What must an admitted insurer obtain to legally conduct business in Connecticut?

To legally conduct business in Connecticut, an admitted insurer must obtain a certificate of authority. This certificate serves as formal permission granted by the state’s regulatory body, allowing the insurer to operate within the state and offer insurance coverage to residents. The process involves meeting specific criteria set forth by state laws and regulations, ensuring that the insurer complies with financial stability and consumer protections.

While a license from the state government might seem similar, a certificate of authority is the specific designation required for insurance firms. In contrast, obtaining a bond from a local bank or insurance from another insurer does not fulfill the legal requirements for conducting business in the insurance sector. Therefore, the requirement for a certificate of authority is essential in establishing a regulated and reliable insurance market within Connecticut.