Arizona Laws 20-407.01. Designation as a domestic surplus lines insurer; requirements; scope of business activity permitted
A. Notwithstanding any other law, a domestic insurer possessing minimum capital and surplus of at least fifteen million dollars, pursuant to a resolution by its board of directors and on the written approval of the director, may be designated as a domestic surplus lines insurer. A domestic surplus lines insurer shall be considered an unauthorized insurer for purposes of writing surplus lines insurance coverage pursuant to the requirements of this article.
Terms Used In Arizona Laws 20-407.01
- Domestic surplus lines insurer: means an insurer that is domiciled in and authorized to transact insurance in this state and that has received approval from the department pursuant to Section 20-407. See Arizona Laws 20-401
- Jurisdiction: (1) The legal authority of a court to hear and decide a case. Concurrent jurisdiction exists when two courts have simultaneous responsibility for the same case. (2) The geographic area over which the court has authority to decide cases.
- Property: includes both real and personal property. See Arizona Laws 1-215
- United States: includes the District of Columbia and the territories. See Arizona Laws 1-215
- Writing: includes printing. See Arizona Laws 1-215
B. A domestic surplus lines insurer shall only write surplus lines insurance in this state procured pursuant to the requirements of this article. A domestic surplus lines insurer may write surplus lines insurance in any other jurisdiction in which the insurer is eligible to write surplus lines insurance if the domestic surplus lines insurer complies with any requirements of that jurisdiction.
C. Insurance written by a domestic surplus lines insurer is subject to the tax on premiums required by section 20-416 and is exempt from the tax on premiums required by chapter 2, article 1 of this title.
D. A domestic surplus lines insurer shall be considered a nonadmitted insurer as referenced in 15 United States Code § 8206 with respect to surplus lines insurance issued in this state.
E. Surplus lines insurance policies issued in this state by a domestic surplus lines insurer are not subject to the protection of or other provisions of the Arizona property and casualty insurance guaranty fund established by section 20-662.
F. Surplus lines insurance policies issued in this state by a domestic surplus lines insurer are not subject to and are exempt from all statutory requirements relating to insurance rating and rating plans, policy forms, policy cancellation and nonrenewal in the same manner and to the same extent as a surplus lines insurer domiciled in another state.