Uniform Certificate of Authority Application (UCAA)

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UCAA Expansion Application

The Expansion Application to the Uniform Certificate of Authority Application (UCAA) is for use by an insurer that wishes to expand into one or more Uniform States. The applicant may file Expansion Applications simultaneously in as many states as desired. Prior to submitting an application in a foreign state, the insurer should inform the state of domicile of its plans in the foreign state(s).

The Expansion Application is an abbreviated version of the UCAA designed to allow solidly performing companies that are in good standing in all admitted states to quickly and easily gain admission into new states. It is the goal of all Uniform States to complete their review of Expansion Applications within 60 calendar days of receipt. The 60-day review process includes two weeks to determine if the application is complete and acceptable. During the remaining 45-60 day time-span the application will receive a financial and operational review. The 60-day processing goal may not be achieved in instances where substantial follow-up is required, or in states with limited resources, or in instances when applications are filed during peak business periods such as year-end and annual statement filing periods.

Based on the circumstances of a particular application, it may be necessary for the reviewing state to request additional information.

The UCAA Expansion Application has three sections designed to guide you through the admission process:

  1. Application Review Process
  2. Filing Requirements
  3. How to File

The goal of the UCAA is to provide a streamlined approval process. However, some states have state specific filing requirements based either on statutory requirements or internal procedures. The uniform states are working to eliminate non-essential state specific requirements. All applicants are expected to be familiar with the insurance laws of each state for which an application is submitted. Please see the State Specific Information page for information about how to obtain a copy of the laws, regulations and bulletins for each state.

If you have any questions about the uniform admission process or state specific filing requirements, a list of contact names and telephone numbers is provided in on the UCAA website. To assure a prompt review it is recommended that you contact each state with any questions prior to submitting your application for review.

The Expansion Application to the Uniform Certificate of Authority Application (UCAA) is for use by an insurer who wishes to expand into one or more Uniform States. Expansion Applications may be filed simultaneously in as many Uniform States as desired. A Uniform State is one that is committed to using the UCAA review process for company admissions.

Section I
Application Review Process

The Expansion Application is an abbreviated version of the UCAA designed to allow solidly performing companies that are in good standing in all admitted states to quickly and easily gain admission into new states. It is the goal of all Uniform States to complete their review of Expansion Applications within 60 calendar days of receipt. The 60-day review process includes two weeks to determine if the application is complete and acceptable. During the remaining 45-60 day time-span the application will receive a financial and operational review. The 60-day processing goal may not be achieved in instances where substantial follow-up is required, or in states with limited resources, or in instances when applications are filed during peak business periods such as year-end and annual statement filing periods.

Based on the circumstances of a particular application, it may be necessary for the reviewing state to request additional information.

Proprietary Information

Both regulators and applicants should note that communications with insurance regulatory agencies in conjunction with the Expansion Application concerning proprietary information about the applicant may be deemed confidential. Information determined to be confidential may only be shared with other persons as authorized by law. Information determined to be proprietary and trade secret by law will not be disclosed to the public. Each applicant needs to expressly identify all information in the application and in any subsequent correspondence that the applicant considers proprietary or trade secret.

This web site explains the admission requirements and filing process for the Expansion Application. Please do not hesitate to contact the appropriate state regulators with any questions prior to filing any Uniform Application.

Step One: Filing the Application
Processing Goal: 2 Weeks

Expansion Applications may be submitted anytime during the year. Expansion Applications are immediately reviewed to ensure that they are submitted in the required format outlined in Section II.

Generally, within two weeks from the date the application is received the applicant will be notified whether or not the application has been accepted for filing. If the application is accepted for filing, it will be given an "official" filing date.

The applicant will be contacted if the application is not accepted for filing due to a deficiency in the application’s format. Depending upon the nature of the deficiency, the applicant may be given two weeks from the date of receipt of notification from the department reviewing the application to correct the deficiency. Applications that are deficient and not accepted for filing will be returned to the applicant.

Step Two: Application Review
Processing Goal: 45 - 60 Days

An Expansion Application will undergo a rigorous financial and operational review in each state in which it is submitted. While the goal of each state is to complete this review in 60 days, this time frame cannot be guaranteed. Due to the varying levels of resources available in each state, a substantive review of an Expansion Application may take longer than 60 days in some cases. Furthermore, if additional information is needed to complete a substantive review of an application, the review may also take longer to complete. Once a request for additional information has been made, the 60-day goal is suspended until the requested information is received. That said, the purpose of the Expansion Application is to streamline application processing and every effort will be made to process an Expansion Application as quickly as possible.

At the conclusion of each state’s substantive review, the company will either be granted a Certificate of Authority, allowed to withdraw the application, or have the application denied. A decision to either approve or deny an Expansion Application is reached by each state independently. It is entirely possible that an Expansion Application could be approved by some states in which it is filed and denied by other states.

If the application is denied by any state, the applicant will be notified and given a detailed explanation for the denial. After the denial, if the applicant wishes to re-file an Expansion Application, a new application and filing fee will be required.

Since only established companies can use an Expansion Application, a basic understanding of the Certificate of Authority review process is assumed. Please refer to the Primary Application for a more detailed explanation of the process. Applicants are strongly encouraged to contact states with questions prior to submitting an application for review.

Section II
Filing Requirements

This section provides a guide to understanding the focus of each document of the Expansion Application. However, there typically are multiple purposes for the documents. Therefore, it is important that applications be complete.

All documents submitted in support of the application must be current. However, in certain instances, some states have limited latitude to accept older documents, although generally no more than five (5) years old. Please contact states individually if you have questions about a specific document.

All forms required for the Expansion Application are located in the Forms Section of the UCAA web site.

Table of Contents

  1. Expansion Application Form
  2. Filing Fee
  3. Minimum Capital and Surplus Requirements
  4. Statutory Deposit Requirements
  5. Name Approval
  6. Plan of Operation
  7. Holding Company Form "B" Registration Statement
  8. Certificate of Compliance
  9. Report of Examination
  10. Statutory Memberships
  11. Public Records Package
  12. NAIC Biographical Affidavits
  13. Uniform Consent to Service of Process
  14. State-Specific Information

1. Application Form and Attachments
The application must identify all lines of insurance the applicant is currently licensed to transact in its state of domicile and all lines of insurance the applicant is requesting authority to transact, as identified by the applicant’s plan of operation. Submit a completed checklist and original executed application form as Item 1 of the application. A cover letter may be included as a component of Item 1 of the application.

2. Filing Fee
Include a filing fee for each state to which you submit an application. Please issue a separate check for each state. The payee name and the instructions for submitting the filing fee are included in the Schedule of Fees chart on the UCAA web site. Please note that due to retaliatory statutes, the ultimate amount of fees you pay in any state may be more than the amount indicated in the chart. Submit a copy of the applicant’s check as Item 2 of the application

3. Minimum Capital and Surplus Requirements
The application must show that the applicant meets each state’s statutory minimum capital and surplus requirements. In some states, the minimum capital and surplus requirements are determined by the classes of insurance that the applicant is requesting authority to transact and the classes of insurance the applicant is authorized to transact in all other jurisdictions. The state will determine the level of surplus required after considering the applicant’s product line, operating record and financial condition. Compliance with the statutorily prescribed minimum surplus requirement may not be sufficient for all applicants. The Minimum Capital and Surplus Requirements chart on the UCAA web site identifies the minimum capital and surplus requirements for each Uniform State. The chart also provides a contact person or a link to a state-specific format or RBC requirements and instructions. Submit an explanation of the applicant’s compliance with the capital and surplus requirements as Item 3 of the application.

4. Statutory Deposit Requirements
Some states require that a Statutory Deposit be on file in the domiciliary state. The Statutory Deposit Requirements chart on the UCAA web site provides specific requirements and identifies those states that require deposits by foreign insurers and proof of a Statutory Deposit in the domiciliary state. A foreign insurer is an insurer that is domiciled in another state. The UCAA suggests that the date of issuance of the Certificate of Deposit be no more than 6 months from the date you file the application. Unless otherwise indicated the Statutory Deposit is for the benefit of all policyholders. In states where proof is required, the applicant should submit the Certificate of Deposit (Form 7) prepared by its state of domicile as Item 4 of the application.

5. Name Approval
Each state has different guidelines and procedures for name approval. The Name Approval chart on the UCAA web site serves as a guide for the various name approval requirements of each Uniform State. Applicants should check with each state separately to ensure compliance with all applicable name approval requirements. Where applicable, submit evidence of name approval request as Item 5 of your application.

6. Plan of Operation
The plan of operation has three components, a brief narrative, pro-forma financial statements/projections and a completed Questionnaire (Form 8). The narrative should include significant information not captured as a part of the Questionnaire that the company submits in support of the application. Provide a company-wide three-year pro forma balance sheet and income statement. For the lines you are requesting, provide three-year premium and loss projections by line for the state in which you have requested lines of business. Projections must support all aspects of the proposed plan of operation, including reinsurance arrangements and any delegated function agreements. Include the assumptions used to arrive at these projections. The Questionnaire (Form 8) is located on the UCAA web site. Submit the completed Questionnaire and all attachments as Item 6 of the application.

7. Holding Company Form "B" Registration Statement
If the applicant is a member of a holding company system, the application must include either the most recent Annual Form "B" Registration Statement or a statement substantially similar to the NAIC model. The filing should include all attachments, exhibits and appendices referenced in the Form “B.” Submit the Registration Statement as Item 7 of the application and include all attachments and any amendments up to the date you file the application.

8. Certificate of Compliance
The application must include a Certificate of Compliance. We suggest that the issuance of the Certificate of Compliance be no more than 6 months from the date you file the application. The domiciliary state must complete the Certificate of compliance and the applicant must submit this as Item 8 of the application.

9. Reports of Examination
The application must include a copy of the applicant’s most recent Report of Financial Examination from its domiciliary insurance regulatory agency. The applicant must also note all more recent examinations completed by any state, including market conduct examinations, and include a description of each examination. The chart of requirements is available on the UCAA web site. Submit the Report of Financial Examination and a list of more recent examinations with descriptions as Item 9 of the application.

10. Statutory Memberships
In some states, applicants are required to join one or more rating, guarantee or other organizations before transacting insurance. Generally, the authorized lines of insurance the applicant can transact govern statutorily mandated memberships. Please be sure to check with each state in which you are seeking admission to inquire about any statutory memberships that may be required before transacting insurance. You may access the chart of requirements on the UCAA web site. Submit documentation supporting membership application(s) in states where required, as Item 10 of the application.

11. Public Records Package
Most states have requirements to disclose information to the public under a Public Records Act. To meet these public disclosure requirements certain items must accompany the application. While these documents may or may not be part of the substantive review, please be sure to include the documents with the application. You may access the Public Records Package chart on the UCAA web site. Submit all documents listed for the application state as Item 11 of the application.

12. NAIC Biographical Affidavits

  1. The applicant is required to submit an NAIC Biographical Affidavit in connection with pending or future application(s) for licensure or a permit to organize with a department of insurance in one or more states. The applicant must submit an NAIC Biographical Affidavit on behalf of all officers, directors and key managerial personnel of the applicant and individuals with a ten percent (10%), or more, beneficial ownership in the applicant or the applicant's ultimate controlling parent ("Affiant").
  2. The NAIC Biographical Affidavit requests information with respect to your employment history, education, personal information and character. The NAIC Biographical Affidavit also includes the Disclosure and Authorization Concerning Background Reports (the "Disclosure & Authorization Form"). The Disclosure & Authorization Form permits Affiant by an Independent Third Party (as defined in paragraph (i)) to conduct a background investigation on the Affiant.
  3. The NAIC Biographical Affidavit includes three types of Disclosure & Authorization Forms. There are three different Disclosure & Authorization Forms since certain state laws; regulations and rules require different kinds of disclosures and wording within such form. An Affiant must sign the corresponding Disclosure & Authorization Form(s) for the respective state(s) where the affiant has lived or worked within the last ten years. Refer to the Disclosure & Authorization Forms for further information.
  4. The NAIC Biographical Affidavit is used to evaluate the suitability of the Affiant in connection with an applicant's pending or future application(s) for licensure or a permit to organize with a department of insurance in one or more states.

    The Independent Third Party uses information contained in the NAIC Biographical Affidavit as a tool to perform a background investigation where certain items must be verified. The background investigation may contain information bearing on the Affiant's character, general reputation, personal characteristics, mode of living and credit standing. The Independent Third Party shall use the background investigation to create a background report (the "Background Report").
  5. The Disclosure & Authorization Form is valid for a maximum of one year and, in certain instances, only valid for one pending application. Additionally, an Affiant may revoke the authorization at any time by delivering a written revocation to the applicant. Refer to the Disclosure & Authorization Form for further information.
  6. The Background Reports are subject to the Fair Credit Reporting Act ("FCRA"). Pursuant to FCRA, the state departments of insurance and an applicant who is seeking admission are "users" of consumer reports. The FCRA requires that the applicant provide the Affiant with a copy of the "Summary of your Rights Under the Fair Credit Reporting Act." Applicants should provide a copy of the Summary of your Rights under the Fair Credit Reporting Act to each Affiant. This summary can be found at the Federal Trade Commission ("FTC") website at http://www.ftc.gov/bcp/conline/pubs/credit/fcrasummary.pdf.

    Applicants and state departments of insurance are required to comply with FCRA, especially as it relates to confidentiality of the information contained in such consumer reports. To the extent required by law, the states and Third Party Vendors should maintain the Background Reports procured under the Disclosure & Authorization Form as confidential. A copy of FCRA is located at http://www.ftc.gov/os/statutes/fcra.htm.
  7. A department of insurance in any state where an applicant files, or intends to file an application and the applicant may receive the Background Report. An Affiant who desires a copy of their Background Report, may request a copy from the applicant or the Consumer Reporting Agency (CRA) as indicated on the Disclosure & Authorization Form. Refer to the Disclosure & Authorization Form for further information.
  8. Please check state-specific requirements in the chart referenced below for those states that require additional background information, such as fingerprints, in place of or in addition to, NAIC Biographical Affidavits. If applying in one of those states, include the necessary fingerprint cards and processing fees.
  9. The UCAA defines Independent Third Party as:
    1. A consumer reporting agency (“CRA”) by the Federal Trade Commission (“FTC”) and therefore subject to the FCRA,
    2. Has the ability to perform international background investigations,
    3. One whose officers and directors have no material affiliation with the applicant other than stock ownership amounting to less than 1% of total stock outstanding, unless prior approval is given by the department of insurance to which application is being made, and
    4. One that is approved by or acceptable to such state(s) where an application is being made.

Refer to the UCAA website for a list of currently approved independent third party vendors/CRA’s.

NAIC Biographical Affidavits must be current and the affiant shall not sign the Affidavits more than one year before the date the insurer files the application.

Please check state specific requirements for those states that require additional background information, such as fingerprints, in place of or in addition to, NAIC Biographical Affidavits. If applying in one of those states, necessary fingerprint cards and processing fees should be included.

Submit original NAIC Biographical Affidavits that contain the Disclosure & Authorization Forms to the State Department(s) of Insurance as Item 12 of your application.

13. Uniform Consent to Service of Process
Many jurisdictions require that the applicant designate the commissioner or a resident agent to receive service of process on behalf of the company. In addition, the applicant must designate a person or entity to receive a forwarded service of process after the commissioner receives the served documents. The Uniform Consent to Service of Process and the Resolution Authorizing Appointment of Attorney are required for this purpose. However, six states do not accept the Uniform Consent to Service of Process form. Those states are: California, Massachusetts, Missouri, Pennsylvania, Virginia and Wisconsin. For those states, please see the State Pages on the UCAA web site for any information regarding this subject. Submit the Uniform Consent to Service of Process and Resolution Authorizing Appointment of Attorney as Item 13 of the application.

14. State-Specific Information
Some jurisdictions may require additional information other than that required above. The information provided in this section will assist applicants in providing all necessary information. State-specific information is available on the UCAA web site.

Submit state-specific items as Item 14 of the application.

State-Specific Requirements

Section III
How to File

To facilitate the prompt review of the Expansion Application, please ensure that the application adheres to the formatting instructions provided in this section. Applications that fail to meet these formatting requirements will not be accepted for filing. Section III will address the following areas:

  1. Communication Between Applicant and Agency
  2. Questions
  3. Application Checklist
  4. Application and Supporting Documents
  5. Address for Submission of Application
  6. Updates/Changes
  7. Filing Fee

1. Communication Between Applicant and Agency
Once an Expansion Application is accepted for filing the applicant will be notified of the filing date and agency contact person. The names, addresses, e-mail (if available) and telephone numbers of the individual(s) assigned to the application will be provided.

Prior to receiving the name of the agency contact person, an applicant may contact the agency personnel in the chart below to obtain information regarding the status of an Expansion Application.

State UCAA Contacts

2. Questions
Section II, Filing Requirements, provides detailed guidelines regarding both the type and format of information required for the Expansion Application. In most cases an agency contact person is provided for each item in the Filing Requirement section. For additional information, or clarification, applicants may use the contact names provided in item 1 Communication with Agency.

3. Application Checklist
The application checklist (Form 1E) in the Forms Section is intended as a guide for assembling a complete application. Complete the checklist prior to submitting an Expansion Application for review. A completed checklist should be attached to the top of each application.

4. Application and Supporting Documents
Submit one copy of the Checklist, completed application and all supporting documentation to each reviewing state. The states of California and New York require two complete copies. Each item identified in Section II Filing Requirements should have a cover sheet as specified below.

Each cover sheet should be on paper suitable for use as a cover sheet, such as binder divider pages.

Each cover sheet needs to be tabbed on the right-hand side of the page with a number corresponding to the document’s item number in the "Filing Requirements" section of either the Primary or Expansion Application.

If a particular item is not included with the cover sheet, a written explanation stating the reason the item has not been included must be attached to the cover sheet. Set forth below are examples of why a particular item may not be attached to the cover sheet.

  • "Item not applicable to this application for the following reason ... (state reason)"
  • "Item has been attached separately because of size."

Helpful Hint: Many applicants find it convenient to submit the application in binders with numerical binder divider tabs.

5. Address for Submission of Application
State Mailing Addresses

6. Updates/Changes
Applicants are responsible for informing states of any significant changes that occur or that are discovered during the application review period. Examples of significant changes include: changes in officers and directors, material acquisition or disposal of assets, changes in reinsurance, acquisition of the insurer, redomestication of the insurer, regulatory actions taken against the insurer, change in current business plan, etc.

 Applicants must supply revised forms promptly if any changes occur that materially affect the accuracy of the forms filed in support of the application. For example, new quarterly statements must be forwarded as soon as they become available.

In addition, all carriers admitted to transact insurance in any Uniform State are required to maintain their Certificate(s) of Authority in good order to ensure ongoing compliance with all applicable laws, regulations and bulletins.

7. Filing Fee
Please see the Schedule of Filing Fees to determine the correct fee and filing instructions for the state in which you are applying.

State-Specific Requirements