INDUSTRIAL INSURANCE – EXEMPTIONS BY STATE
(1)The Alaska legislature added language to its surplus lines laws in 2009 to extend the commercial policyholder exemption for surplus lines.
(2)“Industrial Insured” exemption recognized with respect to captive insurers only.
(3)“Industrial Insured” exemption recognized with respect to nonadmitted insurers only.
(4)“Industrial Insured” exemption also recognized in limited instances with respect to captive insurers (i.e., directors’ and officers’ liability insurance and bankers’ blanket bonds).
(5)“Industrial Insured” exemption recognized with respect to workers’ compensation insurance only.
(6)”Industrial Insured” exemption is restricted to excess liability insurance in excess of $25,000,000.
(7)”Industrial Insured” exemption only applies to an insured who filed an affidavit to the Executive Director of Insurance prior to July 1, 1999 establishing that it had satisfied the then existing criteria for obtaining that status.
(8)”Industrial Insured” exemption recognized with respect to life insurance only.
(9)”Industrial Insured” exemption also recognized with respect to captive insurers.
(10)”The Industrial Insured” exemption in USVI was repealed in 2008.
(11)”Industrial Insured” exemption in Texas only waives the diligent search requirement and only if (1) the agent placing the coverage discloses to the industrial insured that (A) comparable insurance may be available from the admitted market that is subject to more regulatory oversight than the surplus lines market; and (B) a policy purchased in the admitted market may provide greater protection than the surplus lines insurance policy; (2) the surplus lines company offering the coverage has a financial strength rating of A- or better from A.M. Best; and (3) after receiving the notice described in Subd. (1) above, the industrial insured requests in writing that the agent procure the insurance from or place the insurance with an eligible surplus lines insurer.