Voluntary surrender of professional employer organization license.

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  • (1) When a professional employer organization wants to voluntarily surrender its professional employer organization license, the professional employer organization shall:
    • (a) notify in writing each coemployer regarding the impending loss of the following provided under the professional employer agreement:
      • (i) workers' compensation insurance coverage;
      • (ii) health care benefits, if a coemployers' employee welfare plan includes fully insured or partially insured health insurance benefits; and
      • (iii) any other insurance benefit provided to coemployers by the professional employer organization; and
    • (b) submit a letter of intent to voluntarily surrender the license to the commissioner:
      • (i) after providing the notice to coemployers under Subsection (1)(a); and
      • (ii) not less than 45 days before the day on which the professional employer organization surrenders its professional employer organization license.
  • (2) The letter of intent to voluntarily surrender a professional employer organization license shall include the following:
    • (a) the reason the professional employer organization license is being surrendered;
    • (b) a discussion of each process or plan to handle the obligations to coemployers and employees;
    • (c) a list of coemployers as of the date of the letter;
    • (d) a copy of the notice sent to the coemployers under Subsection (1)(a);
    • (e) certification that the professional employer organization has notified the coemployers located in Utah of the professional employer organization's intent to cease doing business in Utah; and
    • (f) the signature of the professional employer organization's chief executive officer or controlling individual.




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