Georgia Surplus Lines Broker Exam 2025 – 400 Free Practice Questions to Pass the Exam

An “eligible surplus lines insurer” in Georgia refers specifically to a non-admitted insurer that has been authorized to provide surplus lines coverage. Surplus lines insurers are not licensed to operate in the same manner as admitted insurers within the state; instead, they are granted the ability to take on risk for coverage that is not readily available in the standard market. This typically involves specialized areas such as high-risk or unusual insurance needs where traditional carriers are unable or unwilling to provide coverage due to risk factors.

This definition highlights the distinction that these insurers must meet certain criteria set by state regulations to be considered "eligible" for surplus lines placement. They must be included on a list that Georgia maintains, which identifies these carriers as capable of writing surplus lines insurance. This process ensures that despite their non-admitted status, they are still regulated and monitored for financial stability and reliability, providing a safety net for policyholders choosing to go through surplus lines.

In contrast, the other options describe types of insurers that do not fit the definition of surplus lines insurers. For instance, a licensed insurer for all types of coverage and an admitted insurer with a specialty in high-risk policies both imply traditional licensing and regulatory compliance within the state, which does not align with the unique status of surplus lines