Title 31A, Title 31A: Insurance Code

31A-27a-701. Priority of distribution. (1) The priority of payment of distributions on unsecured claims shall be in accordance with the order in which each class of claim is set forth in this section except as provided in Section. 31A-27a-702 All claims in each class shall be pai…

31A-27a-702. Health maintenance organization claims. (1) For a delinquency proceeding under this chapter that is initiated before May 8, 2018, in the liquidation of a health maintenance organization, a claim for uncovered expenditures has priority over a Class 3 claim as provided…

31A-27a-703. Partial and final distributions of assets. (1) With the approval of the receivership court, a liquidator may declare and pay: one or more partial distributions on claims as those claims are allowed; and a final distribution. All claims allowed within a priority class…

31A-27a-704. Early access disbursements. (1) As used in this section, "distributable assets" means general assets of the liquidation estate less: amounts reserved, to the extent necessary and appropriate, for the entire Subsectionexpenses of the liquidation through and after the …

31A-27a-705. Unclaimed and withheld funds. (1) If any funds of the receivership estate remain unclaimed after the final distribution under Section, the funds shall be placed in a segregated unclaimed funds account held by the commissioner. 31A-27a-703 If the owner of any of the f…

31A-27a-801. Condition on release from delinquency proceedings. (1) Unless otherwise provided in a plan approved by the guaranty associations, an insurer that is subject to a rehabilitation proceeding may not take an action listed in Subsectionuntil all payments by all guaranty a…

31A-27a-802. Discharge of liquidator and termination of liquidation proceedings. (1) When all property justifying the expense of collection and distribution is collected and distributed under this chapter, the liquidator shall apply to the receivership court for an order discharg…

31A-27a-803. Reopening liquidation. (1) After a liquidation proceeding is terminated and the liquidator discharged, the commissioner may at any time petition the court that was the receivership court to reopen the proceedings for good cause, including the discovery of additional …

31A-27a-804. Disposition of records during and after termination of liquidation. (1) Whenever it appears to the receiver that records of the insurer in receivership are no longer useful, the receiver may recommend to the receivership court, and the receivership court shall direct…

31A-27a-805. External audit of the receiver's books. (1) As used in this section, "books" means: the business operations of the receiver; the accounting systems and procedures of the receiver; and the financial records of the receiver. (2) The receivership court may, as it consid…

31A-27a-901. Ancillary conservation of foreign insurers. (1) The commissioner may initiate an action against a foreign insurer pursuant to Sectionon any of the grounds stated in that section or on the basis that: 31A-27a-201 any of the foreign insurer's property is sequestered, g…

31A-27a-902. Domiciliary receivers appointed in other states. (1) A domiciliary receiver appointed in another state is vested by operation of law with title to, and may summarily take possession of, all property and records of the insurer in this state. Notwithstanding any other …

31A-28-101. Title. This part is known as the "Utah Life and Health Insurance Guaranty Association Act."

31A-28-102. Purpose. (1) The purpose of this part is to protect, subject to certain limitations, the persons specified in Subsectionsthroughagainst failure in the performance of contractual obligations, under a life insurance, accident and health insurance, or annuity policy or c…

31A-28-103. Coverage and limitations. (1) This part provides coverage for a policy or contract specified in Subsectionsandto a person who is: (6) (7) except for a nonresident certificate holder under a group policy or contract, a beneficiary, assignee, or payee of a person covere…

31A-28-104. Construction. This part shall be construed to effect the purposes under Section.

31A-28-105. Definitions. As used in this part: (1) "Association" means the Utah Life and Health Insurance Guaranty Association continued under Section. 31A-28-106 (2) "Authorized assessment" or "authorized," when used in the context of assessments, means that the board of directo…

31A-28-106. Continuation of the association -- Association duties -- Allocation of assessments -- Not agency of state. (1) There is continued under this part the nonprofit legal entity known as the Utah Life and Health Insurance Guaranty Association created under former provision…

31A-28-107. Board of directors. (1) The board of directors of the association shall consist of: at least seven but not more than eleven member insurers who: serve terms as established in the plan of operation; and are selected by member insurers, subject to the approval of the co…

31A-28-108. Powers and duties of the association. (1) If a member insurer is an impaired insurer, subject to any conditions imposed by the association that do not impair the contractual obligations of the impaired insurer, the association may provide the protections provided by t…

31A-28-109. Assessments. (1) For the purpose of providing the funds necessary to carry out the powers and duties of the association, the board of directors shall assess the member insurers, separately for each class or subclass, at the time and for the amounts that the board of d…

31A-28-110. Plan of operation. (1) The association shall submit to the commissioner a plan of operation and any amendments to the plan necessary or suitable to assure the fair, reasonable, and equitable administration of the association. The plan of operation and any amendments b…

31A-28-111. Duties and powers under this part. The duties and powers described in this section are in addition to the duties and powers enumerated elsewhere in this part. (1) The commissioner shall: upon request of the board of directors, provide the association with a statement …

31A-28-112. Reports. (1) The commissioner shall: report to the board of directors when: the commissioner takes an action set forth in Section; 31A-27a-201 an event described in Section,, oroccurs; or 31A-17-603 31A-17-604 31A-17-605 the commissioner receives a report from any oth…

31A-28-113. Credit for assessments paid. (1) A member insurer may offset against its premium tax, income tax, or franchise tax liability to this state an assessment described in Subsectionto the extent of 20% of the amount of the assessment for each of the five calendar years fol…

31A-28-114. Miscellaneous provisions. (1) Nothing in this part shall be construed to reduce the liability for unpaid assessments of the insureds of an impaired or insolvent insurer operating under a plan with assessment liability. (2) The board of directors shall keep a record of…

31A-28-115. Examination of the association -- Annual report. (1) The association shall be subject to examination and regulation by the commissioner. (2) The board of directors shall submit to the commissioner each year, not later than 120 days after the association's fiscal year:…

31A-28-116. Tax exemptions. The association is exempt from payment of all fees and all taxes levied by this state or any of its subdivisions, except taxes levied on real property.

31A-28-117. Immunity. (1) For any action or omission committed in the performance of their powers and duties under this part, there is no liability on the part of, and no cause of action of any nature shall arise against: any member insurer; a member insurer's agents or employees…

31A-28-118. Stay of proceedings -- Reopening default judgments. (1) A proceeding in which the insolvent insurer is a party in any court in this state shall be stayed 180 days from the date an order of liquidation, rehabilitation, or conservation is final to permit proper legal ac…

31A-28-119. Prohibited advertisement of the association -- Notice to owners of policies and contracts. (1) Except as provided in Subsection, a person, including a member insurer, producer, or affiliate of a member insurer may not make, publish, disseminate, circulate, or place be…

31A-28-120. Prospective application. Notwithstanding any prior or subsequent law, the provisions of this part that are in effect on the date on which the association first becomes obligated for the policies or contracts of an insolvent or impaired insurer govern the association's…

31A-28-202. Scope. This part applies to protect resident policyowners and insureds under all types of direct insurance, except: (1) life insurance; (2) annuity; (3) health insurance; (4) disability insurance; (5) mortgage guaranty insurance; (6) financial guaranty, or other forms…

31A-28-203. Definitions. As used in this part: (1) "Affiliate" means the same as that term is defined in Section. 31A-1-301 (2) "Association account" means the Utah Property and Casualty Insurance Guaranty Association Account created by Section. 31A-28-205 (3) "Claimant" means: a…

31A-28-204. Unlawful statements. (1) It is unlawful to make any statement, written or oral, regarding the coverages and protections provided by the association for the purpose of promoting the purchase of any form of insurance. (2) It is unlawful to indicate or imply that the ass…

31A-28-205. Creation of the association. (1) The Utah Property and Casualty Insurance Guaranty Association shall continue as a nonprofit legal entity. All member insurers of the association are, and remain, members of the association as a condition of their authority to transact …

31A-28-206. Board of directors. (1) The board of directors of the association consists of not less than five nor more than nine members, serving terms of four years each. The members of the board shall be selected by member insurers, subject to the commissioner's approval. When a…

31A-28-207. Powers and duties of the association. (1) The association is obligated on the amount of the covered claims: existing prior to the order of liquidation; and arising: within 30 days after the order of liquidation; or before the policy expiration date if it is less than …

31A-28-208. Assessments. (1) To provide the funds necessary to carry out the powers and duties of the association, the board of directors shall assess the member insurers at the time and in the amount the board finds necessary. An assessment under this section: is due not less th…

31A-28-209. Plan of operation. (1) The association shall submit to the commissioner a plan of operation and any amendments necessary or suitable to assure the fair, reasonable, and equitable administration of the association. The plan of operation and amendments described in Subs…

31A-28-210. Duties and powers of the commissioner. (1) In addition to the duties and powers enumerated elsewhere in this part, the commissioner shall: notify the association of the existence of an insolvent insurer not later than three days after the commissioner receives notice …

31A-28-212. Credits for assessments paid. (1) A member insurer may offset against its premium tax liability to this state an assessment described in Section, but only up to 20% of the amount of the assessment for each of the five calendar years following the year in which the ass…

31A-28-213. Miscellaneous provisions. (1) Any person who has a claim against an insurer, whether or not the insurer is a member insurer, under any provision in an insurance policy, other than a policy of an insolvent insurer that is also a covered claim, is required to first exha…

31A-28-214. Examination of the association -- Annual report. (1) The association is subject to examination and regulation by the commissioner. (2) The board of directors shall submit, to the commission by no later than April 30 of each year: a financial report for the preceding c…

31A-28-215. Tax exemptions. The association is exempt from payment of all fees and taxes levied by this state or any of its subdivisions, except taxes levied on real property.

31A-28-217. Immunity. (1) There is no liability on the part of and no cause of action of any nature shall arise against any member insurer or its agents or employees, the association or its agents or employees, members of the board of directors, or the commissioner or the commiss…