THE SURPLUS LINE ASSOCIATION OF CALIFORNIA
FILING REQUIREMENTS FOR THE SURPLUS LINE
ASSOCIATION OF CALIFORNIA
TAG VIOLATIONS
Preface

The Surplus Line Association of California (SLA) notifies the
surplus line brokers of discrepancies and violations through
‘tags’.
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California Insurance Code section 1780.56(a)(1) states:
“The advisory organization shall notify the filing surplus line broker
in writing of any filing that the advisory organization determines to
be incomplete or inaccurate, and shall request the filing broker to
correct the problem. The advisory organization may, or as
directed by the commissioner shall, notify the commissioner of
incomplete or inaccurate filings.”
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Table of Contents
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Tag Categories………………………………… 4
Standard Tags (30-Day Response Time)…… 5
Standard Tags (90-Day Response Time)…… 6
Priority Tags……………………………………. 7
Informational Tags…………………………….. 8
Top Tags Issued in 2014……………………… 9
Tag Response Time…………………………… 10
Contact Us……………………………………… 11
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Tag Categories
The SLA categorizes tags into standard tags, priority tags, and
informational tags.
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Standard tags
◦ Notify the broker of errors, problems, discrepancies, or missing
information in their filed documents.
◦ 30-day or 90-day response time
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Priority tags
◦ Notify the broker of violations of a California statute or regulation in
their filed documents.
◦ 28-day response time
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Informational tags
◦ Requires viewing without a response
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Standard Tags (30-Day Response Time)
Tags with a 30-day allowable response time are:
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SL-1 is missing
SL-1 form is incomplete
SL-2 is missing
SL-2 form is incomplete
Section 6 of the SL-2 form is incomplete
Section 7(B) of the SL-2 form is incomplete
Admitted company name is not licensed to write that class of business
Admitted company name is not stated as admitted in CDI’s website
◦ https://interactive.web.insurance.ca.gov/companyprofile/companyprofile
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Risk purchasing group name is not shown
Admitted company name is incomplete on SL-2 form
SL forms required for extension endorsement
Forms are not legible
Late filing
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Standard Tags (90-Day Response Time)
Tags with a 90-day allowable response time are:
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Name insured is not legible
Policy/certificate number is missing
Policy/certificate term of coverage is missing
Cancellation effective date is missing
Incomplete policy
Taxes are not shown on policy/certificate
Endorsement has no record of policy being filed
Free form text
Endorsement does not fall within policy term
Premium not broken down by coverage
Renewal has no record of previous policy filed
Endorsement does not show tax and fee
Invoice date
Revised coversheet
Risk purchasing group name is not registered under company
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Priority Tags
Priority tags with a 28-day allowable response time are:
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Lower Rate Filing
CAARP declination is missing Insurer not in compliance with GAP
provisions
Company objected by California Department of Insurance
Security information is not provided
Security list does not show group breakdown
Lloyd’s syndicate numbers not shown
Security company % does not equal % on cover note
Premium needs to be broken down by coverage
Alien insurer not meeting eligibility
Insurer with a merged status
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Informational Tags
Tags for informational purposes only with no response required
are:
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Revised SL1 (January 16, 1997)
Revised SL1 and SL2 forms
SL1 with original signature
SL2 with original signature
Revised SL2 (March, 1995)
Late filing with explanation
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Top Tags Issued 2014
LLOYD'S SYNDICATE NUMBERS
2%
UNLISTED
RENEWAL HAS NO RECORD OF
PRIOR POLICY
3%
INCOMPLETE ADMITTED
COMPANY NAMES
3%
ADMITTED
COMPANY
2%
SECTION 6 OF SL2 INCOMPLETE
2%
OTHER
8%
INCOMPLETE SL1 FORM
3%
SECTION 7(B) OF SL2
INCOMPLETE
4%
LATE FILING
5%
LATE FILING WITH
EXPLANATION (INFO ONLY)
63%
INCOMPLETE SL2 FORM
5%
TAGS DESCRIPTION
LATE FILING WITH EXPLANATION (INFO ONLY)
LATE FILING
INCOMPLETE SL2 FORM
SECTION 7(B) OF SL2 INCOMPLETE
INCOMPLETE SL1 FORM
INCOMPLETE ADMITTED COMPANY NAMES
RENEWAL HAS NO RECORD OF PRIOR POLICY
LLOYD'S SYNDICATE NUMBERS
UNLISTED ADMITTED COMPANY
SECTION 6 OF SL2 INCOMPLETE
OTHER
TOTAL
COUNT
108,042
9,301
8,511
6,408
6,036
5,983
4,509
3,092
2,983
2,952
14,703
172,520
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Tag Response Time
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If a tag is not responded to at the end of its allotted time
period or the tag response is inadequate, a report is sent to
the California of Insurance Investigations Division.
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The report includes the broker’s name, tag violation and
policy details.
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Contact Us
If you have any questions please contact the Education and
Compliance Department at
education@slacal.org.
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