Requirements

• Electronic filing is mandated by the Commissioner of Taxes.
• Filing will now be done online through the Vermont Department of Taxes online system, myVTax.
• If no business was written and there is no tax to pay, you do not have to file a return. Also, a copy of the return is no longer required by the Department of Financial Regulation.
• For further information, please visit the Tax Department website.  
• Questions regarding the filing requirements? Contact the Surplus Lines Tax examiner at the Department of Taxes by phone (802-828-6819) or email (Cortney.Diego@vermont.gov).

Yes.

The Department of Financial Regulation does not have any statutes or regulations with respect to stamping fees.

See bullet above (how long can a policy be extended by endorsement before it is considered a renewal).

DFR does not have a specific statutory or regulatory time frame for endorsement extensions. We would expect, given the requirements under 8 VSA 5025 related to the placement of insurance including due diligence with respect to the availability of insurance through admitted insurers, any extension would be for a limited time and only allowed as long as it did not adversely affect the insured or pose any violation under the unfair trade practices provisions of 8 V.S.A 4724.

Surplus Lines Brokers shall not knowingly place or continue surplus lines insurance with non-admitted carriers who are insolvent or unsound financially, and in no event shall any Surplus Lines Broker place any insurance with a non-admitted insurer. The Department currently does not publish a list of eligible surplus lines insurers. The NAIC maintains a quarterly list of alien insurers eligible to write surplus lines premium. For the list visit the NAIC website.

In general, insurance coverage shall not be placed with a non-admitted insurer unless the full amount of insurance required in not reasonably procurable from admitted insurers and the amount of insurance exported shall be only the excess over the amount procurable from an admitted carrier.  Note, Vermont does not require evidence of three declinations.

Each Surplus Lines Broker shall keep in his or her office a full and true record of each surplus lines insurance contract covering a domestic risk placed by or through him or her with a surplus lines insurer, including a copy of the daily report, if any, and showing such of the following items as may be applicable:
The record of each contract shall be kept open to examination by the commissioner without notice until three years next following termination of the contract.

No. Under Vermont law any individual placing surplus line business for a Vermont home state exposure must be licensed in Vermont as a surplus lines broker. It is the responsibility of the surplus lines broker placing the exposure to remit the tax due. The practice of "courtesy Filings" arose years ago when Vermont did not issue licenses to nonresident surplus lines brokers. The law was amended in 2001 to allow for the licensure of nonresident surplus lines brokers. Accordingly, any individual placing surplus lines business for a Vermont home state exposure must obtain a Vermont surplus lines broker license.

No.