TALLERES Y CHARLAS A LA COMUNIDAD DE LA VEREDA SAN ANTONIO

CAPÍTULO III. COMPETENCIAS EN MATERIA DE ORDENAMIENTO DEL TERRITORIO.

DEGRADACIÓN DEL SUELO EN LA VEREDA SAN ANTONIO.

3. TALLERES Y CHARLAS A LA COMUNIDAD DE LA VEREDA SAN ANTONIO

preempting conflicting state law.

Home State of the Insured NRRA definition

Premium Tax Beginning July 21, 2011, IA may only collect taxes on SL

premiums where IA is the home state of the insured; where IA is the home state of the insured, IA will tax premiums on a pro rata basis at 1%

Exempt Commercial Purchaser NRRA approach as of July 21, 2011

Eligible Insurer No eligibility requirements

Producer Licensing License required only for placements for IA insureds; IA law silent regarding participation in electronic licensing database

Effective Date July 21, 2011

• Defining “Home State of the Insured”

According to the NRRA, the home state is where an insured maintains its principal place of business or, if the insured is an individual, the individual’s principal residence. However, if 100% of the insured risk is located outside of the state of the principal place of business or principal residence, the home state is the state that collects the greatest percentage of the insured’s taxable premium. If more than one insured from an affiliated group are named insureds on a single

nonadmitted insurance contract, the home state is the home state of the member of the affiliated group that has the largest percentage of premium attributed to it under the insurance contract.

• Multi-State Risk Surplus Lines Premium Taxes

Iowa has not entered into a multistate agreement or compact for tax allocation purposes. As of July 21, 2011, therefore, Iowa may only collect surplus lines premium taxes where Iowa is the home state of the insured.

Under current Iowa law, if a policy covers risks or exposures only partly in the state, the tax payable shall be computed on the portions of the premium which are properly allocable to the risks or exposures located in Iowa. § 507A.9(2). According to guidance from the Insurance Department, Iowa’s premium tax rate on surplus lines policies is 1%.

• Exempt Commercial Purchasers

Under the NRRA, an exempt commercial purchaser is a purchaser that procures insurance coverage through a

qualified risk manager, paid at least $100,000 in property and casualty insurance premiums in the last year, and meets one of the following criteria:

o Had a net worth of over $20 million at the end of the preceding fiscal year;

o Has more than 500 full-time employees per individual company, or is a member of an affiliated group employing more than 1,000 employees in the aggregate;

o Is a municipality with a population of more than 50,000 people; or

o Is a nonprofit organization or public entity generating annual budgeted expenditures of at least $30 million

Under the NRRA, a surplus lines broker seeking to procure or place nonadmitted insurance in Iowa for an exempt commercial purchaser shall not be required to satisfy any state requirement to make a due diligence search to determine whether the full amount or type of insurance sought by such exempt commercial purchaser can be obtained from admitted insurers if:

o The broker discloses to the exempt commercial purchaser that such insurance may or may not be available from the admitted market that may provide greater protection with more regulatory oversight; and

o The exempt commercial purchaser has subsequently requested in writing the broker to procure or place such insurance for a nonadmitted insurer.

• Surplus Line Insurer Eligibility Criteria

Iowa does not currently have eligibility requirements for surplus lines insurers. After July 21, 2011, if Iowa chooses to enact eligibility requirements, the requirements must match those set out in the NRRA.

In addition, under the NRRA, Iowa may not prohibit a surplus lines broker from placing nonadmitted insurance with, or procuring nonadmitted insurance from, a nonadmitted insurer domiciled outside the U.S. that is listed on the Quarterly Listing of Alien Insurers maintained by the International Insurers Department of the NAIC.

• National Producer Database

Under the NRRA, Iowa may not collect any fees relating to licensing of an individual or entity as a surplus lines broker in Iowa unless the state has in effect by July 21, 2012, laws or regulations that provide for participation by the state in the national producer database of the NAIC, or any other equivalent uniform national database, for the licensure of surplus lines brokers and renewal of such licenses.

Kansas

Home State of the Insured NRRA definition + principal place of business definition

Premium Tax SLIMPACT; allows Kansas to keep 100% pending

SLIMPACT implementation, taxed at the rate of the state where the risk is located

Exempt Commercial Purchaser NRRA approach unless/until SLIMPACT rules issued Eligible Insurer NRRA approach (licensure in domiciliary jurisdiction +

greater of $15MM capital / surplus or minimum required by KS) unless/until SLIMPACT rules issued

Producer Licensing License required only for placements for KS insureds; KS law silent regarding participation in producer licensing database

Effective Date July 1, 2011

2011 KS H 2076

• Defining “Home State of the Insured”

The home state is where an insured maintains its principal place of business or, if the insured is an individual, the individual’s principal residence. K.S.A. 2010 Supp. 44-584-5(Art. II)(12). Principal place of business is the state where the insured maintains its headquarters and where the insured’s high-level officers direct, control, and coordinate the business activities of the insured. K.S.A. 2010 Supp. 44-584-5(Art. II)(23). However, if 100% of the insured risk is located outside of the state of the principal place of business or principal residence, the home state is the state that collects the greatest percentage of the insured’s taxable premium. K.S.A. 2010 Supp. 44-584-5(Art. II)(12). If more than one insured from an affiliated group are named insureds on a single nonadmitted insurance contract, the home state is the home state of the member of the affiliated group that has the largest percentage of premium attributed to it under the insurance contract. K.S.A. 2010 Supp. 44-584-5(Art. II)(12).

• Multi-State Risk Surplus Lines Premium Taxes

Kansas adopted the SLIMPACT model approach to multi-state premium tax allocation. Under SLIMPACT, each compacting state must adhere to specified tax allocation formulas and data reporting requirements. The Premium Tax Data Allocation Formula determines each contracting state’s premium allocation. Each state may then charge its own rate of taxation on that allocation. If a compacting state changes its rate of taxation, the state must give 90 days’ notice to the Compact Commission.

Until SLIMPACT is operational, on March 1 of each year, the SL producer shall pay the commissioner a sum based on the total gross premiums charged, less any return premiums. § 40-246c(a). Where the insurance covers risks,

properties or exposures inside and outside of the state, the premium tax due from the producer is: 6% on the portion of the gross premiums allocated to Kansas, PLUS an amount equal to the portion of the premiums allocated to other states or territories on the basis of the tax rates and fees applicable to other properties, risks, or exposures located or to be performed outside of this state, LESS returned premiums. §§ 40-246c(a)(1) – (3).

© 2011 The Council of Insurance Agents & Brokers and Steptoe & Johnson LLC 54 The statute is silent on the definition of exempt commercial purchasers, but the Compact Commission established under SLIMPACT has general authority to promulgate rules for compacting states to implement the express provisions of the NRRA (including exempt commercial purchaser provision).

On July 21, 2011, the NRRA exempt commercial purchaser provision will be in effect. Under the NRRA, an exempt commercial purchaser is a purchaser that procures insurance coverage through a qualified risk manager, paid at least $100,000 in property and casualty insurance premiums in the last year, and meets one of the following criteria:

o Had a net worth of over $20 million at the end of the preceding fiscal year;

o Had net revenues or sales over $50 million at the end of the preceding fiscal year;

o Has more than 500 full-time employees per individual company, or is a member of an affiliated group employing more than 1,000 employees in the aggregate;

o Is a municipality with a population of more than 50,000 people; or

o Is a nonprofit organization or public entity generating annual budgeted expenditures of at least $30 million

Under the NRRA, a surplus lines broker seeking to procure or place nonadmitted insurance in Kansas for an exempt commercial purchaser shall not be required to satisfy any state requirement to make a due diligence search to determine whether the full amount or type of insurance sought by such exempt commercial purchaser can be obtained from admitted insurers if:

o The exempt commercial purchaser has subsequently requested in writing the broker to procure or place such insurance for a nonadmitted insurer.

• Surplus Line Insurer Eligibility Criteria

Kansas currently imposes eligibility requirements on surplus lines insurers. Therefore, under the NRRA, as of July 21, 2011, the NRRA eligibility requirements will become the requirements in Kansas – unless/until the Compact Commission promulgates rules for compacting states regarding foreign insurer eligibility requirements.

Under the NRRA, Kansas may not impose eligibility requirements on, or otherwise establish eligibility criteria for, nonadmitted insurers domiciled in a U.S. jurisdiction, except:

o Kansas may require that the insurer be authorized to write the type of insurance in its domiciliary jurisdiction; and

o Kansas may require that the insurer have capital and surplus or its equivalent under the laws of its domiciliary jurisdiction which equals the greater of:

 The minimum capital and surplus requirements under the law of Kansas; or

 $15,000,000

Under the NRRA, the insurance commissioner may waive the minimum capital and surplus requirements above if the commissioner makes an affirmative finding of acceptability after considering: quality of management, capital and surplus of a parent company, company underwriting profit and investment trends, market availability, and company record and

© 2011 The Council of Insurance Agents & Brokers and Steptoe & Johnson LLC 55 reputation within the industry. The commissioner may not make a finding of acceptability if the insurer’s capital and surplus is under $4.5 million.

Under the NRRA, a state may not prohibit a surplus lines broker from placing nonadmitted insurance with, or procuring nonadmitted insurance from, a nonadmitted insurer domiciled outside the U.S. that is listed on the Quarterly Listing of Alien Insurers maintained by the International Insurers Department of the NAIC.

• National Producer Database

The statute is silent on participation in a national producer database. Under the NRRA, Kansas may not collect any fees relating to licensing of an individual or entity as a surplus lines broker in Kansas unless the state has in effect by July 21, 2012, laws or regulations that provide for participation by the state in the national producer database of the NAIC, or any other equivalent uniform national database, for the licensure of surplus lines brokers and renewal of such licenses.

Kentucky

Home State of the Insured NRRA definition + principal place of business definition

Premium Tax SLIMPACT; 100% to KY at a rate of 3% until agreement is

implemented

Exempt Commercial Purchaser KY Industrial Insured + NRRA approach unless/until SLIMPACT rule issued

Eligible Insurer NRRA approach unless/until SLIMPACT rule issued

Producer Licensing License required only for placements for KY insureds; recognizes federal requirement for electronic licensure by July 21, 2012, but silent on participation

Effective Date Date SLIMPACT effective

2011 KY H 167

• Defining “Home State of the Insured”

The home state is where an insured maintains its principal place of business or, if the insured is an individual, the individual’s principal residence. 2011 Ky. Acts ch. 48, Art. II(12)(A)(i). Principal place of business is the state where the insured maintains its headquarters and where the insured’s high-level officers direct, control and coordinate the business activities of the insured. 2011 Ky. Acts ch. 48, Art. II(23). However, if 100% of the insured risk is located outside of the state of the principal place of business or principal residence, the home state is the state that collects the greatest

percentage of the insured’s taxable premium. Id. Art. II(12)(A)(ii). If more than one insured from an affiliated group are named insureds on a single nonadmitted insurance contract, the home state is the home state of the member of the

affiliated group that has the largest percentage of premium attributed to it under the insurance contract. Id. Art. II(12)(B).

• Multi-State Risk Surplus Lines Premium Taxes

Kentucky adopted the SLIMPACT model approach to multi-state premium tax allocation. Under SLIMPACT, each compacting state must adhere to specified tax allocation formulas and data reporting requirements. Id. Art. IV(1). The Premium Tax Data Allocation Formula determines each contracting state’s premium allocation. Id. Art. IV(1). Each state may then charge its own rate of taxation on that allocation. Id. Art. IV(5). If a compacting state changes its rate of taxation, the state must give 90 days’ notice to the Compact Commission (the multi-state governing body for the SLIMPACT system). Id. Art. IV(6).

According to guidance issued by the Kentucky Department of Insurance on June 3, 2011, until SLIMPACT is operational, Kentucky will tax 100% of multi-state premiums at a rate of 3% when Kentucky is the home state of the insured. When SLIMPACT is operational, Kentucky will tax according to the agreement’s allocation schedule.

• Exempt Commercial Purchasers

Kentucky currently has an industrial insured exemption. That exemption will remain in effect. As of July 21, 2011, the NRRA commercial purchaser exemption will also be effective.

© 2011 The Council of Insurance Agents & Brokers and Steptoe & Johnson LLC 57 The statute is silent on the definition of exempt commercial purchasers, but the Compact Commission established under SLIMPACT has general authority to promulgate rules for compacting states to implement the express provisions of the NRRA. 2011 Ky. Acts ch. 48,Art. III(2).

On July 21, 2011, the NRRA exempt commercial purchaser provision will be in effect. According to the NRRA, an exempt commercial purchaser is a purchaser that procures insurance coverage through a qualified risk manager, paid at least $100,000 in property and casualty insurance premiums in the last year, and meets one of the following criteria:

o Had a net worth of over $20 million at the end of the preceding fiscal year;

o Had net revenues or sales over $50 million at the end of the preceding fiscal year;

o Has more than 500 full-time employees per individual company, or is a member of an affiliated group employing more than 1,000 employees in the aggregate;

o Is a municipality with a population of more than 50,000 people; or

o Is a nonprofit organization or public entity generating annual budgeted expenditures of at least $30 million

Under the NRRA, a surplus lines broker seeking to procure or place nonadmitted insurance in Kentucky for an exempt commercial purchaser shall not be required to satisfy any state requirement to make a due diligence search to determine whether the full amount or type of insurance sought by such exempt commercial purchaser can be obtained from admitted insurers if:

o The exempt commercial purchaser has subsequently requested in writing the broker to procure or place such insurance for a nonadmitted insurer.

• Surplus Line Insurer Eligibility Criteria

Kentucky does not currently have eligibility requirements for surplus lines insurers. After July 21, 2011, if Kentucky chooses to enact eligibility requirements, the requirements must match those set out in the NRRA or match “nationwide uniform” standards adopted by all of the states. The Compact Commission is charged with promulgating uniform rules for compacting states regarding foreign insurer eligibility requirements as authorized by the NRRA. Id. Art. III(3).

Under the NRRA, Kentucky may not impose eligibility requirements on, or otherwise establish eligibility criteria for, nonadmitted insurers domiciled in a U.S. jurisdiction, except:

o Kentucky may require that the insurer be authorized to write the type of insurance in its domiciliary jurisdiction; and

o Kentucky may require that the insurer have capital and surplus or its equivalent under the laws of its domiciliary jurisdiction which equals the greater of:

 The minimum capital and surplus requirements under the law of Kentucky; or

 $15,000,000

The insurance commissioner may waive the minimum capital and surplus requirements above if the commissioner makes an affirmative finding of acceptability after considering: quality of management, capital and surplus of a parent

© 2011 The Council of Insurance Agents & Brokers and Steptoe & Johnson LLC 58 company, company underwriting profit and investment trends, market availability, and company record and reputation within the industry. The commissioner may not make a finding of acceptability if the insurer’s capital and surplus is under $4.5 million.

• National Producer Database

The statute is silent on participation in a national producer licensing database. However, the statute’s preamble recognizes that within two years of enactment of the NRRA, all states must participate in the NAIC producer database, or any other equivalent uniform national database, for the licensure of surplus lines licensees and the renewal of such licenses if a state wants to continue collecting fees related to surplus lines licenses.

In document Determinar las causas que originan la degradación del suelo en la vereda San Antonio, municipio de Pamplonita, departamento Norte de Santander. (página 60-66)