Official Government Website

Surplus Lines Broker

Most insurance in Idaho is written by insurance companies licensed by the Idaho Department of Insurance and protected by the Idaho Guaranty Fund. These companies are regulated by the State in a variety of ways, including restrictions on the amount of premium charged and policy forms used. However, licensed companies will not provide all the insurance coverage needed by Idaho citizens. With the exception of “Eligible Lines for Export”, a needed coverage must first be rejected by licensed companies before it can be written in the surplus lines market, and then only by eligible companies on the Idaho “White List” or the NAIC Quarterly Listing of Alien Insurers. Surplus Line policies must be placed through licensed resident or non-resident Surplus Line Brokers.

Idaho Code

Idaho Statutes:

Chapter 12

§41-1211 (Purpose of Surplus Line Law).

§41-1212 (Exemptions from Surplus Lines Law).

§41-1213 (Definitions).

§41-1214 (Conditions for Export, Surplus Line Membership, Diligent Search).

§41-1215 (Broker’s Affidavit).

§41-1216 (Open Lines for Export).

§41-1217 (Eligible Surplus Lines Insurers).

§41-1218 (Penalty for Violation of §41-1217).

§41-1219 (Evidence of the Insurance, Changes, and Penalty).

§41-1220 (Endorsement of Contract).

§41-1221 (Surplus Line Insurance Valid).

§41-1222 (Liability of Insurer as to Losses and Unearned Premiums).

§41-1223 (Licensing of Surplus Line Brokers).

§41-1224 (Suspension or Revocation of Broker’s license).

§41-1226 (Acceptance of Business from Agents).

§41-1227 (Records Required and Retention).

§41-1228 (Annual Report).

§41-1229 (Tax on Surplus Line).

§41-1230 (Failure to File Report or Remit Tax).

§41-1231 (Legal Process Against Surplus Line Insurer).

§41-1232 (Rules and Regulations).

§41-1233 (Acceptance of Business from Agents).

§41-1234 (Records of Insureds).

Chapter 10

§41-1007 (1) (Licensing Requirements)

§41-1008 (Reinstatements, Military, 30 Day Address Change Requirement)

§41-1009 (State to State Address Change and Reciprocity)

§41-1011 (Refusal of License)

§41-1012 (Exemption from Exam and 90 day rule)

§41-1013 (Renewal/Reinstatement and late CE penalty requirements)

§41-1014 (Assumed Names)

§41-1016 (Administrative Penalty/Suspension, Revocation, Refusal of License)

§41-1020 (Reciprocity)

§41-1021 (Reporting of Actions)

§41-1026 (Conditions of Suspension and Revocation)

Title 30:

§30-21-801 through §30-21-810 (Use of a DBA/Assumed Business Name)

Rules:

IDAPA Rule 18

18.06.02 Handling of Fiduciary Funds

18.06.03 Producer Fees

18.06.06 Broker Requirements

Definitions

Broker: a surplus line broker duly licensed as such under Idaho Title 41, Chapter 12, including resident surplus line brokers and nonresident surplus line brokers. A Broker is required to procure certain insurance coverage that cannot be procured from authorized insurers.

For a full list of insurance licensing terms please click here.

License Requirements

  • Idaho does not license agencies as Surplus Lines Brokers.
  • Idaho DOES NOT require a Surety Bond for the Surplus Lines License.
  • Residents and Non-Residents must also hold and continue to hold a Producer Property and Casualty License in good standing. Due to this requirement, you are not required to be fingerprinted an additional time for a Surplus Lines License.
  • Premium Tax. Each calendar year the SLA will also notify you of the accumulated monthly annual premium volume and tax totals due. This amount must be submitted to the Department on or before March 1st each year. A non-refundable late penalty of $25.00 per day for each day of delinquency after April 1 will be assessed, based on the actual postmark date. All Premium Tax filings must be E-filed.
  • All Premium Tax filings must be E-filed.
  • Idaho Diligent Search Report. A diligent search of licensed insurers must be performed before procuring insurance through a surplus lines insurer. The broker must also keep, in their office, a full and true record of each surplus line coverage procured. The broker is to document their due diligence of at least one (1) admitted carrier in Idaho before writing coverage.
  • Idaho requires all Resident and Non-Resident Surplus Lines holders also be members of the Idaho Surplus Line Association.
  • An affidavit must be filed for each Idaho Surplus Line placement within 30 days of receipt of policy.  Contact carrie@idahosurplusline.org for additional information.

Application Checklist

  • Online application via either NIPR or Sircon. Click here for a step-by-step guide to applying via NIPR
  •  Hold an active producer license in Idaho
  •  Membership to Idaho Surplus Lines Association
  • Non-Refundable Fee: $80.

For a step-by-step guide to applying online check out our guides.

If applying by paper, checks should be made payable to the Idaho Department of Insurance. Application and attachments should be mailed to:

Idaho Department of Insurance
700 W State Street, 3rd Floor
PO Box 83720
Boise ID 83720-0043

Renewal

The Department considers the renewal of the license to be the responsibility of the licensee.

Surplus Lines licenses renew every two years..

Renewal may be applied for up to six weeks prior to the expiration of the license.

Renew Online

Online license renewal can be done via SIRCON or NIPR.

The Non-Refundable fee is $60 (plus vendor processing fee) if renewing prior to expiration date.

Be sure to provide a current email address as a license copy will be emailed upon approval.   

Renew by Mail  

The Non-Refundable mail in renewal fee is $80 if renewing prior to expiration date.

Checks should be made payable to the Idaho Department of Insurance. The application and any attachments should be mailed to:

Idaho Department of Insurance
700 W State Street, 3rd Floor
PO Box 83720
Boise ID 83720-0043

Be sure to provide a current email address as a license copy will be emailed upon approval.   

Reinstatement

If the license has not been renewed before the expiration date, it will require reinstatement. Reinstatement is available up to one (1) year past the expiration of the license.

To reinstate a license, you will need:

Checks should be made payable to the Idaho Department of Insurance. The application and attachments should be mailed to:

Idaho Department of Insurance
700 W State Street, 3rd Floor
PO Box 83720
Boise ID 83720-0043

Reporting of Actions

Producers and agencies have a duty to report any criminal or administrative actions to the Idaho Department of Insurance within 30 days per §41-1021

Producers are encouraged to use the NIPR Reporting of Actions Warehouse at www.nipr.com as a convenient means to post documents and explanations in order to report to the Department and any state in which you are licensed.

FAQ

Have more questions?
Contact the Licensing Team

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