Nebraska Department of Insurance Director Bruce R. Ramge announces recent revision of Nebraska Surplus Lines Act; changes could affect all surplus lines policies reporting requirements

Nebraska Department of Insurance Director Bruce R. Ramge issued a Notice on October 28, 2011 announcing the recent revision of the Nebraska Surplus Lines Insurance Act.  The revisions include statutory changes that have implications to the reporting requirements of all surplus lines policies. Changes affect filing dates, rates, forms to be utilized, dates of payment, and which policies are reportable to the State of Nebraska Department of Insurance (“Department”).   

For further information, please refer to the Department’s Bulletin CB-126, “Implementation of Federal Nonadmitted and Reinsurance Reform Act in Nebraska,” which can be found at www.doi.ne.gov/bulletin/cb126.pdf.

In addition to Bulletin CB-126, the Department has issued an official notice providing further explanation and detail regarding the proper reporting and payment procedures for licensed surplus lines agents. The notice can be found on the Department’s website at www.doi.ne.gov/surplus_lines/sl_index.htm, which will also be updated with new forms, and contain additional information to assist in answering common questions arising from the new reporting requirements.

Changes to Tax Filing and Payment Procedures

Quarterly Tax due dates for business written are now as follows:

• February 15 for the calendar quarter ending the preceding December 31
• May 15 for the calendar quarter ending the preceding March 31
• August 15 for the calendar quarter ending the preceding June 30
• November 15 for the calendar quarter ending the preceding September 30

Annual Tax due date for business written prior to July 21, 2011 is as follows:

The Department will require an annual report be filed and tax payment received by February 15, 2012, for all activities written and reported during the 1st and 2nd quarters of 2011 as well as the first twenty (20) days of the 3rd quarter. This means that all business placed between January 1, 2011 through and including July 20, 2011, must be included on the year end annual report. The 2011 annual report will be the last annual report to be submitted. All business placed on or after July 21, 2011 will be reported and paid on a quarterly basis as set forth above.

To view the Notice, click here.

Should you have any comments or questions, please contact Colodny Fass.