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In addition to the powers granted in section 79.35, the reinsurance association may do
the following:
(a) Sue and be sued. A judgment against the reinsurance association shall not create any
direct liability against the individual members of the reinsurance association. The reinsurance
association shall provide in the plan of operation for the indemnification, to the extent provided
in the plan of operation, of the members, members of the board of directors of the reinsurance
association, and officers, employees and other persons lawfully acting on behalf of the reinsurance
(b) Reinsure all or any portion of its potential liability, including potential liability in excess
of the prefunded limit, with reinsurers licensed to transact insurance in this state or otherwise
approved by the commissioner of labor and industry;
(c) Provide for appropriate housing, equipment, and personnel as may be necessary to assure
the efficient operation of the reinsurance association;
(d) Contract for goods and services, including but not limited to independent claims
management, actuarial, investment, and legal services from others within or without this state to
assure the efficient operation of the reinsurance association;
(e) Adopt operating rules, consistent with the plan of operation, for the administration of
the reinsurance association, enforce those operating rules, and delegate authority as necessary to
assure the proper administration and operation of the reinsurance association;
(f) Intervene in or prosecute at any time, including but not limited to intervention or
prosecution as subrogee to the member's rights in a third party action, any proceeding under this
chapter or chapter 176 in which liability of the reinsurance association may, in the opinion of the
board of directors of the reinsurance association or its designee, be established, or the reinsurance
association affected in any other way;
(g) The net proceeds derived from intervention or prosecution of any subrogation interest, or
other recovery, shall first be used to reimburse the reinsurance association for amounts paid or
payable pursuant to this chapter, together with any expenses of recovery, including attorney's fees,
and any excess shall be paid to the member or other person entitled thereto, as determined by the
board of directors of the reinsurance association, unless otherwise ordered by a court;
(h) Hear and determine complaints of a company or other interested party concerning the
operation of the reinsurance association; and
(i) Perform other acts not specifically enumerated in this section which are necessary or
proper to accomplish the purposes of the reinsurance association and which are not inconsistent
with sections 79.34 to 79.40 or the plan of operation.
History: Ex1979 c 3 s 19; 1980 c 556 s 9; 1981 c 346 s 20,139; 1985 c 234 s 21; 1987
c 384 art 2 s 1

Official Publication of the State of Minnesota
Revisor of Statutes