1st Engrossment - 93rd Legislature (2023 - 2024) Posted on 10/25/2023 10:54am
A bill for an act
relating to insurance; requiring the commissioner of commerce to modify rules
relating to automotive self-insurance; authorizing expedited rulemaking.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
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The commissioner of
commerce must amend Minnesota Rules, part 2770.6500, subpart 2, item B, subitem (5),
to require the commissioner's grant of self-insurance authority to an applicant to be based
on the applicant's net working capital in lieu of the applicant's net funds flow.
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The commissioner
of commerce must amend Minnesota Rules, part 2770.6500, subpart 2, item D, to,
notwithstanding any other provision of Minnesota Rules, part 2770.6500, permit the
commissioner to grant self-insurance authority to an applicant that is not a political
subdivision and that has not had positive net income or positive working capital in at least
three years of the last five-year period if the applicant's working capital, debt structure,
profitability, and overall financial integrity of the applicant and its parent company, if one
exists, demonstrate a continuing ability of the applicant to satisfy any financial obligations
that have been and might be incurred under the no-fault act.
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The commissioner of commerce must define working capital
for the purposes of Minnesota Rules, part 2770.6500.
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The
commissioner of commerce must amend Minnesota Rules, part 2770.7300, to permit, in
lieu of require, the commissioner to revoke a self-insurer's authorization to self-insure based
on the commissioner's determinations under Minnesota Rules, part 2770.7300, items A and
B.
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The commissioner of commerce may use
the expedited rulemaking process under Minnesota Statutes, section 14.389, to amend rules
under this section.
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