Insurance carrier that is incorporated under the laws of the state in which it is doing business.
Insurance Encyclopedia
Domestic corporation
Company incorporated under the laws of the state.
Domestic employees
Unlimited liability for injury to domestic employees is covered under the household contents policy. As domestic employees are employed in a household not a business, compulsory insurance does not apply.
Domestic helpline protection
See: HOME EMERGENCY COVER.
Domestic insurance company
Term used by a state to refer to any company incorporated there.
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While an insurance company can conduct business in multiple states, it is known as a domestic insurance company in the state where it is incorporated. For example, State Farm’s incorporation is in Illinois. Therefore, in Illinois, State Farm is a domestic insurance company. In all other states where it operates, it is known as a foreign insurance company. Most states have additional financial and reporting requirements for a foreign company to ensure it is solvent and reputable.
Domestic insurer
An insurance company founded in the same state that it operates in.
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An insurer admitted by and formed under the laws under the state in which insurance is written.
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Insurer formed under the laws of and headquartered in the country in which the Insurance is written. Contrast to alien Insurer.
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MEDICAL,USA,REFERENCE: See: domestic carrier .
Domestic terrorism
The Federal Bureau of Investigation defines this term as “the unlawful use, or threatened use, of force or violence by a group or individual based and operating entirely within the United States or its territories without foreign direction committed against persons or property to intimidate or coerce a government, the civilian population, or any segment thereof, in furtherance of political or social objectives.” Distinguishing between domestic and foreign acts of terrorism is important because the Terrorism Risk and Insurance Act (TRIA) only applies to acts of foreign terrorists.
Domicile
1. Location of the permanent home or legal residence of an individual and, if absent, the individual has the intention of returning to. 2. Jurisdiction and site where a business or corporation maintains its headquarters and conducts its corporate affairs.
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The location or venue in which a captive insurer is licensed to do business. There are a number of factors that must be considered in selecting the best domicile for a given captive, including capitalization and surplus requirements, investment restrictions, income and local taxes, formation costs, acceptance by fronting insurers and reinsurers, availability of banking and other services, and proximity considerations.
Domiciled
Refers to the state in which an insurance company receives a license to operate. The company is then regulated by that state’s department of insurance.
Domiciled company
Insurance carrier whose head office is in the same state as the individual referring to it.