Utah Code § 31A-23a-201 — Utah Code / Title 31A / Chapter 31A-23a / § 31A-23a-201
§ 31A-23a-201. Exceptions to producer licensing.
Status: in_force

(1) The commissioner may not require a license as an insurance producer of: (a) an officer, director, or employee of an insurer or of an insurance producer if: (i) the officer, director, or employee does not receive any commission on a policy written or sold to insure risks residing, located, or to be performed in this state; and (ii) (A) the officer's, director's, or employee's activities are: (I) executive, administrative, managerial, clerical, or a combination of these activities; and (II) only indirectly related to the sale, solicitation, or negotiation of insurance; (B) the officer's, director's, or employee's function relates to: (I) underwriting; (II) loss control; (III) inspection; or (IV) the processing, adjusting, investigating or settling of a claim on a contract of insurance; or (C) (I) the officer, director, or employee is acting in the capacity of a special agent or agency supervisor assisting an insurance producer; (II) the officer's, director's, or employee's activities are limited to providing technical advice and assistance to a licensed insurance producer; and (III) the officer's, director's, or employee's activities do not include the sale, solicitation, or negotiation of insurance; (b) a person who: (i) is paid no commission for the services described in Subsection (1)(b)(ii); and (ii) secures and furnishes information for the purpose of: (A) group life insurance; (B) group property and casualty insurance; (C) group annuities; (D) a group insurance policy offering accident and health insurance or a blanket insurance policy offering accident and health insurance; (E) enrolling individuals under plans; (F) issuing certificates under plans; or (G) otherwise assisting in administering plans; (c) a person who: (i) is paid no commission for the services described in Subsection (1)(c)(ii); and (ii) performs administrative services related to mass marketed property and casualty insurance; (d) (i) any of the following if the conditions of Subsection (1)(d)(ii) are met: (A) an employer or association; or (B) an officer, director, employee, or trustee of an employee trust plan; (ii) a person listed in Subsection (1)(d)(i): (A) to the extent that the employer, officer, employee, director, or trustee is engaged in the administration or operation of a program of employee benefits for: (I) the employer's or association's own employees; or (II) the employees of a subsidiary or affiliate of an employer or association; (B) the program involves the use of insurance issued by an insurer; and (C) the employer, association, officer, director, employee, or trustee is not in any manner compensated, directly or indirectly, by the company issuing the contract; (e) an employee of an insurer or organization employed by an insurer who: (i) is engaging in: (A) the inspection, rating, or classification of risks; or (B) the supervision of the training of insurance producers; and (ii) is not individually engaged in the sale, solicitation, or negotiation of insurance; (f) a person whose activities in this state are limited to advertising: (i) without the intent to solicit insurance in this state; (ii) through communications in mass media including: (A) a printed publication; or (B) a form of electronic mass media; (iii) that is distributed to residents outside of the state; and (iv) if the person does not sell, solicit, or negotiate insurance that would insure risks residing, located, or to be performed in this state; (g) a person who: (i) is not a resident of this state; (ii) sells, solicits, or negotiates a contract of insurance: (A) for commercial property and casualty risks to an insured with risks located in more than one state insured under that contract; and (B) insures risks located in a state in which the person is licensed as provided in Subsection (1)(g)(iii); and (iii) is licensed as an insurance producer to sell, solicit, or negotiate that insurance in the state where the insured maintains its principal place of business; or (h) if the employee does not sell, solicit, or receive a commission for a contract of insurance, a salaried full-time employee who counsels or advises the employee's employer relating to the insurance interests of: (i) the employer; or (ii) a subsidiary or business affiliate of the employer. (2) The commissioner may by rule exempt a class of persons from the license requirement of Subsection 31A-23a-103(1) if: (a) the functions performed by the class of persons does not require: (i) special competence; (ii) special trustworthiness; or (iii) regulatory surveillance made possible by licensing; or (b) other existing safeguards make regulation unnecessary.