Home warranty
in Utah.
The Utah Insurance Department registers home warranty companies at least 30 days before they sell, under the service contract law in its Insurance Code.
The Utah Insurance Department registers home warranty companies at least 30 days before they sell, under the service contract law in its Insurance Code. The registration fee is due each year before March 1. A company backs its contracts with a reimbursement insurance policy or, under the department's rule, a surety bond or letter of credit of $50,000. That rises to $100,000 above 2,500 contracts. A security deposit of $10,000 for every 500 contracts, up to $100,000, also qualifies. Each contract must state that it is subject to limited regulation by the Utah Insurance Department, that its coverage is not guaranteed by the Property and Casualty Guaranty Association, and how it can be cancelled.