Section 3.25.010. Conditions for procurement of surplus lines coverage.

	(a)  Insurance may be procured through a surplus lines broker from an eligible nonadmitted insurer only if the producing broker   
		(1) determines through a diligent search that the particular policy terms or conditions that are material to the insured cannot be obtained from an insurer that is admitted to do business in this state;  
		(2) completes the search before the surplus lines broker binds the insurance contract; and  
		(3) provides documentation of the search to the surplus lines broker not later than 15 days after the binding of the insurance contract; the documentation must meet the requirements of 3 AAC 25.035.  
	(b)  Insurance may be procured through a surplus lines broker from a nonadmitted insurer that does not appear on the current published eligible list under AS 21.34.050 or on the list described in AS 21.34.040(c)(7) only if  
		(1) the producing broker complies with (a) of this section; and  
		(2) the surplus lines broker has documentation that  
			(A) the director has the nonadmitted insurer's current annual statement required by AS 21.34.040(d); and  
			(B) the portion of the risk to be placed with the nonadmitted insurer cannot be obtained from a nonadmitted insurer that appears on the eligible list under AS 21.34.050 or on the list described in AS 21.34.040(c)(7).  

Authorities

21.06.090;21.34.020;21.34.040;21.34.060;21.34.250

Notes

Reference

3 AAC 25.035
3 AAC 25.120

Authority

AS 21.06.090 AS 21.34.020 AS 21.34.040 AS 21.34.060 AS 21.34.250

History

Eff. 8/28/91, Register 119; am 6/11/2006, Register 178; am 9/4/2014, Register 211