(a) Any of the following acts in this state, effected by mail or otherwise, by an unauthorized foreign or alien insurer, is equivalent to and shall constitute an appointment by the insurer of the commissioner and the commissioner’s successor or successors in office, to be its true and lawful attorney, upon whom may be served all lawful process in any action, suit, or proceeding instituted by or on behalf of an insured or beneficiary arising out of the contract of insurance:

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Terms Used In Tennessee Code 56-2-602

  • Attorney: means the person designated and authorized by subscribers as the attorney-in-fact having authority to obligate them on reciprocal insurance contracts. See Tennessee Code 56-16-102
  • Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Source: OCC
  • Commissioner: means the commissioner of commerce and insurance. See Tennessee Code 56-1-102
  • Contract: A legal written agreement that becomes binding when signed.
  • Foreign: when used without limitation, includes all companies formed by authority of any other state or government. See Tennessee Code 56-1-102
  • Service of process: The service of writs or summonses to the appropriate party.
  • State: when applied to the different parts of the United States, includes the District of Columbia and the several territories of the United States. See Tennessee Code 1-3-105
(1) The issuance or delivery of contracts of insurance to residents of this state or to corporations authorized to do business in this state;
(2) The solicitation of applications for the contracts;
(3) The collection of premiums, membership fees, assessments or other considerations for the contracts; or
(4) Any other transaction of insurance business.
(b) Any of the acts mentioned in subdivsions (a)(1)-(4) shall be signification of the insurer’s agreement that the service of process is of the same legal force and validity as personal service of process in this state upon the insurer.
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