ID S1117

Amends Idaho Code Section 41-4010 to allow the Department of Insurance Director to extend the minimum surplus requirement period for newly formed self-funded insurance plans by up to 12 additional months beyond the initial 12-month deadline.

Newly formed plans with no prior operating history must meet minimum surplus requirements no later than 12 months after initial operation, with possible extension if the plan meets all other chapter provisions.

For plans already registered with the department on the effective date, provides 24 months from the law's effective date to increase surplus levels to comply with subsection (3) requirements.

Existing surplus funding mechanisms remain available, including reserves for claims liability, unearned contributions, and contribution deficiency, with up to one-third of required surplus fundable through irrevocable letters of credit from banks with Idaho branches.