Subdivision 1. If more than 100 employees; conditions. A statutory or home rule charter city, county, school district, or instrumentality thereof which has more than 100 employees, may by ordinance or resolution self-insure for any employee health benefits including long-term disability, but not for employee life benefits. Any self-insurance plan shall provide all benefits which are required by law to be provided by group health insurance policies. Self-insurance plans must be certified as provided by section 62E.05 and must be filed and certified by the Department of Commerce before they are issued or delivered to any person in this state.
Subd. 2. Jointly. Any two or more statutory or home rule charter cities, counties, school districts, or instrumentalities thereof which together have more than 100 employees may jointly self-insure for any employee health benefits including long-term disability, but not for employee life benefits, subject to the same requirements as an individual self-insurer under subdivision 1. Self-insurance pools under this section are subject to section 62L.045. A self-insurance pool established and operated by one or more service cooperatives governed by section 123A.21 to provide coverage described in this subdivision qualifies under this subdivision, but the individual school district members of such a pool shall not be considered to be self-insured for purposes of section 471.6161, subdivision 8, paragraph (f). The commissioner of commerce may adopt rules pursuant to chapter 14, providing standards or guidelines for the operation and administration of self-insurance pools.
Subd. 3. Stop-loss coverage. Any self-insurance plan covering fewer than 1,000 employees shall include excess or stop-loss coverage provided by a licensed insurance company, an insurance company approved pursuant to sections 60A.195 to 60A.209, or service plan corporation, but excess or stop-loss coverage need not be obtained for long-term disability.
This excess or stop-loss coverage shall cover all eligible claims incurred during the term of the policy or contract. In addition to excess or stop-loss coverage, the self-insurance plan shall provide for reserving of an appropriate amount of funds to cover the estimated cost of claims incurred, but unpaid, during the term of the policy or contract which shall be added to the expected claim level. These funds shall be in addition to funds reserved to cover the claims paid during the term of the policy or contract. The excess or stop-loss coverage shall be provided at levels in excess of self-insured retention which is appropriate, taking into account the number of covered persons in the group.
Subd. 4. Exclusive representative. (a) No statutory or home rule charter city or county or school district or instrumentality of any of them shall adopt a self insured health benefit plan for any employees represented by an exclusive representative certified pursuant to section 179A.12 without prior notification and consultation on ten days' written notice to the exclusive representative and agreement by the exclusive representative that represents the largest number of employees to be included in the plan.
(b) Prior to a decision to dissolve any self-insurance, trust fund, or dedicated insurance fund created by a single statutory or home rule charter city, county, school district, or instrumentality of any of them, either by ordinance or resolution, the employer must provide 30 days' written notice to each exclusive representative of employees and each individual currently receiving health benefits, and also obtain approval for the proposed action by the exclusive representative that represents the largest number of employees included in the plan. All assets from the trust fund must be audited before closure, and remaining assets must be dedicated for use for health insurance benefits for all individuals currently receiving health benefits. This paragraph does not apply to joint self-insurance trusts or pools.
(c) The assets or liabilities of a joint self-insurance trust or pool that is dissolved must be distributed to members of the joint trust or pool in accordance with the joint trust or pool agreement, if any.
Subd. 4a. May choose, pay for insurance. A statutory or home rule charter city, county, school district, or instrumentality of any of these entities with a self-insurance health benefit plan, may, upon request of the exclusive representative of its employees as certified pursuant to section 179A.12, allow the employees of the exclusive representative to enroll, at their own expense, in the health insurance benefit plan.
Subd. 5. Nondisclosure of claims; exception. No political subdivision or its employee or agent shall disclose any information about individual claims or total claims of an individual without the consent of the individual, except that the information may be disclosed to officers, employees, or agents of the political subdivision to the extent necessary to enable them to perform their duties in administering the health benefit program. This provision shall not prevent the disclosure of aggregate claims for the group without identification of any individual.
A parent or legal guardian of a minor is authorized to act on behalf of the minor in the disclosure of a record.
Subd. 6. Pre-8/1/1980 plans. A statutory or home rule charter city or county or school district, or instrumentality thereof having a self insured health benefit plan on August 1, 1980, may continue to operate that plan notwithstanding that the plan does not meet the minimum employee group size requirement of subdivision 1.
1980 c 528 s 3; 1Sp1981 c 4 art 2 s 44,47; 1982 c 424 s 130; 1983 c 241 s 9-11; 1983 c 289 s 114 subd 1; 1984 c 462 s 27; 1984 c 655 art 1 s 92; 1987 c 384 art 2 s 1; 1993 c 13 art 1 s 41; 1993 c 215 s 1; 1995 c 233 art 2 s 56; 1996 c 446 art 3 s 2; 1997 c 117 s 1; 1998 c 397 art 11 s 3; 2001 c 215 s 40; 2014 c 279 s 12
Structure Minnesota Statutes
Chapters 471 - 472B — Municipalities
Chapter 471 — Municipal Rights, Powers, Duties
Section 471.15 — Recreational Facilities By Municipality; Bonds.
Section 471.16 — Operation Of Program; Levy.
Section 471.17 — Location Of Activities.
Section 471.18 — Education Commissioner To Establish Qualifications.
Section 471.19 — Recreation Program To Be For Education Purposes.
Section 471.191 — Acquisition Of Facilities By City, School District.
Section 471.1911 — Validation Of School District Agreements.
Section 471.1912 — Public Beaches; Lifeguards.
Section 471.193 — Municipal Heritage Preservation.
Section 471.195 — Unclaimed Property; Disposal.
Section 471.198 — Expenditures; National Night Out; Law Enforcement Community Events.
Section 471.24 — Towns, Statutory Cities; Joint Maintenance Of Cemetery.
Section 471.342 — Inflow And Infiltration Program.
Section 471.345 — Uniform Municipal Contracting Law.
Section 471.3455 — Public Safety Equipment Purchase Or Lease.
Section 471.3457 — Veteran-owned Small Business Contracts.
Section 471.3459 — Donation Of Surplus Equipment.
Section 471.346 — Publicly Owned And Leased Vehicles Identified.
Section 471.35 — Specifications Of Supplies Or Equipment.
Section 471.36 — Noncompetitive Supplies And Equipment.
Section 471.371 — Contracts For Construction Of Treatment Works.
Section 471.381 — City, Town, And County Obligations And Payments.
Section 471.382 — Credit Cards.
Section 471.391 — Declaration Form.
Section 471.40 — Auditing Claims.
Section 471.41 — Auditing Accounts Not Itemized A Gross Misdemeanor.
Section 471.415 — Duplicate Warrants Or Orders.
Section 471.425 — Prompt Payment Of Local Government Bills.
Section 471.426 — Direct Deposit.
Section 471.44 — Municipality To Supply Counsel For Police, Peace Officers.
Section 471.45 — Costs And Disbursements To Be Assigned To Municipalities.
Section 471.46 — Vacancies; Persons Ineligible To Appointment.
Section 471.462 — Written Estimate Of Consultant Fees.
Section 471.464 — Ramps At Crosswalks.
Section 471.469 — Elevators In Apartment Buildings.
Section 471.471 — Access Review Board.
Section 471.475 — Iron Range Cities Or Towns May Lease Out Hospital.
Section 471.476 — Ambulance Services, Hennepin County Exception.
Section 471.50 — County Board May Make Agreements In Regard To Taxes.
Section 471.51 — Agreement To State Years Of Payments.
Section 471.52 — Apportionment Of Payments.
Section 471.53 — Who May Make Requests.
Section 471.54 — Use Of Money.
Section 471.55 — Construction Of Sections 471.49 To 471.55.
Section 471.562 — Definitions.
Section 471.563 — Uses Of Loan Repayments.
Section 471.57 — Public Works Reserve Fund.
Section 471.571 — Permanent Improvement Fund, Certain Cities.
Section 471.572 — Infrastructure Replacement Reserve Fund.
Section 471.58 — Range Association Of Municipalities And Schools; Dues.
Section 471.59 — Joint Exercise Of Powers.
Section 471.591 — Extension Of Municipal Services.
Section 471.61 — Group Benefits For Officers, Employees, Retirees.
Section 471.611 — Retirees' Health Insurance Benefits.
Section 471.615 — Individual Annuity For Public Officer, Employee.
Section 471.6151 — Contributions From Lawful Gambling Organizations.
Section 471.6161 — Group Insurance; Governmental Units.
Section 471.617 — Self-insurance Of Employee Health Benefits.
Section 471.6175 — Trust For Postemployment Benefits.
Section 471.62 — Statutes Or Rules May Be Adopted By Reference.
Section 471.63 — Promotion Of Safety And Preservation Of Human Life.
Section 471.631 — Rewards For Information About Felons.
Section 471.635 — Zoning Ordinances.
Section 471.64 — May Get, Dispose Of Property To, From U.s., State Agencies.
Section 471.65 — Grant, Advance, Or Loan From U.s. Or State Government.
Section 471.653 — Distribution Of Certain Federal Payments.
Section 471.655 — Municipality's Economic Opportunity Program Powers.
Section 471.656 — Limits On Bond Issuance For Extraterritorial Projects.
Section 471.661 — Out-of-state Travel.
Section 471.665 — Mileage Allowances.
Section 471.666 — Personal Use Of Publicly Owned Automobiles Prohibited.
Section 471.67 — Agreement Between Commissioner Of Dnr And Municipality.
Section 471.68 — Distribution Of Publications By Any County Or City.
Section 471.685 — Limit On Postsecondary Institution Fees.
Section 471.69 — Limitation Of Tax Levies; Statement.
Section 471.695 — City Defined For Sections 471.695 To 471.699.
Section 471.696 — Fiscal Year; Designation.
Section 471.6965 — Publication Of Summary Budget Statement.
Section 471.697 — Financial Reports; Filing; Cities, Towns Of 2,500.
Section 471.698 — Finance Report, File, Publish Or Post; Cities Under 2,500.
Section 471.6985 — Municipal Liquor Store.
Section 471.699 — Enforcement Of Reporting Requirements.
Section 471.6995 — Extended Time To File Financial Report; Disaster Areas.
Section 471.70 — Annual Report Of Outstanding Obligations.
Section 471.701 — Salary Data.
Section 471.707 — Vending Machine License Fees; Notice.
Section 471.709 — Massage Therapist License; Permit.
Section 471.72 — Application; Purpose.
Section 471.73 — Acceptance Of Provisions.
Section 471.75 — Orders, Sufficient Funds; Certificates Of Indebtedness.
Section 471.76 — Expenditures, Obligations; Clerk's Statement.
Section 471.77 — Indebtedness Contracted In Excess Of Revenue.
Section 471.78 — Indebtedness In Excess Of Revenue, Contracts Void.
Section 471.81 — Construction.
Section 471.82 — Repealer, Exceptions.
Section 471.83 — Severable, Effect.
Section 471.831 — Municipality May File Bankruptcy Petition.
Section 471.84 — Cemeteries; Appropriation By Certain Subdivisions.
Section 471.85 — Property Transfer; Public Corporations.
Section 471.86 — Protection For Firefighter Driver Sued For Damages.
Section 471.87 — Public Officers, Interest In Contract; Penalty.
Section 471.881 — Exceptions; Application.
Section 471.89 — Contract, When Void.
Section 471.895 — Certain Gifts By Interested Persons Prohibited.
Section 471.90 — Statutory Cities, Hospital; Transfer To County.
Section 471.91 — Air Travel Accounts.
Section 471.92 — Dangerous Excavations.
Section 471.924 — County Regulation Of Secondhand And Junk Dealers.
Section 471.925 — Definitions.
Section 471.926 — Relation To Other County Authority.
Section 471.927 — Cooperation With Municipalities.
Section 471.929 — Enforcement.
Section 471.93 — Appropriations For Historical Work By Municipalities.
Section 471.935 — Appropriations For Senior, Youth Centers.
Section 471.941 — Appropriation For Artistic Activities.
Section 471.95 — Patients In Public Hospitals, Extension Of Credit.
Section 471.96 — Members Of Civic Educational Associations.
Section 471.97 — Authority To Advance Expense Money.
Section 471.98 — Self-insurance; Definitions.
Section 471.981 — Self-insurance Coverage By Political Subdivision.
Section 471.982 — Review Of Joint Self-insurance Pool.
Section 471.985 — County And City Ordinances Prohibiting Trespassing.
Section 471.99 — Notice Of Government Action.
Section 471.991 — Definitions.
Section 471.992 — Equitable Compensation Relationships.
Section 471.993 — Compensation Relationships Of Positions.
Section 471.994 — Job Evaluation System.
Section 471.995 — Report Availability.
Section 471.9966 — Effect On Other Law.
Section 471.997 — Human Rights Act, Evidence.
Section 471.9981 — Counties And Cities; Pay Equity Compliance.
Section 471.999 — Report To Legislature.
Section 471.9995 — Rental Dwelling Notice.
Section 471.9996 — Rent Control Prohibited.
Section 471.9997 — Federally Assisted Rental Housing; Impact Statement.