(1) This section applies to a liability insurance policy required under Subsection 57-8a-403(1)(b).

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Terms Used In Utah Code 57-8a-406

  • association: means a corporation or other legal entity, any member of which:
              (2)(a)(i) is an owner of a residential lot located within the jurisdiction of the association, as described in the governing documents; and
              (2)(a)(ii) by virtue of membership or ownership of a residential lot is obligated to pay:
                   (2)(a)(ii)(A) real property taxes;
                   (2)(a)(ii)(B) insurance premiums;
                   (2)(a)(ii)(C) maintenance costs; or
                   (2)(a)(ii)(D) for improvement of real property not owned by the member. See Utah Code 57-8a-102
  • board: means the entity, regardless of name, with primary authority to manage the affairs of the association. See Utah Code 57-8a-102
  • Common areas: means property that the association:
         (5)(a) owns;
         (5)(b) maintains;
         (5)(c) repairs; or
         (5)(d) administers. See Utah Code 57-8a-102
  • Lot: means :
         (16)(a) a lot, parcel, plot, or other division of land:
              (16)(a)(i) designated for separate ownership or occupancy; and
              (16)(a)(ii)
                   (16)(a)(ii)(A) shown on a recorded subdivision plat; or
                   (16)(a)(ii)(B) the boundaries of which are described in a recorded governing document; or
         (16)(b)
              (16)(b)(i) a unit in a condominium association if the condominium association is a part of a development; or
              (16)(b)(ii) a unit in a real estate cooperative if the real estate cooperative is part of a development. See Utah Code 57-8a-102
  • Person: means :
         (24)(a) an individual;
         (24)(b) an association;
         (24)(c) an institution;
         (24)(d) a corporation;
         (24)(e) a company;
         (24)(f) a trust;
         (24)(g) a limited liability company;
         (24)(h) a partnership;
         (24)(i) a political subdivision;
         (24)(j) a government office, department, division, bureau, or other body of government; and
         (24)(k) any other organization or entity. See Utah Code 68-3-12.5
(2) A liability insurance policy shall be in an amount determined by the board but not less than an amount specified in the declaration or bylaws.
(3) Each lot owner is an insured person under a liability insurance policy that an association obtains, but only for liability arising from:

     (3)(a) the lot owner’s ownership interest in the common areas;
     (3)(b) maintenance, repair, or replacement of common areas; and
     (3)(c) the lot owner’s membership in the association.