A new law effective August 1, 2006 , provides that a
homeowner's insurance does not cover losses for homes that provide
foster care for adults unless the policy specifically covers it.
Furthermore, the law would prohibit an insurer from refusing to issue or
renew homeowner's insurance because the property covered is used to
provide adult foster care for five or fewer residents.
Omnibus Commerce Department Insurance Bill.
Effective August 1, 2006,
law changes include a new law that will regulate licensee education,
certain insurance forms, rates, coverage, filings and reporting and
utilization reviews and claims.
Under the new law,
health insurers may use premium rates without prior approval for the
Department of Commerce if they guarantee that their products produce a
minimum annual loss ratio of 65 percent. If their annual loss
ratio is lower, they will be required to refund or credit individual
policy holders in the amount necessary to bring it up to the guaranteed
The law defines two
new Medicare supplement plans offering 50% coverage or 75% coverage.
Workers' Comp Faxing.
Effective August 1, 2006, a new law will
allow for fax filing of a notice of appeal to the workers' compensation
Another new law limits state and municipal
tort liability damage awards in such a way that claims brought against
two or more government entities involved in a joint venture may not
exceed the limits on governmental liability for a single governmental
Prescription Drug Costs.
A new law provides continuing coverage for Minnesotans who had
difficulty getting their prescriptions because of problems with the new
federal prescription drug benefit. Now the state will seek federal