§431:8-208  Defense of action byunauthorized insurer; bond.  (a)  Before any unauthorized insurer files orcauses to be filed any pleading in any court action, suit, or proceeding, orany notice, order, pleading, or process in an administrative proceeding beforethe commissioner, instituted against such person or insurer by service made asprovided in section 431:8-207, such insurer shall either:

(1)  Deposit with the clerk of the court in which suchaction, suit, or proceeding is pending, or with the commissioner inadministrative proceedings, cash or securities, or file a bond with good andsufficient sureties to be approved by the court or commissioner, in an amountfixed by the court or commissioner sufficient to secure the payment of anyfinal judgment which may be rendered in such action or administrativeproceeding, or

(2)  Procure a certificate of authority to transactinsurance in this State.

(b)  The commissioner, in any administrativeproceeding in which service is made as provided in section 431:8-207, may inthe commissioner's discretion order such postponement as may be necessary toafford the defendant reasonable opportunity to comply with the provisions ofsubsection (a) and to defend such action.

(c)  Nothing in subsection (a) shall be construedto prevent an unauthorized insurer from filing a motion to quash a writ or toset aside service made in the manner provided in section 431:8-207 on theground that the unauthorized insurer has not transacted any insurance businessin this State. [L 1987, c 347, pt of §2; am L 2003, c 212, §45; am L 2004, c122, §25]