# Utah Code § 31A-40-203: Covered employee

> Utah · Statutes · In force

URL: https://www.frixlaw.com/law-library/statutes/STATE_UT_T31A_S31A_40_203

## Section

- **Citation:** Utah Code § 31A-40-203
- **Heading:** Covered employee
- **Jurisdiction:** Utah
- **Kind:** Statutes
- **Status:** In force
- **Text as of:** August 14, 2026
- **Source:** Compiled text
- **Location:** Utah Code / Title 31A / Chapter 31A-40 / § 31A-40-203

## Text

(1) (a) An individual is a covered employee of a professional employer organization if the individual is coemployed pursuant to a professional employer agreement subject to this chapter. (b) An individual who is a covered employee under a professional employer agreement is a covered employee, whether or not the professional employer organization provides the notice required by Subsection 31A-40-202(3), the earlier of the day on which: (i) the employee is first compensated by the professional employer organization; or (ii) the client notifies the professional employer organization of a new hire. (2) An individual who is an officer, director, shareholder, partner, or manager of a client is a covered employee: (a) to the extent that the client and the professional employer organization expressly agree in the professional employer agreement that the individual is a covered employee; (b) if the conditions of Subsection (1) are met; and (c) if the individual acts as an operational manager or performs day-to-day an operational service for the client.

## Nearby sections

- [Utah Code § 31A-40-101 § 31A-40-101. Title.](https://www.frixlaw.com/law-library/statutes/STATE_UT_T31A_S31A_40_101.md)
- [Utah Code § 31A-40-102 § 31A-40-102. Definitions.](https://www.frixlaw.com/law-library/statutes/STATE_UT_T31A_S31A_40_102.md)
- [Utah Code § 31A-40-103 § 31A-40-103. Duties of the commissioner.](https://www.frixlaw.com/law-library/statutes/STATE_UT_T31A_S31A_40_103.md)
- [Utah Code § 31A-40-104 § 31A-40-104. Confidentiality -- Cooperation with other agencies.](https://www.frixlaw.com/law-library/statutes/STATE_UT_T31A_S31A_40_104.md)
- [Utah Code § 31A-40-201 § 31A-40-201. Enforceable rights and obligations.](https://www.frixlaw.com/law-library/statutes/STATE_UT_T31A_S31A_40_201.md)
- [Utah Code § 31A-40-202 § 31A-40-202. Professional employer agreement -- Specific responsibilities.](https://www.frixlaw.com/law-library/statutes/STATE_UT_T31A_S31A_40_202.md)
- [Utah Code § 31A-40-203 § 31A-40-203. Covered employee.](https://www.frixlaw.com/law-library/statutes/STATE_UT_T31A_S31A_40_203.md)
- [Utah Code § 31A-40-204 § 31A-40-204. Rights and obligations unaffected -- Licensed, registered, or certified occupations or professions.](https://www.frixlaw.com/law-library/statutes/STATE_UT_T31A_S31A_40_204.md)
- [Utah Code § 31A-40-205 § 31A-40-205. Financial capability.](https://www.frixlaw.com/law-library/statutes/STATE_UT_T31A_S31A_40_205.md)
- [Utah Code § 31A-40-206 § 31A-40-206. Professional employer service not insurance.](https://www.frixlaw.com/law-library/statutes/STATE_UT_T31A_S31A_40_206.md)
- [Utah Code § 31A-40-207 § 31A-40-207. Taxation.](https://www.frixlaw.com/law-library/statutes/STATE_UT_T31A_S31A_40_207.md)
- [Utah Code § 31A-40-208 § 31A-40-208. Benefit plan.](https://www.frixlaw.com/law-library/statutes/STATE_UT_T31A_S31A_40_208.md)
- [Utah Code § 31A-40-209 § 31A-40-209. Workers' compensation.](https://www.frixlaw.com/law-library/statutes/STATE_UT_T31A_S31A_40_209.md)
- [Utah Code § 31A-40-210 § 31A-40-210. Unemployment compensation insurance.](https://www.frixlaw.com/law-library/statutes/STATE_UT_T31A_S31A_40_210.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_UT_T31A_S31A_40_203. Check the current official text before relying on it. Not legal advice.