DAR File No. 42212
This rule was published in the November 1, 2017, issue (Vol. 2017, No. 21) of the Utah State Bulletin.
Insurance, Administration
Rule R590-256
Health Benefit Plan Internet Portal Solvency Rating
Notice of Proposed Rule
(Repeal)
DAR File No.: 42212
Filed: 10/13/2017 02:26:34 PM
RULE ANALYSIS
Purpose of the rule or reason for the change:
During the 2017 General Session, the Legislature passed H.B. 336 which repealed Subsection 31A-22-613.5(3). That statute was the enabling language for the rule.
Summary of the rule or change:
The rule is being repealed in its entirety to comply with H.B. 336 (2017).
Statutory or constitutional authorization for this rule:
- Subsection 31A-22-635(7)
- Title 63G, Chapter 3
Anticipated cost or savings to:
the state budget:
There is no anticipated cost or savings to the state budget. The same process was previously used by the Insurance Department and the Department will continue to use it for other regulatory purposes.
local governments:
There is no anticipated cost or savings to local governments. The same process was previously used by the Insurance Department and the Department will continue to use it for other regulatory purposes.
small businesses:
There is no anticipated cost or savings to small businesses. The same process was previously used by the Insurance Department and the Department will continue to use it for other regulatory purposes.
persons other than small businesses, businesses, or local governmental entities:
There is no anticipated cost or savings to any other persons. The same process was previously used by the Insurance Department and the Department will continue to use it for other regulatory purposes.
Compliance costs for affected persons:
There is no compliance cost for any affected persons. The repeal of the rule requires no compliance of any sort by any persons.
Comments by the department head on the fiscal impact the rule may have on businesses:
After conducting a thorough analysis, it was determined that this proposed rule change will not result in a fiscal impact to businesses.
Todd E. Kiser, Commissioner
The full text of this rule may be inspected, during regular business hours, at the Office of Administrative Rules, or at:
InsuranceAdministration
Room 3110 STATE OFFICE BLDG
450 N MAIN ST
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 [email protected]
Interested persons may present their views on this rule by submitting written comments to the address above no later than 5:00 p.m. on:
12/01/2017
This rule may become effective on:
12/08/2017
Authorized by:
Steve Gooch, Information Specialist
RULE TEXT
R590. Insurance, Administration.
[R590-256. Health Benefit Plan Internet Portal Solvency
Rating.
R590-256-1. Authority.
This rule is promulgated by the Insurance Department
pursuant to Utah Code Sections:
(1) 63G, Chapter 3, Utah Administrative Rule Making Act;
and
(2) 31A-22-635(7) which requires the Insurance Department
to establish a methodology establishing a calendar year solvency
rating to be posted on the internet portal.
R590-256-2. Purpose and Scope.
(1) The purpose of this rule is to establish the
methodology for determining the solvency rating for each insurer
who posts a health benefit plan on the Internet portal.
(2) The scope of this rule applies only to insurers who
post a health benefit plan on the internet portal.
R590-256-3. Definitions.
In addition to the definitions in Sections 31A-1-301 and
31A-17-601, the following definitions shall apply for the purpose
of this rule:
(1) "Insurer" means an insurer who posts a
health benefit plan on the Internet portal under
63M-1-2504(2)(a).
R590-256-4. Solvency Rating Methodology.
(1) An insurer's solvency rating shall fall within
one of three tiers:
(a) Solvent;
(b) Hazardous; or
(c) Insolvent.
(2) An insurer shall have a solvency rating of solvent if
the insurer's annual risk based capital report demonstrates
that the insurer is not in an action level event defined under
Sections 31A-17-603 to 606.
(3) An insurer shall have a solvency rating of hazardous
if the insurer's annual risk based capital report
demonstrates the insurer is in an action level event defined
under Sections 31A-17-603 or 604.
(4) An insurer shall have a solvency rating of insolvent
if the insurer's annual risk based capital report
demonstrates that the insurer is in an action level event defined
under Sections 31A-17-605 or 606.
R590-256-5. Enforcement Date.
The Commissioner will begin enforcing this rule on the
effective date of this rule.
R590-256-6. Severability.
If any provision of this rule or its application to any
person or situation is held to be invalid, that invalidity shall
not affect any other provision or application of this rule which
can be given effect without the invalid provision or application,
and to this end the provisions of this rule are declared to be
severable.
KEY: insurance internet portal
Date of Enactment or Last Substantive Amendment: March 10,
2010
Notice of Continuation: March 10, 2015
Authorizing, and Implemented or Interpreted Law: 63G-3;
63M-1-2506]
Additional Information
More information about a Notice of Proposed Rule 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/2017/b20171101.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.
Text to be deleted is struck through and surrounded by brackets ([example]). Text to be added is underlined (example). Older browsers may not depict some or any of these attributes on the screen or when the document is printed.
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 [email protected]. For questions about the rulemaking process, please contact the Office of Administrative Rules.