What must the stamp for surplus lines insurance policies clearly indicate?

The correct answer focuses on the necessity for transparency regarding the licensing status of the insurer when a surplus lines insurance policy is issued. Surplus lines insurance involves risks that regular insurers are unwilling to cover or for which coverage is not readily available in the standard market. This often means that the insurer providing the coverage is not licensed in the state of Hawaii.

As a key disclosure, the stamp on surplus lines insurance policies must clearly indicate that the insurer is not licensed in Hawaii. This serves to inform consumers that they are dealing with a surplus lines insurer, which may differ from traditional licensed insurers, particularly in terms of regulatory oversight and the protections typically afforded to policyholders.

Other options do not reflect the necessary information that surplus lines insurance must convey. They may address aspects of oversight or approval that do not pertain to the crucial issue of licensing, as is clearly outlined by the regulations governing surplus lines insurance. Ensuring that policyholders are aware of the licensing status helps maintain transparency and protects consumer interests in the market.