DAR File No. 42299
This notice was published in the December 1, 2017, issue (Vol. 2017, No. 23) of the Utah State Bulletin.
Hazardous Financial Condition Rule
Five-Year Notice of Review and Statement of Continuation
DAR File No.: 42299
Filed: 11/02/2017 03:39:28 PM
NOTICE OF REVIEW AND STATEMENT OF CONTINUATION
Concise explanation of the particular statutory provisions under which the rule is enacted and how these provisions authorize or require the rule:
Section 31A-2-201 authorizes the Insurance Commissioner to write rules to implement the provisions of the Insurance Code, Title 31A. Subsection 31A-27-503(1)(a)(v) authorizes the Insurance Commissioner to take action whenever an insurer is determined to be in a hazardous financial condition or a potentially hazardous financial condition. Subsection 31A-27a-101(3)(c) authorizes the Insurance Commissioner to align the definition of "hazardous financial condition" with definitions set forth in the Model Regulation to Define Standards and Commissioner's Authority for Companies Deemed to be in Hazardous Financial Condition.
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 of Insurance has received no written comments regarding this rule 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 comprises a national standard set by the National Association of Insurance Commissioners (NAIC). The rule must be continued for the Utah Insurance Department to maintain its accreditation status. It sets forth standards the Commissioner may use to identify insurers that may be in a hazardous financial condition, which protects policyholders, creditors, and the general public from potential default. It also shows insurers the standards that are indicative of a hazardous financial condition and can help them avoid such a condition.
The full text of this rule may be inspected, during regular business hours, at the Office of Administrative Rules, or at:Insurance
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@example.com
Steve Gooch, Information Specialist
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/2017/b20171201.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 firstname.lastname@example.org. For questions about the rulemaking process, please contact the Office of Administrative Rules.