South Dakota Administrative Code

Rule 20:06:58:38 Six-month determination. 20:06:58:38. Six month determination. If a group health plan or health insurance issuer seeks an exemption under §§ 20:06:58:34 to 20:06:58:43, inclusive, determinations under § 20:06:58:36 may only be made after such plan or coverage has…

Rule 20:06:58:39 Notification. 20:06:58:39. Notification. A group health plan or health insurance issuer that, based on the certification described under § 20:06:58:36, qualifies for an exemption under §§ 20:06:58:34 to 20:06:58:43, inclusive, and elects to implement the exemptio…

Rule 20:06:58:40 Participants and beneficiaries -- Content of notice. 20:06:58:40. Participants and beneficiaries -- Content of notice. The notice to participants and beneficiaries required pursuant to § 20:06:58:39 must include the following information: (1) A statement that the…

Rule 20:06:58:41 Use of summary of material reductions in covered services of benefits. 20:06:58:41. Use of summary of material reductions in covered services or benefits. A plan or issuer may satisfy the requirements of § 20:06:58:40 by providing participants and beneficiaries, …

Rule 20:06:58:42 Delivery. 20:06:58:42. Delivery. The plan or issuer is required to provide the notice described in §§ 20:06:58:40 to 20:06:58:43, inclusive, to all participants and beneficiaries. The plan or issuer may furnish the notice by any method of delivery that satisfies …

Rule 20:06:58:43 Availability of documentation. 20:06:58:43. Availability of documentation. The plan or issuer must make available to participants and beneficiaries, or their representatives, on request and at no charge, a summary of the information on which the exemption was bas…

Rule 20:06:58:44 Sale of nonparity health insurance coverage. 20:06:58:44. Sale of nonparity health insurance coverage. A health insurance issuer may not sell a policy, certificate, or contract of insurance that fails to comply with §§ 20:06:58:02 to 20:06:58:25, inclusive, excep…

Rule 20:06:58:45 Special effective date for certain collective-bargained plans. 20:06:58:45. Special effective date for certain collective-bargained plans. For a group health plan maintained pursuant to one or more collective bargaining agreements ratified before October 3, 2008,…

20:06:59:01. Valuation manual--Operative date. The valuation of reserve liabilities for life insurance contracts, annuity and pure endowment contracts, accident and health contracts, and deposit-type contracts must be calculated in accordance with the standards in the Valuation M…

Rule 20:06:60:01 Definition of senior management. 20:06:60:01. Definition of senior management. The term "senior management" means a corporate officer who either reports or has a duty to report information to the board of directors, to shareholders, or to regulators. The term may…

Rule 20:06:60:02 Contents of corporate governance annual disclosure. 20:06:60:02. Contents of corporate governance annual disclosure. An insurer or an insurance group shall, with the descriptive filing of its corporate governance annual disclosure, attach and label the documents …

Rule 20:06:60:03 Annual upate. 20:06:60:03. Annual upate. Each year following the initial filing of the corporate governance annual disclosure, the insurer or insurance group shall include with the submission of its corporate governance annual disclosure a statement that identifi…

Rule 20:06:60:04 Description of corporate framework. 20:06:60:04. Description of corporate framework. The corporate governance annual disclosure must fully describe the insurer's or insurance group's corporate governance framework and structure, including: (1) All individuals, th…

Rule 20:06:60:05 Description of policies and practices. 20:06:60:05. Description of policies and practices. The corporate governance annual disclosure of an insurer or insurance group must describe the policies and practices of the insurer's or insurance group's board and committ…

Rule 20:06:60:06 Description of senior management. 20:06:60:06. Description of senior management. The insurer or insurance group shall describe the policies and practices for directing senior management in its corporate governance annual disclosure, including: (1) Suitability sta…

Rule 20:06:60:07 Description of board oversight. 20:06:60:07. Description of board oversight. The insurer or insurance group shall describe the processes in its corporate governance annual disclosure by which the board, its committees, and senior management ensure an appropriate …

Rule 20:07:01:01 Repealed. 20:07:01:01. Definitions.Repealed. Source: SL 1975, ch 16, § 1; repealed, 8 SDR 31, effective September 30, 1981.

Rule 20:07:01:02 Repealed. 20:07:01:02. Scope of article.Repealed. Source: 8 SDR 31, effective September 30, 1981; repealed, 11 SDR 46, effective October 9, 1984.

Rule 20:07:01:03 Transferred. 20:07:01:03. Transferred to § 20:07:12:03.

Rule 20:07:02:01 Petition for declaratory ruling. 20:07:02:01. Petition for declaratory ruling. A person wishing the commission to issue its ruling as to the applicability to that person of a statutory provision or rule or order of the commission may file with the commission a pe…

Rule 20:07:02:02 Commission action on petition. 20:07:02:02. Commission action on petition. Upon receipt of the petition, the commission may request from the petitioner any other information it requires for the issuance of its ruling. Within 30 days following the receipt of the p…

Rule 20:07:02:03 Superseded. 20:07:02:03. Petition for initiation, repeal, or amendment of rules.Superseded.

Rule 20:07:02:04 Superseded. 20:07:02:04. Commission action on petition.Superseded. Commission Note:SDCL 1-26-13 provides a statutory procedure to use for petitioning an agency for amendments to its rules, thus effectively superseding the above two sections.

Rule 20:07:02:05 Repealed. 20:07:02:05. Application to become a party to a hearing. Repealed. Source: 8 SDR 31, effective September 30, 1981; 12 SDR 151, 12 SDR 155, effective July 1, 1986; repealed, 34 SDR 322, effective June 30, 2008.

Rule 20:07:03:01 Bonds required. 20:07:03:01. Bonds required. Each state bank must furnish the division with a bankers' blanket bond according to the schedule in § 20:07:03:02. Source: SL 1975, ch 16, § 1; 8 SDR 31, effective September 30, 1981; 12 SDR 151, 12 SDR 155, effective …

Rule 20:07:03:01.01 Void. 20:07:03:01.01. Exception to bond requirement -- Merchant banks. Void. Source: 13 SDR 37, effective October 9, 1986; SL 1990, ch 380, §§ 2 and 3, void July 1, 1990.

Rule 20:07:03:02 Blanket bond schedule. 20:07:03:02. Blanket bond schedule. Banker's blanket bonds required by § 20:07:03:01 shall be furnished according to the following schedule. The numbers preceding the colon represent the range of assets and the numbers after the colon repre…

Rule 20:07:03:03 Copy of resolution required. 20:07:03:03. Copy of resolution required. With each bond filed with the division, a bank shall furnish a copy of the resolution adopted by its board of directors accepting the bond. Source: SL 1975, ch 16, § 1; 8 SDR 31, effective Sep…

Rule 20:07:03:03.01 Accounting principles. 20:07:03:03.01. Accounting principles. The books and accounts of banks shall be kept in accordance with generally accepted accounting principles unless a regulatory requirement requires otherwise. Source: 8 SDR 31, effective September 30…

Rule 20:07:03:04 Records required. 20:07:03:04. Records required. All state banks shall keep a record of all charge-offs, nonledger assets, and recoveries. Source: SL 1975, ch 16, § 1; 12 SDR 151, 12 SDR 155, effective July 1, 1986; 15 SDR 28, effective August 21, 1988. General A…

Rule 20:07:03:05 Repealed. 20:07:03:05. Accounting for real property authorized to be held by bank. Repealed. Source: SL 1975, ch 16, § 1; 8 SDR 138, effective April 28, 1982; 12 SDR 151, 12 SDR 155, effective July 1, 1986; 15 SDR 28, effective August 21, 1988; repealed, 33 SDR 2…

Rule 20:07:03:06 Chief executive officer of banks to be board member. 20:07:03:06. Chief executive officer of banks to be board member. Chief executive officers of all state banks shall be members of the board of directors of their respective banks. Source: SL 1975, ch 16, § 1; 8…

Rule 20:07:03:07 Accounting for advances to borrowers. 20:07:03:07. Accounting for advances to borrowers. When a bank has made a loan, any advances made to the borrower, whether to protect the bank's security or otherwise, shall be considered as increasing the loan and not as pro…

Rule 20:07:03:08 Repealed. 20:07:03:08. Municipal revenue bonds as security.Repealed. Source: SL 1975, ch 16, § 1; repealed, 8 SDR 31, effective September 30, 1981.

Rule 20:07:03:09 Accounting for late payments -- Installment note and conditional sales contract with acceleration clause. 20:07:03:09. Accounting for late payments -- Installment note and conditional sales contract with acceleration clause. When installment notes or conditional …

Rule 20:07:03:10 Accrual accounting. 20:07:03:10. Accrual accounting. The books and records of a bank with total assets of $25,000,000 or more shall be kept on an accrual basis. Source: 8 SDR 31, effective September 30, 1981; 12 SDR 151, 12 SDR 155, effective July 1, 1986. Genera…

Rule 20:07:03:11 Requirements for issuing securities. 20:07:03:11. Requirements for issuing securities. The director may approve the issuance of any security under SDCL 51A-3-16 if the following requirements are met: (1) The issuing bank makes full disclosure of all material fact…

Rule 20:07:03:12 Authorized general investments. 20:07:03:12. Authorized general investments. A bank may purchase or hold the following for investment in accordance with SDCL 51A-4-25: (1) Revenue bonds in any form issued by the United States; by any state or territory or its pos…

Rule 20:07:03:12.01 Investment in mutual funds. 20:07:03:12.01. Investment in mutual funds. A bank may purchase or hold shares of registered mutual funds that invest in authorized general investments as provided in subdivision 20:07:03:12(1). Those funds that engage in financial …

Rule 20:07:03:13 Repealed. 20:07:03:13. Reserve requirement.Repealed. Source: 8 SDR 31, effective September 30, 1981; 12 SDR 151, 12 SDR 155, effective July 1, 1986; repealed, 15 SDR 28, effective August 21, 1988.

Rule 20:07:03:14 Repealed. 20:07:03:14. General requirements for loans to bank officers. Repealed. Source: 8 SDR 31, effective September 30, 1981; 12 SDR 151, 12 SDR 155, effective July 1, 1986; 15 SDR 28, effective August 21, 1988; repealed, 34 SDR 200, effective January 29, 200…

Rule 20:07:03:15 Repealed. 20:07:03:15. Permissible loans to officers. Repealed. Source: 8 SDR 31, effective September 30, 1981; 12 SDR 151, 12 SDR 155, effective July 1, 1986; 12 SDR 209, effective July 10, 1986; repealed, 34 SDR 200, effective January 29, 2008.

Rule 20:07:03:16 Charge-off requirements. 20:07:03:16. Charge-off requirements. Within 30 days after receipt of a report of examination, a bank shall charge off 100 percent of all assets classified as loss. If an asset has been collected or put in a bankable condition, the bank m…

Rule 20:07:03:17 Allowance for loan and lease losses. 20:07:03:17. Allowance for loan and lease losses. A bank must maintain an allowance for loan and lease losses (ALLL) at a level that appropriately covers estimated credit losses on individually evaluated loans as well as estim…

Rule 20:07:03:18 Board member involvement required. 20:07:03:18. Board member involvement required. Board members must demonstrate involvement in the affairs of the bank by attendance at a majority of board meetings as shown by the minutes or by other proof in writing furnished t…

Rule 20:07:03:18.01 Number and frequency of board meetings -- Exception. 20:07:03:18.01. Number and frequency of board meetings -- Exception. A bank must establish through its bylaws that its board of directors hold meetings in a timely manner as is prudent, but not less than fou…

Rule 20:07:03:19 Repealed. 20:07:03:19. Need for investment demonstrated. Repealed. Source: 13 SDR 37, effective October 9, 1986; 15 SDR 28, effective August 21, 1988; repealed, 34 SDR 322, effective June 30, 2008.

Rule 20:07:03:20 Repealed. 20:07:03:20. Valuation of real estate. Repealed. Source: 13 SDR 37, effective October 9, 1986; 15 SDR 28, effective August 21, 1988; repealed, 34 SDR 322, effective June 30, 2008.

Rule 20:07:03:21 Repealed. 20:07:03:21. Valuation of a business venture. Repealed. Source: 13 SDR 37, effective October 9, 1986; 15 SDR 28, effective August 21, 1988; repealed, 34 SDR 322, effective June 30, 2008.

Rule 20:07:03:22 Repealed. 20:07:03:22. Limitations on investments. Repealed. Source: 13 SDR 37, effective October 9, 1986; 15 SDR 28, effective August 21, 1988; repealed, 34 SDR 322, effective June 30, 2008.