Member states of the Non-Admitted Insurance Multi-State Agreement (NIMA) welcomed four new states and one U.S. Territory to NIMA on the first anniversary of the passage of the Dodd-Frank Wall Street Reform legislation. With these new members, the participating states collectively represent 21.6 percent of the surplus lines market. The new members include Nebraska, Nevada, Puerto Rico, Utah and Wyoming.

"As one of the founding members of NIMA, we welcome each new state to this prime example of interstate cooperation. The State of Mississippi is committed to the success of NIMA," stated Mississippi Insurance Commissioner Mike Chaney, "Working collaboratively we will develop a system that fairly distributes surplus lines taxes."

Insurance Commissioner Neal Gooch signed on behalf of Utah, Commissioner Brett Barratt signed the agreement for Nevada, Insurance Commissioner Ken Vines signed for Wyoming, Director of Insurance Bruce Ramge signed on behalf of Nebraska, and Insurance Commissioner Ramon Cruz Colon signed for the Commonwealth of Puerto Rico.

"Since Puerto Rico is the first territory of the United States to join NIMA, we are eager to collaborate effectively with other regulators across the U.S. in the collection and allocation of premium taxes for multi-state surplus lines insurance transactions." said Puerto Rico Commissioner Ramon Cruz Colon. "We are readily committed to having the ability to collect surplus lines premium taxes and ensuring continuity in receiving taxes based on the risk or exposure located in our jurisdiction."

"I am proud to announce Nevada's entry into NIMA," said Nevada Insurance Commissioner Brett Barratt. "By joining NIMA, Nevada will preserve at least $2 million in premium tax revenue with potential to collect even more revenue through NIMA. I want to thank Senator Copening who introduced Senate Bill 289 which made this possible, the legislature, Board of Examiners and Governor Sandoval for moving this important initiative forward."

NIMA is an agreement that provides a mechanism to report, collect, allocate and distribute surplus lines tax revenues consistent with the Non-Admitted and Reinsurance Reform Act (NRRA). The NRRA became part of the Dodd-Frank Wall Street Reform legislation passed in 2010 that allows only the home state to require premium tax payments for non-admitted insurance. Without this agreement, several states could potentially lose surplus lines tax revenues; the lack of an agreement could create distortions in the marketplace.

The participants now include Connecticut, Florida, Hawaii, Mississippi, Nebraska, Nevada, Puerto Rico, Louisiana, South Dakota, Utah and Wyoming. NIMA members predict more states will join once a clearinghouse is established and is ready to begin administering funds. The State of Florida has agreed to temporarily house the NIMA website, which will contain the signature documents from member states.