Which of the following best describes non-admitted insurers?

Non-admitted insurers are characterized by their lack of licensing in specific states, which means they do not hold a certificate of authority from the state insurance department. Operating without this license allows them a greater flexibility in their offerings, enabling them to provide insurance products that may not be available in the standard market. This can be particularly useful for covering specialty risks or unique insurance needs that traditional, admitted insurers may not accommodate.

The distinction of being non-admitted also comes with regulations that require these insurers to clearly disclose their status to policyholders and usually mandates that the persons or entities transacting insurance with non-admitted insurers are informed about potential risks involved, such as lack of state protection in the event of the insurer's insolvency. This contrasts with the other options, which do not accurately describe non-admitted insurers. They are not limited to providing basic products, are not exclusively for high-income clients, nor are they restricted to operating only in certain states based on licensing.