S.D. Admin. R. 20:06:60:05

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

Section 20:06:60:05 - Description of Policies and Practices

The insurer or insurance group shall describe the policies and practices of the most senior governing entity and significant committees thereof, including a discussion of the following factors:

(1) How the qualifications, expertise, and experience of each Board member meet the needs of the insurer or insurance group;

(2) How an appropriate amount of independence is maintained on the Board and its significant committees;

(3) The number of meetings held by the Board and its significant committees over the past year as well as information on director attendance;

(4) How the insurer or insurance group identifies, nominates and elects members to the Board and its committees. The discussion should include, for example:

(a) Whether a nomination committee is in place to identify and select individuals for consideration;

(b) Whether term limits are placed on directors;

(c) How the election and re-election processes function; and

(d) Whether a Board diversity policy is in place and if so, how it functions; and

(5) The processes in place for the Board to evaluate its performance and the performance of its committees, as well as any recent measures taken to improve performance, including any Board or committee training programs that have been put in place.

S.D. Admin. R. 20:06:60:05

46 SDR 146, effective 7/2/2020

General Authority: SDCL 58-5-166

Law Implemented: SDCL 58-5-166