(1) The commissioner shall issue a certificate applied for under Section 31A-11-106 if the commissioner finds that:

Ask an insurance law question, get an answer ASAP!
Click here to chat with a lawyer about your rights.

Terms Used In Utah Code 31A-11-107

  • Bail: Security given for the release of a criminal defendant or witness from legal custody (usually in the form of money) to secure his/her appearance on the day and time appointed.
  • Certificate: means evidence of insurance given to:
         (23)(a) an insured under a group insurance policy; or
         (23)(b) a third party. See Utah Code 31A-1-301
  • Insurance: includes :
              (96)(b)(i) a risk distributing arrangement providing for compensation or replacement for damages or loss through the provision of a service or a benefit in kind;
              (96)(b)(ii) a contract of guaranty or suretyship entered into by the guarantor or surety as a business and not as merely incidental to a business transaction; and
              (96)(b)(iii) a plan in which the risk does not rest upon the person who makes an arrangement, but with a class of persons who have agreed to share the risk. See Utah Code 31A-1-301
  • Insured: means a person to whom or for whose benefit an insurer makes a promise in an insurance policy and includes:
              (103)(a)(i) a policyholder;
              (103)(a)(ii) a subscriber;
              (103)(a)(iii) a member; and
              (103)(a)(iv) a beneficiary. See Utah Code 31A-1-301
  • Motor club: means a person:
         (131)(a) licensed under:
              (131)(a)(i) Chapter 5, Domestic Stock and Mutual Insurance Corporations;
              (131)(a)(ii) Chapter 11, Motor Clubs; or
              (131)(a)(iii) Chapter 14, Foreign Insurers; and
         (131)(b) that promises for an advance consideration to provide for a stated period of time one or more:
              (131)(b)(i) legal services under Subsection 31A-11-102(1)(b);
              (131)(b)(ii) bail services under Subsection 31A-11-102(1)(c); or
              (131)(b)(iii)
                   (131)(b)(iii)(A) trip reimbursement;
                   (131)(b)(iii)(B) towing services;
                   (131)(b)(iii)(C) emergency road services;
                   (131)(b)(iii)(D) stolen automobile services;
                   (131)(b)(iii)(E) a combination of the services listed in Subsections (131)(b)(iii)(A) through (D); or
                   (131)(b)(iii)(F) other services given in Subsections 31A-11-102(1)(b) through (f). See Utah Code 31A-1-301
  • Mutual: means a mutual insurance corporation. See Utah Code 31A-1-301
  • Reinsurance: means an insurance transaction where an insurer, for consideration, transfers any portion of the risk it has assumed to another insurer. See Utah Code 31A-1-301
     (1)(a) the corporation is able to negotiate, execute, and carry out the motor club business in a sound, reliable, and ongoing manner;
     (1)(b) the reinsurance requirements of Subsection (2) are satisfied; and
     (1)(c) all other applicable requirements of law are satisfied.
(2) If a motor club provides legal expense service other than that authorized in Subsection 31A-11-102(1)(b), or other trip reimbursement service than that authorized in Subsection 31A-11-102(1)(d), or bail service other than that authorized under Section 31A-11-112, it shall fully reinsure the excess service with an insurer authorized under Chapter 5, Domestic Stock and Mutual Insurance Corporations, or Chapter 14, Foreign Insurers. That insurer shall assume direct liability to the insured, and shall fully comply with Chapter 23a, Insurance Marketing – Licensing Producers, Consultants, and Reinsurance Intermediaries.