About Utah Insurance Laws, Health Insurance and Regulations…
The State of Utah boasts of its own insurance industry, whose numerous aspects are governed by the regulations that the state imposes on this industry. These regulations were established to allow insurance companies to operate freely in the state, but they are also meant to protect the state’s residents from malicious activity from those same companies. Insurance companies that violate the state’s regulations run the risk of facing major backlash from the Utah government.
Utah drivers are required to carry auto insurance protection for their vehicles. According to the state’s regulations, there is a minimum level of liability coverage drivers can have at any time. The state’s insurance companies do not offer policies that go below the coverage levels established by the state. Utah regulations stipulate that
drivers must carry a minimum of $25,000 per person for bodily injury; $65,000 per accident for bodily injury; and $15,000 for damage to property. Drivers are required to carry personal injury protection (PIP) coverage, which must account for a minimum of $3,000.
The state regulates its own property insurance industry. Utah’s regulations largel
y concern the insurance companies that operate in the state. The state does not require homeowners to purchase or maintain any kind of property insurance coverage. As in many other states, financial institutions may required homeowners to purchase some form of property insurance before they can receive financing for their homes. Homeowners are advised to purchase insurance coverage for their properties in order to mitigate the financial impact they may face through natural disasters.
Utah was quick to act on building its own health insurance exchange.
Though state residents are not required to purchase or maintain health insurance by the state, they will be required to do so by the federal government in 2014. The state’s exchange program is meant to provide these consumers with access to affordable coverage. The Utah Health Exchange is one of the few exchange systems currently operating in the country. The state had determined to build its own exchange in order to avoid the federal government from building its own exchange.
Utah regulates the health insurance industry rigorously. Health insurance companies constantly work to increase the premiums that consumers pay for coverage, with some arguing that rate increases are necessary because of the growing costs of medical care. The state’s insurance regulators are tasked with determining whether these claims are true and either deny or approve the rate increase proposals coming from the state’s insurance companies. If a proposal is denied, insurers can typically re-work their proposal to make it more consumer friendly and re-introduce it at a later date.
Utah Insurance Resources:
Utah Insurance Commissioner: Todd E. Kiser
Utah Department of Insurance Website: https://insurance.utah.gov/
Utah Insurance Agent Licensing Info: https://insurance.utah.gov/agent/producers/index.php
File Insurance Complaint: https://insurance.utah.gov/complaint/index.php
