No. 41730 (5-year Review): Rule R590-173. Credit for Reinsurance

DAR File No.: 41730
Filed: 06/05/2017 11:20:41 AM

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 commissioner to write rules to implement the provisions of the Insurance Code, Title 31A. In this case, the rule sets forth requirements that are necessary to carry on the provisions of Section 31A-17-404.

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 received one comment regarding this rule during the past five years. The comment was in support of the rule and its efforts to implement collateral reform for reinsurance.

Reasoned justification for continuation of the rule, including reasons why the agency disagrees with comments in opposition to the rule, if any:

Credit for reinsurance has relevance for many Utah insurance companies and may be a significant factor in establishing their solvency position. The rule lays out the detailed requirements that apply to this important area. It provides protection to the ceding insurers within the state of Utah and to the individuals insured. 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:

Insurance
Administration
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 [e-mail]

Effective:

06/05/2017

Authorized by:

Steve Gooch, Information Specialist

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