No. 39027 (5-year Review): Rule R590-128. Unfair Discrimination Based on the Failure to Maintain Automobile Insurance. (Revised.)

DAR File No.: 39027
Filed: 12/23/2014 03:03:14 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:

This rule is written pursuant to Subsection 31A-23a-402(3), which provides guidelines for determining what is unfair discrimination, and Subsection 31A-23a-402(8), which allows the commissioner to make rules defining unfair marketing acts or practices.

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 has not received any written comments regarding this rule in 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 still needed to prevent auto insurers from discriminating against an applicant of automobile insurance based solely upon the fact that they failed to maintain auto insurance for a period of time. An insurer must demonstrate that there are other reasons for denying coverage or increasing their premium, such as poor driving record, or loss history. Therefore, this rule should be continued.

The full text of this rule may be inspected, during regular business hours, at the Division of Administrative Rules, or at:

Insurance
Administration
Room 3110 STATE OFFICE BLDG
450 N MAIN ST
SALT LAKE CITY, UT 84114-1201

Direct questions regarding this rule to:

• Jilene Whitby at the above address, by phone at 801-538-3803, by FAX at 801-538-3829, or by Internet E-mail at [e-mail]

Effective:

12/23/2014

Authorized by:

Todd Kiser, Commissioner

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