No. 37171 (5-year Review): Rule R590-157. Surplus Lines Insurance Premium Tax and Stamping Fee

DAR File No.: 37171
Filed: 01/07/2013 11:25:28 AM

NOTICE OF REVIEW AND STATEMENT OF CONTINUATION

Concise explanation of the particular statutory provisions under which the rule is enacted and how these provisions authorize or require the rule:

Subsection 31A-3-303(2) requires the commissioner to prescribe by rule accounting and reporting forms and procedures to be used in calculating and paying the surplus lines premium tax. Subsection 31A-15-103(11)(d) requires the commissioner to specify by rule the stamping fee amount and how it is to be collected. Section R590-157-4 of the rule sets the stamping fee amount and authorizes the Surplus Lines Association to collect the fee and Section R590-157-6 sets accounting procedures for this process.

Summary of written comments received during and since the last five-year review of the rule from interested persons supporting or opposing the rule:

The department has not received written comment regarding this rule in the past five years.

Reasoned justification for continuation of the rule, including reasons why the agency disagrees with comments in opposition to the rule, if any:

This rule provides procedures and reporting forms to be used by insurers, brokers, and policyholders in calculating the tax due. As a result of the regulation, all who charge the tax, use the same calculation to determine the amount of the fee. It makes the payment uniform and fair. Therefore, this rule should be continued.

The full text of this rule may be inspected, during regular business hours, at the Division of Administrative Rules, or at:

Insurance
Administration
Room 3110 STATE OFFICE BLDG
450 N MAIN ST
SALT LAKE CITY, UT 84114-1201

Direct questions regarding this rule to:

• Jilene Whitby at the above address, by phone at 801-538-3803, by FAX at 801-538-3829, or by Internet E-mail at [e-mail]

Authorized by:

Neal Gooch, Commissioner

Effective:

01/07/2013

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