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Admitted Company |
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Admitted Company An insurance company licensed to operate in one state even though its main office is in another state. Insurance licensing in the United States is conducted on a state-by-state basis; admitted companies are, in effect, "foreign" corporations that have received permission to conduct business in-state. Both the companies themselves and the agents they use must be licensed in each state in which they work. Want to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit the webmaster's page for free fun content. |
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If a major cat occurs and the admitted companies need to raise capital, they will have a much larger problem by having written the surplus lines marginal business, which historically has a longer tail and will need more attention when the company can least afford to increase reserves. And we feel that's reflective of the flexibility in rate and form that surplus lines companies have, that admitted companies don't have. Giving emergency evidence to a committee of MPs, local government minister John Healey admitted companies should not have suddenly been landed with shock tax bills backdated three years. |
Admitted Companies |
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