(1) The commissioner may not require a license as an insurance producer of:

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Terms Used In Utah Code 31A-23a-201

  • Accident and health insurance: means insurance to provide protection against economic losses resulting from:
              (1)(a)(i) a medical condition including:
                   (1)(a)(i)(A) a medical care expense; or
                   (1)(a)(i)(B) the risk of disability;
              (1)(a)(ii) accident; or
              (1)(a)(iii) sickness. See Utah Code 31A-1-301
  • Affiliate: means a person who controls, is controlled by, or is under common control with, another person. See Utah Code 31A-1-301
  • Agency: means :
         (6)(a) a person other than an individual, including a sole proprietorship by which an individual does business under an assumed name; and
         (6)(b) an insurance organization licensed or required to be licensed under Section 31A-23a-301, 31A-25-207, or 31A-26-209. See Utah Code 31A-1-301
  • Casualty insurance: means liability insurance. See Utah Code 31A-1-301
  • Contract: A legal written agreement that becomes binding when signed.
  • Director: means a member of the board of directors of a corporation. See Utah Code 31A-1-301
  • Employee: means :
         (57)(a) an individual employed by an employer; or
         (57)(b) an individual who meets the requirements of Subsection (55)(b). See Utah Code 31A-1-301
  • Employee benefits: means one or more benefits or services provided to:
         (58)(a) an employee; or
         (58)(b) a dependent of an employee. See Utah Code 31A-1-301
  • Form: means one of the following prepared for general use:
              (74)(a)(i) a policy;
              (74)(a)(ii) a certificate;
              (74)(a)(iii) an application;
              (74)(a)(iv) an outline of coverage; or
              (74)(a)(v) an endorsement. See Utah Code 31A-1-301
  • Group insurance policy: means a policy covering a group of persons that is issued:
              (79)(a)(i) to a policyholder on behalf of the group; and
              (79)(a)(ii) for the benefit of a member of the group who is selected under a procedure defined in:
                   (79)(a)(ii)(A) the policy; or
                   (79)(a)(ii)(B) an agreement that is collateral to the policy. See Utah Code 31A-1-301
  • health insurance: means insurance providing:
              (84)(a)(i) a health care benefit; or
              (84)(a)(ii) payment of an incurred health care expense. 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
  • Insurer: is a s defined in Section 31A-1-301, except that the following persons or similar persons are not insurers for purposes of Part 7, Producer Controlled Insurers:
         (4)(a) a risk retention group as defined in:
              (4)(a)(i) the Superfund Amendments and Reauthorization Act of 1986, Pub. See Utah Code 31A-23a-102
  • License: includes a certificate of authority issued to an insurer. 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
  • Negotiate: means the act of conferring directly with or offering advice directly to a purchaser or prospective purchaser of a particular contract of insurance concerning a substantive benefit, term, or condition of the contract if the person engaged in that act:
         (7)(a) sells insurance; or
         (7)(b) obtains insurance from insurers for purchasers. See Utah Code 31A-23a-102
  • 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
  • producer: means a person licensed or required to be licensed under the laws of this state to sell, solicit, or negotiate insurance. See Utah Code 31A-1-301
  • Property: includes both real and personal property. See Utah Code 68-3-12.5
  • Resident: is a s defined by rule made by the commissioner in accordance with Title 63G, Chapter 3, Utah Administrative Rulemaking Act. See Utah Code 31A-23a-102
  • Sell: means to exchange a contract of insurance:
         (12)(a) by any means;
         (12)(b) for money or its equivalent; and
         (12)(c) on behalf of an insurance company. See Utah Code 31A-23a-102
  • Solicit: means :
         (13)(a) attempting to sell insurance;
         (13)(b) asking or urging a person to apply for:
              (13)(b)(i) a particular kind of insurance; and
              (13)(b)(ii) insurance from a particular insurance company;
         (13)(c) advertising insurance, including advertising for the purpose of obtaining leads for the sale of insurance; or
         (13)(d) holding oneself out as being in the insurance business. See Utah Code 31A-23a-102
  • State: when applied to the different parts of the United States, includes a state, district, or territory of the United States. See Utah Code 68-3-12.5
  • Trustee: A person or institution holding and administering property in trust.
  • Trustee: means "director" when referring to the board of directors of a corporation. See Utah Code 31A-1-301
     (1)(a) an officer, director, or employee of an insurer or of an insurance producer if:

          (1)(a)(i) the officer, director, or employee does not receive any commission on a policy written or sold to insure risks residing, located, or to be performed in this state; and
          (1)(a)(ii)

               (1)(a)(ii)(A) the officer’s, director’s, or employee’s activities are:

                    (1)(a)(ii)(A)(I) executive, administrative, managerial, clerical, or a combination of these activities; and
                    (1)(a)(ii)(A)(II) only indirectly related to the sale, solicitation, or negotiation of insurance;
               (1)(a)(ii)(B) the officer’s, director’s, or employee’s function relates to:

                    (1)(a)(ii)(B)(I) underwriting;
                    (1)(a)(ii)(B)(II) loss control;
                    (1)(a)(ii)(B)(III) inspection; or
                    (1)(a)(ii)(B)(IV) the processing, adjusting, investigating or settling of a claim on a contract of insurance; or
               (1)(a)(ii)(C)

                    (1)(a)(ii)(C)(I) the officer, director, or employee is acting in the capacity of a special agent or agency supervisor assisting an insurance producer;
                    (1)(a)(ii)(C)(II) the officer’s, director’s, or employee’s activities are limited to providing technical advice and assistance to a licensed insurance producer; and
                    (1)(a)(ii)(C)(III) the officer’s, director’s, or employee’s activities do not include the sale, solicitation, or negotiation of insurance;
     (1)(b) a person who:

          (1)(b)(i) is paid no commission for the services described in Subsection (1)(b)(ii); and
          (1)(b)(ii) secures and furnishes information for the purpose of:

               (1)(b)(ii)(A) group life insurance;
               (1)(b)(ii)(B) group property and casualty insurance;
               (1)(b)(ii)(C) group annuities;
               (1)(b)(ii)(D) a group insurance policy offering accident and health insurance or a blanket insurance policy offering accident and health insurance;
               (1)(b)(ii)(E) enrolling individuals under plans;
               (1)(b)(ii)(F) issuing certificates under plans; or
               (1)(b)(ii)(G) otherwise assisting in administering plans;
     (1)(c) a person who:

          (1)(c)(i) is paid no commission for the services described in Subsection (1)(c)(ii); and
          (1)(c)(ii) performs administrative services related to mass marketed property and casualty insurance;
     (1)(d)

          (1)(d)(i) any of the following if the conditions of Subsection (1)(d)(ii) are met:

               (1)(d)(i)(A) an employer or association; or
               (1)(d)(i)(B) an officer, director, employee, or trustee of an employee trust plan;
          (1)(d)(ii) a person listed in Subsection (1)(d)(i):

               (1)(d)(ii)(A) to the extent that the employer, officer, employee, director, or trustee is engaged in the administration or operation of a program of employee benefits for:

                    (1)(d)(ii)(A)(I) the employer’s or association’s own employees; or
                    (1)(d)(ii)(A)(II) the employees of a subsidiary or affiliate of an employer or association;
               (1)(d)(ii)(B) the program involves the use of insurance issued by an insurer; and
               (1)(d)(ii)(C) the employer, association, officer, director, employee, or trustee is not in any manner compensated, directly or indirectly, by the company issuing the contract;
     (1)(e) an employee of an insurer or organization employed by an insurer who:

          (1)(e)(i) is engaging in:

               (1)(e)(i)(A) the inspection, rating, or classification of risks; or
               (1)(e)(i)(B) the supervision of the training of insurance producers; and
          (1)(e)(ii) is not individually engaged in the sale, solicitation, or negotiation of insurance;
     (1)(f) a person whose activities in this state are limited to advertising:

          (1)(f)(i) without the intent to solicit insurance in this state;
          (1)(f)(ii) through communications in mass media including:

               (1)(f)(ii)(A) a printed publication; or
               (1)(f)(ii)(B) a form of electronic mass media;
          (1)(f)(iii) that is distributed to residents outside of the state; and
          (1)(f)(iv) if the person does not sell, solicit, or negotiate insurance that would insure risks residing, located, or to be performed in this state;
     (1)(g) a person who:

          (1)(g)(i) is not a resident of this state;
          (1)(g)(ii) sells, solicits, or negotiates a contract of insurance:

               (1)(g)(ii)(A) for commercial property and casualty risks to an insured with risks located in more than one state insured under that contract; and
               (1)(g)(ii)(B) insures risks located in a state in which the person is licensed as provided in Subsection (1)(g)(iii); and
          (1)(g)(iii) is licensed as an insurance producer to sell, solicit, or negotiate that insurance in the state where the insured maintains its principal place of business; or
     (1)(h) if the employee does not sell, solicit, or receive a commission for a contract of insurance, a salaried full-time employee who counsels or advises the employee’s employer relating to the insurance interests of:

          (1)(h)(i) the employer; or
          (1)(h)(ii) a subsidiary or business affiliate of the employer.
(2) The commissioner may by rule exempt a class of persons from the license requirement of Subsection 31A-23a-103(1) if:

     (2)(a) the functions performed by the class of persons does not require:

          (2)(a)(i) special competence;
          (2)(a)(ii) special trustworthiness; or
          (2)(a)(iii) regulatory surveillance made possible by licensing; or
     (2)(b) other existing safeguards make regulation unnecessary.
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