What does the Surplus Lines Law allow producers to do?

The Surplus Lines Law allows producers to procure insurance from eligible surplus lines insurers, which is crucial for addressing unique or difficult risks that cannot be adequately covered by admitted insurers. This law recognizes that certain situations or types of coverage are not typically offered in the standard insurance market, and as such, provides producers the authority to seek alternatives through surplus lines carriers.

Surplus lines insurers are non-admitted carriers that can provide coverage for specialized or unusual risks, enabling producers to fill gaps in coverage that admitted insurers are unable to address due to their more stringent underwriting standards. This mechanism ensures that businesses and individuals with unique exposure still have access to insurance, thus serving an important role in the overall insurance marketplace.