Affiliate: means a person who controls, is controlled by, or is under common control with, another person. See Utah Code 31A-1-301
Application: means a document:
(a)
(i)
completed by an applicant to provide information about the risk to be insured; and
(ii)
that contains information that is used by the insurer to evaluate risk and decide whether to:
(A)
insure the risk under:
(I)
the coverage as originally offered; or
(II)
a modification of the coverage as originally offered; or
(B)
decline to insure the risk; or
(b)
used by the insurer to gather information from the applicant before issuance of an annuity contract. See Utah Code 31A-1-301
consultant: means a person who:
(a)
advises another person about insurance needs and coverages;
(b)
is compensated by the person advised on a basis not directly related to the insurance placed; and
(c)
except as provided in Section 31A-23a-501, is not compensated directly or indirectly by an insurer or producer for advice given. See Utah Code 31A-1-301
Designated home state: means the state or territory of the United States or the District of Columbia:
(a)
in which an insurance producer, limited lines producer, consultant, managing general agent, or reinsurance intermediary licensee does not maintain the licensee's principal:
(i)
place of residence; or
(ii)
place of business;
(b)
if the resident state, territory, or District of Columbia of the licensee does not license for the line of authority sought, the licensee has qualified for the license as if the person were a resident in the state, territory, or District of Columbia described in Subsection (2)(a), including an applicable:
(i)
examination requirement;
(ii)
fingerprint background check requirement; and
(iii)
continuing education requirement; and
(c)
if the licensee has designated the state, territory, or District of Columbia as the designated home state. See Utah Code 31A-23a-102
Form: means one of the following prepared for general use:
a state or territory of the United States or the District of Columbia in which an insurance producer, limited lines producer, consultant, managing general agent, or reinsurance intermediary licensee:
(i)
maintains the licensee's principal:
(A)
place of residence; or
(B)
place of business; and
(ii)
is licensed to act as a resident licensee; or
(b)
if the resident state, territory, or the District of Columbia described in Subsection (3)(a) does not license for the line of authority sought, a state, territory, or the District of Columbia:
(i)
in which the licensee is licensed;
(ii)
in which the licensee is in good standing; and
(iii)
that the licensee has designated as the licensee's designated home state. See Utah Code 31A-23a-102
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
Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
License: includes a certificate of authority issued to an insurer. See Utah Code 31A-1-301
Managing general agent: means a person that:
(i)
manages all or part of the insurance business of an insurer, including the management of a separate division, department, or underwriting office;
(ii)
acts as an agent for the insurer whether it is known as a managing general agent, manager, or other similar term;
(iii)
produces and underwrites an amount of gross direct written premium equal to, or more than, 5% of the policyholder surplus as reported in the last annual statement of the insurer in any one quarter or year:
(A)
with or without the authority;
(B)
separately or together with an affiliate; and
(C)
directly or indirectly; and
(iv)
(A)
adjusts or pays claims in excess of an amount determined by the commissioner; or
another similar entity or combination of entities acting in concert. See Utah Code 31A-1-301
Process: means a writ or summons issued in the course of a judicial proceeding. See Utah Code 68-3-12.5
producer: means a person licensed or required to be licensed under the laws of this state to sell, solicit, or negotiate insurance. See Utah Code 31A-1-301
Reinsurance: means an insurance transaction where an insurer, for consideration, transfers any portion of the risk it has assumed to another insurer. See Utah Code 31A-1-301
State: when applied to the different parts of the United States, includes a state, district, or territory of the United States. See Utah Code 68-3-12.5
Surplus: means the excess of assets over the sum of paid-in capital and liabilities. See Utah Code 31A-1-301
Uniform application: means the version of the National Association of Insurance Commissioners' uniform application for resident and nonresident producer licensing at the time the application is filed. See Utah Code 31A-23a-102
(a)
If a nonresident license applicant has a valid producer, surplus lines producer, limited line producer, consultant, managing general agent, or reinsurance intermediary license from the nonresident license applicant’s home state or designated home state and the conditions of Subsection (1)(b) are met, the commissioner shall:
(i)
waive the license requirements for a license under this chapter; and
(ii)
issue the nonresident license applicant a nonresident license.
(b)
Subsection (1)(a) applies if:
(i)
the nonresident license applicant:
(A)
is licensed in the nonresident license applicant’s home state or designated home state at the time the nonresident license applicant applies for a nonresident producer, surplus lines producer, limited line producer, consultant, managing general agent, or reinsurance intermediary license;
(B)
has submitted the proper request for licensure;
(C)
has submitted to the commissioner:
(I)
the application for licensure that the nonresident license applicant submitted to the applicant’s home state or designated home state; or
(II)
a completed uniform application; and
(D)
has paid the applicable fees under Section 31A-3-103; and
(ii)
the nonresident license applicant’s license in the applicant’s home state or designated home state is in good standing.
(2)
A nonresident applicant applying under Subsection (1) shall in addition to complying with all license requirements for a license under this chapter execute, in a form acceptable to the commissioner, an agreement to be subject to the jurisdiction of the Utah commissioner and courts on any matter related to the applicant’s insurance activities in this state, on the basis of:
The commissioner may verify a producer’s licensing status through the producer database maintained by:
(a)
the National Association of Insurance Commissioners; or
(b)
an affiliate or subsidiary of the National Association of Insurance Commissioners.
(4)
The commissioner may not assess a greater fee for an insurance license or related service to a person not residing in this state solely on the fact that the person does not reside in this state.
