July 1, 2009

N.J. Increases Surplus Tax to 5 Percent

Effective July 1, 2009, the surplus lines tax in New Jersey has been increased to 5 percent. New Jersey recently moved to remove funds from the Surplus Lines Guarantee Fund and directed them to be used for health care-related purposes. Correspondingly, there is a proposed increase in the surplus lines tax from 3 percent to 5 percent, effective July 1, 2009, to help recapitalize the fund. The state’s budget bill contains the language that effectuates this change; the bill was voted on by the New Jersey Legislature June 25 and was signed by Gov. Jon Corzine June 29.

The Department of Banking and Insurance has indicated that it is working on a bulletin to advise producers with regard to handling the administration of policies already billed for through July.

PIWA Conference Sept. 23-24

Be sure to block Sept. 23-24 for this year's blockbuster PIWA Conference in Pearl River. The event will open on Sept. 23 with the annual golf outing, back once again at Blue Hills in response to member requests.

The evening event will feature Service to the Industry Award honoree David MacLeod, President of Guilford Specialty Group and Burlington Insurance Group. Please join us in recognizing his many contributions to our industry and our profession.

Sept. 24 will begin with a keynote breakfast address by NAPSLO President John Wood, followed by a legislative/regulatory update by ELANY Executive Director Dan Maher and PIWA Legislative Representative Bob Pastel.

The morning's education program will be a unique and high-powered panel discussion on the impact of the economy on the wholesale insurance community.

Watch your PIWA mail for further details and registration materials.