Minnesota Session Laws - 1991, Regular Session

  

                         Laws of Minnesota 1991 

                        CHAPTER 188-H.F.No. 205 
           An act relating to insurance; prohibiting 
          discrimination against American military personnel; 
          amending Minnesota Statutes 72A.20, subdivision 8. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
     Section 1.  Minnesota Statutes 1990, section 72A.20, 
subdivision 8, is amended to read: 
    Subd. 8.  [DISCRIMINATION.] (a) Making or permitting any 
unfair discrimination between individuals of the same class and 
equal expectation of life in the rates charged for any contract 
of life insurance or of annuity or in the dividends or other 
benefits payable thereon, or in any other of the terms and 
conditions of such contract or in making or permitting the 
rejection of an individual's application for life insurance 
coverage, as well as the determination of the rate class for 
such individual, on the basis of a disability, shall constitute 
an unfair method of competition and an unfair and deceptive act 
or practice, unless the claims experience and actuarial 
projections and other data establish significant and substantial 
differences in class rates because of the disability. 
     (b) Refusing to insure or refusing to continue to insure 
the life of a member of a reserve component of the armed forces 
of the United States, or the national guard due to that person's 
status as a member, or duty assignment while a member of any of 
these military organizations, constitutes an unfair method of 
competition and an unfair and deceptive act or practice unless 
the individual has received an order for active duty. 
    (c) Refusing to reinstate coverage for the insured or any 
covered dependents under an individual or group life or health 
insurance policy or contract of a member of a reserve component 
of the armed forces of the United States or the national guard 
whose coverage or dependent coverage was terminated, canceled, 
or nonrenewed while that person was on active duty constitutes 
an unfair method of competition and an unfair and deceptive act 
or practice.  For purposes of this section, "health insurance 
policy or contract" means any policy, contract, or certificate 
providing benefits regulated under chapter 62A, 62C, 62D, or 64B.
    For purposes of reinstatement of an individual policy, the 
person shall apply for reinstatement within 90 days after 
removal from active duty. 
    The reinstated coverage must not contain any new 
preexisting condition or other exclusion or limitation, except a 
condition determined by the Veterans Administration to be a 
disability incurred or aggravated in the line of duty.  The 
remainder of a preexisting condition limitation that was not 
satisfied before the coverage was terminated may be applied once 
the person returns and coverage is reinstated.  Reinstatement is 
effective upon the payment of any required premiums.  
    Sec. 2.  [EFFECTIVE DATE.] 
    Section 1 is effective the day following final enactment. 
    Presented to the governor May 23, 1991 
    Signed by the governor May 27, 1991, 9:10 p.m.