Description: Description: Description: Arkansas Insurance Department

 

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SURPLUS LINES INSURERS 

The Commissioner will continue to maintain a list of eligible surplus lines insurers. The Nonadmitted and Reinsurance Reform Act of 2010 (NRRA) restricts the eligibility requirements Arkansas may impose on a company to be a nonadmitted insurer in our state.

Eligible Surplus Lines Insurers “ESL”- (After July 21, 2011 NRRA effective date)

 

  1. Defined as a foreign nonadmitted insurer (does not include a risk retention group) that satisfies the following NRRA eligibility requirements:

a)      Insurer must be authorized to write in its domiciliary jurisdiction, and

b)      Have Capital and Surplus or its equivalent under the laws of its domiciliary jurisdiction, which equals the greater of the minimum capital and surplus requirement under the law of its home state, or $15,000,000.

  1. List of Eligible Surplus Lines Insurers- Use our company search feature and select Company Type “Surplus Lines- Eligible NRRA Qualified”  SBS2016 Lookup

 

  1. To be added to our list of eligible surplus lines insurers we ask that you provide the following :

a)      Notice of Intent Letter (This is simply a letter stating that you intend to write in our state under the NRRA) addressed to the Commissioner, which includes the attached documentation: (This information should be sent to the attention of Kimberly Johnson, Insurance Examiner, Finance Division, 1200 West Third Street, Little Rock, AR 72201-1904)

b)      Certificate of Compliance from the surplus line insurer’s state of domicile.

c)      Copy of most recent financial statement filed with its state of domicile.

d)     Completed Uniform Consent to Service of Process Form (UCAA Form 12) - surplus line insurers do not have to appoint a resident agent, but provide the full name and address where a service of process is to be forwarded on Exhibit B of the form. Admitted companies holding a certificate of authority in our state must appoint a resident agent.

e)      Foreign Surplus Lines insurers no longer have to file any financial statement filings, renewal fees or state specific filings with our state since the Nonadmitted and Reinsurance Reform Act of 2010 (NRRA).

f)       For questions contact Kimberly Johnson at: 501-371-2680 or Kimberly.johnson@arkansas.gov

Alien Surplus Lines Insurers

  1. Quarterly Listing of Alien Insurers- The National Association of Insurance Commissioners (NAIC) announced the listing is now available for reference and download from the NAIC website. http://www.naic.org/documents/committees_c_surplus_lines_fawg_related_docs_quarterly_listing_alien_insurers.pdf 
  2. Application for companies which intend to apply for listing on the NAIC Quarterly Listing of Alien Insurers- http://www.naic.org/committees_c_surplus_lines_iid_plan.htm
  3. For nonadmitted insurers domiciled outside the U.S., a surplus lines broker may place business with such insurers provided the insurer is listed on the Quarterly Listing of Alien Insurers maintained by the International Insurers Department of the National Association of Insurance Commissioners.
  4. For questions concerning Alien Surplus Lines in Arkansas- Contact Kimberly Johnson at: 501-371-2680 or Kimberly.johnson@arkansas.gov

Domestic Surplus Lines Insurers “DSL”

 

  1. Qualifications for Domestic Surplus Lines Insurers- Ark. Code Ann. §23-65-320
  2. Domestic insurer possessing policyholder surplus of at least twenty million dollars ($20,000,000)
  3. All provisions of the Arkansas Insurance Code regarding financial and solvency requirements apply to domestic surplus lines insurers unless domestic surplus lines insurers are otherwise specifically exempted.
  4. List of Domestic Surplus Lines Insurers- Use our company search feature and select Company Type “Domestic Surplus Lines” SBS2016 Lookup
  5. Bulletin 8-2011 issued August 2, 2011 concerning the Licensing of Domestic Surplus Lines Insurers pursuant to Ark. Code Ann. §23-65-320
  6. Questions concerning Domestic Surplus Lines Insurers should be directed to Kimberly Johnson, Insurance Examiner at 501-371-2680 or Kimberly.johnson@arkansas.gov
  7. Financial Statement and Other Filings Checklist- (Word) (PDF)

Other Useful Links &  Information

  1. State of Arkansas House Bill 2143- An act to authorize the Commissioner to enter into agreements with other jurisdictions to aid in the administration of taxes on surplus lines insurers, and for other purposes. http://www.arkleg.state.ar.us/assembly/2011/2011R/Bills/HB2143.pdf
  2. NRRA Law- http://www.napslo.org/imispublic/PDF/Legreg/NRRAfinal.pdf
  3. Arkansas Surplus Lines Insurance Law- Ark. Code Ann. §23-65-301 thru 23-65-403