1.1 A bill for an act
1.2 relating to insurance; requiring dental organizations to meet a loss ratio requirement;
1.3 amending Minnesota Statutes 2024, section 62Q.76, by adding a subdivision;
1.4 proposing coding for new law in Minnesota Statutes, chapter 62Q.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.6 Section 1. Minnesota Statutes 2024, section 62Q.76, is amended by adding a subdivision
1.7to read:
1.8 Subd. 1a.Commissioner."Commissioner" means the commissioner of commerce.
1.9 EFFECTIVE DATE.This section is effective January 1, 2026.
1.10 Sec. 2. [62Q.761] DENTAL LOSS RATIO.
1.11 Subdivision 1.Loss ratio calculation.Dental loss ratio is equal to the total claims paid
1.12by a dental organization divided by gross premium revenue received by the dental
1.13organization for providing dental care services to enrollees.
1.14 Subd. 2.Rebate.(a) A dental organization's dental loss ratio calculated under subdivision
1.151 must be at least 85 percent.
1.16 (b) A dental organization that does not meet the dental loss ratio under paragraph (a)
1.17must provide remediation to the dental organization's enrollees. Remediation may be achieved
1.18by issuing a direct rebate to enrollees, an increase in dental plan benefit limits for the
1.19following year, or other methods determined by the commissioner.
1.20 Subd. 3.Rate review and approval.A dental organization must file with the
1.21commissioner proposed changes to premium rates that are effective during the next calendar
1Sec. 2.
25-01007 as introduced01/15/25 REVISOR RSI/DG
SENATE
STATE OF MINNESOTA
S.F. No. 1204NINETY-FOURTH SESSION
(SENATE AUTHORS: BOLDON, Gruenhagen, Rest and Marty)
OFFICIAL STATUSD-PGDATE
Introduction and first reading02/10/2025
Referred to Commerce and Consumer Protection 2.1year. The commissioner may disapprove a proposed rate change using the standards under
2.2section 62A.02, subdivision 3.
2.3 Subd. 4.Reporting.(a) By March 1, 2027, a dental organization must submit a report
2.4to the commissioner showing the dental organization's dental loss ratio for each year of the
2.5prior three calendar years and an actuarial memorandum disclosing the financial information
2.6that was used to calculate the dental loss ratio.
2.7 (b) By March 1, 2028, and each year thereafter, a dental organization must submit a
2.8report to the commissioner showing its dental loss ratio for the previous calendar year, an
2.9actuarial memorandum disclosing the financial information that was used to calculate the
2.10dental loss ratio, a detailed summary of any proposed rate change filed under subdivision
2.113, and any other information determined by the commissioner.
2.12 (c) The commissioner must publish on the Department of Commerce's website an annual
2.13report containing the information submitted by a dental organization under paragraphs (a)
2.14and (b). The information must be published in a manner that allows the public to search and
2.15compare the dental loss ratios of all dental organizations.
2.16 EFFECTIVE DATE.(a) Subdivision 1 is effective January 1, 2026.
2.17 (b) Subdivision 2 is effective January 1, 2028.
2.18 (c) Subdivisions 3 and 4 are effective January 1, 2027.
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