1999 Minnesota Statutes

     326.601 Alternative state bonding and insurance 
  regulation. 

    Subdivision 1.    Bonds.  An applicant for a water 
 conditioning contractor or installer license or renewal thereof 
 who is required by any political subdivision to give a bond to 
 obtain or maintain the license, may comply with any political 
 subdivision bonding requirement by giving a bond to the state in 
 the total penal sum of $3,000 conditioned upon the faithful and 
 lawful performance of all water conditioning contracting or 
 installing work done within the state.  The bond shall be for 
 the benefit of persons suffering injuries or damages due to the 
 work.  The bond shall be filed with the commissioner of health 
 and shall be written by a corporate surety licensed to do 
 business in this state.  No applicant for a water conditioning 
 contractor or installer license who maintains the bond under 
 this subdivision shall be otherwise required to meet the bond 
 requirements of any political subdivision. 

    Subd. 2.    Insurance.  Each applicant for a water 
 conditioning contractor or installer license or renewal thereof 
 may, in lieu of all other insurance requirements of any 
 political subdivision for said licensing purposes, maintain the 
 insurance specified by this subdivision.  The insurance shall 
 provide coverage, including products liability coverage, for all 
 damages in connection with licensed work for which the licensee 
 is liable, with personal damage limits of at least $50,000 per 
 person and $100,000 per occurrence and property damage insurance 
 with limits of at least $10,000.  The insurance shall be written 
 by an insurer licensed to do business in this state and each 
 licensed water conditioning contractor or installer shall 
 maintain on file with the commissioner of health a certificate 
 evidencing the insurance.  The insurance shall not be canceled 
 without the insurer first giving 15 days' written notice to the 
 commissioner.  

    Subd. 3.    Bond and insurance exemption.  A water 
 conditioning contractor or installer who is an employee of a 
 water conditioning contractor or installer, including an 
 employee engaged in the maintenance and repair of water 
 conditioning equipment, apparatus, or facilities owned, leased 
 and operated, or maintained by the employer, is not required to 
 meet the bond and insurance requirements of subdivisions 1 and 2 
 or of any political subdivision.  

    Subd. 4.    Fee.  The commissioner of health may 
 establish by rule an additional fee commensurate with the cost 
 of administering the bond and insurance requirements of 
 subdivisions 1 and 2, which may be charged each applicant for 
 issuance or renewal of a water conditioning contractor or 
 installer license who elects to proceed under subdivisions 1 and 
 2.  

    HIST: 1980 c 614 s 134; 1986 c 444