2012 Wyoming Statutes
TITLE 26 - INSURANCE CODE
CHAPTER 11 - SURPLUS LINES AND INSURANCE IN UNAUTHORIZED INSURERS
26-11-107. Requirements for eligible surplus line insurers; publication of eligible insurers.

(a) No broker shall knowingly place surplus line insurance with an insurer that is unsound financially or that is ineligible under this section. The broker shall ascertain the financial condition of the unauthorized insurer, to the extent that the financial condition is shown by the insurer's recent financial statements filed with public authority or published, or as otherwise known to the broker, before placing insurance with that insurer.

(b) The broker shall insure only in an insurer which meets the following requirements:

(i) Is authorized to transact insurance of the kind involved in at least one (1) state of the United States and has unimpaired capital or surplus, or both, or an effective trust fund amounting to at least three million five hundred thousand dollars ($3,500,000.00);

(ii) If an alien insurer not authorized to transact insurance in at least one (1) state of the United States either:

(A) Has an established and effective trust fund of at least three million five hundred thousand dollars ($3,500,000.00) within the United States administered by a recognized financial institution and held for the benefit of all its policyholders in the United States; or

(B) Is listed by the international insurers department of the national association of insurance commissioners; or

(iii) Is in compliance with either paragraph (i) or (ii) and is not ineligible as a surplus line insurer by the commissioner's order received by or known to the broker.

(c) The commissioner may issue an order of ineligibility if he finds or has reason to believe that the insurer:

(i) Does not meet the requirements of this section;

(ii) Has without just cause refused to pay claims arising under its contracts in the United States; or

(iii) Has otherwise conducted its affairs in such manner as to result in or threaten injury or loss to the insuring public of the United States.

(d) The commissioner from time to time may publish a list of all surplus lines insurers he deems eligible currently and shall mail a copy of the list to each broker at his office last of record with the commissioner. This subsection does not obligate the commissioner to determine the actual financial condition or claims practices of any unauthorized insurer. The status of eligibility, if granted by the commissioner, indicates only that the insurer appears to be sound financially and to have satisfactory claims practices, and that the commissioner has no credible evidence to the contrary. While any such list is in effect the broker shall restrict to the insurers listed all surplus line business he places.