ENTITLED, An Act to define the insurer's responsibilities concerning health insurance policies in
relation to the eligibility of minor dependents for coverage.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF SOUTH DAKOTA:
Section 1. That chapter 58-17 be amended by adding thereto a NEW SECTION to read as
For any insurer that chooses to automatically cover any newborn or newly adopted child as a
dependent without requiring the notice in § 58-17-30.4 and does not collect or track the demographic
information on the dependent child, the insurer shall take reasonable steps to provide adequate notice
of the insured's responsibility to advise the insurer when there is no longer any child eligible for
dependent coverage. An insurer is considered to have taken reasonable steps if prominent disclosure
of this responsibility is included in the policy or certificate, subscriber contract, evidence of
coverage, or employee handbook if such are provided to all insureds and also provided to prospective
insureds at the time of application for coverage. Upon receipt of a notice that a dependent is no
longer eligible, the insurer shall adjust the coverage accordingly and, if applicable, return to the
insured any unearned premium. This section applies to any policy or certificate subject to the
provisions of chapters 58-17 and 58-18.
An Act to define the insurer's responsibilities concerning health insurance policies in relation to the
eligibility of minor dependents for coverage.
I certify that the attached Act
originated in the
HOUSE as Bill No. 1074
Speaker of the House
President of the Senate
Secretary of the Senate
House Bill No. 1074
File No. ____
Chapter No. ______
Received at this Executive Office
this _____ day of _____________ ,
20____ at ____________ M.
for the Governor
The attached Act is hereby
approved this ________ day of
______________ , A.D., 20___
STATE OF SOUTH DAKOTA,
Office of the Secretary of State
Filed ____________ , 20___
at _________ o'clock __ M.
Secretary of State
Asst. Secretary of State