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Terms Used In Utah Code 31A-22-631

  • Direct response solicitation: means an offer for life or accident and health insurance coverage that allows the individual to apply for or enroll in the insurance coverage on the basis of the offer. 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
  • Life insurance: means :
              (114)(a)(i) insurance on a human life; and
              (114)(a)(ii) insurance pertaining to or connected with human life. See Utah Code 31A-1-301
  • Person: includes :
         (146)(a) an individual;
         (146)(b) a partnership;
         (146)(c) a corporation;
         (146)(d) an incorporated or unincorporated association;
         (146)(e) a joint stock company;
         (146)(f) a trust;
         (146)(g) a limited liability company;
         (146)(h) a reciprocal;
         (146)(i) a syndicate; or
         (146)(j) another similar entity or combination of entities acting in concert. See Utah Code 31A-1-301
  • Policy: includes a service contract issued by:
              (150)(b)(i) a motor club under Chapter 11, Motor Clubs;
              (150)(b)(ii) a service contract provided under Chapter 6a, Service Contracts; and
              (150)(b)(iii) a corporation licensed under:
                   (150)(b)(iii)(A) Chapter 7, Nonprofit Health Service Insurance Corporations; or
                   (150)(b)(iii)(B) Chapter 8, Health Maintenance Organizations and Limited Health Plans. See Utah Code 31A-1-301
  • Policy summary: means a synopsis describing the elements of a life insurance policy. See Utah Code 31A-1-301
  • Rider: means an endorsement to:
         (173)(a) an insurance policy; or
         (173)(b) an insurance certificate. See Utah Code 31A-1-301
     (1)(a) Except as provided in Subsection (1)(b), at the time a life insurance policy is delivered, a policy summary or illustration shall be delivered for the life insurance policy if:

          (1)(a)(i) the life insurance policy includes riders or supplemental benefits, including accelerated benefits; and
          (1)(a)(ii) receipt of benefits under the life insurance policy is contingent upon morbidity requirements.
     (1)(b) In the case of a direct response solicitation, the insurer shall deliver the policy summary or illustration at the sooner of:

          (1)(b)(i) the applicant’s request; or
          (1)(b)(ii) at the time of policy delivery regardless of whether the applicant requests a policy summary or illustration.
(2) In addition to complying with all applicable requirements, the policy summary or illustration shall include:

     (2)(a) a clear and prominent disclosure of how the rider or supplemental benefit interacts with other components of the policy, including deductions from death benefits and policy values;
     (2)(b) an illustration for each covered person of:

          (2)(b)(i) the amount of benefits;
          (2)(b)(ii) the length of benefits; and
          (2)(b)(iii) the guaranteed lifetime benefits, if any;
     (2)(c) a disclosure of the maximum premiums for the rider or supplemental benefit;
     (2)(d) any exclusions, reductions, or limitations on the benefits of the rider or supplemental benefit; and
     (2)(e) if applicable to the policy type:

          (2)(e)(i) a disclosure of the effects of exercising other rights under the policy; and
          (2)(e)(ii) guaranteed maximum lifetime benefits.