An Act to authorize dentists to void certain contract terms with insurers.

Be it enacted by the Legislature of the State of South Dakota:

Section 1. That a NEW SECTION be added:

58-17-146.1. Certain contract terms voidable by dentist.

Any assignment or other contractual term in an agreement between an insurer and a dentist that purports to share, transfer, or assign contractual discounts to a third party insurer or entity, without relinquishing the insurer's rights, is severable and voidable at the dentist's option at the time the agreement is executed by the dentist. The third party access provision of the agreement shall be clearly identified.

For purposes of this section, a third party insurer or entity does not include an insurer or entity operating under the same brand licensee program as the contracting insurer.