62F.04 Authorization to issue insurance. 

    Subdivision 1.    Commissioner's determination.  If the 
 commissioner determines after a hearing that medical malpractice 
 insurance cannot be made available for either physicians, 
 hospitals or other specific types of health care providers in 
 the voluntary market, the commissioner shall authorize the 
 association to issue medical malpractice insurance on a primary 
 basis for physicians, hospitals or other health care providers.  
 If the commissioner determines after a hearing that insurance 
 issued by the association can be made available in the voluntary 
 market, the commissioner shall revoke the association's 
 authorization to issue that insurance which can be made 
 available. 

    Subd. 1a. Repealed, 2002 c 307 art 1 s 2 

    Subd. 2.    Association's duty.  If the association is 
 authorized by the commissioner to issue insurance, it shall: 

    (a) issue or cause to be issued insurance policies to 
 applicants, including incidental coverages, subject to limits as 
 specified in the plan of operation but not to exceed $1,000,000 
 for each claimant under one policy and $3,000,000 for all 
 claimants under one policy in any one year; 

    (b) underwrite the insurance and adjust and pay losses with 
 respect thereto, or appoint service companies to perform those 
 functions; 

    (c) assume reinsurance from its members; and 

    (d) cede reinsurance. 

    Subd. 3.    Avoidance of grave risk.  Because the 
 activities of certain persons or entities present a risk that is 
 so great, the association shall not offer insurance coverage to 
 any person or entity the board of directors of the association 
 determines is outside the intended scope and purpose of the 
 association because of the gravity of the risk of offering 
 insurance coverage. 

    HIST: 1976 c 242 s 5; 1986 c 444; 1986 c 455 s 18; 1996 c 446 
 art 1 s 44; 2002 c 307 art 1 s 1