Surplus Lines Insurance Multi-State Compliance Compact (SLIMPACT)
President Obama signed the Dodd-Frank Wall Street Reform and Consumer Protection Act July 21, 2010. Congress incorporated the Nonadmitted Insurance and Reinsurance Reform Act, called NRRA, as Title V, Subtitle B, Part I, of the Dodd-Frank Act and made many of the nonadmitted insurance provisions effective upon the expiration of the 12-month period following enactment. Congress recommended in the NRRA that states adopt uniform requirements, forms and procedures, such as an interstate compact, to facilitate the reporting, payment, collection and allocation of premium taxes for nonadmitted insurance. The National Center for Interstate Compacts has been working with the National Conference of Insurance Legislators, The National Association of Professional Surplus Lines Officers and other stakeholder groups to try to broker a compromise that will satisfy regulators, industry groups and state legislators. The center has finalized compact language that will meet the requirements of NRRA.
Status: SLIMPACT has been enacted by nine states, including: Alabama, Indiana, Kansas, Kentucky, New Mexico, North Dakota , Rhode Island, Tennessee and Vermont. Because the compact requires 10 states to activate, initial planning has begun for the first commission meeting. Additionally, model rules and bylaws are being drafted to ensure commission business can begin quickly once the compact reaches the 10th state. For additional information, please contact Crady deGolian at email@example.com.