{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/38.2-1026.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/38.2-1026.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/38.2-1026.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/38.2-1026.html"}],"law_id":69463,"edition_id":1,"section_id":69463,"structure_id":15918,"section_number":"38.2-1026","catch_line":"Retaliatory provisions as to taxes, fees, deposits and other requirements","history":"Code 1950, \u00a7\u00a7 38-12, 38-13; 1952, c. 317, \u00a7 38.1-87; 1986, c. 562; 1998, c. 60; 2011, c. 850.","full_text":"A\n\nWhen a domestic insurer or its agents are subject to regulatory costs in another state that are greater than those imposed in this Commonwealth upon insurers domiciled in that state or their agents, then the regulatory costs imposed by this Commonwealth on those foreign insurers or their agents shall be increased to equal the regulatory costs imposed by the other state on the domestic insurer or its agents. For the purpose of this section, regulatory cost includes (i) any deposits of securities, (ii) payment of taxes, fines, penalties or fees exacted for the privilege of doing business or (iii) any restitutions, obligations or conditions necessary for doing business.B\n\nFor the purposes of this section an alien insurance company shall be considered domiciled in the state wherein it has the largest amount of its assets held in trust and on deposit for the benefit of its policyholders, or of its policyholders and creditors in the United States. An insurance company incorporated in Canada shall be considered domiciled in Canada.C\n\nAny foreign or alien insurance company subject to this section shall annually, on or before March 1, file a report with the Department of Taxation which compares the regulatory costs imposed on such insurer by this Commonwealth during the preceding calendar year to the regulatory costs that would have been imposed on a similar insurer domiciled in this Commonwealth by such insurer’s state of domicile during the preceding calendar year. This report shall be filed on a form and in such detail as prescribed by the Department of Taxation. Amounts owed due to the equalization of the regulatory costs imposed on such insurer by this Commonwealth and the regulatory costs of such insurer’s state of domicile shall be remitted to the Department of Taxation on or before March 1 of each year. Upon the failure of any insurance company to pay amounts due under this section before the date herein prescribed, the Department of Taxation shall impose a penalty of 10 percent of the amount due and interest shall be charged at a rate established pursuant to § 58.1-15 for the period between the due date and the date of full payment.","order_by":null,"text":{"0":{"id":251175,"text":"When a domestic insurer or its agents are subject to regulatory costs in another state that are greater than those imposed in this Commonwealth upon insurers domiciled in that state or their agents, then the regulatory costs imposed by this Commonwealth on those foreign insurers or their agents shall be increased to equal the regulatory costs imposed by the other state on the domestic insurer or its agents. For the purpose of this section, regulatory cost includes (i) any deposits of securities, (ii) payment of taxes, fines, penalties or fees exacted for the privilege of doing business or (iii) any restitutions, obligations or conditions necessary for doing business.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":251176,"text":"For the purposes of this section an alien insurance company shall be considered domiciled in the state wherein it has the largest amount of its assets held in trust and on deposit for the benefit of its policyholders, or of its policyholders and creditors in the United States. An insurance company incorporated in Canada shall be considered domiciled in Canada.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A","next_prefix":"C"},"2":{"id":251177,"text":"Any foreign or alien insurance company subject to this section shall annually, on or before March 1, file a report with the Department of Taxation which compares the regulatory costs imposed on such insurer by this Commonwealth during the preceding calendar year to the regulatory costs that would have been imposed on a similar insurer domiciled in this Commonwealth by such insurer’s state of domicile during the preceding calendar year. This report shall be filed on a form and in such detail as prescribed by the Department of Taxation. Amounts owed due to the equalization of the regulatory costs imposed on such insurer by this Commonwealth and the regulatory costs of such insurer’s state of domicile shall be remitted to the Department of Taxation on or before March 1 of each year. Upon the failure of any insurance company to pay amounts due under this section before the date herein prescribed, the Department of Taxation shall impose a penalty of 10 percent of the amount due and interest shall be charged at a rate established pursuant to § 58.1-15 for the period between the due date and the date of full payment.","type":"section","prefixes":["C"],"prefix":"C","entire_prefix":"C","prefix_anchor":"C","level":1,"prior_prefix":"B"}},"ancestry":[{"id":15918,"edition_id":1,"name":"Licensing of Insurers","identifier":"5","label":"article","depth":3,"order_by":1,"parent_id":12858,"metadata":{},"date_created":"2026-06-26 04:01:51","date_modified":"2026-06-26 04:01:51","permalink":{"id":211021,"object_type":"structure","relational_id":15918,"identifier":"5","token":"38.2\/10\/5","url":"\/38.2\/10\/5\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12858,"edition_id":1,"name":"Organization, Admission and Licensing of Insurers","identifier":"10","label":"chapter","depth":2,"order_by":1,"parent_id":12698,"metadata":{},"date_created":"2026-06-26 03:43:57","date_modified":"2026-06-26 03:43:57","permalink":{"id":210851,"object_type":"structure","relational_id":12858,"identifier":"10","token":"38.2\/10","url":"\/38.2\/10\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12698,"edition_id":1,"name":"Insurance","identifier":"38.2","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:49","date_modified":"2026-06-26 03:43:49","permalink":{"id":210661,"object_type":"structure","relational_id":12698,"identifier":"38.2","token":"38.2","url":"\/38.2\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":86158,"structure_id":15918,"section_number":"38.2-1024","catch_line":"License required to transact the business of insurance; application fee requirements for license","url":"\/38.2-1024\/","token":"38.2\/10\/5\/38.2-1024","metadata":false},{"id":77754,"structure_id":15918,"section_number":"38.2-1025","catch_line":"Annual renewal of license","url":"\/38.2-1025\/","token":"38.2\/10\/5\/38.2-1025","metadata":false},{"id":69463,"structure_id":15918,"section_number":"38.2-1026","catch_line":"Retaliatory provisions as to taxes, fees, deposits and other requirements","url":"\/38.2-1026\/","token":"38.2\/10\/5\/38.2-1026","metadata":false},{"id":87463,"structure_id":15918,"section_number":"38.2-1027","catch_line":"Admission of foreign and alien insurers","url":"\/38.2-1027\/","token":"38.2\/10\/5\/38.2-1027","metadata":false},{"id":85672,"structure_id":15918,"section_number":"38.2-1028","catch_line":"Additional licensing requirements for stock insurers","url":"\/38.2-1028\/","token":"38.2\/10\/5\/38.2-1028","metadata":false},{"id":79650,"structure_id":15918,"section_number":"38.2-1029","catch_line":"Additional licensing requirements for mutual insurers","url":"\/38.2-1029\/","token":"38.2\/10\/5\/38.2-1029","metadata":false},{"id":63344,"structure_id":15918,"section_number":"38.2-1030","catch_line":"Surplus requirements for issuing policies without contingent liability","url":"\/38.2-1030\/","token":"38.2\/10\/5\/38.2-1030","metadata":false},{"id":76434,"structure_id":15918,"section_number":"38.2-1031","catch_line":"Additional requirements, alien insurers","url":"\/38.2-1031\/","token":"38.2\/10\/5\/38.2-1031","metadata":false},{"id":70766,"structure_id":15918,"section_number":"38.2-1032","catch_line":"Additional licensing requirements for domestic insurers","url":"\/38.2-1032\/","token":"38.2\/10\/5\/38.2-1032","metadata":false},{"id":87308,"structure_id":15918,"section_number":"38.2-1033","catch_line":"Additional licensing requirements for foreign insurers","url":"\/38.2-1033\/","token":"38.2\/10\/5\/38.2-1033","metadata":false},{"id":61767,"structure_id":15918,"section_number":"38.2-1034","catch_line":"How domestic mutual insurers may acquire initial surplus","url":"\/38.2-1034\/","token":"38.2\/10\/5\/38.2-1034","metadata":false},{"id":80849,"structure_id":15918,"section_number":"38.2-1035","catch_line":"Domestic insurers to maintain minimum capital and surplus; proceedings by Commission if impairment found","url":"\/38.2-1035\/","token":"38.2\/10\/5\/38.2-1035","metadata":false},{"id":82299,"structure_id":15918,"section_number":"38.2-1036","catch_line":"Impairment of capital and surplus of foreign and alien company ground for suspension or revocation of license","url":"\/38.2-1036\/","token":"38.2\/10\/5\/38.2-1036","metadata":false},{"id":68854,"structure_id":15918,"section_number":"38.2-1037","catch_line":"Exceptions for licensed and operating insurers","url":"\/38.2-1037\/","token":"38.2\/10\/5\/38.2-1037","metadata":false},{"id":84129,"structure_id":15918,"section_number":"38.2-1038","catch_line":"Authority of Commission to issue orders covering insurers in hazardous financial condition","url":"\/38.2-1038\/","token":"38.2\/10\/5\/38.2-1038","metadata":false},{"id":62989,"structure_id":15918,"section_number":"38.2-1039","catch_line":"Enjoining unlicensed foreign or alien insurers from transacting the business of insurance in Commonwealth","url":"\/38.2-1039\/","token":"38.2\/10\/5\/38.2-1039","metadata":false},{"id":68850,"structure_id":15918,"section_number":"38.2-1039.1","catch_line":"Risk retention groups","url":"\/38.2-1039.1\/","token":"38.2\/10\/5\/38.2-1039.1","metadata":false}],"previous_section":{"id":77754,"structure_id":15918,"section_number":"38.2-1025","catch_line":"Annual renewal of license","url":"\/38.2-1025\/","token":"38.2\/10\/5\/38.2-1025","metadata":false},"next_section":{"id":87463,"structure_id":15918,"section_number":"38.2-1027","catch_line":"Admission of foreign and alien insurers","url":"\/38.2-1027\/","token":"38.2\/10\/5\/38.2-1027","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/38.2-1026\/","history_text":"

The record of this law\u2019s original creation isn\u2019t available online. It has been modified 4 times. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. Those modifications are as follows: in 1952, chapter 317; in 1986, chapter 562; in 1998, chapter 60<\/a>; in 2011, chapter 850<\/a>.<\/p>","references":[{"id":87222,"section_number":"58.1-2508","catch_line":"Taxes applicable to insurance companies","order_by":null,"url":"\/58.1-2508\/"},{"id":58725,"section_number":"58.1-2526","catch_line":"Where declarations filed and how payments made; refunding overpayments","order_by":null,"url":"\/58.1-2526\/"}],"refers_to":[{"id":77006,"section_number":"58.1-15","catch_line":"Rate of interest","order_by":null,"url":"\/58.1-15\/"}],"permalink":{"id":211031,"object_type":"law","relational_id":69463,"identifier":"38.2-1026","token":"38.2\/10\/5\/38.2-1026","url":"\/38.2-1026\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/38.2-1026\/","token":"38.2\/10\/5\/38.2-1026","dublin_core":{"Title":"Retaliatory provisions as to taxes, fees, deposits and other requirements","Type":"Text","Format":"text\/html","Identifier":"\u00a7 38.2-1026","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> When a domestic insurer<\/span> or its agents are subject to regulatory costs in another state<\/span> that are greater than those imposed in this Commonwealth upon insurers<\/span> domiciled in that state<\/span> or their agents, then the regulatory costs imposed by this Commonwealth on those foreign insurers<\/span> or their agents shall be increased to equal the regulatory costs imposed by the other state<\/span> on the domestic insurer<\/span> or its agents. For the purpose of this section, regulatory cost includes (i) any deposits of securities, (ii) payment of taxes, fines, penalties or fees exacted for the privilege<\/span> of doing business or (iii) any restitutions<\/span>, obligations or conditions necessary for doing business. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> For the purposes of this section an alien insurance company<\/span> shall be considered domiciled in the state<\/span> wherein it has the largest amount of its assets<\/span> held in trust and on deposit for the benefit of its policyholders, or of its policyholders and creditors<\/span> in the United States<\/span>. An insurance company<\/span> incorporated in Canada shall be considered domiciled in Canada. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

C.<\/span> Any foreign or alien insurance company<\/span> subject to this section shall annually, on or before March 1, file a report with the Department of Taxation which compares the regulatory costs imposed on such insurer<\/span> by this Commonwealth during the preceding calendar year to the regulatory costs that would have been imposed on a similar insurer<\/span> domiciled in this Commonwealth by such insurer<\/span>’s state<\/span> of domicile during the preceding calendar year. This report shall be filed on a form and in such detail as prescribed by the Department of Taxation. Amounts owed due to the equalization of the regulatory costs imposed on such insurer<\/span> by this Commonwealth and the regulatory costs of such insurer<\/span>’s state<\/span> of domicile shall be remitted to the Department of Taxation on or before March 1 of each year. Upon the failure of any insurance company<\/span> to pay amounts due under this section before the date herein prescribed, the Department of Taxation shall impose a penalty<\/span> of 10 percent of the amount due and interest shall be charged at a rate<\/span> established pursuant to § 58.1-15<\/a> for the period between the due date and the date of full payment. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nRETALIATORY PROVISIONS AS TO TAXES, FEES, DEPOSITS AND OTHER REQUIREMENTS (\u00a7\n38.2-1026)\n\nA. When a domestic insurer or its agents are subject to regulatory costs in\nanother state that are greater than those imposed in this Commonwealth upon\ninsurers domiciled in that state or their agents, then the regulatory costs\nimposed by this Commonwealth on those foreign insurers or their agents shall be\nincreased to equal the regulatory costs imposed by the other state on the\ndomestic insurer or its agents. For the purpose of this section, regulatory cost\nincludes (i) any deposits of securities, (ii) payment of taxes, fines, penalties\nor fees exacted for the privilege of doing business or (iii) any restitutions,\nobligations or conditions necessary for doing business.\n\nB. For the purposes of this section an alien insurance company shall be\nconsidered domiciled in the state wherein it has the largest amount of its\nassets held in trust and on deposit for the benefit of its policyholders, or of\nits policyholders and creditors in the United States. An insurance company\nincorporated in Canada shall be considered domiciled in Canada.\n\nC. Any foreign or alien insurance company subject to this section shall\nannually, on or before March 1, file a report with the Department of Taxation\nwhich compares the regulatory costs imposed on such insurer by this Commonwealth\nduring the preceding calendar year to the regulatory costs that would have been\nimposed on a similar insurer domiciled in this Commonwealth by such\ninsurer’s state of domicile during the preceding calendar year. This\nreport shall be filed on a form and in such detail as prescribed by the\nDepartment of Taxation. Amounts owed due to the equalization of the regulatory\ncosts imposed on such insurer by this Commonwealth and the regulatory costs of\nsuch insurer’s state of domicile shall be remitted to the Department of\nTaxation on or before March 1 of each year. Upon the failure of any insurance\ncompany to pay amounts due under this section before the date herein prescribed,\nthe Department of Taxation shall impose a penalty of 10 percent of the amount\ndue and interest shall be charged at a rate established pursuant to §\n58.1-15 for the period between the due date and the date of full payment.\n\nHISTORY: Code 1950, \u00a7\u00a7 38-12, 38-13; 1952, c. 317, \u00a7 38.1-87; 1986, c. 562;\n1998, c. 60; 2011, c. 850.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}