TN Insurance Bulletin 25-01: Reconcilation of Premium on Surplus Lines Policies Issued in Tennessee

tn.gov/commerce STATE OF TENNESSEE DEPARTMENT OF COMMERCE AND INSURANCE 500 JAMES ROBERTSON PARKWAY NASHVILLE, TENNESSEE 37243-5065 615-741-6007 BILL LEE CARTER LAWRENCE GOVERNOR COMMISSIONER BULLETIN 25-01 To: All Non-Admitted Insurers Doing Business in Tennessee From: Carter Lawrence, Commissioner Date: February 5, 2025 RE: Reconciliation of Premium on Surplus Lines Policies Issued in Tennessee The Tennessee Department of Commerce and Insurance (the “Department”) requests that all nonadmitted insurers doing business in Tennessee submit the information outlined in this bulletin regarding surplus lines insurance policies written in Tennessee beginning with calendar year 2024 and going forward. The requested data is necessary to reconcile the premiums written by nonadmitted insurance companies with the premiums reported to Tennessee by non-admitted filers (i.e., surplus lines agents/brokers, direct procurement, and risk purchasing groups). Tennessee follows the “Home State” taxation and regulatory requirements that are outlined in the Non-Admitted and Reinsurance Reform Act of 2010 (“NRRA”), 15 U.S.C. § 8201 et seq. Currently, all Tennessee “Home State” surplus lines insurance business is filed by non-admitted filers through the filing platform known as Surplus Lines Information Portal (“SLIP”), administered by Surplus Lines Automation Suite (“SLAS”). The purpose of this bulletin is to allow the Department to also receive policy data from non-admitted insurers so that the Department can reconcile the data and ensure more accurate reporting of surplus lines business in Tennessee. Beginning with information regarding premiums written for policies that became effective in calendar year 2024, the Department requests that all non-admitted insurers begin submitting policy data to the Department through SLIP. SLIP is accessible at https://slip.slasclearinghouse.com. All non-admitted insurers currently in the SLIP system should have SLIP login credentials. Passwords can be reset on the SLIP login page if needed. New non-admitted insurers can register for a SLIP account on the SLAS SLIP login page. Insurers may submit data into SLIP using either manual data entry or via an XML batch process for multiple policy submissions. Insurers reporting a relatively small number of policies are ideal candidates for the manual data entry in SLIP, while insurers reporting numerous policies may Carter Lawrence (Feb 7, 2025 13:43 CST) Bulletin 25-01 Page 2 tn.gov/commerce prefer to submit data in XML batch format. Please contact the SLAS staff at batchfiling@slasclearinghouse.com to request information on the batch filing process. The Department will reconcile the data submitted by non-admitted insurance companies with the data filed by non-admitted filers/brokers in SLIP. Please report the data as it appears on the declarations page. The following data elements should be included for each policy submitted by an insurer: • Policy number • Name of insured • Name of the surplus lines agent or direct procurement filer • Amount of premium (100% of the premium for Tennessee “Home State” policies) • Transaction effective date Foreign non-admitted insurers writing business in Tennessee should submit the requested data by March 31, 2025, for policies effective January 1, 2024, through December 31, 2024. For policies that become effective in 2025 and beyond, the data should be reported using the schedule below. Alien non-admitted insurers should submit the requested data by June 30 of each year for data pertaining to the preceding year. Foreign Insurers – Quarterly Filings Reporting Period Transaction Effective Date Reporting Deadline 1st Quarter January 1 – March 31 June 30 2nd Quarter April 1 – June 30 September 30 3rd Quarter July 1 – September 30 December 31 4th Quarter October 1 – December 31 March 31 the following year Alien Insurers – Annual Filings Reporting Period Transaction Effective Date Reporting Deadline Annual January 1 – December 31 June 30 the following year For more information on insurer reporting or premium reconciliation, please contact the SLAS team at InsurerServices@slasclearinghouse.com or by phone at (877) 267-9855. You may also contact the Department at surplus.lines@tn.gov or by phone at (615) 741-1670.