Nonadmitted & Reinsurance Reform Act
About the NRRA
The Nonadmitted and Reinsurance Reform Act (NRRA) of 2010 was enacted as part of the Dodd Frank Wall Street Reform and Consumer Protection Act. The bill included language to standardize the reporting, allocation and payment of nonadmitted insurance premium tax on multistate risks.
Overview
The NRRA granted the insured’s home state exclusive authority to regulate and tax surplus lines insurance that includes multi-jurisdictional boundaries. The bill provided states the ability to enter into an agreement to collect and share premium taxes for these multistate risks. Additionally, the NRRA recognized the Exempt Commercial Purchaser and provided a nationwide standard for the automatic export of risks for these qualified insureds. Lastly, the NRRA established uniform standards for surplus lines eligibility regarding insurers both domiciled inside and outside of the United States.