31A-22-701 (Superseded 01/01/11) - Groups eligible for group or blanket insurance.
31A-22-701 (Superseded 01/01/11). Groups eligible for group or blanket insurance.
(1) A group or blanket accident and health insurance policy may be issued to:
(a) any group:
(i) to which a group life insurance policy may be issued under Sections 31A-22-502through 31A-22-507; and
(ii) that is formed for a reason other than the purchase of insurance; or
(b) any group specifically authorized by the commissioner under Section 31A-22-509,upon a finding that:
(i) authorization is not contrary to the public interest;
(ii) the proposed group is actuarially sound;
(iii) formation of the proposed group may result in economies of scale in administrative,marketing, and brokerage costs;
(iv) the health insurance policy, certificate, or other indicia of coverage that will beoffered to the proposed group is substantially equivalent to policies that are otherwise availableto similar groups; and
(v) the proposed group is formed for a reason other than the purchase of insurance.
(2) A blanket policy may also be issued to:
(a) any common carrier or any operator, owner, or lessee of a means of transportation, aspolicyholder, covering persons who may become passengers as defined by reference to theirtravel status;
(b) an employer, as policyholder, covering any group of employees, dependents, orguests, as defined by reference to specified hazards incident to any activities of the policyholder;
(c) an institution of learning, including a school district, school jurisdictional units, or thehead, principal, or governing board of any of those units, as policyholder, covering students,teachers, or employees;
(d) any religious, charitable, recreational, educational, or civic organization, or branch ofthose organizations, as policyholder, covering any group of members or participants as definedby reference to specified hazards incident to the activities sponsored or supervised by thepolicyholder;
(e) a sports team, camp, or sponsor of the team or camp, as policyholder, coveringmembers, campers, employees, officials, or supervisors;
(f) any volunteer fire department, first aid, civil defense, or other similar volunteerorganization, as policyholder, covering any group of members or participants as defined byreference to specified hazards incident to activities sponsored, supervised, or participated in bythe policyholder;
(g) a newspaper or other publisher, as policyholder, covering its carriers;
(h) an association, including a labor union, which has a constitution and bylaws andwhich has been organized in good faith for purposes other than that of obtaining insurance, aspolicyholder, covering any group of members or participants as defined by reference to specifiedhazards incident to the activities or operations sponsored or supervised by the policyholder;
(i) a health insurance purchasing association, as defined in Section 31A-34-103,organized and controlled solely by participating employers; and
(j) any other class of risks which, in the judgment of the commissioner, may be properlyeligible for blanket accident and health insurance.
(3) The judgment of the commissioner may be exercised on the basis of:
(a) individual risks;
(b) class of risks; or
(c) both Subsections (3)(a) and (b).
Amended by Chapter 307, 2007 General Session