S.D. Admin. R. 20:06:09:38

Current through Register Vol. 50, page 159, June 17, 2024

Section 20:06:09:38 - Description of transactions for Form D filing

The person filing the Form D must furnish the following information for each transaction for which notice is being given:

(1) A statement as to whether notice is being given under SDCL 58-5A-56;

(2) A statement of the nature of the transaction;

(3) The proposed effective date of the transaction;

(4) A statement of how the transaction meets the standards of SDCL 58-5A-32(1);

(5) A brief description of the amount and source of funds, securities, property, or other consideration for the sale, purchase, exchange, loan, extension of credit, guarantee, or investment and whether any provision exists for purchase by the insurer filing notice, by any party to the transaction, or by any affiliate of the insurer filing notice;

(6) A description of the terms of any securities being received and a description of any other agreements relating to the transaction, such as contracts or agreements for services, consulting agreements, and the like;

(7) If the transaction involves other than cash, a description of the consideration, its costs, and its fair market value, together with an explanation of the basis for evaluation;

(8) If the transaction involves a loan, extension of credit, or a guarantee, a description of the maximum amount which the insurer will be obligated to make available under the loan, extension of credit, or guarantee, the date on which the credit or guarantee will terminate, and any provisions for the accrual of or deferral of interest;

(9) If the transaction involves an investment, guarantee, or other arrangement, the time period during which the investment, guarantee, or other arrangement will remain in effect, together with any provisions for extensions or renewals of such investments, guarantees, or arrangements and a brief statement of the effect of the transaction on the insurer's surplus; and

(10) The information required by SDCL 58-5A-56.

No notice need be given if the maximum amount which can at any time be outstanding or for which the insurer can be legally obligated under the loan, extension of credit or guarantee is less than in the case of non-life insurers, the lesser of 3% of the insurers admitted assets or 25% of the surplus as regards policyholders, or in the case of life insurers, 3% of the insurers admitted assets, each as of the 31^st day of December next preceding.

S.D. Admin. R. 20:06:09:38

20 SDR 36, effective 9/19/1993.

42 SDR 83, effective 12/3/2015

General Authority: SDCL 58-5A-70.

Law Implemented: SDCL 58-5A-56, 58-5A-70.