A policy of personal lines insurance or combination of personal lines policies purchased to satisfy the owner‘s or operator‘s security requirement under Section 41-12a-301 may specifically exclude from coverage:
Terms Used In Utah Code 31A-22-302.5
Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
Exclusion: means for the purposes of accident and health insurance that an insurer does not provide insurance coverage, for whatever reason, for one of the following:
(a)
a specific physical condition;
(b)
a specific medical procedure;
(c)
a specific disease or disorder; or
(d)
a specific prescription drug or class of prescription drugs. See Utah Code 31A-1-301
Insurance: includes :
(i)
a risk distributing arrangement providing for compensation or replacement for damages or loss through the provision of a service or a benefit in kind;
(ii)
a contract of guaranty or suretyship entered into by the guarantor or surety as a business and not as merely incidental to a business transaction; and
(iii)
a plan in which the risk does not rest upon the person who makes an arrangement, but with a class of persons who have agreed to share the risk. See Utah Code 31A-1-301
Insured: means a person to whom or for whose benefit an insurer makes a promise in an insurance policy and includes:
certificate of interest or participation in a profit-sharing agreement;
(vii)
collateral-trust certificate;
(viii)
preorganization certificate or subscription;
(ix)
transferable share;
(x)
investment contract;
(xi)
voting trust certificate;
(xii)
certificate of deposit for a security;
(xiii)
certificate of interest of participation in an oil, gas, or mining title or lease or in payments out of production under such a title or lease;
(xiv)
commodity contract or commodity option;
(xv)
certificate of interest or participation in, temporary or interim certificate for, receipt for, guarantee of, or warrant or right to subscribe to or purchase any of the items listed in Subsections (171)(a)(i) through (xiv); or
(xvi)
another interest or instrument commonly known as a security. See Utah Code 31A-1-301
(a)
a person who is a resident of the named insured‘s household, including a person who usually makes the person’s home in the same household but temporarily lives elsewhere; or
(b)
a person who usually or customarily operates the motor vehicle.
(2)
The named driver exclusion under Subsection (1) is effective only if:
(a)
at the time of the proposed exclusion, each person excluded from coverage satisfies the owner’s or operator’s security requirement under Section 41-12a-301, independently of the named insured’s proof of owner’s or operator’s security;
(b)
any named insured and the person excluded from coverage each provide written consent to the exclusion; and
(c)
the insurer includes the name of each person excluded from coverage in the evidence of insurance provided to an additional insured or loss payee.
(3)
The provisions of Subsection (2)(a) do not apply to the named driver exclusion of the person excluded from coverage if the person’s driver license has been denied, suspended, or revoked.
(4)
The named driver exclusion shall remain effective until removed by the insurer.
(5)
If the driver license of a person excluded from coverage under Subsection (1) has been denied, suspended, revoked, or disqualified and the person excluded from coverage subsequently operates a motor vehicle, the exclusion shall:
(a)
exclude all liability coverage and all physical damage coverage without regard to the comparative fault of the excluded driver;
(b)
proportionately reduce any benefits otherwise payable to the person excluded from coverage and to any named insured for benefits payable under uninsured motorist coverage, underinsured motorist coverage, personal injury protection coverage, and first party medical coverage to the extent the person excluded from coverage was comparatively at fault; and
(c)
if the person excluded from coverage is 50% or more at fault in causing the accident, bar both the excluded driver and any named insured from recovering any benefits under any coverage listed under Subsection (5)(b).
(6)
The named driver exclusion under Subsection (1) does not apply when the person excluded from coverage is:
