Who is responsible for filing surplus lines tax in Colorado?

In Colorado, the responsibility for filing surplus lines tax lies with the surplus lines broker. This is a critical aspect of surplus lines insurance, as these brokers are specifically licensed to place insurance coverage with non-admitted insurers, which means they work with insurers not licensed in the state to provide necessary coverage options for risks that cannot be placed with licensed carriers.

Surplus lines brokers ensure that all regulatory requirements are met, including the filing of taxes associated with the premiums collected for these policies. They must also keep accurate records and report to the state on the various transactions they handle. This responsibility is firmly placed on the broker to ensure compliance and proper reporting in line with state regulations, helping to uphold the regulatory framework facilitating surplus lines insurance within Colorado.