What term describes an insurance company doing business in a state other than where it is incorporated?

The term that describes an insurance company doing business in a state other than where it is incorporated is "foreign." In the context of insurance, a foreign insurer is one that is incorporated in a different state from the one in which it is operating. For example, if a company is incorporated in Delaware but conducts business in Alabama, it is considered a foreign insurance company in Alabama.

This classification is important for regulatory and licensing purposes, as each state has its own requirements for insuring entities. Understanding the distinction between domestic (operating within its incorporation state), foreign (operating outside of its incorporation state), and alien (operating in the U.S. but incorporated in another country) insurers is critical for proper compliance and regulatory adherence in the insurance industry.