MN Commerce: Flexibility for Federal Employees Affected by Shutdown

Memorandum to Regulated Entities Related to Assistance to Individuals Affected by the Federal Government Shutdown Date: November 7, 2025 To: All entities regulated under Minnesota Insurance and Financial Institutions Laws From: Commissioner Grace Arnold, Minnesota Department of Commerce Over 18,000 Minnesotans who are federal employees face financial hardship due to the ongoing shutdown of the federal government. The Department of Commerce (Commerce) is issuing this memo to regulated entities to request that they take provide flexibility to Minnesota policyholders and customers who are federal workers affected by the shutdown. The Department encourages all admitted and non-admitted insurance companies licensed in Minnesota to sell insurance coverage to: • Provide an additional grace period beyond existing statutory requirements for payment of insurance premiums, and non-renewal or cancellation notices due to non-payment, so that policies are not cancelled during this period of uncertainty. • Consider waiving fees, penalties or other adverse consequences for late payments. • Offer flexible or alternative payment arrangements to help affected Minnesotans maintain continuous coverage. • Extend deadlines for affected Minnesota residents to report claims, submit other communications related to claims, or to make repairs necessary to maintain coverage. • Provide clear communication and customer service to affected Minnesotans about the availability of the flexible arrangements listed above. The Department encourages all state-chartered and licensed financial institutions authorized to conduct business in Minnesota to: • Work constructively with affected customers. The department views prudent loan modification programs to financial institution customers affected by the ongoing shutdown of the federal

government as positive actions that can effectively manage or mitigate adverse impacts on borrowers due to the shutdown, and lead to improved loan performance and reduced credit risk. • Consider waiving fees, penalties or other adverse consequences for late loan payments or deficient account balances. • Provide clear and proactive customer service to affected Minnesotans about the availability of any flexible arrangements that your institution intends to offer. Many regulated entities have already engaged in some, or all, of the measures listed above. The Department also recognizes potential strain the federal shutdown may have on company operations. Commerce thanks companies that have already taken proactive steps to help Minnesotans affected by the federal shutdown during this difficult time. Thank you for your partnership and commitment to supporting Minnesotans during the federal shutdown. Sincerely, Grace Arnold Commissioner