{"data":{"id":"us-ut/utah-code-31a-5-703","jurisdiction":"us-ut","citation":"Utah Code § 31A-5-703","heading":"Nonrenewals, cancellations, or revisions of ceded reinsurance agreements.","body":"(1)\n(a) A nonrenewal, cancellation, or revision of ceded reinsurance agreements is not subject to the reporting requirements of Section 31A-5-701 if:\n(i) the nonrenewal, cancellation, or revision is not material; or\n(ii) with respect to a property and casualty business, the insurer's total ceded written premium, on an annualized basis, is less than 10% of its total written premium for direct and assumed business; or\n(iii) with respect to a life, annuity, and accident and health business, the total reserve credit taken for business ceded, on an annualized basis, is less than 10% of the statutory reserve requirement prior to a cession.\n(b) For purposes of this part, a material nonrenewal, cancellation, or revision is one that affects:\n(i) with respect to a property and casualty business:\n(A) more than 50% of the insurer's total ceded written premium; or\n(B) more than 50% of the insurer's total ceded indemnity and loss adjustment reserves;\n(ii) with respect to a life, annuity, and accident and health business, more than 50% of the total reserve credit taken for business ceded, on an annualized basis, as indicated in the insurer's most recent annual statement; or\n(iii) with respect to either property and casualty or life, annuity, or accident and health business:\n(A) an authorized reinsurer representing more than 10% of a total cession is replaced by one or more unauthorized reinsurers; or\n(B) previously established collateral requirements have been reduced or waived as respects one or more unauthorized reinsurers representing collectively more than 10% of a total cession.\n(2)\n(a) The following information is required to be disclosed in any report filed pursuant to Section 31A-5-701 of a material nonrenewal, cancellation, or revision of a ceded reinsurance agreement:\n(i) the effective date of the nonrenewal, cancellation, or revision;\n(ii) the description of the transaction with an identification of the initiator of the transaction;\n(iii) the purpose of, or reason for the transaction; and\n(iv) if applicable, the identity of the replacement reinsurers.\n(b)\n(i) Insurers are required to report all material nonrenewals, cancellations, or revisions of ceded reinsurance agreements on a nonconsolidated basis unless the insurer:\n(A) is part of a consolidated group of insurers that uses a pooling arrangement or 100% reinsurance agreement that affects the solvency and integrity of the insurer's reserves; and\n(B) ceded substantially all of its direct and assumed business to the pool.\n(ii) An insurer is considered to have ceded substantially all of its direct and assumed business to a pool if:\n(A) the insurer has less than $1,000,000 total direct plus assumed written premiums during a calendar year that are not subject to a pooling arrangement; and\n(B) the net income of the business not subject to the pooling arrangement represents less than 5% of the insurer's capital and surplus.","path":["Title 31A Insurance Code","Chapter 31A-5 Domestic Stock and Mutual Insurance Corporations","Part 31A-5-7 Disclosure of Material Transactions"],"source_url":"https://le.utah.gov/xcode/Title31A/Chapter5/31A-5-S703.html","current_through":"2026 General Session","vintage":"","retrieved_at":"2026-09-03T11:34:33Z","sha256":"90f852d0fa936953a6cd152a27c0bdfe1e0da6c94caf2c61cc0a751cd8b1ab73","source_id":"us-ut","stale":false,"prev":"us-ut/utah-code-31a-5-702","next":"us-ut/utah-code-31a-6a-101"},"notice":"GroundRules: Original legal text. Not legal advice."}