its first page. This requirement does not apply to a group limited long-term care
insurance policy.
new text end

new text begin "You have 30 days from the date you receive this policy, certificate, or rider to review
and return it to the company if you decide not to keep it. You do not have to tell the company
why you are returning it. If you decide to not keep the policy, certificate, or rider, simply
return it to the company at the company's administrative office, or you may return it to the
agent that you bought it from. You must return the policy, certificate, or rider within 30
days of the date you first received it. The company must refund the full amount of any
premium paid within 30 days of the date the company receives the returned policy, certificate,
or rider. The premium refund is sent directly to the person who paid it. A returned policy,
certificate, or rider is void, as if it never was issued."
new text end

new text begin (f) A coverage outline must be delivered to a prospective applicant for a limited long-term
care insurance policy at the time an initial solicitation is made, using a means that prominently
directs the recipient's attention to the coverage outline and the coverage outline's purpose.
The commissioner must prescribe: (1) a standard format, including style, arrangement, and
overall appearance; and (2) the content that must be contained on a coverage outline. With
respect to an insurance producer solicitation, the insurance producer must deliver the coverage
outline before presenting an application or enrollment form. With respect to a direct response
solicitation, the coverage outline must be provided in conjunction with an application or
enrollment form. Delivery of a coverage outline is not required for a group limited long-term
care insurance policy if the information described in paragraph (g) is contained in other
materials relating to enrollment. A copy of the other materials must be made available to
the commissioner upon request.
new text end

new text begin (g) The coverage outline provided under paragraph (f) must include:
new text end

new text begin (1) a description of the principal benefits and coverage provided in the policy;
new text end

new text begin (2) a description of the eligibility triggers for benefits and how the eligibility triggers
are met;
new text end

new text begin (3) a statement identifying the principal exclusions, reductions, and limitations contained
in the policy;
new text end

new text begin (4) a statement describing the terms under which the policy may be continued in force
or discontinued, including any reservation in the policy of a right to change premium. A
continuation or conversion provision for a group limited long-term care insurance policy
specifically described;
new text end

new text begin (5) a statement indicating that coverage outline is a summary only and not an insurance
contract, and that the policy or group master policy contains the governing contractual
provisions;
new text end

new text begin (6) a description of the terms under which the policy may be returned and premium
refunded;
new text end

new text begin (7) a brief description of the relationship between cost of care and benefits; and
new text end

new text begin (8) a statement that discloses to the policyholder or group policyholder that the policy
is not long-term care insurance.
new text end

new text begin (h) A group limited long-term care policy must include:
new text end

new text begin (1) a description of the principal benefits and coverage provided in the policy;
new text end

new text begin (2) a statement identifying the principal exclusions, reductions, and limitations contained
in the policy; and
new text end

new text begin (3) a statement indicating that the group master policy determines governing contractual
provisions.
new text end

new text begin (i) If an application for a limited long-term care insurance policy is approved, the issuer
must deliver the policy to the applicant no later than 30 days after the date the application
is approved.
new text end

new text begin (j) If a claim under a limited long-term care insurance policy is denied, the issuer must,
within 60 days of the date the policyholder or their representative submits a written request:
new text end

new text begin (1) provide a written explanation detailing the reasons for the denial; and
new text end

new text begin (2) make available all information directly related to the denial.
new text end

new text begin (k) A disclosure, statement, or written information and explanation required in this
section, whether in print or electronic form, must accommodate the communication needs
of individuals with disabilities and persons with limited English proficiency, as required by
law.
new text end

new text begin Subd. 5. new text end

new text begin Incontestability period. new text end

new text begin (a) An issuer may (1) rescind a limited long-term care
insurance policy, or (2) deny an otherwise valid limited long-term care insurance claim, for
a policy that has been in force for less than six months upon a showing of misrepresentation
that is material to the coverage acceptance.
new text end

new text begin (b) An issuer may (1) rescind a limited long-term care insurance policy, or (2) deny an
otherwise valid limited long-term care insurance claim, for a policy that has been in force
for at least six months but less than two years upon a showing of misrepresentation that is
both material to the coverage acceptance and that pertains to the condition for which benefits
are sought.
new text end

new text begin (c) A limited long-term care policy that has been in force for two years is not contestable
upon the grounds of misrepresentation alone. A limited long-term care policy that has been
in force for two years may be contested only upon a showing that the insured individual
knowingly and intentionally misrepresented relevant facts relating to the insured individual's
health.
new text end

new text begin (d) A limited long-term care insurance policy may be field issued if compensation to
the field issuer is not based on the number of policies issued. For purposes of this paragraph,
"field issued" means a policy issued by an insurance producer or a third-party administrator
(1) pursuant to the underwriting authority granted to the producer or third-party administrator
by an issuer, and (2) using the issuer's underwriting guidelines.
new text end

new text begin (e) If an issuer paid benefits under the limited long-term care insurance policy, the benefit
payments are not recoverable by the issuer if the policy is rescinded.
new text end

new text begin Subd. 6. new text end

new text begin Nonforfeiture benefits. new text end

new text begin (a) A limited long-term care insurance policy may
offer the option to purchase a policy that includes a nonforfeiture benefit. A nonforfeiture
benefit may be offered in the form of a rider that is attached to the policy. If the insured
individual does not purchase the nonforfeiture benefit, the issuer must provide a contingent
benefit upon lapse that must be available for a specified period of time after a substantial
increase in premium rates.
new text end

new text begin (b) When a group limited long-term care insurance policy is issued, a nonforfeiture
benefit offer must be made to the group policyholder. If the group limited long-term care
insurance policy is issued to an entity other than a continuing care retirement community
or other similar entity, a nonforfeiture benefit offer must be made to each proposed insured
individual.
new text end

new text begin Subd. 7. new text end

new text begin Penalties. new text end

new text begin In addition to any other penalties provided by the laws of Minnesota,
a policy issuer or insurance producer that violates any requirement of this section is subject
to an administrative fine of up to three times the amount of commissions paid for each policy
involved in the violation or up to $10,000, whichever is greater.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2026.
new text end

Sec. 5.

Minnesota Statutes 2024, section 65B.02, subdivision 7, is amended to read:

Subd. 7.

Participation ratio.

"Participation ratio" means the ratio of the member's
Minnesota premiums, or other measure of business written approved by the commissioner,
in relation to the comparable statewide totals for all members.

(1) For private passenger nonfleet automobile insurance coverages the participation ratio
shall be based on voluntary car years written in this state for the calendar year ending
December 31 of the second prior year, as reported by the statistical agent of each member
as private passenger nonfleet exposures.

(2) For insurance coverages on all other automobiles, including insurance for fleets,
commercial vehicles, public vehicles and garages, the ratio shall be based on the total
Minnesota gross, direct automobile insurance premiums written, including both policy and
membership fees less return premiums and premiums on policies not taken, without including
reinsurance assumed and without deducting reinsurance ceded, and less the amount of such
premiums reported as received for insurance on private passenger nonfleet vehicles, for the
calendar year ending December 31 of the second prior year.

(3) For the purpose of determining each member's responsibility for expenses and
assessments new text begin to operate the facility new text end , the ratio shall be based on each member's total Minnesota
car years and gross, direct premiums written, including both policy and membership fees
less return premiums and premiums on policies not taken, without including reinsurance
assumed and without deducting reinsurance ceded, for the calendar year ending December
31 of the second prior year, provided, however, that the preliminary determination of each
member's responsibility for expenses and assessments may use the calendar year ending
December 31 of the third prior year.

Sec. 6.

Minnesota Statutes 2024, section 65B.05, is amended to read:

65B.05 POWER OF FACILITY, GOVERNING COMMITTEE.

new text begin (a) The facility is authorized to: (1) issue or cause to be issued insurance policies in the
name of the Minnesota automobile insurance plan to applicants for the types of insurance
available under the plan, subject to limits specified in the plan of operation; (2) underwrite
the insurance and adjust and pay losses with respect to the plan; and (3) retain, hire, or
appoint an individual or company to perform a function under clause (1) or (2).
new text end

new text begin (b) new text end The governing committee shall have the power to direct the operation of the facility
in all pursuits consistent with the purposes and terms of sections 65B.01 to 65B.12, including
but not limited to deleted text begin the following deleted text end :

(1) deleted text begin To deleted text end sue and be sued in the name of the facility and deleted text begin to deleted text end assess each member in accord
with its participation ratio to pay any judgment against the facility as an entity, provided,
however, that no judgment against the facility shall create any liabilities in one or more
members disproportionate to their participation ratio or an individual representing members
on the governing committee deleted text begin . deleted text end new text begin ;
new text end

(2) deleted text begin To deleted text end delegate ministerial duties, deleted text begin to deleted text end hire a manager new text begin , new text end and deleted text begin to deleted text end contract for goods and
services from others deleted text begin . deleted text end new text begin ;
new text end

(3) deleted text begin To deleted text end assess members on the basis of participation ratios to cover anticipated costs of
operation and administration of the facility deleted text begin . deleted text end new text begin ; and
new text end

(4) deleted text begin To deleted text end impose limitations on cancellation or nonrenewal by members of insureds covered
pursuant to placement through the facility in addition to the limitations imposed by chapter
72A and sections 65B.1311 to 65B.21.

Sec. 7.

Minnesota Statutes 2024, section 65B.06, subdivision 1, is amended to read:

Subdivision 1.

Distribution of private passenger, nonfleet auto risks.

With respect
to private passenger, nonfleet automobiles, the facility shall provide for deleted text begin the equitable
distribution of qualified applicants to deleted text end members new text begin to share premium, losses, costs, and expenses new text end
in accordance with the participation ratio deleted text begin or among these insurance companies as selected
under the provisions of the plan of operation deleted text end .

Sec. 8.

Minnesota Statutes 2024, section 65B.06, subdivision 2, is amended to read:

Subd. 2.

Private passenger; nonfleet auto coverage.

With respect to private passenger,
nonfleet automobiles, the facility shall provide for the issuance of policies of automobile
insurance deleted text begin by members deleted text end with coverage as follows:

(1) bodily injury liability and property damage liability coverage in the minimum amounts
specified in section 65B.49, subdivision 3;

(2) uninsured and underinsured motorist coverages as required by section 65B.49,
subdivisions 3a and 4a;

(3) a reasonable selection of higher limits of liability coverage up to $50,000 because
of bodily injury to or death of one person in any one accident and, subject to such limit for
one person, up to $100,000 because of bodily injury to or death of two or more persons in
any one accident, and up to $25,000 because of injury to or destruction of property of others
in any one accident, or higher limits of liability coverage as recommended by the governing
committee and approved by the commissioner;

(4) basic economic loss benefits, as required by section 65B.44, and other optional
coverages as recommended by the governing committee and approved by the commissioner;
and

(5) automobile physical damage coverage, including coverage of loss by collision, subject
to deductible options.

Sec. 9.

Minnesota Statutes 2024, section 65B.06, subdivision 3, is amended to read:

Subd. 3.

Other auto coverage.

With respect to all automobiles not included in
subdivisions 1 and 2, the facility shall provide:

(1) the minimum limits of coverage required by section 65B.49, subdivisions 2, 3, 3a,
and 4a, or higher limits of liability coverage as recommended by the governing committee
and approved by the commissioner;

(2) for the equitable deleted text begin distribution of qualified applicants deleted text end new text begin sharing of premium, losses,
costs, and expenses new text end for this coverage among the members in deleted text begin accord deleted text end new text begin accordance new text end with the
applicable participation ratio deleted text begin , or among these insurance companies as selected under the
provisions of the plan of operation deleted text end ; and

(3) for a school district or contractor transporting school children under contract with a
school district, that amount of automobile liability insurance coverage, not to exceed
$1,000,000, required by the school district by resolution or contract, or that portion of such
$1,000,000 of coverage for which the school district or contractor applies and for which it
is eligible under section 65B.10.

Sec. 10.

Minnesota Statutes 2024, section 65B.10, subdivision 2, is amended to read:

Subd. 2.

Termination of eligibility.

Eligibility for placement through the facility will
terminate if an insured is offered equivalent coverage in the voluntary market at a rate lower
than the facility rate. deleted text begin If the member that is required to provide coverage by the facility makes
such an offer after giving 30 days' advance written notice to the agent of record before
making the offer, the member shall have no further obligation to the agent of record.
deleted text end

Sec. 11. new text begin REPEALER.
new text end

new text begin Minnesota Statutes 2024, section 65B.10, subdivision 3, new text end new text begin is repealed.
new text end

APPENDIX

Repealed Minnesota Statutes: H2389-1

65B.10 ELIGIBILITY.

Subd. 3.

Review of insureds.

At least annually, every member shall review every private passenger nonfleet applicant which it insures through the facility and determine whether or not such applicant is acceptable for voluntary insurance at a rate lower than the facility rate. If such applicant is acceptable, the member shall make an offer to insure the applicant under voluntary coverage at such lower rate.