An insurance company incorporated under the laws of the state in which its home office is located is called a(n)__________ company.

A company that is incorporated under the laws of its home state is referred to as a domestic company. This terminology is specific to the jurisdiction in which the company is formed and operates. When insurance regulations refer to a domestic company, they are emphasizing that the company is subject to the state laws and regulations where its articles of incorporation were filed.

In contrast, a foreign company is one that operates in a state other than the one in which it was incorporated. An alien company is incorporated in a different country outside of the U.S. Universal does not refer to this concept at all, as it typically pertains to a type of life insurance policy rather than the classification of a company based on its state of incorporation. Understanding these distinctions is crucial for grasping how insurance companies are regulated and the frameworks within which they operate.