Insurance Code Task Force

Entity: 3187
Entity Type: State Government


The Insurance Task Force was created in 1985 as part of the recodification of insurance law proposed by the Insurance Law Revision Commission (agency 3182). The purpose of the Task Force was to review the work of the Revision Commission and propose amendments to the insurance code before the law drafted by the Revision Commission could take effect in July 1986. The Task Force was to exist from 1 May 1985 through 31 December 1985.

Biography/History Notes

The Task Force was to provide a forum for the public airing of concerns regarding the new Insurance Code; give periodic reports and recommendations to the Business, Labor, and Economic Development Interim Committee of the Legislature; and submit recommended amendments to Title 31A and other insurance law.?Issues to be given special consideration by the Task Force included whether an Insurance Fraud Division should be created within the Insurance Department; whether underinsured motorist coverage should be required; whether political contributions by insurers should be prohibited or limited; whether statutory limitations should be placed upon insurers' use and distribution of information concerning the insureds; whether there were any unreasonable grants of discretion to the insurance commissioner; whether the Salt Lake City International Airport should be exempted from the tax imposed under 31A-3-301; whether 31A-18-106(6) should be continued in the same form; whether 31A-23-311 fairly balanced the interests of insurers and insureds; wither 31-20-2(6) should be continued; whether 31A-5-217(8) is appropriate ; whether part III of ch 26 Title 31A should remain applicable to title insurers ; whether 31A-22-617(2)(b) needs to be amended to exclude hospitals; whether agents, brokers, consultants, or adjustors should be subject to continuing education requirements; whether the Insurance Department should be funded through a revolving fund; items submitted to the Office of Legislative Research and General Counsel prior to 1 May; and other such issues as the task force considered relevant.

The Task Force consisted of 13 members, including the Insurance Commissioner and 12 other members appointed by the governor, including one member of the Senate and one member of the House. The Task Force was chaired by the member of the Senate.

In 1985, the senate bill creating the ICTF (S.B. 232) charged the Office of Legislative Research and General Council to provide the necessary staff assistance for the task force, and authorized it to contract with qualified persons not employed with that office to that end. The task force created three subcommittees (Administration, Property and Casualty, and Life and Health) to review and make recommendations on issues of particular difficulty. As chair of the task force, Senate appointee, Fred W. Finlinson, appointed all subcommittee members (Laws of Utah, 1985. Ch. 242).