What does the Dodd-Frank Wall Street Reform primarily address for non-admitted insurance?

The Dodd-Frank Wall Street Reform and Consumer Protection Act primarily addresses various issues surrounding the financial sector, including specific regulations related to non-admitted insurance, commonly known as surplus lines insurance. One key aspect of this legislation is that it establishes a framework for premium tax payments to ensure that states receive appropriate funds, even for policies placed with non-admitted insurers.

In this context, the act enables states to collect premium taxes on surplus lines insurance, which can often evade traditional regulatory frameworks. This is significant because brokers and insured parties need to understand their obligations regarding the payment of these taxes to their home states. By clarifying these requirements, the Dodd-Frank Act helps create more uniformity and compliance within the insurance market, allowing for better oversight and management of non-admitted insurance transactions.