Utah Admin. Code R37-1-4 - Description of the Fund and its Activities

(1) The Fund is a self-insurance mechanism established by statute to handle losses to or claims against its covered entities.

(2) Although coverage through the Fund may be written in formats like insurance policies, the relationship between the Fund and covered entities is not that of insurer and insured.

(3) No special duties, rules of construction or other legal doctrines recognized by the courts or created by statute with respect to the relationship of an insurer to its insured shall apply to the Fund or entities covered by it, except those which are specifically required by Title 31A, Chapter 12, State Risk Management Fund, with respect to some coverage provided to school districts, or those that may be required for a captive under Title 31A, Chapter 37, Captive Insurance Companies Act.

(4) The duty to defend covered entity employees, as defined in Section 63G-7-902, or volunteers, as defined in Section 67-20-2, extends only as far as the covered entities' duty to employees or volunteers under Title 63G, Chapter 7, Governmental Immunity Act of Utah, and no special relationship of insurer to insured exists between the Fund and employees or volunteers of covered entities, unless otherwise required for a captive under Title 31A, Chapter 37, Captive Insurance Companies Act.

Notes

Utah Admin. Code R37-1-4

Amended by Utah State Bulletin Number 2023-05, effective 2/22/2023