Admitted Insurance

What Does Admitted Insurance Mean?

Admitted insurance refers to coverage offered by an insurance company that has been approved and licensed by a state’s Department of Insurance. In contrast, non-admitted insurance is provided by companies that lack licensing or approval from the state’s Department of Insurance.

Insuranceopedia Explains Admitted Insurance

Admitted insurance is generally considered more reliable and secure for several reasons. First, admitted insurance companies undergo evaluation by the state to ensure financial stability. Second, if an admitted insurer fails, the state’s Department of Insurance guarantees payment of claims. Third, policyholders with admitted insurance can file complaints with the state’s Department of Insurance if they have concerns about claim handling.