South Dakota Code § 58-33-110

Circumstances mitigating violation of §§
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58-33-102
to
58-33-108
.
Any violation of §§
58-33-102
to
58-33-108
, inclusive, is mitigated, and the division shall reduce or eliminate any sanction otherwise applicable, if a licensee or other person demonstrates all of the following:
(1) The licensee or other person maintained supervisory procedures and controls that complied with §
58-33-112
;
(2) The violation occurred despite the maintenance of those procedures and controls;
(3) The licensee or other person promptly reported the health benefit plan to the MEWA contact once the licensee or other person had actual knowledge that it was unauthorized health insurance; and
(4) The licensee or other person took prompt corrective action.

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