South Dakota § 58-20-16 - Reinsurance reserve--Amount required.
Full text of South Dakota South Dakota Codified Laws § 58-20-16 — Reinsurance reserve--Amount required., with citation guidance and answers to common questions.
§ 58-20-16. Reinsurance reserve--Amount required.
Any insurer engaging in the business of writing workers' compensation insurance in this state shall maintain a reinsurance reserve for outstanding losses under such insurance, for which the insured is liable as follows:
(1) For all liability suits being defended under policies written more than ten years prior to the date as of which the statement is made, one thousand five hundred dollars for each suit; five and less than ten years prior to the date as of which the statement is made, one thousand dollars for each suit; three and less than five years prior to the date as of which the statement is made, eight hundred fifty dollars for each suit.
(2) For all liability policies written during the three years immediately preceding the date as of which the statement is made, such reserve shall be sixty percent of the earned liability premiums of each of such years, less all loss and loss expense payments made under liability policies written in the corresponding years; but in any event, such reserve shall, for the first of such three years, be not less than seven hundred fifty dollars for each outstanding liability suit on said year's policies.
(3) For all compensation claims under policies written more than three years prior to the date as of which the statement is made, the present values at four percent interest of the determined and the estimated future payments.
(4) For all compensation claims under policies written in the three years immediately preceding the date as of which the statement is made, such reserve shall be sixty-five percent of the earned compensation premiums of each of such three years, less all loss and loss expense payments made in connection with such claims under policies written in the corresponding years; but in any event, in the case of the first year of any such three-year period, such reserve shall be not less than the present value at four percent interest of the determined and the estimated unpaid compensation claims under policies written during such year.
Source: SL 1966, ch 111, ch 29, § 2.
Source: official South Dakota text · Last verified 2026-08-27
Frequently Asked Questions About South Dakota § 58-20-16
What does South Dakota Codified Laws § 58-20-16 cover?
Section 58-20-16 ("Reinsurance reserve--Amount required.") is part of the South Dakota Codified Laws, the codified statutory law of South Dakota. It sets out the legal rule or procedure described in the text above. Statutes are amended regularly, so always verify against the official source.
How do I cite South Dakota § 58-20-16?
A common citation format is "South Dakota Codified Laws § 58-20-16" (South Dakota). Legal writing may require the code abbreviation, section number, and year or edition. Match the style required by your court, professor, or publisher.
Is this the official text of South Dakota law?
No. This page is for research and education and may not include the most recent amendments. For official current law, check the South Dakota official source linked on this page or consult a licensed South Dakota attorney.
How does South Dakota § 58-20-16 apply to my situation?
Statutes are interpreted in context, and application depends on your specific facts. Only a licensed attorney in South Dakota can advise on how this section applies to you. Contact your state or local bar association for a referral.
Sources & Verification
Not legal advice. Verify against the official source and consult a licensed attorney in South Dakota.