Surplus Lines Insurance Act

This act governs surplus lines insurance — coverage placed with insurers that are not admitted or licensed in the state — and sets the terms on which licensed brokers may transact that business. It establishes qualification standards an insurer must meet to be eligible for surplus lines placements, and it regulates the broker's role through rules on rates and forms, how coverage may be placed, the evidence and documents that must be produced and filed, retention of records, examinations, and permissible fees, commissions, and compensation. It further requires policies to carry a notice to the insured, provides for a surplus lines broker association, imposes penalties for failing to submit required documents, and addresses the consequences of insurance procured from insurers that do not qualify.

Editorial summary generated from the text of this act. It is not part of the statute — read the sections below for the operative language.