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On December 10, 2008, the PA Surplus Lines Association issued a Bulletin (Producer Affidavit Assistance bulletin) requesting surplus lines licensees to take on the role of guiding and instructing Producing Brokers on completing the Producer Affidavit (1609-PR) as required by the Surplus Lines Law. PSLA made this request on behalf of the Pennsylvania Insurance Department, as this has been an area of concern for a long time.

The Insurance Department considers it the surplus lines licensee's responsibility to make a complete filing. A complete filing must contains both the producing broker’s declaration - 1609PR and the surplus lines licensee's declaration - 1609SLL. Only a filing that includes complete and accurate 1609PR and 1609SLL forms constitutes a complete Surplus Lines filing.

The surplus lines law requires that a filing be made with the stamping office within 45 days of the effective date of the policy. Beginning September 1, 2009, the stamping office will no longer accept a filing without both the 1609PR and the 1609SLL forms. When the filing is late due to a missing or incomplete 1609PR then the surplus lines licensee will be charged a $25 late filing fee. This charge will in turn be passed on to the producing broker.

Remember - Failure to comply with the requirements of the surplus lines law may result in administrative action by the Pennsylvania Insurance Department, which could include fines and revocation of your license.

If you have questions about placing surplus lines business or what is required from the producing broker in a surplus lines transaction please visit the PSLA website. There is a section devoted exclusively to producers.