Which of the following describes an alien insurer?

An alien insurer is defined as an insurance company that has been established under the laws of a country other than the one in which it operates. In this context, the correct choice accurately reflects this definition, emphasizing that an alien insurer is connected to a foreign entity.

Understanding the distinctions among insurers is key in the insurance and risk management field. An insurer formed under the laws of another state or one formed under state laws pertains to domestic or foreign insurers within the US context. State-based insurers refer directly to those operating under state laws, which is not applicable in the definition of an alien insurer. Thus, the definition emphasizes the international aspect, signifying that the company operates across borders and is governed by the laws of a foreign country.