Surplus Lines – Required Policy Legend
North Carolina General Statute §58-21-45(f) requires that every surplus lines policy placed by a surplus lines licensee bear the name of the licensee and the following legend in 12-point type and in contrasting color or in 12-point type and underlined and in bold print.
For nonadmitted insurers:
“The insurer with which this coverage has been placed is not licensed by the State of North Carolina and is not subject to its supervision. In the event of the insolvency of the insurance company, losses under this policy will not be paid by any State insurance guaranty or solvency fund.”
For nonadmitted domestic surplus lines insurers:
“The insurer with which this coverage has been placed is domiciled and authorized by the State of North Carolina and is subject to its supervision. However, in the event of the insolvency of the insurance company, losses under this policy will not be paid by any State insurance guaranty or solvency fund.”