Thursday, November 29, 2007
The 2008 NAPSLO Mid-Year Workshop is scheduled for February 20-23, at the Fairmont Scottsdale Princess Resort in Scottsdale, Arizona. Programs scheduled include a look at private equity firms impact on the industry and a preview of the 2008 elections.
A link will be included in the email to direct members to a page on the NAPSLO website which will start the online registration process. Member login information will be included in the email and will be needed to access the web page. Members will be able to register and sign up for tours online (including the Derek Hughes/NAPSLO Educational Foundation Golf Invitational.)
Members will still be able to register by submitting a paper registration form. Registration materials, hotel forms, and the brochure will be available to download from the NAPSLO website.
Friday, November 16, 2007
David E. Leonard has been named to the NAPSLO Board of Directors to fill the unexpired term of Randy Jones who recently stepped down from the Board.
Mr. Leonard is Executive Vice President and Chief Strategic Officer of RSUI Group, Inc. He has 28 years experience in the P&C insurance industry and joined RSUI in December 1999.
His prior roles include Casualty Underwriting management for Crum & Forster Companies and Treaty Reinsurance Underwriting for Employers Reinsurance.
Mr. Leonard graduated with a bachelor’s degree in business administration from East Carolina University and holds CPCU, ARe, AIAF and ARM designations. He has served on the NAPSLO Internship Committee and has been an instructor at the NAPSLO E&S School.
Wednesday, September 19, 2007
NAPSLO has nine committees and approximately 100 volunteer committee members. Each year a number committee members leave committee service, making room for new volunteers to join.
Current NAPSLO committees are as follows: Budget, Finance, Audit & Investment; Communications & Technology; Convention; Education; International; Internship; Legislative; Membership & Ethics; and Mid-Year Educational Workshop.
In addition, NAPSLO is adding a new committee whose members will educate students from their local colleges and universities, or alma mater, about surplus lines insurance and our industry. Initial committee members will name the committee and also create a Mission Statement for the committee.
Friday, September 14, 2007
All applications in the Member and Labels & E-mail Address section of NAPSLO’s Web site now feature the interactive PDF Smart Forms.
Having the capability to electronically fill out a form is fast and simple. The document contains data fields where text can be directly entered and can also include radio boxes and checkboxes for multiple choice questions. Using these Smart Forms also ensures the information entered will be legible and allows the user the ability to keep backup copies electronically.
To view the applications containing forms, please visit the Member and E-mail & Labels section of NAPSLO's Web site.
Let NAPSLO know if there is a particular form or application you prefer to feature Smart Forms. E-mail Jennifer@napslo.org with suggestions.
Wednesday, September 12, 2007
The school will include sessions on claims, finance, recognizing scams, reinsurance & alternative risk, brokering, errors & omissions, trends in E-Business, and a review of current federal legislative proposals.
The school offers a comprehensive look at surplus lines, and provides the opportunity to meet with others in the industry. Completion of the NAPSLO E&S School is not a prerequisite.
The school opens with Perspectives From the Top, a presentation by Dale H. Pilkington, President of Colony Insurance Co.
Members on the Executive Panel will be Maureen Caviston, CPCU, Partners Specialty Group, LLC; M. Steven DeCarlo, AmWINS Group, Inc.; Stephen J. Vaccaro, Jr., Max Specialty Insurance Co.; and Terry Younghanz, Rockhill Insurance Co.
Instructors are Philip R. Ballinger, CPCU, ASLI, Surplus Lines Stamping Office of Texas; Richard M. Bouhan, NAPSLO; Richard Clarke, J. Smith Lanier & Co.; Andrew Forstenzer, Crump Group, Inc.; Randall D. Jones, Maxum Indemnity Co.; Marshall P. Kath, Colemont Brokerage Group, Inc.; Jean M. Nelson and Terry Bolin, Scottsdale Insurance Co.; and Marcus Payne, NAPSLO Education Coodinator.
Wednesday, September 05, 2007
President - Mary Ellen Rozzell, Continental/Marmorstein & Malone, Paramus, NJ. Vice President - John F. Wood, III, CIC, CIW, Specialty Risk Associates, Inc., Shreveport, LA.
Secretary - Dale H. Pilkington, Colony Insurance Company, Richmond, VA.
Treasurer - Marshall P. Kath, Colemont Brokerage Group, Inc., Dallas, TX.
Nominated for a new three-year term on the Board was Kevin T. Westrope, Westrope, Kansas City, MO. Steven R. Gross, Metro Insurance Services, Inc.; Marshall P. Kath, Colemont Brokerage Group Inc.; Tom Mulligan, Western World Insurance Group; and Gary Tiepelman, CPCU, ASLI, Scottsdale Insurance Co., were renominated for three-year terms. Directors are nominated for three-year terms on the Board. Officers are nominated for a one-year term. NAPSLO member firms will vote on the proposed slate of officers and directors during the Annual Business Meeting, scheduled Friday, October 5, at the Annual Convention in New Orleans.
Tuesday, August 28, 2007
Selected interns will spend five weeks with a surplus lines/specialty insurance company followed by four weeks with a wholesale broker/general agent. NAPSLO provides transportation to and from the host locations, pays housing costs, as well as a stipend to cover incidental expenses. The host firms also provide a competitive salary.
The deadline to return applications is December 1, 2007. In addition to the application, students must submit a copy of their college transcript, two letters of recommendation, and their resume. Applications can be found online at
Thursday, August 23, 2007
Forum participants from NAPSLO member companies will be: Dennis Crosby, ACE Westchester Specialty; David Leonard, RSUI Group; Tom Mulligan, Western World Insurance Group; and Dale Pilkington, Colony Insurance Company.
Over the past five years the surplus lines industry has become an increasingly larger and more important part of the insurance industry. This is quite a change from the 1990s when flat markets, solvency concerns about some markets, and threatened government regulation raised an ominous specter about the future of the industry. Today the market represents nearly 15 percent of the P&C industry.
Specific topics to be discussed during the forum will be: the factors that have driven the recent growth of the surplus lines market, the impact this growth has had on the wholesale distribution system and risk taking community, regulatory compliance concerns and current federal legislative proposals including the Nonadmitted and Reinsurance Reform Act.
The inclusion of this Industry Forum on Thursday morning is a departure from the traditional annual convention format in which that morning has been left completely open. This year, convention attendees will be given the opportunity to hear important leaders of our industry discuss current issues and topics and to secure perspectives and knowledge about trends that may impact their business.
The four students selectedto receive a Rolland L. Wiegers Education Scholarship are:
•Brian Sassano, Warminster, Pennsylvania, Temple University
•Andrew Martin, Ostego, Michigan, Olivet College
•Kimberly Ambrecht, Doylestown, Pennsylvania, Temple University• Craig Jenkins, Hastings, Michigan, Olivet College
The Kevin A. McLaughlin Memorial Scholarship recipient is:
•Joshua Hart, Gaylord, Michigan, Olivet College
The three students selected to receive a Scott W. Polley Memorial Scholarship are:
•Sarah Leszczuk, Reading , Pennsylvania, Temple University
•Amanda Eikenberry, Des Moines, Iowa, Drake University
•Blake Kerr, Chickasha, Oklahoma, University of Central Oklahoma
The Herbert W. Kaufman Memorial Scholarship recipient is:
•Aelon Porat, Philadelphia, Pennsylvania, Temple University
The Derek Hughes/NAPSLOEducational Foundation Insurance Scholarship recipient is:
•Deyan Kozhuharov, Olivet, Michigan, Olivet College
The NAPSLO Insurance Scholarship recipient is:
•Jeremy Harlow, Monmouth Illinois, Illinois State University
The Richard Hull Educational Scholarship recipient is:
•Ryan Coburn, Wayland, Michigan, Olivet College
The Russell Bond Memorial Scholarship recipient is:
•Maria Gabriel, Philadelphia, Pennsylvania, Temple University
Wednesday, August 08, 2007
The Court rejected the argument that the valued policy statute applied to a total loss caused in part by a covered peril, along with substantial damage by a peril not covered by the policy. The opinion provides strong support for the insurance industry's interpretation of the Valued Policy Law (VPL).
In another unanimous decision, Fifth U.S. Circuit Court of Appeals vacated a November ruling that opened the door for insurance companies to be held liable for flood damage that policyholders claimed was caused by negligent design, construction and maintenance of the levees.
In the Katrina Canal Breaches Litigation case, the Fifth Circuit ruled that the previous decision was incorrect in holding that the flood exclusion language of insurers' policies was ambiguous, and that ambiguity must be interpreted in favor of covering the damage done by floodwaters that flowed through the levee breaches.
The court ruled that the flooding associated with Katrina had a "sizable natural component: a catastrophic hurricane and the excess water associated with it."
However, the court also made it very clear that flooding caused by manmade disasters would also be excluded under the unambiguous water damages exclusion found in most property insurance policies.
The Advanced School is designed for men & women with 5 to 15 years of experience in the excess and surplus lines industry. The School offers a comprehensive look at surplus lines and provides the opportunity to meet with others in the industry. Completion of the NAPSLO E&S School is not a prerequisite.
The application deadline is September 21 and registration materials have been mailed to NAPSLO and AAMGA members or can be downloaded from the NAPSLO website. Applicants must work for a NAPSLO or AAMGA member firm.
Friday, August 03, 2007
Mr. Snead was a Veteran of WW II serving his country with The U.S Army. He married his wife, Margarete Rinke Snead, on August 9, 1947 and they would have celebrated their 60th Wedding Anniversary on August 9th. He was an avid golfer and was a stock market enthusiast. Michael loved his family and friends and treasured the time he spent with them. Mr. Snead is survived by his loving wife of 60 years, and a number of family members..
Relatives and friends are invited to call at the Lynch Funeral Home 318 West Broad Street Horseheads, NY on Saturday August 11, 2007 from 6-8 p.m. Mr. Snead's Funeral Services will be held at the Funeral Home on Sunday August 12, 2007 at 3 p.m. Interment will be held in Woodlawn National Cemetery in Elmira, NY where Full Military Honors will be accorded Mr. Snead on Monday August 13, 2007.
The family will provide their own flowers and those wishing may remember Mr. Snead through memorials to the charity of one's choice.
Wednesday, July 11, 2007
A reminder that officer and director candidate nominations are now being accepted by the NAPSLO Nominating Committee to assist in developing the slate of officers and directors to be voted on at the Annual Business Meeting at the 2007 NAPSLO Annual Convention in New Orleans.
NAPSLO members must submit the names for consideration for director or officer nominees no later than August 21 but members are encouraged to submit names as soon as possible. Suggested candidate names may be submitted to the committee by e-mail at firstname.lastname@example.org (mailto:email@example.com); by postal mail to the NAPSLO office; or directly to members of the committee.
The Nominating Committee is chaired by Past President Mac Wesson and members of the committee are E.G. Lassiter, RSUI Group, Inc.; Maureen Caviston, Partners Specialty Group; Letha Heaton, Evanston Insurance Co.; and Matt Nichols, All Risks, Ltd. As required by the Association's Bylaws, the Nominating Committee will prepare slates of officer and director nominees and submit them to the NAPSLO membership at least 30 days prior to the Annual Business Meeting, scheduled for October 5.
Members will vote at the Annual Business Meeting on the slate of officers (President, Vice President, Secretary, & Treasurer) who serve one year terms, and the slate of five directors, who serve three year terms. Candidates suggested for officer consideration must be currently serving on the NAPSLO Board. Directors currently serving on the Board are eligible to be renominated to new three year terms as directors.
Characteristics the Nominating Committee considers in director and officer candidates include: integrity; personal character; willingness and ability to devote considerable time to the Association; ability to serve three to 10 years on the Board; a history of service to the industry, including NAPSLO committee work, involvement in state associations, active involvement in NAPSLO meetings or the NAPSLO schools; leadership role in own organization; leadership in the industry.
Tuesday, July 03, 2007
Volunteers should indicate availability to attend NAPSLO’s 2007 Committee Day, scheduled for November 12-13 at the Hyatt Regency Hotel at the Dallas-Fort Worth Airport.
Committees are as follows: Budget, Finance, Audit & Investment; Communications & Technology; Convention; Education; International; Internship; Legislative; Membership & Ethics; Mid-Year Educational Workshop; and a new committee whose members will work on educating students from their local colleges and universities, or alma mater, about surplus lines insurance and our industry Officer & director nominations being accepted
Monday, June 25, 2007
“This approval is an important step toward ultimately improving the operation and regulation of the surplus lines market,” said NAPSLO President William Newton. “NAPSLO is pleased that the House of Representative has approved H.R. 1065 and we are hopeful the Senate will also approve a bill.”
H.R. 1065 is, in part, aimed at making access to the surplus lines market more efficient for consumers and the brokers and agents who assist them.
“We believe that once this legislation is enacted it will make access to the surplus lines market more efficient and ease the consumers' burden of obtaining insurance coverage in difficult insurance markets,” said NAPSLO Executive Director Richard Bouhan.
H.R. 1065 was submitted by Reps. Dennis Moore (D-Kan.) and Ginny Brown-Waite (R-Fla.). Cosponsors included Financial Services Ranking Member Rep. Spencer Bachus (R-Ala.), and Subcommittee on Capital Markets, Insurance and Government Sponsored Enterprises Chairman Paul Kanjorski (D-Penn.). House Financial Services Chairman Barney Frank, D-Mass., and and Deborah Pryce, R-Ohio, also assisted in passage of the legislation.
The bill, which was approved unanimously Monday by voice vote, would establish national standards for how states regulate the surplus lines market and reinsurance and would create a uniform system of surplus lines premium tax allocation and remittance, one-state compliance on multi-state surplus lines risks, and direct access to the surplus lines market for sophisticated commercial purchasers.
The Senate version of the bill, S 929, was introduced in March by Florida Senators Mel Martinez and Bill Nelson and has been referred to the Banking, Housing and Urban Affairs Committee.
"With such broad, bipartisan support, I'm hopeful that this legislation, which is long overdue, will be approved by the Senate soon and signed into law," Rep. Moore said in a news release. "It's the right thing to do."
NAPSLO’s Washington D.C. representative, Maria Berthoud of B&D Consulting said "we have been meeting with members of the Senate Banking Committee and look forward to working with the full Senate on passing this bill.”
Monday, June 11, 2007
Or members can download an updated form with the signature line from the website.
Members can also download registration forms, suite forms, and meeting room forms on the website. To reserve a Brokers' Club Table in the Brokers’ Lounge (Wednesday – Friday) note the selection on the main Registration Form.
Thursday, May 17, 2007
In an effort to encourage the adoption of the Non-Admitted and Reinsurance Reform Act of 2007 (H.R. 1065) by the U.S. House of Representatives and a companion bill, S. 929, in the Senate, the National Association of Professional Surplus Lines Offices had published and distributed a paper, Why HR 1065, to members of the Association, public, and the press.
The paper, which is also available on NAPSLO’s web site at www.napslo.org/pdf/legreg/WhyHR1065.pdf, reviews how HR 1065 would simplify the payment of surplus lines premium taxes, establish one state compliance on multi-state risks, streamline access to the surplus lines market for large commercial purchasers; and create uniform surplus lines insurer eligibility standards.
“The one issue I am constantly asked about is how to resolve the tax and licensing issues regarding multi-state surplus lines risks,” said NAPSLO President Bill Newton. “We believe both brokers, and companies want this issue resolved. Brokers want to pay the surplus lines taxes to just one state. They want only one state to regulate the transaction and not have to complete duplicate, triplicate, 10, 20 or 40 affidavits and make an equal number of tax filings. Companies want to see one-state reporting as more and more insurance departments are asking carriers to reconcile their premiums with the brokers’ filings.”
Reps. Dennis Moore (D-Kan.) and Ginny Brown-Waite (R-Fla.) submitted H.R. 1065 earlier this year and it had several co-sponsors. Senators Mel Martinez (R-Fla.) and Bill Nelson (D-Fla.) introduced S. 929, a version of the Nonadmitted and Reinsurance Act of 2007 in the Senate in March.
H.R. 1065 will establish national standards for how states regulate the surplus lines market and reinsurance and would create a uniform system of surplus lines premium tax calculation and remittance, one-state compliance on multi-state surplus lines risks, and direct access to the surplus lines market for sophisticated commercial purchasers.
Highlights of Why HR 1065
NAPSLO’s paper, Why HR 1065, outlines the benefits of HR 1065 to the surplus lines industry and also consumers, including;
- HR 1065 would simplify the surplus lines broker’s payment of surplus lines premium taxes on multi-state risks by requiring that all premium tax due the states in a surplus lines transaction be paid to one state---the insured’s “home state.”
- HR 1065 would eliminate the current confusion over which state, or states, have jurisdiction to regulate a multi-state surplus lines transaction by establishing a one-state compliance obligation for the surplus lines broker involved in such multi-state transactions.
- HR 1065 allows the surplus lines broker to place insurance on behalf of large, sophisticated commercial purchasers, as defined in the act, without having to satisfy a diligent search requirement.
- HR 1065 creates national eligibility standards for surplus lines carriers by prohibiting states from imposing any eligibility requirements other than criteria established in the NAIC Nonadmitted Insurance Model Act.
“The concepts in HR 1065 are those that have been long endorsed by NAPSLO and promoted with members of Congress during meetings over the past two years,” said Mr. Newton. “This is important legislation and others in the industry share our views. Every major national producer organization in the country supports this bill and has it as either their top legislative priority or one of their top ones.”
In late April approximately 20 representatives of NAPSLO and B&D Consulting, NAPSLO's Washington lobbying firm, took part in NAPSLO's "Day on the Hill" in Washington, D.C. visiting members of Congress and their staff. The event was scheduled to help educate staff and legislators about NAPSLO's positions on current legislation before Congress.
Monday, April 23, 2007
“We believe this is a positive decision for the brokerage industry as it does not add another level of regulation,” said NAPSLO President William H. Newton [Mr. Newton is also President of Lemac Associates of Los Angeles]. “Allowing such settlement agreements to be used as a precedent that would result in underground regulation, which circumvents the rulemaking process, and the OLA agreed.”
The decision follows a suit filed by the Independent Brokers and Agents of the West, which NAPSLO supported with written objections, to the Department’s contention that a settlement in a 2006 case with American Reliable Insurance Company could be used as the basis for fines in other cases.
The settlement agreement included language concluding that a broker was a producer for a company and it included a fine for the company. The department apparently intended to fine other companies over the conduct of a broker, based on this settlement agreement with American Reliable.
In the review, the Office of Administrative Law agreed that a settlement agreement could not become a precedential decision because the decision had not been adjudicated and the state's Administrative Procedure Act (APA) had not been followed. State Agencies are prohibited from issuing rules unless the rules comply with the APA.
Thursday, April 12, 2007
The Stamping Office compiled the premiums reported and also the number of items written in 2006 from the 15 stamping offices and compared the results to 2005. Overall premiums were up 7.1%, increasing from $21.9 billion to $23.5 billion while number of policies were up 2.8%, going from 3.44 million to 3.54 million.
Pennslyvania (39.8%), Mississippi (31.4%), Florida (27.5%) and Nevada (20.1%) reported premium volume increases of more than 20% while New York (-19.2%), Illinois (-9.6%) and Washington (-7.4%) reported significant decreases in premium volume.
Arizona reported a slight decline (-1.2%) in premium despite a 25.5% increase in policies. Florida's premium increase came despite a -1.0% drop in the number of items written.
Complete details are available by downloading the report.
Tuesday, April 10, 2007
Comments on the proposed change are due May 1 and the rule may become effective May 8.
A courtesy filing is defined as a surplus lines policy filing done by a resident surplus lines producer on behalf of a resident or non-resident producer whose licensure does not include a surplus lines line of authority. The "Courtesy filing fee" is defined as a fee charged by the resident surplus lines producer for doing the courtesy filing.
Surplus lines premium tax for Utah is 4.25% of gross surplus lines premiums, less 4.25% of return premiums paid to insureds by reason of policy cancellations or premium reductions. The surplus lines stamping fee is 0.25% of the policy premium payable.
Friday, April 06, 2007
The Missouri Department of Revenue currently collects premium taxes remitted by insurance companies and also is the state's tax collection agency.
The Missouri State Government Review Commission had recommended this transfer in its November 2005 Report and Gov. Blunt had stated that the transfer of the collection of surplus lines taxes was a component of the Governor's Executive Branch Reorganization Plan of 2007.
Wednesday, April 04, 2007
On- and Off-Site hospitality functions and receptions will be allowed on Friday. On Thursday, all functions and meetings scheduled during the day and in the evening are to be held On-Site at the convention hotels.
This is a change from previous years in which On- and Off-Site hospitality functions and receptions were allowed on Thursday and only On-site functions were allowed Friday.
Firms who have previously contracted an off-site event on Thursday do not need to change dates but need to contact Debbie Hill at firstname.lastname@example.org to make NAPSLO aware of the off-site event.
Tuesday, April 03, 2007
Stephan was a luncheon speaker at the meeting and discussed the Nonadmitted and Reinsurance Act of 2007 currently pending in both houses of congress; Medical Malpractice data reporting; attempts by states to reconcile surplus lines taxes; and the proposed interstate compact for multistate compliance on remittance of surplus lines taxes.
Mr. Stephan said that NAPSLO has been working with other industry groups to draft a compact and plans on working with the NAIC and NCOIL and the various state legislatures to get the compact approved.
Friday, March 30, 2007
The Texas Department of Insurance staff had recommended the decrease in the stamping fee rate to 0.06% from its current rate of 0.10%.
The staff’s recommendation follows a similar recommendation by the Board of Directors of the Surplus Lines Stamping Office of Texas (Stamping Office) to decrease the fee.
The proposed effective date for the decrease is July 1, 2007.
Wednesday, March 28, 2007
The survey was sent to NAPSLO wholesale broker and company members and the questions were a follow-up to the 2003 survey conducted by NAPSLO. A copy of the current survey and the 2003 survey are available on the NAPSLO website, in the Technology Section, under Technology Survey.
One change occurring in the industry since the 2003 survey is the movement by brokers and MGAs to using third party agency management systems as opposed to in-house or custom programs. In 2003 approximately 20% reported using in-house programs, compared to 11% in 2007.
Among the other areas examined in the survey included asking about the top focus areas for IT departments. Security was the top issue with 47% of respondents noting it, going paperless was second at 45% and developing a web portal was third at 43%.
Wednesday, March 21, 2007
The six bills introduced by the Florida Senators would address ways to improve preparedness and response, reinsurance reform, tax credits for mitigation, and the potential for the development of a national catastrophe fund. The Nonadmitted and Reinsurance Act measure is aimed specifically at streamlining and reducing barriers in state regulation of the nonadmitted insurance and reinsurance. It would create a uniform system, while preserving the role of the state regulator.
In February, Rep. Dennis Moore (D-Kan.) and Rep. Ginny Brown-Waite (R-Fla.) submitted H.R. 1065 in the House. The bill is similar to H.R. 5637, which was approved 417-0 by the House in September 2006 but was not taken up by the Senate in the last legislative session.
Thursday, February 15, 2007
“NAPSLO welcomes Rep. Moore’s introduction of the bill, which is a needed piece of insurance reform legislation that will improve efficiency of the surplus lines insurance market and make property/liability insurance more readily available to consumers,” said NAPSLO Executive Director Richard Bouhan.
NAPSLO President William Newton stated that “This legislation will simplify the regulation of the excess and surplus lines business without diminishing consumer protections and provide consumers with more opportunities to secure property/liability insurance in areas where natural disasters have made insurance availability scarce.”
Rep. Moore and Rep. Ginny Brown-Waite (R-Fla.) submitted H.R. 1065, which also had several co-sponsors including Financial Services Ranking Member Rep. Spencer Bachus (R-Ala.), and Subcommittee on Capital Markets, Insurance and Government Sponsored Enterprises Chairman Paul Kanjorski (D-Penn.). The bill is similar to the “Nonadmitted and Reinsurance Reform Act of 2006" (H.R. 5637) that Rep. Moore cosponsored with Rep. Brown-Waite in the last legislative session. H.R. 5637 was approved 417-0 by the House in September, but wasn’t taken up by the Senate.
The legislation, in part, is aimed at making access to the surplus lines market easier for consumers and the brokers and agents who assist them. The “Nonadmitted and Reinsurance Reform Act of 2007” would establish national standards for state regulation of the surplus lines and reinsurance markets including a uniform system of surplus lines premium taxation, elimination of duplicative compliance requirements for multi-state surplus lines transactions and direct access to the surplus lines market for large commercial insurance buyers.
Mr. Bouhan testified before the Financial Services Committee in June 2006 to offer NAPSLO's support for the bill and said that the market access, tax and compliance concepts contained in the 2006 bill (and also included in the 2007 bill), were ideas long endorsed by NAPSLO and were essential marketplace reforms.
With the bill not being adopted last year, over the past two months NAPSLO and representatives of B&D Consulting, (the Association’s Washington representative) had contacted members of House Financial Services Committee and Senate Committee on Banking, Housing and Urban Affairs to urge Congress to enact the surplus lines and reinsurance reform bill.
Mr. Bouhan said that NAPSLO’s “top legislative priority” in this Congress is the passage of the ‘Nonadmitted and Reinsurance Reform Act” and added, “we are pleased that the first step has been taken, in the 110th Congress, to enact this legislation. NAPSLO hopes the House, again, endorses the bill and the Senate takes it up, shortly.”
Wednesday, February 07, 2007
To assist with this change, the Surplus Lines Affidavits, the related Premium Reports and Semi-Annual Surplus Lines Broker Gross Premiums Receipt Tax Report may be downloaded from the Administrations website, under "Download forms" in the Producer Services section.
Surplus lines brokers may also submit information in an alternative format, as long as the same information is provided. Reports can be emailed in either PDF, Word, or Excel format, to the Administration at email@example.com.
Additionally, the administration amended state codes on Surplus Lines Affidavits to eliminate the requirement that a copy of the policy, cover note, certificate of insurance, memorandum of coverage, endorsement, cancellation, binder, or other initial confirmation and documentation of the coverage be filed with the Affidavit.
The Affidavit has been revised and now will require surplus lines brokers to attest that the requirements contained in Section 3- 306 of the Insurance Article have been met for all coverages placed with surplus lines carriers during the monthly reporting period. Additionally, a summary report of the coverages placed and the related premiums must be filed with the Affidavit.
Thursday, February 01, 2007
In an open letter to members of both Committees, NAPSLO Executive Director Richard Bouhan said NAPSLO’s “top legislative priority in this Congress is the enactment of the ‘Nonadmitted and Reinsurance Reform Act of 2006’" (H.R. 5637 in the last session) and that “NAPSLO stands ready to do whatever is necessary to pass that legislation, again, in the House and, hopefully, in the Senate as well.”
Over the past two months, NAPSLO representatives, including Maria Berthoud of B&D Consulting, have met with top staff for House Financial Services Committee Chairman Barney Frank (D-Mass.), Ranking Member Rep. Spencer Bachus (R-Ala.), Subcommittee on Capital Markets, Insurance and Government Sponsored Enterprises Chairman Paul Kanjorski (D-Penn.), and most Democratic and Republican members of the Subcommittee to urge the bill’s reintroduction and passage.
Last year H.R. 5637 was introduced by Rep. Dennis Moore (D-Kan.) and Rep. Ginny Brown-Waite (R-Fla.) and, if approved, would have improved and streamlined the regulation of surplus lines insurance and reinsurance. NAPSLO believes such legislation would simplify the regulation of the excess and surplus lines industry and assist consumers, particularly in the storm ravaged sections of the nation, by making property/casualty insurance coverage more plentiful, Ms. Berthoud said.
The complete press release is available on the NAPSLO website.
Wednesday, January 17, 2007
Bulletin 2006-11 states that "an insurer shall provide the director each year a listing of underwriting restrictions based upon geography and also provide notice of new changes to current underwriting restrictions.
The state statute in question, Section 38-75-1240, does not mention surplus lines. NAPSLO also questions the legality of expanding the scope of a statute through a bulletin issued by the insurance department. NAPSLO believes that the South Carolina legislature intended the 38-75-1240 to apply to surplus lines, it could have specifically said as much, like it did in other situations.
Given the ambiguity surrounding the terms underwriting restrictions and surplus lines company represented, it is unclear how a surplus lines brokers or companies should respond to this bulletin. Those interested may refer to NAPSLO's letter to the department regarding the bulletin.
Thursday, January 04, 2007
Other hotels in the area that may have rooms include the Hyatt Grand Champions Resort, located across the parking lot from the Esmeralda. A list of other area hotels is available to view.
The Mid-Year Workshop is scheduled for March 1-3 at the Esmeralda. Additional details about the programs is available on the NAPSLO website.