Admitted Company

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DEFINITION of 'Admitted Company'

An insurance company that is domiciled in one state but is admitted by another state to transact insurance business. Because insurance licenses are governed by the states, an insurance company must be licensed by each state where it intends to conduct business, and must comply with each state's insurance codes, including financial requirements.

INVESTOPEDIA EXPLAINS 'Admitted Company'

An insurance company is considered a "foreign," "alien" or "nonresident" company except in the state in which its primary offices are domiciled. In addition, any person selling insurance of an admitted company must be licensed in that particular state.

RELATED TERMS
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