Nonadmitted Insurance

Wyo. Stat. Ann. tit. 26, ch. 11
in effect

Wyo. Stat. Ann. § 26-11-102 Home state regulation of nonadmitted insurance; exemptions.

(a) This chapter does not apply to reinsurance or to the following insurances when placed by licensed insurance producers or surplus lines brokers of this state or when procured directly by an insured from a nonadmitted insurer: (i) Wet marine and transportation insurance; (ii) Repealed by Laws 2020, ch. 45, § 2. (iii) Insurance on operations of railroads engaged in transportation in interstate commerce and their property used in those operations; (iv) Insurance on aircraft owned or operated by manufacturers of aircraft, or on aircraft operated in commercial interstate flight, or cargo of that aircraft, or against liability, other than worker's compensation and employer's liability, arising out of the ownership, maintenance or use of that aircraft. (b) The placement of nonadmitted insurance shall be subject to the statutory and regulatory requirements solely of the insured's home state. (c) This section shall not be construed to preempt any state law, rule or regulation that restricts the placement of workers' compensation insurance or excess insurance for self-funded workers' compensation plans with a nonadmitted insurer.

Wyo. Stat. Ann. § 26-11-103 Definitions.

(a) As used in this chapter: (i) "Admitted insurer" means an insurer authorized to transact the business of insurance in this state; (ii) Repealed by Laws 2020, ch. 45, § 2. (iii) "Export" means to place surplus lines insurance with a nonadmitted insurer; (iv) "Home state" means as follows: (A) Except as provided in subparagraphs (B) and (C) of this paragraph, "home state" means, with respect to an insured: (I) The state in which an insured maintains its principal place of business or, in the case of an individual, the individual's principal residence; or (II) If one hundred percent (100%) of the insured risk is located out of the state referred to in subdivision (I) of this subparagraph, the state to which the greatest percentage of the insured's taxable premium for that insurance contract is allocated. (B) If more than one (1) insured from an affiliated group are named insureds on a single nonadmitted insurance contract, the term "home state" means the home state, as determined pursuant to subparagraph (A) of this paragraph, of the member of the affiliated group that has the largest percentage of premium attributed to it under the insurance contract; (C) When a group policyholder pays one hundred percent (100%) of the premium from its own funds, the term "home state" means the home state, as determined pursuant to subparagraph (A) of this paragraph, of the group policyholder. When a group policyholder does not pay one hundred percent (100%) of the premium from its own funds, the term "home state" means the home state, as determined pursuant to subparagraph (A) of this paragraph, of the group member. (v) "Nonadmitted insurance" means any property and casualty, accident and health or sickness or disability insurance permitted to be placed directly or through a surplus lines broker with a nonadmitted insurer eligible to accept the insurance; (vi) "Reciprocal state" means a state that has: (A) Entered into a nonadmitted insurance compact; or (B) Otherwise adopted the allocation schedule and reporting forms prescribed by a multistate agreement for nonadmitted insurance. (vii) "Recognized financial institution" means an institution that is organized or licensed under the laws of the United States or any state and is insured by the federal deposit insurance corporation; (viii) "Affiliate" means with respect to an insured, any entity that controls, is controlled by or is under common control with the insured; (ix) "Affiliated group" means any group of entities that are all affiliated; (x) "Business entity" means a corporation, association, partnership, limited liability company, limited liability partnership or any other legal entity; (xi) "Control" means an entity has "control" over another entity if: (A) The entity directly or indirectly or acting through one (1) or more other persons owns, controls or has the power to vote twenty-five percent (25%) or more of any class of voting securities of the entity; or (B) The entity controls in any manner the election of a majority of directors or trustees of the other entity. (xii) "Independently procured insurance" means insurance procured directly by an insured from an eligible nonadmitted insurer; (xiii) "Kind of insurance" means one (1) of the types of insurance required to be reported in the annual statement which is filed with the commissioner by admitted insurers; (xiv) "Nonadmitted insurer" means with respect to a state, an insurer not authorized to transact the business of insurance in the state, but does not include a health maintenance organization or a risk retention group as that term is defined in section 2(a)(4) of the Liability Risk Retention Act of 1986, 15 U.S.C. 3901(a)(4); (xv) "Premium tax" means with respect to surplus lines or independently procured insurance coverage, any tax, fee, assessment or other charge imposed by a government entity directly or indirectly based on any payment made as consideration for an insurance contract for such insurance, including premium deposits, assessments, registration fees and any other compensation given in consideration for a contract of insurance; (xvi) "Principal place of business" means with respect to determining the home state of the insured: (A) The state where the insured maintains its headquarters and where the insured's high-level officers direct, control and coordinate the business' activities; (B) If the insured's high-level officers direct, control and coordinate the business' activities in more than one (1) state, the state in which the greatest percentage of the insured's taxable premium for that insurance contract is allocated; or (C) If the insured maintains its headquarters or the insured's high-level officers direct, control and coordinate the business activities outside of any state, the state to which the greatest percentage of the insured's taxable premium for that insurance contract is allocated. (xvii) "Principal place of residence" means with respect to determining the home state of the insured: (A) The state where the insured resides for the greatest number of days during a calendar year; or (B) If the insured's principal residence is located outside any state, the state to which the greatest percentage of the insured's taxable premium for that insurance contract is allocated. (xviii) "Qualified risk manager" means with respect to a policyholder of commercial insurance, a person who meets all of the requirements set forth by department rule and regulation, which requirements shall be in compliance with the Nonadmitted and Reinsurance Reform Act of 2010 or subsequent similar federal enactment; (xix) "Surplus lines broker" means an individual or business entity which is licensed in a state to sell, solicit or negotiate insurance with nonadmitted insurers; (xx) "Type of insurance" means coverage afforded under the particular policy that is being placed; (xxi) "Wet marine and transportation insurance" means: (A) Insurance upon vessels, crafts, hulls and other interests in them or with relation to them; (B) Insurance of marine builder's risks, marine war risks and contracts of marine protection and indemnity insurance; (C) Insurance of freight and disbursements pertaining to a subject of insurance within the scope of this subsection; and (D) Insurance of personal property and interests therein, in the course of exportation from or importation into any country, or in the course of transportation coastwise or on inland waters, including transportation by land, water or air from point of origin to final destination, in connection with any and all risks or perils of navigation, transit or transportation, and while being prepared for and while awaiting shipment, and during any incidental delays, transshipment or reshipment, provided, however, that insurance of personal property and interests therein shall not be considered wet marine and transportation insurance if the property has: (I) Been transported solely by land; (II) Reached its final destination as specified in the bill of lading or other shipping document; or (III) The insured no longer has an insurable interest in the property.

Wyo. Stat. Ann. § 26-11-104 Conditions for export.

(a) If certain insurance coverages cannot be procured from admitted insurers, those coverages, designated in this chapter as "surplus lines", may be procured from nonadmitted insurers, subject to the following conditions: (i) The insurance shall be procured through a licensed surplus lines broker; (ii) The full amount of insurance required is not procurable, after diligent effort has been made by the insurance producer to do so, from among the admitted insurers authorized to transact and actually writing that kind and type of insurance in this state, and the amount of insurance exported shall be only the excess over the amount procurable from admitted insurers. The surplus lines broker shall verify that a properly conducted diligent effort search was performed and documented as prescribed by the commissioner; (iii) The insurance shall not be exported for the purpose of securing advantages either as to: (A) A lower premium rate than would be accepted by an admitted insurer; or (B) Terms of the insurance contract. (iv) The insurer is an eligible nonadmitted insurer; (v) The insurer is authorized to write the kind of insurance in its domiciliary jurisdiction; (vi) All other requirements of this chapter are met. (b) A surplus lines broker is not required to make a diligent effort search to determine whether the full amount or type of insurance can be obtained from admitted insurers when the broker is seeking to procure or place nonadmitted insurance for an exempt commercial purchaser provided: (i) The broker procuring or placing the surplus lines insurance has disclosed 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 (ii) The exempt commercial purchaser has subsequently requested in writing for the broker to procure or place such insurance from a nonadmitted insurer. (c) For purposes of this section, the term "exempt commercial purchaser" means any person purchasing commercial insurance that, at the time of placement, meets the following requirements: (i) The person employs or retains a qualified risk manager to negotiate insurance coverage; (ii) The person has paid aggregate nationwide commercial property and casualty insurance premiums in excess of one hundred thousand dollars ($100,000.00) in the immediately preceding twelve (12) months; (iii) The person meets at least one (1) of the following criteria: (A) The person possesses a net worth in excess of twenty million dollars ($20,000,000.00) as adjusted pursuant to paragraph (iv) of this subsection; (B) The person generates annual revenues in excess of fifty million dollars ($50,000,000.00) as adjusted pursuant to paragraph (iv) of this subsection; (C) The person employs more than five hundred (500) full-time or full-time equivalent employees per individual insured or is a member of an affiliated group employing more than one thousand (1,000) employees in the aggregate; (D) The person is a not-for-profit organization or public entity generating annual budgeted expenditures of at least thirty million dollars ($30,000,000.00) as adjusted pursuant to paragraph (iv) of this subsection; (E) The person is a municipality with a population in excess of fifty thousand (50,000) individuals. (iv) Effective on January 1, 2015 and every five (5) years thereafter, the amounts in subparagraphs (A), (B) and (D) of paragraph (iii) of this subsection shall be adjusted to reflect the percentage change for such five (5) year period in the consumer price index for all urban consumers published by the bureau of labor statistics of the United States department of labor.

Wyo. Stat. Ann. § 26-11-105 Surplus lines transaction report.

(a) Within forty-five (45) days after placing any surplus line insurance for an insured whose home state is this state, each surplus lines broker shall execute and file a report regarding the insurance coverage which shall be kept confidential by the commissioner, including the following: (i) The name and address of the insured; (ii) The identity of the insurer or insurers; (iii) A description of the subject and location of the risk; (iv) The amount of premium charged for the insurance; (v) Tax allocation information detailing the portion of the premium attributable to properties, risks or exposures located in each state; and (vi) Any other information as may be required by the commissioner. (b) The report shall be in the form and manner prescribed by the commissioner.

Wyo. Stat. Ann. § 26-11-106 Open lines for export.

(a) The commissioner, by order, may declare eligible for export generally and without compliance with W.S. 26-11-104(a)(ii) and (iii), any type of insurance coverage or risk for which he finds, after notice and a hearing, that there is not a reasonable or adequate market among admitted insurers either as to acceptance of the risk, contract terms, premium or premium rate. The order shall continue in effect during the existence of the conditions upon which predicated, but subject to the commissioner's earlier termination. (b) Repealed by Laws 2020, ch. 45, § 2. (c) Repealed by Laws 2020, ch. 45, § 2.

Wyo. Stat. Ann. § 26-11-107 Requirements for eligible nonadmitted insurers; publication of eligible insurers.

(a) Repealed By Laws 2012, Ch. 37, § 3. (b) Repealed By Laws 2012, Ch. 37, § 3. (c) The commissioner may issue an order of ineligibility if he finds or has reason to believe that the insurer: (i) Does not meet the requirements of this section; (ii) Has without just cause refused to pay claims arising under its contracts in the United States; or (iii) Has otherwise conducted its affairs in such manner as to result in or threaten injury or loss to the insuring public of the United States. (d) The commissioner may create and maintain a list of all nonadmitted insurers that qualify as eligible nonadmitted insurers in Wyoming. To qualify for inclusion on the list, the nonadmitted insurer shall annually file an application with the commissioner and any other appropriate information as required by the commissioner. This subsection does not obligate the commissioner to determine the actual financial condition or claims practices of any nonadmitted insurer. The status of eligibility, if granted by the commissioner, indicates only that the insurer appears to be sound financially and to have satisfactory claims practices, and that the commissioner has no credible evidence to the contrary. While any such list is in effect the surplus lines broker shall restrict to the insurers listed all surplus line business he places. (e) A surplus lines broker shall not place coverage with a nonadmitted insurer unless, at the time of placement, the surplus lines broker has determined that the nonadmitted insurer is eligible under this section. (f) A nonadmitted insurer eligible to place surplus lines insurance or independently procured insurance shall: (i) Be authorized to write the kind of insurance in its domiciliary jurisdiction; (ii) Have established satisfactory evidence of good repute and financial integrity; and (iii) Be qualified under one (1) of the following subparagraphs: (A) Have capital and surplus or its equivalent under the laws of its domiciliary jurisdiction which equals the greater of: (I) The minimum capital and surplus requirements under the law of this state; or (II) Fifteen million dollars ($15,000,000.00). (B) The requirements of subparagraph (A) of this paragraph may be satisfied by an insurer's possessing less than the minimum capital and surplus upon an affirmative finding of acceptability by the commissioner. The finding shall be based upon such factors as quality of management, capital and surplus of any parent company, company underwriting profit and investment income trends, market availability and company record and reputation within the industry. In no event shall the commissioner make an affirmative finding of acceptability when the nonadmitted insurer's capital and surplus is less than four million five hundred thousand dollars ($4,500,000.00); (iv) For an insurer not domiciled in the United States or its territories, the insurer is listed on the quarterly listing of alien insurers maintained by the NAIC international insurers department. (g) The commissioner is authorized to enter into a cooperative agreement or interstate agreement or compact to establish additional and alternative nationwide uniform eligibility requirements that shall be applicable to nonadmitted insurers domiciled in another state or territory of the United States. (h) Insurance policy rate and form filings applicable to admitted insurers do not apply to nonadmitted insurers issuing policies under the provisions of this chapter.

Wyo. Stat. Ann. § 26-11-108 Evidence of surplus lines insurance.

(a) Upon placing surplus lines insurance coverage, the surplus lines broker shall promptly issue and deliver to the insured or the producer the policy, or if the policy is not then available, a certificate as described in subsection (f) of this section, cover note, binder or other evidence of the insurance. The certificate described in subsection (f) of this section, cover note, binder or other evidence of insurance shall be executed by the broker and shall show the description and location of the subject of the insurance, coverages including any material limitations other than those in standard forms, a general description of the coverages of the insurance, the premium and rate charged, taxes to be collected from the insured, the name and address of the insured and surplus lines insurer or insurers and the proportion of the entire risk assumed by each and the name and license number of the surplus lines broker. (b) No broker shall issue or deliver any evidence of insurance or purport to insure or represent that insurance will be or has been written by any nonadmitted insurer, unless the broker has: (i) The insurer's prior written authority for the insurance; (ii) Received information from the insurer in the regular course of business that the insurance has been granted; or (iii) Received an insurance policy specifying the insurer has actually issued the insurance and delivered it to the insured. (c) If after the issuance and delivery of any evidence of insurance there is any change as to the insurer's identity, or the proportion of the risk assumed by any insurer or any other material change in coverage as stated in the surplus lines broker's original evidence of insurance or in any other material as to the insurance coverage so evidenced, the surplus lines broker shall promptly issue and deliver to the insured or the original producer an appropriate substitute for, or endorsement of the original document, accurately showing the current status of the coverage and the insurers responsible for the coverage. (d) Repealed By Laws 2012, Ch. 37, § 3. (e) Any surplus lines broker who knowingly or negligently issues a false certificate or other evidence of insurance, or who fails promptly to notify the insured of any material change with respect to the insurance by delivery to the insured of a substitute certificate, cover note, binder or other evidence of insurance as provided in subsection (c) of this section, upon conviction, is subject to the penalty provided by W.S. 26-1-107 or to any greater applicable penalty otherwise provided by law. (f) As soon as reasonably possible after the placement of the insurance, the surplus lines broker shall deliver a copy of the policy or, if not available, a certificate of insurance to the insured or producer to replace any evidence of insurance previously issued. Each certificate or policy of insurance shall contain or have attached a complete record of all policy insuring agreements, conditions, exclusions, clauses, endorsements or any other material facts that would regularly be included in the policy.

Wyo. Stat. Ann. § 26-11-109 Required information on surplus lines contracts; duty to notify insured.

(a) Every new or renewed insurance contract, certificate, cover note or other confirmation of insurance that is procured and delivered as a surplus lines coverage pursuant to this chapter shall have stamped or printed upon it, in at least ten (10) point bold type font, the name and address of the surplus lines broker who procured the coverage, and the following disclosure: "This insurance contract is issued pursuant to the Wyoming Nonadmitted Insurance Laws by an insurer neither licensed by nor under the jurisdiction of the Wyoming Insurance Department. In the event of insolvency of the surplus lines insurer, losses will not be paid by the Wyoming Insurance Guaranty Association or the Wyoming Life and Health Insurance Guaranty Association." (b) The insurance producer shall give written notice to every person applying for insurance with a nonadmitted insurer prior to placement. The notice shall provide the disclosure required by subsection (a) of this section and any additional information required by the commissioner. The applicant shall sign and date a copy of the notice acknowledging receipt. The notice shall be in a form acceptable to the commissioner, a signed copy of which shall be maintained by the surplus lines broker with the records of the contract and available for examination by the commissioner. (i) Repealed by Laws 2020, ch. 45, § 2. (ii) Repealed by Laws 2020, ch. 45, § 2. (c) Nothing herein contained shall nullify any agreement by any insurer to provide insurance.

Wyo. Stat. Ann. § 26-11-110 Enforceability and validity of nonadmitted insurance.

Insurance contracts procured from nonadmitted insurers in accordance with this chapter are fully valid and enforceable as to all parties and shall be given recognition in all matters and respects to the same effect as like contracts issued by admitted insurers.

Wyo. Stat. Ann. § 26-11-111 Liability of insurer as to losses and unearned premiums; applicability of section to insurers.

(a) As to a surplus line risk which is assumed by a nonadmitted insurer pursuant to this chapter, and if the premium thereon is received by the surplus line broker who placed the insurance, in all questions thereafter arising under the coverage as between the insurer and the insured the insurer is deemed to have received the premium due to it for that coverage. The insurer is liable to the insured for losses covered by the insurance and for unearned premiums which are payable to the insured upon cancellation of the insurance, whether or not the broker is indebted to the insurer with respect to the insurance or for any other cause. (b) Each nonadmitted insurer assuming a surplus line risk under this chapter subjects itself to the terms of this section.

Wyo. Stat. Ann. § 26-11-112 Surplus lines broker's license; authority for issuance; application; fee; applicable law.

(a) Repealed By Laws 2012, Ch. 37, § 3. (b) Repealed By Laws 2012, Ch. 37, § 3. (c) Repealed By Laws 2012, Ch. 37, § 3. (d) Repealed By Laws 2012, Ch. 37, § 3. (e) For insureds whose home state is Wyoming, a person shall not procure a contract of surplus lines insurance for the insured with a nonadmitted insurer unless the person possesses a current surplus lines insurance license issued by the commissioner. (f) The commissioner may issue a resident surplus lines broker license to a qualified holder of a current property and casualty producer license if: (i) The person has paid the fees set forth in W.S. 26-4-101(a); (ii) The person has submitted or transmitted to the commissioner a completed uniform application; (iii) The individual has taken and passed a written examination in a form prescribed by the commissioner; and (iv) The person has established and continues to maintain an office in this state. (g) A nonresident person shall receive a nonresident surplus lines broker license pursuant to the requirements of W.S. 26-9-208. (h) A business entity acting as a surplus lines broker is required to obtain a surplus lines broker license. In addition to the requirements for licensure set forth in subsections (f) and (g) of this section; before approving the application the commissioner shall find that the business entity has designated a licensed surplus lines broker responsible for the business entity's compliance with the insurance laws, rules and regulations of this state. (j) The commissioner may require any documents reasonably necessary to verify the information contained in an application. (k) The commissioner shall waive any requirements for a nonresident surplus lines license applicant with a valid license from his home state, except the requirements imposed by this section, if the applicant's home state awards nonresident surplus lines licenses to residents of this state on the same basis. (m) Repealed by Laws 2019, ch. 19, § 2. (n) The license and licensee are subject to chapter 9 of this title as provided in W.S. 26-9-201.

Wyo. Stat. Ann. § 26-11-113 Surplus lines broker's license; suspension or revocation; grounds; procedure.

(a) The commissioner may, after appropriate notice and opportunity for hearing pursuant to the Wyoming Administrative Procedure Act and in accordance with W.S. 26-2-125 through 26-2-129, place on probation, suspend, revoke or refuse to issue or renew any surplus lines broker's license or other license issued under this title, or may levy a civil penalty in accordance with W.S. 26-1-107 or any combination of actions for any one (1) or more of the following causes: (i) Repealed By Laws 2012, Ch. 37, § 3. (ii) Repealed By Laws 2012, Ch. 37, § 3. (iii) Removal of the resident surplus lines broker's office from this state; (iv) Removal of the resident surplus lines broker's office accounts and records from this state during the period during which the accounts and records are required to be maintained under W.S. 26-11-116; (v) Failure to make and file required reports when due; (vi) Failure to remit the tax on surplus lines premiums as provided in this chapter; (vii) Failure to maintain a bond as required by W.S. 26-11-114; (viii) Violation of any provision of this chapter; or (ix) For any cause for which an insurance license could be denied, revoked, suspended or renewal refused under chapter 9 of this title. (b) The procedures provided by chapter 9 of this code for suspension or revocation of licenses apply to suspension or revocation of a surplus line broker's license. (c) Upon suspending or revoking the broker's surplus line license, the commissioner shall also suspend or revoke all other licenses of or as to the same individual under this code. (d) No broker whose license is suspended or revoked shall again be licensed until any fines or delinquent taxes he owes are paid, or, in case of revocation, until after expiration of one (1) year from the date revocation is final.

Wyo. Stat. Ann. § 26-11-114 Surplus line broker's bond.

Prior to issuance of a license as a surplus line broker, the applicant shall file with the commissioner and thereafter for as long as the license remains in effect shall keep in force a bond in favor of the state of Wyoming in the penal sum of ten thousand dollars ($10,000.00), with an authorized corporate surety the commissioner approves, conditioned that he will conduct business under the license in accordance with this chapter and that he will promptly remit the taxes provided by W.S. 26-11-118. The aggregate liability of the surety for any claims on the bond shall not exceed the penal sum of the bond. The bond shall not be terminated unless not less than thirty (30) days prior written notice thereof is given to the licensee and filed with the commissioner.

Wyo. Stat. Ann. § 26-11-115 Surplus lines broker may accept and place business from producers.

A licensed surplus lines broker may accept and place surplus line business for any insurance producer licensed in this state for the kind of insurance involved and may compensate the producer therefor.

Wyo. Stat. Ann. § 26-11-116 Records of broker; contents; examination.

(a) Each surplus lines broker shall keep in his office a full and true record of each surplus lines insurance contract placed by or through the broker for which this state is the home state of the insured, including a copy of the policy, certificate, cover note or other evidence of insurance showing each of the following applicable items: (i) Amount of the insurance, risks and perils insured; (ii) Gross premium charged; (iii) Return premium paid, if any; (iv) Rate of premium charged upon the several items of property; (v) Effective date of contract and the terms thereof; (vi) Name and address of each insurer on the direct risk and the proportion of the entire risk assumed by each insurer if less than the entire risk; (vii) Name and address of the insured; (viii) Brief general description of the property or risk insured and where located or to be performed; (ix) Repealed By Laws 2012, Ch. 37, § 3. (x) Amount of tax and other sums to be collected from the insured; (xi) Allocation of taxes by state as referred to in W.S. 26-11-118; (xii) Identity of the producer, any confirming correspondence from the insurer or its representative, and the application; and (xiii) Any other information the commissioner requires. (b) The record of each contract shall be kept open at all reasonable times to examination by the commissioner without notice for a period of not less than five (5) years following termination of the contract. In lieu of maintaining offices in this state, each nonresident surplus lines broker shall make available to the commissioner any and all records that the commissioner deems necessary for examination.

Wyo. Stat. Ann. § 26-11-117 Surplus lines broker affidavit report.

(a) Each surplus lines broker, on or before February 15, May 15, August 15 and November 15 of each year, if applicable, shall file with the commissioner an affidavit report verifying that all surplus lines insurance transacted during the preceding calendar quarter has been submitted as required by the commissioner. (b) The affidavit report of the surplus lines broker shall be in the form and manner the commissioner prescribes. The report shall include a statement as to the diligent efforts made to place the coverage with admitted insurers, the results thereof and any additional information required by the commissioner. (i) Repealed By Laws 2011, ch. 129, § 207. (ii) Repealed By Laws 2020, ch. 45, § 2. (iii) Repealed By Laws 2020, ch. 45, § 2. (iv) Repealed By Laws 2020, ch. 45, § 2. (v) Repealed By Laws 2020, ch. 45, § 2. (vi) Repealed By Laws 2020, ch. 45, § 2. (vii) Repealed By Laws 2020, ch. 45, § 2. (c) An alternative reporting and tax payment period may be required by participation in a multistate compact, reciprocal agreement or clearinghouse pursuant to W.S. 26-11-123. (d) Repealed by Laws 2020, ch. 45, § 2.

Wyo. Stat. Ann. § 26-11-118 Tax on surplus lines.

(a) Repealed By Laws 2011, Ch. 103, § 3. (b) Repealed By Laws 2011, Ch. 103, § 3. (c) In addition to the full amount of gross premiums charged by the insurer for the insurance, every surplus lines broker shall collect and pay to the commissioner a sum equal to three percent (3%) of the gross premiums charged, less any return premiums, for surplus lines insurance provided by the surplus lines broker. Where the insurance covers properties, risks or exposures located or to be performed both in and out of Wyoming, the sum payable shall be computed based on: (i) An amount equal to three percent (3%) on that portion of the gross premiums allocated to this state; plus (ii) 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 Wyoming; less (iii) The amount of gross premiums allocated to this state and returned to the insured. (d) The tax on any portion of the premium unearned at termination of insurance having been credited by the state to the surplus lines broker shall be returned to the policyholder directly by the surplus lines broker. The surplus lines broker is prohibited from rebating, for any reason, any part of the tax. (e) At the time of filing an affidavit report required by W.S. 26-11-117, each surplus lines broker shall pay the premium tax due for each calendar quarter's business as reported, in the manner prescribed by the commissioner. An alternative reporting and payment period may be required by participation in a multistate compact, reciprocal agreement or clearinghouse pursuant to subsection (g) of this section. The surplus lines broker shall pay interest on the amount of any delinquent tax due, at the rate of nine percent (9%) per year, compounded annually, beginning the day the amount becomes delinquent. (f) If a surplus lines policy procured through a surplus lines broker covers properties, risks or exposures only partially located or to be performed in Wyoming, the tax due shall be computed on the portions of the premiums which are attributable to the properties, risks or exposures located or to be performed in this state. In determining the amount of premiums taxable in Wyoming, all premiums written, procured or received in Wyoming shall be considered written on properties, risks or exposures located or to be performed in Wyoming, except premiums which are properly allocated or apportioned and reported as taxable premiums of a reciprocal state. (g) The commissioner may participate in a multistate compact, reciprocal agreement or clearinghouse with other states for the purpose of collecting, allocating and disbursing any funds collected pursuant to subsection (c) of this section. To the extent that other states where portions of the properties, risks or exposures reside have failed to enter into a compact or reciprocal allocation procedure with Wyoming, the net premium tax collected shall be retained by this state. (h) The commissioner is authorized to utilize the allocation schedule included in the nonadmitted insurance multistate agreement for the purpose of allocating risk and computing the tax due on the portion of premium attributable to each risk classification and to each state where properties, risks or exposures are located. (j) The clearinghouse is authorized to collect from the surplus lines broker a reasonable service fee, as approved by the commissioner, as a percentage of total gross premiums of each surplus lines policy or document reported under this chapter to cover the cost of administrative services of the clearinghouse. The service fee shall be paid by the insured.

Wyo. Stat. Ann. § 26-11-119 Failure to file report or pay tax; penalty.

Any licensed surplus lines broker or insured who independently procures insurance, who fails to file a report in the form and within the time required or provided for in W.S. 26-11-117 or 26-11-124 may be fined up to twenty-five dollars ($25.00) per day for each day the delinquency continues, beginning the day after the report was due until the date the report is received. The surplus lines broker or insured who independently procures insurance shall pay interest on the amount of any delinquent tax due as required by W.S. 26-11-118(e).

Wyo. Stat. Ann. § 26-11-120 Service of process against nonadmitted insurer.

(a) A nonadmitted insurer shall be sued, upon any cause of action arising in this state under any contract it issues as a nonadmitted insurance contract pursuant to this chapter, in the district court of the county in which the cause of action arises. (b) Legal process against the insurer in any action specified in subsection (a) of this section may be served upon the commissioner as provided in W.S. 26-3-122. The commissioner shall immediately mail a copy of the process served to the person the insurer designates in the policy for that purpose, by prepaid registered or certified mail with return receipt requested. After service of process upon the commissioner in accordance with this section, the court has jurisdiction in personam of the insurer. (c) A nonadmitted insurer issuing a policy is deemed to have authorized service of process against it in the manner and to the effect provided in this section. The policy shall contain a provision stating the substance of this section and designating the person to whom the commissioner shall mail process as provided in subsection (b) of this section.

Wyo. Stat. Ann. § 26-11-121 Rules and regulations.

(a) The commissioner shall make or may approve and adopt reasonable rules and regulations, consistent with this chapter, for any of the following purposes: (i) Carrying out of this chapter; (ii) Establishment of procedures through which eligibility of particular proposed coverages for export is determined; and (iii) Establishment, procedures and operations of any voluntary organization of brokers or others designed to assist those brokers to comply with this chapter. (b) The rules and regulations are subject to the procedures and carry the penalty provided by W.S. 26-2-110.

Wyo. Stat. Ann. § 26-11-122 Disclosure to commissioner of insurance placed with nonadmitted insurer.

Any person for whom insurance is placed with an nonadmitted insurer, upon the commissioner's order, shall produce for his examination all policies and other documents evidencing the insurance and shall disclose to the commissioner the amount of gross premiums paid or agreed to be paid for the insurance. If the person refuses to obey the commissioner's order, he is subject to the penalties provided by W.S. 26-1-107 for each refusal.

Wyo. Stat. Ann. § 26-11-123 Interstate insurance regulatory cooperation.

To carry out the purposes of the Nonadmitted and Reinsurance Reform Act of 2010, 15 U.S.C. 8201 et seq., the commissioner may participate in a nonadmitted insurance multistate agreement or compact for the purposes of collecting, allocating and disbursing premium taxes attributable to the placement of nonadmitted insurance, providing for uniform methods of allocation and reporting among nonadmitted insurance risk classifications, sharing information among states relating to nonadmitted insurance premium taxes and providing for the determination of recommended uniform eligibility standards for nonadmitted insurers.

Wyo. Stat. Ann. § 26-11-124 Independently procured insurance; duty to report and pay tax.

(a) Each insured whose home state is this state and who independently procures, continues or renews insurance with a nonadmitted insurer, other than insurance procured through a surplus lines broker, shall, within forty-five (45) days after the date the insurance was so procured, continued or renewed, file a report with the commissioner, in the form and manner prescribed by the commissioner, showing the name and address of the insured or insureds, name and address of the insurer, the subject of insurance, a general description of the coverage, the amount of premium currently charged and additional pertinent information requested by the commissioner. (b) The insured is subject to the same tax and clearinghouse service fee payment requirements as apply to a surplus lines broker in W.S. 26-11-118. (c) This section does not abrogate or modify, and shall not be construed or deemed to abrogate or modify any other provision of this chapter. (d) This section does not authorize independent procurement of accident and health or sickness or disability insurance.
Source: WY Statutes (Official Site)URL: https://wyoleg.gov/statutes/compress/title26.pdfFetched: 10/4/2026

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