Question

The Excalibur Insurance Company, domiciled in Iowa, transacts business legally in Nebraska. In Nebraska, Excalibur is a(n):

A. domestic insurance company

B. non-admitted insurance company

C. foreign insurance company

D . alien insurance company

Answer 1

C. foreign insurance company

Step-by-step explanation:

• In the US, an insurance company that operates in other states through agents is called a foreign insurance company . These companies are incorporated from another home-state but can legally operate in other states as well.
• The Excalibur Insurance Company, domiciled in Iowa, transacts business legally in Nebraska. In Nebraska, Excalibur is a foreign insurance company.
• It is because the Excalibur Insurance Company is incorporated in Iowa so it becomes a foreign company in Nebraska.