DAR File No. 43628
This notice was published in the May 1, 2019, issue (Vol. 2019, No. 9) of the Utah State Bulletin.
Insurance, Administration
Rule R590-98
Unfair Practice in Payment of Life Insurance and Annuity Policy Values
Five-Year Notice of Review and Statement of Continuation
DAR File No.: 43628
Filed: 04/03/2019 03:56:25 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-23a-401(8) authorizes the Insurance Commissioner to define methods of competition, acts, and practices found to be unfair or deceptive.
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 Insurance Department 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 is necessary to protect policyholders who request payment of life and annuity policy values. This rule requires a prompt response by a life insurance and annuity company to a policyholder's request for policy values. This rule limits the exercise of the statutory deferral option to situations in which the financial stability of the insurer is at risk. Some insurers think they can delay payment up to six months; however, such a delay must first be approved by the Insurance Commissioner. Therefore, this rule should be continued.
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]
Effective:
04/03/2019
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/2019/b20190501.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 [email protected]. For questions about the rulemaking process, please contact the Office of Administrative Rules.