Current through Register Vol. 49, No. 13, September 23, 2024
Subpart
1.
Application procedure.
Any person or entity desiring to be licensed as an
administrator pursuant to Minnesota Statutes, section
60A.23, subdivision
8, shall apply to the commissioner in writing and on forms available from the
commissioner. The licensee shall designate areas of risk management services
which the administrator may perform. Any license granted is effective for a
period of two years unless surrendered by the licensee, or unless the license
is revoked or suspended by order of the commissioner. The license is
transferable only upon prior written approval by the commissioner as to new
ownership or new management of the administrator.
Subp. 2.
Application contents.
Each application for a license as an administrator must:
A. Be signed and sworn to by the applicant,
or its owners, and be accompanied by the license fee required by Minnesota
Statutes, section
60A.23. If the
applicant is a corporate applicant, it must be verified by the president and
secretary of the corporation. All fees must be paid by check, draft, or other
negotiable instrument. Cash will not be accepted.
B. Describe the specific areas of risk
management services intended to be provided.
C. Identify the owners of the company,
including all partners of a partnership and all officers of a
corporation.
D. Describe the
organization and staff, with specific information concerning their expertise to
provide service in the areas stated. This information must include detailed
resumes of the applicant's key employees and all officers of any subcontractor.
Resumes must state each person's name, age, resident address, licensing
history, and qualifications and experience relating to the work they are to
perform. The information must include:
(1) the
experience and history of accountants, if applicable;
(2) if the applicant or its subcontractor
intends to provide workers' compensation and other liability claims adjusting,
a resume detailing the experience of the supervisor who shall possess at least
three years' experience adjusting claims in the area of services to be
provided; and
(3) a copy of the
license of the adjuster responsible for adjusting workers' compensation or
other liability claims, if applicable. The administrator or its subcontractor
shall have at least one adjuster who holds a license under Minnesota Statutes,
chapter 72B and that adjuster shall be a resident of Minnesota.
E. Fully describe violations or
investigations by any governmental agency which are known to the applicant
concerning any person who is or may be affiliated with the applicant as an
owner, shareholder, officer, employee, subcontractor, or employee of a
subcontractor.
F. Submit proof of
coverage under a fidelity bond for all persons involved in collecting money and
making claims payments, and all officers of the company. The bond must cover
losses from dishonesty, theft, forgery or alteration, and misplacement or
mysterious and unexplainable disappearance. The bond must cover the actions of
the persons subject to the bond as to their handling of clients' money as well
as the administrator's money.
G.
State the name and address of a resident agent who is authorized to act on
behalf of the administrator and to accept service of process.
H. Include financial statements for the
previous three years, or for as many years as the administrator has been in
business up to three years. Financial statements for a period ending more than
six months prior to the date of the application must be accompanied by an
affidavit signed by a company officer under oath describing any material change
in the net worth or the financial condition of the applicant since the date of
the last financial statement.
I.
Contain a statement that the applicant and its officers and supervising
managers shall be responsible for the supervision of the actions of any and all
personnel and subcontractors acting on behalf of the applicant.
