What is an Annual Report Filing?
Insurance companies must file reports summarizing surplus lines business done in a specific time frame. A common report required by most states is an Annual Report. This report is usually due at the beginning of each year.
Understanding Annual Reports for Surplus Lines
An Annual Report is submitted to the state on a yearly basis. These reports are a comprehensive summary of all the surplus lines business that an insurance company has written in the last year.
Failing to file annual reports on time or accurately could endanger your company’s good standing and ability to do business.
What are the penalties for not complying with surplus lines reporting requirements?
Penalties for surplus lines non-compliance can vary from state to state, but the most common infractions include penalties and additional fees, which will accrue interest if unpaid. If issues are not addressed, more severe penalties such as loss of business licenses and potential litigation are possible.