2006 Minnesota Statutes

60K.51 NOTIFICATION TO COMMISSIONER OF TERMINATION.
    Subdivision 1. Termination for cause. An insurer or authorized representative of the insurer
that terminates the appointment, employment, contract, or other insurance business relationship
with a producer shall notify the commissioner within 30 days following the effective date of the
termination, using a format acceptable to the commissioner, if the reason for termination is one
of the reasons set forth in section 60K.43 or the insurer has knowledge that the producer was
found by a court, government body, or self-regulatory organization authorized by law to have
engaged in any of the activities in section 60K.43. Upon the written request of the commissioner,
the insurer shall provide additional information, documents, records, or other data pertaining
to the termination or activity of the producer.
    Subd. 2. Termination without cause. An insurer or authorized representative of the insurer
that terminates the appointment, employment, or contract with a producer for any reason not set
forth in section 60K.43 shall notify the commissioner within 30 days following the effective date
of the termination, using a format acceptable to the commissioner. Upon written request of the
commissioner, the insurer shall provide additional information, documents, records, or other
data pertaining to the termination.
    Subd. 3. Ongoing notification requirement. The insurer or the authorized representative of
the insurer shall promptly notify the commissioner in a format acceptable to the commissioner
if, upon further review or investigation, the insurer discovers additional information that would
have been reportable to the commissioner under subdivision 1 had the insurer then known of its
existence.
    Subd. 4. Copy of notification to be provided to producer. (a) Within 15 days after making
the notification required by subdivisions 1 to 3, the insurer shall mail a copy of the notification to
the producer at the producer's last known address. If the producer is terminated for cause for any
of the reasons listed in section 60K.43, the insurer shall provide a copy of the notification to the
producer at the producer's last known address by certified mail, return receipt requested, postage
prepaid, or by overnight delivery using a nationally recognized carrier.
(b) Within 30 days after the producer has received the original or additional notification,
the producer may file written comments concerning the substance of the notification with
the commissioner. The producer shall, by the same means, simultaneously send a copy of the
comments to the reporting insurer. The comments become a part of the commissioner's file and
must accompany every copy of a report distributed or disclosed for any reason about the producer
as permitted under subdivision 6.
    Subd. 5. Immunities. (a) In the absence of actual malice, an insurer, the authorized
representative of the insurer, a producer, the commissioner, or an organization of which the
commissioner is a member and that compiles the information and makes it available to other
insurance commissioners or regulatory or law enforcement agencies is not subject to civil liability,
and no civil cause of action arises against these entities or their respective agents or employees,
as a result of any statement or information required by or provided pursuant to this section or
any information relating to any statement that may be requested in writing by the commissioner,
from an insurer or producer. The immunity granted in this subdivision extends to a statement by a
terminating insurer or producer to an insurer or producer limited solely and exclusively to whether
a termination for cause under subdivision 1 was reported to the commissioner, provided that the
propriety of any termination for cause under subdivision 1 is certified in writing by an officer or
authorized representative of the insurer or producer terminating the relationship.
(b) In any action brought against a person that may have immunity under paragraph (a)
for making any statement required by this section or providing any information relating to any
statement that may be requested by the commissioner, the party bringing the action shall plead
specifically in any allegation that paragraph (a) does not apply because the person making the
statement or providing the information did so with actual malice.
(c) Paragraph (a) or (b) does not abrogate or modify any existing statutory or common law
privileges or immunities.
    Subd. 6. Classification of investigative data. Any documents, materials, or other
information in the control or possession of the Department of Commerce that is furnished by an
insurer, producer, or an employee or agent of an insurer or producer acting on behalf of the
insurer or producer, or obtained by the commissioner in an investigation pursuant to this section is
classified as confidential data pursuant to section 13.41, subdivision 4, or private data pursuant to
section 13.41, subdivision 2.
History: 2001 c 117 art 1 s 22; 2002 c 379 art 1 s 25