October 15, 2003 E-News

FEDERAL COURT OVERTURNS FLORIDA'S COUNTERSIGNATURE LAW
A U.S. district court has ruled that Florida's countersignature law and a statute prohibiting non-resident agents and brokers from being licensed as surplus lines brokers are unconstitutional. The court ruled that both requirements discriminate against non-resident agents and brokers and violate the Privileges and Immunities Clause and the Equal Protection Clause of the U.S. Constitution. Under the decision, both statutes are invalid. For a copy of the decision, see the Florida Surplus Lines Service Office website:
http://www.fslso.com/docspubs/press/press20031007a.asp

STATE RATE & FORM SURVEY
In order to assist our membership, NAPSLO is surveying state surplus lines associations to determine what, if any, laws or regulations or other requirements exist in their states that would impact or circumscribe the ability of a surplus lines policy to be issued free of any rate or form control or regulation. If you know of any such laws that exist in your state, please notify NAPSLO at info@napslo.org. The results of the survey will be posted on NAPSLO's website.

TREASURY ISSUES GUIDANCE ON INSURANCE PREMIUM EXCISE TAX
The Treasury Department and the IRS issued guidance on October 10 regarding the federal excise tax on insurance and reinsurance premiums paid to foreign insurance companies with respect to the insurance of U.S. risks. 
Several U.S. income tax treaties include provisions under which the insurance excise tax is waived in certain circumstances. For example, the new United States United Kingdom income tax treaty, which entered into force earlier this year, includes such a provision. The Treasury Department's announcement: http://www.treas.gov/press/releases/js896.htm

TREASURY DEPARTMENT ANNOUNCES TWO FINAL REGULATIONS IMPLEMENTING TRIA
The Treasury Department announced two final regulations under the Terrorism Risk Insurance Act of 2002. One final regulation addresses the disclosure and "make available" requirements under the Act and the other final regulation addresses the participation of state residual market insurance entities and state workers' compensation funds under the Terrorism Risk Insurance Act. The Treasury Department's announcement: http://www.treas.gov/press/releases/js897.htm 
For information on TRIA, see:
http://www.napslo.org/content/Legislation_Regulation/TRIA/TRIAnews.htm

UPCOMING NAPSLO EVENTS
Negotiations Skills Seminar - Oct. 29-30 - Deerfield, Illinois (sold-out) 
2003 Advanced School - Nov. 1-4 Grapevine, Texas (sold-out) 
2003 Committee Day Nov. 17-18 - Dallas, Texas 
2004 Mid-Year Workshop - Feb. 5-8 - Scottsdale, Arizona 
2004 Annual Convention - Sept. 19-23 - Orlando, Florida

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