IOWA INTRODUCES BILL CONCERNING NONADMITTED REINSURANCE REFORM ACT
House Study Bill 181 has been introduced into the General Assembly of the State of Iowa. If the Bill is enacted, Iowa would join other states in signing on to the surplus lines insurance multistate compliance compact, stipulating to the provisions of the Nonadmitted Reinsurance Reform Act (the “Act”), which is part of the Dodd-Frank Wall Street Reform and Consumer Protection Act. The stipulations in the Act provide, among other things, that placement of nonadmitted insurance will be subject to the statutes and regulations of the insured’s home state and, furthermore, that premium taxes on nonadmitted insurance will be paid only to the insured’s home state. The stipulations also contemplate the establishment of a multistate compliance compact commission that will have rulemaking and enforcement authority. H. Study B. 181 (IA 2011).
This post written by Ben Seessel.
