SDCL § 58-20-33: Involuntary termination of membership in self-insurance association.

A member may be involuntarily terminated as a member of the association if the department finds, after due notice and hearing, that the member:

(1) Has failed to pay any contribution or assessment due to the association;

(2) Has failed to comply with §§ 58-20-25 to 58-20-40, inclusive, or the rules promulgated pursuant to §§ 58-20-25 to 58-20-40, inclusive; or

(3) Has failed to comply with the bylaws, loss control policies or discharge any other obligation it owes to the association.

A hearing may be initiated by the department on its own initiative or upon the request of the association's board of directors.