How does New Jersey classify Lloyds of London?

In New Jersey, Lloyds of London is classified as an 'alien' insurer. This classification applies to insurance companies that are incorporated or formed under the laws of another country. Specifically, Lloyds of London is not incorporated as a conventional insurance company but functions as a marketplace where various underwriters come together to provide insurance.

Therefore, because it operates outside the jurisdiction of the United States and is based in the United Kingdom, it falls under the category of 'alien.' The alien status indicates that while the company can conduct business in New Jersey, it is governed by the regulatory framework of its home country rather than that of New Jersey or the United States.

The different classifications such as domestic, foreign, and admitted refer to specific legal statuses with domestic referring to insurers incorporated in New Jersey, foreign indicating companies based in other U.S. states but licensed to operate in New Jersey, and admitted meaning that the insurer has received authorization from the state to conduct business. In contrast, the alien designation explicitly notes the company’s international base and regulatory differences.