DAR File No. 40237

This notice was published in the March 15, 2016, issue (Vol. 2016, No. 6) of the Utah State Bulletin.

Insurance, Administration

Rule R590-177

Life Insurance Illustrations Rule

Five-Year Notice of Review and Statement of Continuation

DAR File No.: 40237
Filed: 02/29/2016 10:05:48 AM


Concise explanation of the particular statutory provisions under which the rule is enacted and how these provisions authorize or require the rule:

Subsection 31A-2-201(3)(a) authorizes the commissioner to implement the provisions of Title 31A according to rulemaking requirements. Subsection 31A-22-425(1)(c) authorizes the department to make rules to establish standards in connection with life insurance policy and contract illustrations. Subsection 31A-23a-402(8) states that a person may not engage in unfair methods of competition or deception in the practice of insurance. The rule describes filing requirements for life illustrations, standards for the format, use, delivery and retention of life illustrations used in the sale of life policies. Insurers are required to appoint an actuary to certify their illustrations meet certain standards and requirements.

Summary of written comments received during and since the last five-year review of the rule from interested persons supporting or opposing the rule:

The department has received no written comments during the past five years.

Reasoned justification for continuation of the rule, including reasons why the agency disagrees with comments in opposition to the rule, if any:

This rule provides consumer protection by stating the requirements and restrictions on the values that can be shown in the projections contained in life insurance illustrations. Unregulated illustrations have been found to provide values that are unrealistic and could entice a consumer into purchasing a product that will never perform as the company has illustrated. Therefore, this rule should be continued.

The full text of this rule may be inspected, during regular business hours, at the Division of Administrative Rules, or at:

SALT LAKE CITY, UT 84114-1201

Direct questions regarding this rule to:

  • Steve Gooch at the above address, by phone at 801-538-3803, by FAX at 801-538-3829, or by Internet E-mail at sgooch@utah.gov



Authorized by:

Steve Gooch, Information Specialist

Additional Information

More information about a Five-Year Notice of Review and Statement of Continuation is available online.

The Portable Document Format (PDF) version of the Bulletin is the official version. The PDF version of this issue is available at https://rules.utah.gov/publicat/bull-pdf/2016/b20160315.pdf. The HTML edition of the Bulletin is a convenience copy. Any discrepancy between the PDF version and HTML version is resolved in favor of the PDF version.

For questions regarding the content or application of this rule, please contact Steve Gooch at the above address, by phone at 801-538-3803, by FAX at 801-538-3829, or by Internet E-mail at sgooch@utah.gov.  For questions about the rulemaking process, please contact the Division of Administrative Rules.