DAILY NE WS
Members to 2011
nrra: an overview &
Status Update on This
By Letha Heaton
Three years after one of the biggest economic down- turns in decades,
NAPSLO is pleased to welcome nearly 3,400 people
back to San Diego and the
2011 NAPSLO Annual
on the number of on-site
registrations, this could set a
record for NAPSLO convention registration.
This is quite a change
from 2008 when it appeared
the economy was in free fall.
While we may have put those days
behind us, it is important to learn
from the past and this year’s guest
speaker will be able to put into perspective what took place in 2008.
Best-selling author Michael
Lewis, who gained fame with Liar’s
Poker, examines the events that
led up to the 2008 crash in his
2010 book, The Big Short. Lewis
will present the Derek Hughes/
NAPSLO Educational Foundation
Lecture Series presentation on
Wednesday, October 12 at 9: 15 a.m.
He is also in the news these days
as another of his books, Moneyball,
CoMPe Ting CoMPaCTS
The positive effect of the
NRRA becoming the law of the
land is that the industry “will see
a system where there is one-state
compliance, one-state taxation,
national standards for company
eligibility, and national exempt-commercial-purchaser rules,”
says Richard Bouhan, who was
NAPSLO’s executive director until
mid-September and who is staying
on through June of next year to
assist with legislative issues, such
But the states are divided
into three different camps on the
mechanism to share premium taxes
between the insured’s home state
and other states where the risk is
One of the options is
the Surplus Lines Multistate
Compliance Compact, or
welcome continued on page 4 A
By Arthur D. Postal
While the brave new orld of uniform state regulation of the non-admitted
insurance market finally dawned
July 21, the details of its implementation are proving to be a bit devilish.
The Nonadmitted and
Reinsurance Reform Act (NRRA),
a part of the 2010 Dodd-Frank Act,
became effective July 21.
It was designed to modernize
and reform regulation of the non-admitted industry by mandating
that the insured’s home state will be
the only state with jurisdiction over
multistate, surplus-lines transactions—and the only state that can
require a tax be paid by the broker.
Passage of the bill was the culmination of an eight-year effort by
the non-admitted industry—but
there is still much work to be done
before the intended benefits of the
law are fully realized.
nrra continued on page 4 A
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