The bigger reason it hasn’t been embraced in the industry? There’s no need. Most are already setp-up/structured under the old system…admitted in the domicile, non-admitted in all the others, with a different carrier non-admitted in the S/L carrier domicile.
Under this scenario, it’s likely that the S/L insurer is writing admitted business in it’s domicile. “If you have the paper, use it.”
So this brings us to “dual” status. Because these entities are taxed differently, some states like Oklahoma, won’t allow dual status due to the Tax ID already being handled on the an admitted basis.
Oh there’s also the little that little thing about being regulated. States allowing non-admitted insurance in their states do so because of the domicile authorization.
Currently, since S/L lines insurers aren’t subject to exam or MCE, these other states can be confident in the fact that the SL insurers are licensed “somewhere” and get reqular exams and MCE reviews.
The bigger reason it hasn’t been embraced in the industry? There’s no need. Most are already setp-up/structured under the old system…admitted in the domicile, non-admitted in all the others, with a different carrier non-admitted in the S/L carrier domicile.
Under this scenario, it’s likely that the S/L insurer is writing admitted business in it’s domicile. “If you have the paper, use it.”
So this brings us to “dual” status. Because these entities are taxed differently, some states like Oklahoma, won’t allow dual status due to the Tax ID already being handled on the an admitted basis.
Oh there’s also the little that little thing about being regulated. States allowing non-admitted insurance in their states do so because of the domicile authorization.
Currently, since S/L lines insurers aren’t subject to exam or MCE, these other states can be confident in the fact that the SL insurers are licensed “somewhere” and get reqular exams and MCE reviews.