{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/38.2-1039.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/38.2-1039.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/38.2-1039.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/38.2-1039.html"}],"law_id":62989,"edition_id":1,"section_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","history":"1968, c. 266, \u00a7 38.1-98.1; 1986, c. 562; 2008, c. 95.","full_text":"A\n\nFor the purposes of issuing a temporary or permanent injunction under \u00a7 38.2-220 to restrain unlicensed foreign or alien insurers from transacting the business of insurance in this Commonwealth, the following acts, effected by mail or otherwise, shall constitute transacting the business of insurance in this Commonwealth:1\n\nThe issuance or delivery of insurance contracts to residents of this Commonwealth or to corporations authorized to do business in this Commonwealth;2\n\nThe solicitation of applications for such contracts;3\n\nThe collection of premiums, membership fees, assessments or other considerations for such contracts; or4\n\nThe transaction of any other insurance business in connection with such contracts.B\n\nProcess may be served in accordance with § 13.1-758 or in any other manner prescribed by law.C\n\nThis section shall not apply to any nonprofit life insurance or annuity company which is organized and operated for the purpose of issuing insurance and annuity contracts, exclusively to or for the benefit of nonprofit educational or scientific institutions and individuals engaged in the service of those institutions. The clerk of the Commission shall be considered the attorney for service of process in this Commonwealth for all of such insurer’s policy and contract holders in this Commonwealth. The appointment shall (i) be irrevocable, (ii) bind the insurer and any successors in interest, and (iii) remain in effect as long as there is in force in this Commonwealth any contract made by the insurer or any obligation arising from the contract.D\n\nThis section shall not apply to the following acts:1\n\nThe procuring of a policy of insurance upon a risk within this Commonwealth in compliance with Chapter 48 of this title;2\n\nIssuance of contracts of reinsurance;3\n\nActs in this Commonwealth involving a policy lawfully solicited, written and delivered outside this Commonwealth covering only subjects of insurance not resident, located, or to be performed in this Commonwealth at the time of issuance of the policy;4\n\nActs in this Commonwealth involving a group or blanket insurance policy or a group annuity lawfully issued and delivered in a state where the insurer was licensed to transact the business of insurance;5\n\nActs in the Commonwealth involving insurance contracts issued to an “industrial insured.” For the purposes of this section, an “industrial insured” is an insured (i) who procures the insurance of any risk or risks other than life and annuity contracts by use of the services of a full-time employee acting as an insurance manager or buyer or the services of a regularly and continuously retained licensed insurance consultant, (ii) whose aggregate annual premiums for insurance on all risks, except for life, annuity, and accident and sickness insurance, total at least $100,000, (iii) who has at least 25 full-time employees, and (iv) either has gross assets in excess of $3 million or has annual gross revenues in excess of $5 million.E\n\nNothing in this section shall apply to nonprofit Railroad Brotherhood or other similar fraternal organizations.","order_by":null,"text":{"0":{"id":229741,"text":"For the purposes of issuing a temporary or permanent injunction under \u00a7 38.2-220 to restrain unlicensed foreign or alien insurers from transacting the business of insurance in this Commonwealth, the following acts, effected by mail or otherwise, shall constitute transacting the business of insurance in this Commonwealth:","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"A1"},"1":{"id":229742,"text":"The issuance or delivery of insurance contracts to residents of this Commonwealth or to corporations authorized to do business in this Commonwealth;","type":"section","prefixes":["A","1"],"prefix":"1","entire_prefix":"A1","prefix_anchor":"A1","level":2,"prior_prefix":"A","next_prefix":"A2"},"2":{"id":229743,"text":"The solicitation of applications for such contracts;","type":"section","prefixes":["A","2"],"prefix":"2","entire_prefix":"A2","prefix_anchor":"A2","level":2,"prior_prefix":"A1","next_prefix":"A3"},"3":{"id":229744,"text":"The collection of premiums, membership fees, assessments or other considerations for such contracts; or","type":"section","prefixes":["A","3"],"prefix":"3","entire_prefix":"A3","prefix_anchor":"A3","level":2,"prior_prefix":"A2","next_prefix":"A4"},"4":{"id":229745,"text":"The transaction of any other insurance business in connection with such contracts.","type":"section","prefixes":["A","4"],"prefix":"4","entire_prefix":"A4","prefix_anchor":"A4","level":2,"prior_prefix":"A3","next_prefix":"B"},"5":{"id":229746,"text":"Process may be served in accordance with § 13.1-758 or in any other manner prescribed by law.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A4","next_prefix":"C"},"6":{"id":229747,"text":"This section shall not apply to any nonprofit life insurance or annuity company which is organized and operated for the purpose of issuing insurance and annuity contracts, exclusively to or for the benefit of nonprofit educational or scientific institutions and individuals engaged in the service of those institutions. The clerk of the Commission shall be considered the attorney for service of process in this Commonwealth for all of such insurer’s policy and contract holders in this Commonwealth. The appointment shall (i) be irrevocable, (ii) bind the insurer and any successors in interest, and (iii) remain in effect as long as there is in force in this Commonwealth any contract made by the insurer or any obligation arising from the contract.","type":"section","prefixes":["C"],"prefix":"C","entire_prefix":"C","prefix_anchor":"C","level":1,"prior_prefix":"B","next_prefix":"D"},"7":{"id":229748,"text":"This section shall not apply to the following acts:","type":"section","prefixes":["D"],"prefix":"D","entire_prefix":"D","prefix_anchor":"D","level":1,"prior_prefix":"C","next_prefix":"D1"},"8":{"id":229749,"text":"The procuring of a policy of insurance upon a risk within this Commonwealth in compliance with Chapter 48 of this title;","type":"section","prefixes":["D","1"],"prefix":"1","entire_prefix":"D1","prefix_anchor":"D1","level":2,"prior_prefix":"D","next_prefix":"D2"},"9":{"id":229750,"text":"Issuance of contracts of reinsurance;","type":"section","prefixes":["D","2"],"prefix":"2","entire_prefix":"D2","prefix_anchor":"D2","level":2,"prior_prefix":"D1","next_prefix":"D3"},"10":{"id":229751,"text":"Acts in this Commonwealth involving a policy lawfully solicited, written and delivered outside this Commonwealth covering only subjects of insurance not resident, located, or to be performed in this Commonwealth at the time of issuance of the policy;","type":"section","prefixes":["D","3"],"prefix":"3","entire_prefix":"D3","prefix_anchor":"D3","level":2,"prior_prefix":"D2","next_prefix":"D4"},"11":{"id":229752,"text":"Acts in this Commonwealth involving a group or blanket insurance policy or a group annuity lawfully issued and delivered in a state where the insurer was licensed to transact the business of insurance;","type":"section","prefixes":["D","4"],"prefix":"4","entire_prefix":"D4","prefix_anchor":"D4","level":2,"prior_prefix":"D3","next_prefix":"D5"},"12":{"id":229753,"text":"Acts in the Commonwealth involving insurance contracts issued to an “industrial insured.” For the purposes of this section, an “industrial insured” is an insured (i) who procures the insurance of any risk or risks other than life and annuity contracts by use of the services of a full-time employee acting as an insurance manager or buyer or the services of a regularly and continuously retained licensed insurance consultant, (ii) whose aggregate annual premiums for insurance on all risks, except for life, annuity, and accident and sickness insurance, total at least $100,000, (iii) who has at least 25 full-time employees, and (iv) either has gross assets in excess of $3 million or has annual gross revenues in excess of $5 million.","type":"section","prefixes":["D","5"],"prefix":"5","entire_prefix":"D5","prefix_anchor":"D5","level":2,"prior_prefix":"D4","next_prefix":"E"},"13":{"id":229754,"text":"Nothing in this section shall apply to nonprofit Railroad Brotherhood or other similar fraternal organizations.","type":"section","prefixes":["E"],"prefix":"E","entire_prefix":"E","prefix_anchor":"E","level":1,"prior_prefix":"D5"}},"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":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},"next_section":{"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},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/38.2-1039\/","history_text":"

This law was first created in 1968. The record of its establishment is cataloged in chapter 266 of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year. Unfortunately, the 1968 \u201cActs\u201d aren\u2019t available online. It has been modified 2 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 1986, chapter 562; in 2008, chapter 95<\/a>.<\/p>","references":false,"refers_to":[{"id":60493,"section_number":"13.1-758","catch_line":"Consequences of transacting business without authority","order_by":null,"url":"\/13.1-758\/"},{"id":63210,"section_number":"38.2-220","catch_line":"Injunctions","order_by":null,"url":"\/38.2-220\/"}],"permalink":{"id":211083,"object_type":"law","relational_id":62989,"identifier":"38.2-1039","token":"38.2\/10\/5\/38.2-1039","url":"\/38.2-1039\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/38.2-1039\/","token":"38.2\/10\/5\/38.2-1039","dublin_core":{"Title":"Enjoining unlicensed foreign or alien insurers from transacting the business of insurance in Commonwealth","Type":"Text","Format":"text\/html","Identifier":"\u00a7 38.2-1039","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> For the purposes of issuing a temporary or permanent injunction<\/span> under \u00a7 38.2-220<\/a> to restrain unlicensed foreign or alien insurers<\/span> from transacting the business of insurance<\/span> in this Commonwealth, the following acts, effected by mail or otherwise, shall constitute transacting the business of insurance<\/span> in this Commonwealth: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> The issuance or delivery of insurance contracts<\/span> to residents of this Commonwealth or to corporations authorized to do business in this Commonwealth; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> The solicitation of applications for such contracts; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> The collection of premiums, membership fees, assessments or other considerations for such contracts; or <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

4.<\/span> The transaction of any other insurance business in connection with such contracts. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> Process may be served in accordance with § 13.1-758<\/a> or in any other manner prescribed by law<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

C.<\/span> This section shall not apply to any nonprofit life insurance or annuity company<\/span> which is organized and operated for the purpose of issuing insurance and annuity contracts, exclusively to or for the benefit of nonprofit educational or scientific institutions and individuals engaged in the service of those institutions. The clerk of the Commission<\/span> shall be considered the attorney for service of process<\/span> in this Commonwealth for all of such insurer<\/span>’s policy and contract<\/span> holders in this Commonwealth. The appointment shall (i) be irrevocable, (ii) bind the insurer<\/span> and any successors in interest, and (iii) remain in effect as long as there is in force in this Commonwealth any contract<\/span> made by the insurer<\/span> or any obligation arising from the contract<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

D.<\/span> This section shall not apply to the following acts: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> The procuring of a policy of insurance upon a risk within this Commonwealth in compliance with Chapter 48 of this title; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> Issuance of contracts of reinsurance; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> Acts in this Commonwealth involving a policy lawfully solicited, written and delivered outside this Commonwealth covering only subjects of insurance not resident, located, or to be performed in this Commonwealth at the time of issuance of the policy; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

4.<\/span> Acts in this Commonwealth involving a group or blanket insurance policy or a group annuity lawfully issued and delivered in a state<\/span> where the insurer<\/span> was licensed to transact the business of insurance; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

5.<\/span> Acts in the Commonwealth involving insurance contracts<\/span> issued to an “industrial insured.” For the purposes of this section, an “industrial insured” is an insured (i) who procures the insurance of any risk or risks other than life and annuity contracts by use of the services of a full-time employee acting as an insurance manager or buyer or the services of a regularly and continuously retained licensed insurance consultant, (ii) whose aggregate annual premiums for insurance on all risks, except for life, annuity, and accident and sickness insurance, total at least $100,000, (iii) who has at least 25 full-time employees, and (iv) either has gross assets<\/span> in excess of $3 million or has annual gross revenues in excess of $5 million. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

E.<\/span> Nothing in this section shall apply to nonprofit Railroad Brotherhood or other similar fraternal organizations. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nENJOINING UNLICENSED FOREIGN OR ALIEN INSURERS FROM TRANSACTING THE BUSINESS OF\nINSURANCE IN COMMONWEALTH (\u00a7 38.2-1039)\n\nA. For the purposes of issuing a temporary or permanent injunction under \u00a7\n38.2-220 to restrain unlicensed foreign or alien insurers from transacting the\nbusiness of insurance in this Commonwealth, the following acts, effected by mail\nor otherwise, shall constitute transacting the business of insurance in this\nCommonwealth:\n\n 1. The issuance or delivery of insurance contracts to residents of this\n Commonwealth or to corporations authorized to do business in this\n Commonwealth;\n\n 2. The solicitation of applications for such contracts;\n\n 3. The collection of premiums, membership fees, assessments or other\n considerations for such contracts; or\n\n 4. The transaction of any other insurance business in connection with such\n contracts.\n\nB. Process may be served in accordance with § 13.1-758 or in any other\nmanner prescribed by law.\n\nC. This section shall not apply to any nonprofit life insurance or annuity\ncompany which is organized and operated for the purpose of issuing insurance and\nannuity contracts, exclusively to or for the benefit of nonprofit educational or\nscientific institutions and individuals engaged in the service of those\ninstitutions. The clerk of the Commission shall be considered the attorney for\nservice of process in this Commonwealth for all of such insurer’s policy\nand contract holders in this Commonwealth. The appointment shall (i) be\nirrevocable, (ii) bind the insurer and any successors in interest, and (iii)\nremain in effect as long as there is in force in this Commonwealth any contract\nmade by the insurer or any obligation arising from the contract.\n\nD. This section shall not apply to the following acts:\n\n 1. The procuring of a policy of insurance upon a risk within this Commonwealth\n in compliance with Chapter 48 of this title;\n\n 2. Issuance of contracts of reinsurance;\n\n 3. Acts in this Commonwealth involving a policy lawfully solicited, written\n and delivered outside this Commonwealth covering only subjects of insurance\n not resident, located, or to be performed in this Commonwealth at the time of\n issuance of the policy;\n\n 4. Acts in this Commonwealth involving a group or blanket insurance policy or\n a group annuity lawfully issued and delivered in a state where the insurer was\n licensed to transact the business of insurance;\n\n 5. Acts in the Commonwealth involving insurance contracts issued to an\n “industrial insured.” For the purposes of this section, an\n “industrial insured” is an insured (i) who procures the insurance\n of any risk or risks other than life and annuity contracts by use of the\n services of a full-time employee acting as an insurance manager or buyer or\n the services of a regularly and continuously retained licensed insurance\n consultant, (ii) whose aggregate annual premiums for insurance on all risks,\n except for life, annuity, and accident and sickness insurance, total at least\n $100,000, (iii) who has at least 25 full-time employees, and (iv) either has\n gross assets in excess of $3 million or has annual gross revenues in excess of\n $5 million.\n\nE. Nothing in this section shall apply to nonprofit Railroad Brotherhood or\nother similar fraternal organizations.\n\nHISTORY: 1968, c. 266, \u00a7 38.1-98.1; 1986, c. 562; 2008, c. 95.","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}}