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New Law: Insurance law updates are made

Published (7/15/2011)
By Kris Berggren
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A series of provisions in a new law will give some Minnesota businesses easier access to specialized property-casualty insurance available only through “nonadmitted insurance companies,” which are not licensed in Minnesota, or through surplus lines insurance brokers, instead of through an “admitted” or licensed insurer.

Sponsored by Rep. Joe Hoppe (R-Chaska) and Sen. Roger Chamberlain (R-Lino Lakes), the law brings state statute into conformity with 2010 federal law changes made in the Dodd-Frank National Reinsurance Reform Act. The related provisions are effective for nonadmitted insurance policies that take effect after July 20, 2011.

Other provisions make technical changes to health insurance law. They include updates to the list of statutes under which a person is eligible for coverage in the state’s high-risk pool, the Minnesota Comprehensive Health Association; plus a new waiver of the preexisting condition limitation for Minnesota residents covered by a community-based health care coverage program who apply for MCHA coverage within 90 days of termination of the community-based coverage.

The law, which has various effective dates, also makes other changes to statutes governing professional licensing, continuing education, health insurance and worker’s compensation self-insurance.

HF1394/ SF1045*/CH108

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