P&COhiomedium
Under R.C. 3905.30 et seq., an Ohio surplus lines broker may place coverage with an unauthorized (nonadmitted) insurer only after which prerequisite?
AObtaining written approval from the Governor before each individual surplus lines placement transaction
BPosting a $1 million surety bond with the Ohio Treasurer prior to binding any nonadmitted coverage
CFiling the policy form with the Ohio Attorney General for prior regulatory review and approval
A diligent-effort search confirming the coverage is not procurable from authorized Ohio insurers
Why this is the answer
Ohio's Surplus Lines Law requires the licensed surplus lines broker to make a good-faith effort to place coverage in the admitted market first. Only after confirming unavailability (or that the risk qualifies as exempt commercial) may placement go to an eligible nonadmitted insurer.
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