2 New Appleman on Insurance Law Library Edition § 8.04


Summary

  • [1] Overview

    In general, domestic insurers are subject to greater scrutiny by regulators than foreign insurers. An insurer is a “domestic” insurer in the state in which it is organized to do business. It is a “foreign” insurer in every other state, although of course it may be admitted and authorized to do business in those states. Because an insurer must be organized in some jurisdiction, every insurer has a “domestic” jurisdiction. The kind of regulation provided to domestic insurers is one consideration in selecting a state of domicile. On certain regulatory matters, other states typically will defer to the department of insurance in the domiciliary state. For example, in lieu of conducting their own financial examination of an insurer doing business in their state, an insurance department may accept an examination conducted by the department in the state in which the insurer is domiciled.1Link to the text of the note

  • [2] Commercial Domicile

    Some states recognize a second form of ...