S3007

	2018 -- S 3007
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	LC005960
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	STATE OF RHODE ISLAND
	IN GENERAL ASSEMBLY
	JANUARY SESSION, A.D. 2018
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	A N A C T
	RELATING TO INSURANCE -- SURPLUS LINES INSURANCE

	Introduced By: Senator Frank A. Ciccone
	Date Introduced: June 23, 2018
	Referred To: Placed on Senate Calendar
	It is enacted by the General Assembly as follows:
1	SECTION 1. Chapter 27-3 of the General Laws entitled "Surplus Lines Insurance" is
2	hereby amended by adding thereto the following section:
3	27-3-52. Payment of surplus lines insurance - Cancellation.
4	If a surplus lines insurer allows agency bill by the surplus lines broker, the surplus lines
5	broker may bill the producing agent the net payment (gross premium minus any commissions and
6	fees). The bill is not due to surplus lines broker by the producing agent any earlier than forty-five
7	(45) days after the end of the month in which the transaction occurs. After the forty-five (45) day
8	period the policy may be cancelled with a non-payment of premium cancellation notice that will
9	include a ten (10) day notice.
10	SECTION 2. This act shall take effect upon passage.
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	LC005960
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	EXPLANATION
	BY THE LEGISLATIVE COUNCIL
	OF
	A N A C T
	RELATING TO INSURANCE -- SURPLUS LINES INSURANCE
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1	This act would allow the surplus lines producing insurance agent forty-five (45) days for
2	net payment (gross payment minus commission and fees) to the broker before the policy may be
3	cancelled for nonpayment (after ten (10) day notice).
4	This act would take effect upon passage.
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	LC005960
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	LC005960 - Page 2 of 2