News from the Surplus Lines Industry and InsCipher
The New York State Department of Financial Services has announced that it will grant 30-day penalty waivers for the surplus lines annual tax filing.
Excess line brokers are required to pay taxes on all business they procure and electronically file an annual premium tax statement by March 15 of each year.
In accordance with Insurance Law Section 9109{b), the Superintendent may waive penalties for excusable delays in required filings. In recognition of questions some brokers have in connection with accessing DFS ID - the Department's new single-sign-on system - the Superintendent has waived penalties related to the delay of excess line broker tax filings through April 14, 2026.
Brokers seeking assistance with DFS ID, including step-by-step user guides, instructional videos, FAQs, and a Help Form, should visit www.dfs.ny.gov/DFSID.
Please review the SLIP+ announcement below for important information regarding the upcoming Kansas onboarding webinar they will be hosting. The announcement also outlines recent updates to the SLIP+ website, including the addition of a dedicated Kansas state page with key resources and guidance to support the transition:
We will host the Kansas onboarding process with an introductory webinar on Thursday, March 26 from 3-4PM (EST), which will cover:
To support agents through the transition, we’ve created a dedicated state page with everything you need leading up to, and following, the launch.
On the Kansas State Page, you’ll find:
Visit the Kansas state page anytime to stay up to date as new materials and guidance are added throughout the onboarding period.
For quick updates and onboarding support, follow SLIP+ on LinkedIn. It’s another easy way to stay in the loop as Kansas moves through their respective launch process.
SLIP+ has released additional details regarding Louisiana’s transition to the SLIP+ platform for surplus lines filings and tax reporting beginning July 1, 2026. Partners are encouraged to review the official SLIP+ bulletin for system guidance and implementation information.
SLIP+ for States has announced updated Colorado filing requirements effective April 1, 2026. Colorado surplus lines policies, endorsements, audits, or cancellations with effective dates January 1, 2022 and forward that were not previously reported through the Colorado Division of Insurance (CO DOI) must be submitted through SLIP+ for States.
Applicable filings remain subject to the 3% Colorado surplus lines tax, and certain transactions effective January 1, 2022 – December 31, 2024 will not incur the SLIP+ transaction fee.
Please review the full bulletin for detailed guidance and filing examples: Bulletin
The Louisiana Department of Insurance has issued Bulletin 2026-03 announcing the adoption of SLIP+ For States effective July 1, 2026. Effective that date, the 4.85% tax, along with the new 0.175% SLIP+ transaction fee, will apply to applicable filings submitted through the electronic reporting and payment system.
Please review the announcement below from the Surplus Lines Association of Washington outlining their branding updates and portal improvements:
Today we are proud to introduce the new brand and website of the Surplus Lines Association of Washington!
A brand-new look...and modernized tools to support you!
Our updated brand identity reflects our role as a trusted resource and guiding presence in the surplus lines marketplace.
Along with our new branding, we're also releasing:
Explore our new website! Watch the Launch Video!
Please be advised that some partners may have received notices from SLIP+ For States indicating that their Colorado 2025 Annual Zero Report was not filed.
SLIP+ For States confirmed:
Following additional clarification from the South Dakota Department of Insurance, we have removed the prior fee restriction related to broker fees effective January 1, 2026, and forward.
The Department has confirmed that any fee charged to the consumer must:
South Dakota Codified Laws § 58-11-1 provides:
“Premium is the consideration for insurance, by whatever name called. Any assessment, or any membership, policy, survey, inspection, service, or similar fee or other charge made by an insurer or insured in consideration for an insurance contract is deemed part of the premium.”
We would like to inform you that ELANY has released Bulletin 2026-07. This bulletin provides important updates and guidance impacting excess line placements and related regulatory requirements.
Please review the full bulletin at the link here.
Please take a moment to review the below SLIP+ for States Bulletin outlining an upcoming enhancement currently in development. This enhancement will provide flexibility in how the SLIP+ Transaction Fee is managed.
We heard your feedback, and we're happy to announce this upcoming enhancement. SLIP+ for States customers will soon be able to pay SLIP+ transactions fees by state rather than as a lump sum total. Customers will still have the option to pay all SLIP+ transaction fees with a single click or will have the ability to pay transaction fees by state. All SLIP+ transaction fees will be due on the following schedule:
|
Reporting Period |
Invoice Issued |
Fees Due |
|
January 1 – March 31 |
First business day of April |
May 15 |
|
April 1 – June 30 |
First business day of July |
August 15 |
|
July 1 – September 30 |
First business day of October |
November 15 |
|
October 1 – December 31 |
First business day of January |
February 15 |
Listing the Producing Agent on the Policy
In accordance with state statutes, all policies and endorsements must be reported under the surplus lines agent that wrote the policy. Each producer in
your agency must be licensed, and the corresponding business must be reported under the producer who bound the coverage. The surplus lines
licensee who bound the coverage should also be listed on the policy’s declarations page.
Reporting under a single agent will result in non-compliance with state statutes and increase the number of premium reconciliation inquiries. Agencies
reporting for multiple agents should create an agency account on the SLIP+ for States registration page. For more information on agency accounts or for any questions, please contact info@slipplus.com for assistance.
Annual Report FAQ
One of the questions we receive most frequently is “Why don't all transactions effective in 2025 appear on my 2025 annual filing report?"
The SLIP+ for States platform organizes filings based on the date they were filed in SLIP+, not the policy effective date. Because of this, policies with effective dates in 2025 that were filed in SLIP+ during Q1 of 2026 will appear on the 2026 annual filing, not the 2025 annual filing. Likewise, transactions effective in 2025 that are submitted in 1Q2026 invoiced will be invoiced following the end of the first quarter on
the first business day in April.
Tips to Avoid Data Accuracy Requests
Understanding Home State Determination
Correctly identifying the home state of an insurance policy is essential for compliance, but it can also be confusing! A frequent mistake is using the producer’s location or the insured’s mailing address. Instead, remember that the home state must be determined using the Non-Admitted and Reinsurance Reform Act (NRRA) definition:
1. The state where the insured maintains its principal place of business, or for an individual, their primary residence, OR
2. If 100% of the insured risk is located outside that state, the home state is the state where the greatest percentage of the insured’s taxable premium is allocated.
Master Policies and Affiliated Groups
For policies covering multiple named insureds within an affiliated group, the home state is the home state of the affiliated group member with the largest
percentage of premium under the contract, as outlined in NRRA Section 527(6)(A).
Accurate home state determination supports regulatory compliance, helps prevent reporting discrepancies, and reduces the number of premium
reconciliation requests. To learn more about the NRRA, visit the NRRA Legislation page.
If you have any questions, please contact SLIP+ staff at 877.267.9855 or by email at info@slipplus.com.