SF 3291

Introduction - 94th Legislature (2025 - 2026)

Posted on 07/15/2025 10:33 a.m.

A bill for an act
relating to insurance; modifying notice provisions governing surplus lines brokers;
amending Minnesota Statutes 2024, section 60A.201, subdivision 2, by adding a
subdivision.

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

Section 1.

Minnesota Statutes 2024, section 60A.201, subdivision 2, is amended to read:

Subd. 2.

Availability of other coverage; presumption.

There shall be a rebuttable
presumption that the following coverages are available from a licensed insurer:

deleted text begin (a) deleted text end new text begin (1) new text end all mandatory automobile insurance coverages required by chapter 65B;

deleted text begin (b) deleted text end new text begin (2) new text end private passenger automobile physical damage coverage;

deleted text begin (c) homeowners and property insurance on owner-occupied dwellings whose value is
less than $500,000. This figure shall be changed annually by the commissioner by the same
percentage as the Consumer Price Index for the Minneapolis-St. Paul Metropolitan Area is
changed;
deleted text end

deleted text begin (d) deleted text end new text begin (3) new text end any coverage readily available from three or more licensed insurers unless the
licensed insurers quote a premium and terms not competitive with a premium and terms
quoted by an eligible surplus lines insurer; and

deleted text begin (e) deleted text end new text begin (4) new text end workers' compensation insurance, except excess workers' compensation insurance
which is not available from the Workers' Compensation Reinsurance Association.

Sec. 2.

Minnesota Statutes 2024, section 60A.201, is amended by adding a subdivision to
read:

new text begin Subd. 7. new text end

new text begin FAIR plan coverage; notice. new text end

new text begin If the insurance placed by the surplus lines broker
with a nonadmitted insurer is homeowners or property insurance on an owner-occupied
dwelling, the broker must print, type, or stamp in not less than ten-point type on the face of
the policy the following notice: "YOU MAY BE ELIGIBLE FOR COVERAGE THROUGH
THE MINNESOTA FAIR PLAN, WHICH MAKES AVAILABLE PROPERTY AND
LIABILITY COVERAGE, AS DEFINED BY THE MINNESOTA FAIR PLAN ACT, TO
QUALIFIED APPLICANTS WHO HAVE BEEN UNABLE TO SECURE PROPERTY
AND LIABILITY INSURANCE THROUGH THE NORMAL INSURANCE MARKETS."
The notice under this subdivision must not be covered or concealed in any manner, and is
in addition to the notice required under section 60A.207 or 60A.209.
new text end