South Dakota Code § 58-5-118

Officers and directors permitting new business during impairment of capital or surplus--Liability for losses
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The officers and each director of an insurer who, after knowing that the insurer's capital is impaired, if a stock insurer, or surplus, if a mutual insurer, as provided in §
58-5-114
, permits or assents in the writing of new business by the insurer in this state after the expiration of the period allowed by the director under §
58-5-114
within which to cure the deficiency, shall, together with their respective estates, be severally and jointly liable for the amount of losses which may be incurred by the insured under any such new insurance.

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