Bill > A586

This bill amends existing law to allow the Commissioner of Banking and Insurance to set the maximum fee a surplus lines producer can charge an originating broker for negotiating or obtaining surplus lines insurance, replacing the previous fixed limit of $50. Surplus lines insurance refers to insurance coverage that is not readily available from admitted insurers, and a surplus lines producer is a licensed individual or entity authorized to place such insurance. The bill also clarifies that this fee can be in addition to the actual costs of services provided by unaffiliated third parties, such as inspections.