2006 Utah Code - 31A-6a-103 — Requirements for doing business.

     31A-6a-103.   Requirements for doing business.
     (1) A service contract may not be issued, sold, or offered for sale in this state unless the service contract is insured under a service contract reimbursement insurance policy issued by:
     (a) an insurer authorized to do business in this state; or
     (b) a recognized surplus lines carrier.
     (2) (a) A service contract may not be issued, sold, or offered for sale unless a true and correct copy of the service contract and the provider's reimbursement insurance policy have been filed with the commissioner. A copy of a contract and policy must be filed no less than 30 days prior to the issuance, sale offering for sale, or use of the service contract or reimbursement insurance policy in this state.
     (b) Each modification of the terms of any service contract or reimbursement insurance policy must also be filed 30 days prior to its use in this state.
     (c) Persons complying with this chapter are not required to comply with:
     (i) Subsections 31A-21-201(1) and 31A-23a-402(3); or
     (ii) Chapter 19a, Utah Rate Regulation Act.
     (3) (a) Premiums collected on service contracts are not subject to premium taxes.
     (b) Premiums collected by issuers of reimbursement insurance policies are subject to premium taxes.
     (4) A person marketing, selling, or offering to sell service contracts for service contract providers that complies with this chapter is exempt from the licensing requirements of this title.
     (5) Service contract providers complying with this chapter are not required to comply with:
     (a) Chapter 5, Domestic Stock and Mutual Insurance Corporations;
     (b) Chapter 7, Nonprofit Health Service Insurance Corporations;
     (c) Chapter 8, Health Maintenance Organizations and Limited Health Plans;
     (d) Chapter 9, Insurance Fraternals;
     (e) Chapter 10, Annuities;
     (f) Chapter 11, Motor Clubs;
     (g) Chapter 12, State Risk Management Fund;
     (h) Chapter 13, Employee Welfare Funds and Plans;
     (i) Chapter 14, Foreign Insurers;
     (j) Chapter 19a, Utah Rate Regulation Act;
     (k) Chapter 25, Third Party Administrators; and
     (l) Chapter 28, Guaranty Associations.

Amended by Chapter 124, 2005 General Session