This bill seeks to enhance the regulation of limited long-term care insurance in Minnesota by amending Minnesota Statutes 2024, section 45.027. It grants the commissioner of commerce the authority to conduct data calls, which are defined as written requests for information from regulated entities. The information collected through these data calls will be classified as nonpublic data, not subject to subpoena, although summary data may be disclosed publicly. The bill also introduces the "Limited Long-Term Care Insurance Act," which establishes standards for insurance policies, ensuring they do not discriminate based on age, gender, or health status, and outlines eligibility requirements, waiting periods, and conditions regarding preexisting conditions.

Additionally, the bill mandates that insurers provide a coverage outline to applicants at the time of solicitation, detailing critical information about the policy. It requires insurers to give a written explanation for any claim denials within 60 days and establishes an incontestability period for policies. The commissioner is empowered to adopt rules to ensure premium adequacy and protect policyholders from significant rate increases. Penalties for violations of these regulations can include fines up to three times the commissions paid for each policy involved or up to $10,000. The changes are set to take effect on January 1, 2026.

Statutes affected:
Introduction: 65B.10, 45.027, 65B.02, 65B.05, 65B.06
1st Engrossment: 45.027