As used in this part:

(1)  “Nontraditional insurer” means an insurer incorporated under Chapter 5, Domestic Stock and Mutual Insurance Corporations, or admitted under Chapter 14, Foreign Insurers, that:

Terms Used In Utah Code 31A-10-201

  • Insurance: includes :
(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;
(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
(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
  • Interest rate: The amount paid by a borrower to a lender in exchange for the use of the lender's money for a certain period of time. Interest is paid on loans or on debt instruments, such as notes or bonds, either at regular intervals or as part of a lump sum payment when the issue matures. Source: OCC
  • Mutual: means a mutual insurance corporation. See Utah Code 31A-1-301
    • (a)  exists for the purpose of aiding and strengthening the following by providing them with annuities:

    (i)  nonprofit entities;

    (ii)  employees of nonprofit entities;

    (iii)  governmental entities; and

    (iv)  employees of governmental entities;

    (b)  issues only annuities and no other insurance product; and

    (c)  does not pay any benefit based on a guarantee as to principal, interest rate, return on investment, mortality, and morbidity.

    (2)  “Nontraditional insurer” does not include an insurer that provides annuities to persons other than:

    (a)  nonprofit entities;

    (b)  employees of nonprofit entities;

    (c)  governmental entities; and

    (d)  employees of governmental entities.

    Amended by Chapter 230, 2003 General Session

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