Title 58, INSURANCE

A domestic society may, by a reinsurance agreement, cede any individual risk to an insurer, other than another fraternal benefit society, having the power to make such reinsurance and authorized to do business in this state, or if not authorized, one which is approved by the dire…

A domestic society may consolidate or merge with any other society by complying with the provisions of this section and the applicable provisions of §§ 47-1A-1101 to 47-1A-1108 , inclusive, and chapter 58-5 . It shall file with the director: (1) A certified copy of the written co…

Any fraternal benefit society incorporated under the laws of the state may reorganize and convert itself into a mutual life insurance company or into a stock life insurance company by compliance with all the requirements of the insurance laws of this state for mutual life insuran…

A society may provide the following contractual benefits in any form: (1) Death benefits; (2) Endowment benefits; (3) Annuity benefits; (4) Temporary or permanent disability benefits; (5) Hospital, medical, or nursing benefits; (6) Monument or tombstone benefits to the memory of …

The owner of a benefit contract may change the beneficiaries in accordance with the laws or rules of the society unless the owner waives this right by specifically requesting in writing that the beneficiary designation be irrevocable. A society may, through its laws or rules, lim…

No money or other benefit, charity, relief, or aid to be paid, provided, or rendered by any society, is liable to attachment, garnishment, or other process, or to be seized, taken, appropriated, or applied by any legal or equitable process or operation of law to pay any debt or l…

Every society authorized to do business in this state shall issue to each owner of a benefit contract a certificate specifying the amount of benefits to be provided by the benefit contract. The certificate, together with any riders or endorsements attached to it, the laws of the …

A society is operating on the lodge system if it has a supreme governing body and subordinate lodges into which members are elected, initiated, or admitted in accordance with its laws, rules and ritual. Subordinate lodges shall be required by the laws of the society to hold regul…

For certificates issued before one year after January 1, 1991, the value of every paid - up nonforfeiture benefit and the amount of any cash surrender value, loan, or other option granted shall comply with the provisions of law applicable immediately before January 1, 1991. For c…

A society shall invest its funds only in the investments that are authorized by the laws of this state for the investment of assets of life insurers and subject to the same limitations. Any foreign or alien society permitted or seeking to do business in this state which invests i…

All assets shall be held, invested, and disbursed for the use and benefit of the society and no member or beneficiary has individual rights in the assets or is entitled to any apportionment on the surrender of any part of the assets, except as provided in the benefit contract. A …

Except as provided in this chapter, societies are exempt from all other provisions of the insurance laws of this state unless they are expressly designated in the law, or unless it is specifically made applicable by this chapter. Source: SL 1990, ch 410 , § 23.

Every society organized or licensed under this chapter is a charitable and benevolent institution for the purposes of this chapter, and all of its funds are exempt from all and every state, county, district, municipal, and school tax, other than sales taxes, use taxes, and taxes …

Any standards of valuation for certificates issued before one year after January 1, 1991, shall be those provided by the laws applicable immediately before January 1, 1991. The minimum standards of valuation for certificates issued on or after one year from January 1, 1991, shall…

Every society transacting business in this state shall annually, on or before the first day of March, unless for cause shown the time has been extended by the director, file with the director a true statement of its financial condition, transactions and affairs for the preceding …

Societies which are now authorized to transact business in this state, and all societies hereafter licensed, may continue their business until May 1, 1991. The authority of these societies and all societies hereafter licensed, may thereafter be renewed annually, but in all cases …

The director, or any person appointed by the director, may examine any domestic, foreign, or alien society transacting or applying for admission to transact business in this state in the same manner as authorized for examination of domestic, foreign, or alien insurers. Requiremen…

It is a Class 2 misdemeanor for any foreign or alien society to transact business in this state without a license issued by the director. Any foreign or alien society desiring admission to this state shall have the qualifications required of domestic societies organized under thi…

A society has a representative form of government if: (1) It has a supreme governing body constituted in one of the following ways: (a) The supreme governing body is an assembly composed of delegates elected directly by the members or at intermediate assemblies or conventions of …

Any insurance producer of a society shall be licensed in accordance with the provisions of chapter 58-30 regulating the licensing, revocation, suspension, or termination of license of resident and nonresident insurance producers. Source: SL 1990, ch 410 , § 33; SL 2001, ch 286 , …

Any society and insurance producer authorized to do business in this state is subject to the provisions of chapter 58-33 relating to unfair trade practices. However, nothing in these provisions may be construed as applying to or affecting the right of any society to determine its…

Any society authorized to do business in this state shall appoint in writing the director to be its attorney upon whom all lawful process in any action or proceeding against it may be served and shall agree in writing that any lawful process against it which is served on the atto…

No person may knowingly make any false or fraudulent statement or representation in or with reference to any application for membership or for the purpose of obtaining money from or a benefit in any society. A violation of this provision is a Class 2 misdemeanor. Any person who w…

All decisions and findings of the director made under the provisions of this chapter are subject to review by proper proceedings in any court of competent jurisdiction in this state. Source: SL 1990, ch 410 , § 37.

Nothing contained in this chapter may be construed as to apply to: (1) Grand or subordinate lodges of societies, orders, or associations now doing business in this state which provide benefits exclusively through local or subordinate lodges; (2) Orders, societies, or associations…

The provisions of subdivision 58-37A-38(2) do not apply to any society, order, or association which had a certificate of authority in this state as of July 1, 2006, nor to any society, order, or association which is formed on or after July 1, 2007. Any society, order or associati…

In addition to the provisions contained in this chapter, the following chapters and provisions of the South Dakota Code also apply to fraternal benefit societies, to the extent applicable and not in conflict with the express provisions of this chapter and the reasonable implicati…

Terms used in this chapter mean: (1) "Benefit contract," the agreement for provision of benefits authorized by § 58-37A-16 , as that agreement is described in § 58-37A-19 ; (2) "Benefit member," any adult member who is designated by the laws or rules of the society to be a benefi…

A society shall operate for the benefit of members and their beneficiaries by providing benefits as specified in § 58-37A-16 , and operating for one or more social, intellectual, educational, charitable, benevolent, moral, fraternal, patriotic, or religious purposes for the benef…

A society shall specify in its laws or rules: (1) Eligibility standards for each class of membership. If benefits are provided on the lives of children, the minimum age for adult membership shall be set at not less than age fifteen and not greater than age twenty - one; (2) The p…

The principal office of any domestic society shall be located in this state. The meetings of its supreme governing body may be held in any state, district, province, or territory wherein the society has at least one subordinate lodge, or in any other location as determined by the…

The officers and members of the supreme governing body or any subordinate body of a society are not personally liable for any benefits provided by a society. Any person may be indemnified and reimbursed by any society for expenses reasonably incurred by, and liabilities imposed u…

The laws of the society may provide that no subordinate body, nor any of its subordinate officers or members may waive any of the provisions of the laws of the society. This provision is binding on the society and every member and beneficiary of a member. Source: SL 1990, ch 410 …