Bill Text: MN SF748 | 2013-2014 | 88th Legislature | Engrossed
Bill Title: Preneed funeral insurance regulations
Sponsorship: Bipartisan Bill
Status: (Passed) 2013-05-15 - Secretary of State Chapter 53 05/13/13 [SF748 Detail]
Download: Minnesota-2013-SF748-Engrossed.html
1.2relating to commerce; regulating preneed funeral insurance;amending Minnesota
1.3Statutes 2012, sections 61A.258, by adding a subdivision; 72A.207.
1.4BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.5 Section 1. Minnesota Statutes 2012, section 61A.258, is amended by adding a
1.6subdivision to read:
1.7 Subd. 5. Exception. A policy providing preneed insurance or designed to cover,
1.8in whole or in part, the goods and services described in subdivision 1, clause (3), is not
1.9subject to section 72A.207.
1.10 Sec. 2. Minnesota Statutes 2012, section 72A.207, is amended to read:
1.1172A.207 GRADED DEATH BENEFITS.
1.12For the purpose of this section, a graded death benefit is a provision within a life
1.13insurance policy in which the death benefit, in the early years of the policy, is less than the
1.14face amount of the policy, but which increases with the passage of time.
1.15No policy of life insurance paying a graded death benefit may be issued in this state
1.16unless the graded death benefit is equal to at least four times the first year premium. This
1.17section does not prohibit the return of premiums or premiums plus interest in connection
1.18with the voluntary or judicially ordered rescission of the policy, or according to the terms
1.19of the exclusions from coverage for suicide, aviation, or war risk.
1.20A policy providing preneed insurance as defined in section 61A.258, or designed
1.21to cover, in whole or in part, the goods and services described in section 61A.258,
1.22subdivision 1, clause (3), is not subject to this section.
1.3Statutes 2012, sections 61A.258, by adding a subdivision; 72A.207.
1.4BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.5 Section 1. Minnesota Statutes 2012, section 61A.258, is amended by adding a
1.6subdivision to read:
1.7 Subd. 5. Exception. A policy providing preneed insurance or designed to cover,
1.8in whole or in part, the goods and services described in subdivision 1, clause (3), is not
1.9subject to section 72A.207.
1.10 Sec. 2. Minnesota Statutes 2012, section 72A.207, is amended to read:
1.1172A.207 GRADED DEATH BENEFITS.
1.12For the purpose of this section, a graded death benefit is a provision within a life
1.13insurance policy in which the death benefit, in the early years of the policy, is less than the
1.14face amount of the policy, but which increases with the passage of time.
1.15No policy of life insurance paying a graded death benefit may be issued in this state
1.16unless the graded death benefit is equal to at least four times the first year premium. This
1.17section does not prohibit the return of premiums or premiums plus interest in connection
1.18with the voluntary or judicially ordered rescission of the policy, or according to the terms
1.19of the exclusions from coverage for suicide, aviation, or war risk.
1.20A policy providing preneed insurance as defined in section 61A.258, or designed
1.21to cover, in whole or in part, the goods and services described in section 61A.258,
1.22subdivision 1, clause (3), is not subject to this section.
