HF 2157

as introduced - 86th Legislature (2009 - 2010) Posted on 02/09/2010 02:00am

A bill for an act
relating to insurance; requiring the Joint Underwriting Association to provide
liquor liability insurance on the same basis as other insurance; amending
Minnesota Statutes 2008, section 62I.13, subdivision 2.

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

Section 1.

Minnesota Statutes 2008, section 62I.13, subdivision 2, is amended to read:

Subd. 2.

Minimum of qualifications.

Anyone who is unable to obtain insurance
in the private market and who so certifies to the association in the application is eligible
to make written application to the association for coverage. The application may require
information as provided in section 62I.08. Payment of the applicable premium or required
portion of it must be paid prior to coverage by the association. An offer of coverage at a
rate in excess of the rate that would be charged by the association for similar coverage and
risk shall be deemed to be a refusal of coverage for purposes of eligibility for participation
in the association. It shall not be deemed to be a written notice of refusal if the rate for
coverage offered is less than ten percent in excess of the joint underwriting association
rates for similar coverage and risk deleted text begin or 20 percent in excess of the Joint Underwriting
Association rates for liquor liability coverages deleted text end . However, the offered rate must be the rate
generally charged by the insurer for similar coverage and risk.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective August 1, 2009, and applies to
applications for coverage submitted to the Joint Underwriting Association on or after
that date.
new text end