Subdivision 1. License required. No data service organization shall provide any service and no insurer shall use the services of a data service organization unless the organization is licensed by the commissioner.
Subd. 2. Procedure; application. A data service organization shall apply for a license in a form and manner prescribed by the commissioner. The application of a data service organization shall include:
(1) a copy of its constitution, articles of incorporation, bylaws, and other rules pertaining to the conduct of its business;
(2) a plan and narrative describing how it will perform the activities required by section 79.61;
(3) a statement showing its technical qualifications; and
(4) any other information that the commissioner may reasonably require.
Subd. 2a. Employer representation. The commissioner may appoint two representatives of employers to serve on the board of directors of each licensed data service organization. These directors serve for a term of two years and are entitled to vote on all matters under consideration.
Subd. 3. Issuance. The commissioner, upon finding that the applicant organization is qualified to provide the services required and proposed, or has contracted with a licensed data service organization to purchase these services which are required by this chapter but are not provided directly by the applicant, and that all requirements of law are met, shall issue a license. Each license is subject to annual renewal effective June 30. Each new or renewal license application must be accompanied by a fee of $1,000.
Subd. 4. Suspension; revocation. The commissioner may, after a hearing on the record, revoke or suspend the license of a data service organization if the commissioner finds that the organization is not in compliance with the requirements of this chapter or rules issued thereunder.
Subd. 5. Licensee examination. The commissioner may examine any licensed data service organization or applicant for this license to determine whether its activities and practices comply with law. The cost of the examination shall be paid by the examined organization pursuant to section 60A.03.
1981 c 346 s 33; 1Sp1985 c 10 s 73; 1986 c 444; 2005 c 132 s 28
Structure Minnesota Statutes
Chapters 59A - 79A — Insurance
Chapter 79 — Workers' Compensation Insurance
Section 79.074 — Discrimination.
Section 79.081 — Mandatory Deductibles.
Section 79.085 — Safety Programs.
Section 79.095 — Appointment Of Actuary.
Section 79.096 — Access To Rate-making Data.
Section 79.10 — Review Of Acts Of Insurers.
Section 79.211 — Certain Premium Determination Practices.
Section 79.251 — Administration Of Assigned Risk Plan.
Section 79.252 — Assigned Risk Plan.
Section 79.253 — Assigned Risk Safety Account.
Section 79.255 — Workers' Compensation Insurance; Lessors Of Employees.
Section 79.34 — Creation Of Reinsurance Association.
Section 79.35 — Duties; Responsibilities; Powers.
Section 79.36 — Additional Powers.
Section 79.361 — Post-1992 Distribution Of Workers' Compensation Reinsurance Association Surplus.
Section 79.362 — Workers' Compensation Reinsurance Association Excess Surplus Distribution.
Section 79.363 — Distribution Of Excess Surplus.
Section 79.37 — Board Of Directors.
Section 79.38 — Plan Of Operation.
Section 79.39 — Applicability Of Chapter 79.
Section 79.40 — Premium Inclusion In Ratemaking.
Section 79.53 — Premium Calculation.
Section 79.531 — Negligently Paid Claims.
Section 79.55 — Standards For Rates.
Section 79.56 — Filing Rates And Rating Information.
Section 79.561 — Disapproval Of Rates Or Rating Plans.
Section 79.59 — Insurers And Data Service Organizations; Prohibited Activities.
Section 79.60 — Insurers; Required And Permitted Activity.
Section 79.61 — Data Service Organizations; Required And Permitted Activity.
Section 79.62 — Data Service Organizations; Licensing, Examination.