Title 31A, Title 31A: Insurance Code

31A-23a-1005. Investigations. (1) To enforce the provisions of this part, including Section 8 of RESPA, the division may conduct a public or private investigation within or outside of the state as the division considers necessary to determine whether a person has violated a provi…

31A-23a-1006. Disciplinary action. (1) Subject to the requirements of Section, the division may impose a sanction described in Subsectionagainst a person if the person is: 31A-23a-1007 (2) a title entity or a person previously licensed as a title entity for an act the person comm…

31A-23a-1007. Adjudicative proceedings -- Review -- Coordination with department. (1) Before an action described in Sectionmay be taken, the division shall: 31A-23a-1006 give notice to the person against whom the action is brought; and commence an adjudicative proceeding. If afte…

31A-23a-101. Purposes. The purposes of this chapter include: (1) promoting the professional competence of insurance producers, surplus lines producers, limited line producers, consultants, managing general agents, and reinsurance intermediaries; (2) providing maximum freedom of m…

31A-23a-102. Definitions. As used in this chapter: (1) "Bail bond producer" is as defined in Section. 31A-35-102 (2) "Designated home state" means the state or territory of the United States or the District of Columbia: in which an insurance producer, limited lines producer, cons…

31A-23a-103. Requirement of license. (1) Unless exempted from the licensing requirement under Sectionor, a person may not perform, offer to perform, or advertise any service as a producer, surplus lines producer, limited line producer, consultant, managing general agent, or reins…

31A-23a-104. Application for individual license -- Application for agency license. (1) This section applies to an initial or renewal license as a: producer; surplus lines producer; limited line producer; consultant; managing general agent; or reinsurance intermediary. (2) Subject…

31A-23a-105. General requirements for individual and agency license issuance and renewal. (1) The commissioner shall issue or renew a license to a person described in Subsection (1)(b) to act as: a producer; a surplus lines producer; a limited line producer; a consultant; a manag…

31A-23a-106. License types. (1) A resident or nonresident license issued under this chapter shall be issued under the license types described under Subsection. (2) A license type and a line of authority pertaining to a license type describe the type of licensee and the lines of b…

31A-23a-107. Character requirements. An applicant for a license under this chapter shall show to the commissioner that: (1) the applicant has the intent in good faith, to engage in the type of business that the license applied for would permit; (2) if a natural person, the applic…

31A-23a-108. Examination requirements. (1) The commissioner may require an applicant for a particular license type under Sectionto pass a line of authority examination as a requirement for a license, except that an examination may not be required of an applicant for: 31A-23a-106 …

31A-23a-109. Nonresident jurisdictional agreement. (1) If a nonresident license applicant has a valid producer, surplus lines producer, limited line producer, consultant, managing general agent, or reinsurance intermediary license from the nonresident license applicant's home sta…

31A-23a-110. Form and contents of license. (1) A license issued under this chapter shall be in the form the commissioner prescribes and shall set forth: the name and address of the licensee; the license types and lines of authority under Section; 31A-23a-106 the date of license i…

31A-23a-111. Revoking, suspending, surrendering, lapsing, limiting, or otherwise terminating a license -- Forfeiture -- Rulemaking for renewal or reinstatement. (1) A license type issued under this chapter remains in force until: the commissioner revokes or suspends the license u…

31A-23a-112. Probation -- Grounds for revocation. (1) The commissioner may place a licensee on probation for a period not to exceed 24 months as follows: after an adjudicative proceeding under, for circumstances that would justify a suspension under Section; or Title 63G, Chapter…

31A-23a-113. License lapse and voluntary surrender. (1) A license issued under this chapter, including a line of authority, shall lapse if the licensee fails to: pay when due a fee under Section; 31A-3-103 complete continuing education requirements under Sectionbefore submitting …

31A-23a-114. Temporary individual or agency license -- Trustee for terminated licensee's business. (1) The commissioner may issue a temporary individual or agency license: to a person listed in Subsection: (1)(b) if the commissioner considers that the temporary license is necessa…

31A-23a-115. Appointment of individual and agency insurance producer, limited line producer, or managing general agent -- Reports and lists. (1) An insurer shall appoint an individual or agency with whom it has a contract as an insurance producer, limited line producer, or managi…

31A-23a-115.5. Use of customer service representative. A producer, surplus lines producer, or consultant who employs a customer service representative is responsible for the duties performed by the customer service representative. A customer service representative: (1) may not ma…

31A-23a-116. Services performed for unauthorized insurers. (1) A person licensed under, may not perform an act that assists a person not authorized as an insurer to act as an insurer. Chapter 23a, Insurance Marketing - Licensing Producers, Consultants, and Reinsurance Intermediar…

31A-23a-117. Special requirements for life settlement providers and producers. (1) A life settlement provider or life settlement producer shall be licensed in accordance with this title, with the additional requirements listed in this section. (2) A life settlement provider shall…

31A-23a-118. Car rental related licensing requirements. (1) Subject to Section, a person is required to hold a limited line producer license with a car rental related insurance limited line of authority to sell or offer car rental related insurance coverage under a car rental rel…

31A-23a-119. Special requirements for agency title insurance producers. (1) As used in this section: "Applicable percentage" means: on January 1, 2024, through December 31, 2024, 2.5%; on January 1, 2025, through December 31, 2025, 3%; on January 1, 2026, through December 31, 202…

31A-23a-201. Exceptions to producer licensing. (1) The commissioner may not require a license as an insurance producer of: an officer, director, or employee of an insurer or of an insurance producer if: the officer, director, or employee does not receive any commission on a polic…

31A-23a-202. Continuing education requirements. (1) In accordance with this section, the commissioner shall by rule prescribe the continuing education requirements for a producer and a consultant. (2) The commissioner may not state a continuing education requirement in terms of f…

31A-23a-203. Training period requirements. (1) A producer is eligible to become a surplus lines producer only if the producer: has passed the applicable surplus lines producer examination; has been a producer with property or casualty or both lines of authority for at least three…

31A-23a-203.5. Errors and omissions coverage requirements. (1) In accordance with this section, a resident individual producer shall ensure that the resident individual producer is covered: for the legal liability of the resident individual producer as the result of an erroneous …

31A-23a-204. Special requirements for title insurance producers and agencies. (1) An individual title insurance producer or agency title insurance producer shall be licensed in accordance with this chapter, with the additional requirements listed in this section. (2) A person tha…

31A-23a-205. Special requirements for bail bond producers and bail bond enforcement agents. (1) As used in this section, "bail bond producer" and "bail enforcement agent" have the same definitions as in Section. 31A-35-102 (2) A bail bond producer may not operate in this state wi…

31A-23a-206. Special requirements for variable contracts line of authority. (1) Before applying for a variable contracts line of authority: a producer shall be licensed under Sectionas a: 61-1-3 broker-dealer; or broker-dealer agent; and a consultant shall be licensed under Secti…

31A-23a-207. Registration of motor club agents. (1) Subsectiondoes not apply to persons who sell no insurance products other than motor club service contracts, if those contracts provide only for those services described in Subsectionsthrough, and personal accident insurance prov…

31A-23a-208. Producer and agency authority in health insurance exchange. A producer or agency licensed under this chapter, with a line of authority that permits the producer or agency to sell, negotiate, or solicit accident and health insurance, is authorized to sell, negotiate, …

31A-23a-301. Agency license. An insurance organization shall be licensed as an agency if the insurance organization acts as: (1) a producer; (2) a surplus lines producer; (3) a limited line producer; (4) a consultant; (5) a managing general agent; or (6) a reinsurance intermediar…

31A-23a-302. Agency designations. (1) An agency shall designate an individual that has an individual producer, surplus lines producer, limited line producer, consultant, managing general agent, or reinsurance intermediary license to act on the agency's behalf in order for the lic…

31A-23a-401. Disclosure of conflicting interests. (1) Except as provided under Subsection: (1)(b) a licensee under this chapter may not act in the same or any directly related transaction as: a producer for the insured or consultant; and producer for the insurer; and a producer f…

31A-23a-402. Unfair marketing practices -- Communication -- Unfair discrimination -- Coercion or intimidation -- Restriction on choice. (1) Any of the following may not make or cause to be made any communication that contains false or misleading information, relating to an insura…

31A-23a-402.5. Inducements. (1) Except as provided in Subsection, a producer, consultant, or other licensee under this title, or an officer or employee of a licensee, may not induce a person to enter into, continue, or terminate an insurance contract by offering a benefit that is…

31A-23a-403. Inherent unsuitability. (1) If the commissioner finds after a hearing that a certain type of accident and health insurance, life insurance, or annuity product is inherently unsuitable for persons of certain ages or in certain conditions of health, the commissioner sh…

31A-23a-405. Insurer liability. (1) As used in this section, "insurer" includes bail bond surety companies as defined in Section. 31A-35-102 (2) There is a rebuttable presumption that every insurer is bound by any act of its appointed licensee performed in this state that is with…

31A-23a-406. Title insurance producer's business. (1) As used in this section: "ACH network" means a national electronic funds transfer system regulated by the Federal Reserve and the Office of the Comptroller of the Currency. "Depository institution" means the same as that term …

31A-23a-406.5. Conduct of escrow. (1) Only an escrow agent or a title insurer in compliance with Subsectionand Sectionshall conduct escrow. 31A-4-107(1)(a) 31A-14-211 (2) Subsectiondoes not limit or expand the authority granted to: (1) a person defined as an escrow agent in Secti…

31A-23a-407. Liability for acts of title insurance producers. (1) Subject to the other provisions in this section, a title insurer that has a contract with or appoints an individual title insurance producer or an agency title insurance producer is liable to a buyer, seller, borro…

31A-23a-408. Representations of agency. A person may not represent that the person is acting in behalf of an insurer unless a written agency contract is in effect giving the person authority from the insurer and the insurer appoints that person to act in behalf of the insurer.

31A-23a-409. Trust obligation for money collected. (1) Subject to Subsection, a licensee is a trustee for money that is paid to, received by, or collected by a licensee for forwarding to insurers or to insureds. (7) Except as provided in Subsection, a licensee may not commingle t…

31A-23a-410. Insurer's liability if insured pays premium to a licensee or group policyholder. (1) Subject to Subsectionsand, as between the insurer and the insured, the insurer is considered to have received the premium and is liable to the insured for losses covered by the insur…

31A-23a-411.1. Person's liability if premium received is not forwarded to the insurer. A person commits insurance fraud as described in Subsectionif that person knowingly fails to forward to the insurer a premium: (1) received from one of the following in partial or total payment…