Minnesota Legislature
Office of the Revisor of Statutes
2006 Minnesota Statutes
This is an historical version of this statute chapter. Also view the most recent published version.
62C.15 SUBSCRIPTION CHARGES.
Subdivision 1. Establishment and adjustment. A service plan corporation shall establish
and adjust from time to time subscription charges to be paid by or on behalf of its subscribers. The
charges shall be reasonable, and not unfairly discriminatory, in relation to the benefits, considering
actuarial projection of the cost of providing or paying for the health services, considering costs of
administration, and in relation to reserves and surplus required by law.
Subd. 2. Nongroup contracts; filing of schedule of charges. No service plan corporation
shall deliver, issue for delivery, extend, continue, or renew any form of nongroup subscriber
contract until schedules of charges applicable thereto, including any endorsement, rider,
amendment or application which is a part thereof, have been filed with the commissioner; nor
shall the corporation deliver, issue for delivery, extend, continue or renew any form of group
subscriber contract until a schedule of the rating structures and formulae applicable thereto,
including any endorsement, rider, amendment or application which is a part thereof, has been filed
with the commissioner. The filing for a nongroup subscriber contract shall include the actuarial
data needed to justify any increase in subscriber charges. The commissioner may disapprove the
schedule of charges for any group or nongroup subscriber contract if:
(a) the unencumbered reserve or surplus is less than the required minimum or more than
the required maximum; or
(b) the schedule charges meet the criteria specified in section 62A.02, subdivision 3.
Subd. 3. Disapproval. If subscription charges become subject to disapproval, the
commissioner shall within 30 days of filing render an order either disapproving the charges or
extending time for review to a specified date, or the charges shall be deemed approved. An order
disapproving a charge shall state the reasons therefor and shall be subject to the notice, hearing,
and appeal provisions of section 62C.14. The burden of proving and actuarially demonstrating
that the charges are not inadequate or excessive shall be on the corporation.
Subd. 4. Issuance or delivery of disapproved contract. It shall be unlawful for a service
plan corporation to deliver or issue a subscriber's contract with charges which have been
disapproved by the commissioner.
History: 1971 c 568 s 15; 1976 c 296 art 2 s 12
Subdivision 1. Establishment and adjustment. A service plan corporation shall establish
and adjust from time to time subscription charges to be paid by or on behalf of its subscribers. The
charges shall be reasonable, and not unfairly discriminatory, in relation to the benefits, considering
actuarial projection of the cost of providing or paying for the health services, considering costs of
administration, and in relation to reserves and surplus required by law.
Subd. 2. Nongroup contracts; filing of schedule of charges. No service plan corporation
shall deliver, issue for delivery, extend, continue, or renew any form of nongroup subscriber
contract until schedules of charges applicable thereto, including any endorsement, rider,
amendment or application which is a part thereof, have been filed with the commissioner; nor
shall the corporation deliver, issue for delivery, extend, continue or renew any form of group
subscriber contract until a schedule of the rating structures and formulae applicable thereto,
including any endorsement, rider, amendment or application which is a part thereof, has been filed
with the commissioner. The filing for a nongroup subscriber contract shall include the actuarial
data needed to justify any increase in subscriber charges. The commissioner may disapprove the
schedule of charges for any group or nongroup subscriber contract if:
(a) the unencumbered reserve or surplus is less than the required minimum or more than
the required maximum; or
(b) the schedule charges meet the criteria specified in section 62A.02, subdivision 3.
Subd. 3. Disapproval. If subscription charges become subject to disapproval, the
commissioner shall within 30 days of filing render an order either disapproving the charges or
extending time for review to a specified date, or the charges shall be deemed approved. An order
disapproving a charge shall state the reasons therefor and shall be subject to the notice, hearing,
and appeal provisions of section 62C.14. The burden of proving and actuarially demonstrating
that the charges are not inadequate or excessive shall be on the corporation.
Subd. 4. Issuance or delivery of disapproved contract. It shall be unlawful for a service
plan corporation to deliver or issue a subscriber's contract with charges which have been
disapproved by the commissioner.
History: 1971 c 568 s 15; 1976 c 296 art 2 s 12
Official Publication of the State of Minnesota
Revisor of Statutes