9. Any analysis and supporting documentation that OCI used in support of OCI’s determination of the rule’s effect on small businesses under s. 227.114: This rule will have little or no effect on small businesses. This rule will make minor amendments to tax reporting and payment procedures and will not affect the tax itself. Surplus lines agents may benefit from the uniform electronic filing. This rule will also align the town mutual rules with statutory changes that have already taken effect.
10. A description of the Effect on Small Business:
This rule will have little or no effect on small businesses.
11. Agency contact person:
Phone: (608) 267-9586
Address: 125 South Webster St – 2nd Floor, Madison WI 53703-3474
Mail: PO Box 7873, Madison, WI 53707-7873
12. Place where comments are to be submitted and deadline for submission:
Persons wishing to testify or provide oral or written comments regarding the proposed administrative rule may appear during the hearing. Additionally, the rule may be reviewed and comments made at https://docs.legis.wisconsin.gov/code or sent to the following: The deadline for submitting comments is 4:00 p.m. on Friday, December 23, 2022.
Written comments can be mailed or hand-delivered to:
Legal Unit - OCI Rule Comment for Rule Ins 6.17
Office of the Commissioner of Insurance
125 South Webster St – 2nd Floor
Madison WI 53703-3474
The proposed rule changes are:
SECTION 1. Ins 6.17 (5) is amended to read:
(5) Report and payment of tax-surplus lines insurance. All premium tax collected by the surplus lines agent shall be reported and forwarded to the commissioner on or before March 1, for all insurance procured, renewed or continued during the preceding calendar year with unauthorized insurers. The report on a form substantially the same as Appendix 2 to this rule. and the premium taxes owed shall be submitted through an electronic filing system, a link to which may be found on the office’s website.
SECTION 2. Ins 6.17 Appendix 2 is repealed.
SECTION 3. Ins 6.18 (2) is amended to read:
(2) Reporting and payment of tax by unauthorized insurers transacting business in violation of law. All premium tax shall be reported and forwarded to the commissioner on or before March 1, for all insurance which applies to exposures located wholly or partially within this state written, renewed or continued during the preceding calendar year by an unauthorized insurer. The report shall be made on a form substantially the same as Appendix 1 to this rule. and the premium taxes owed shall be submitted through an electronic filing system, a link to which may be found on the office’s website.
SECTION 4. Ins 6.18 Appendix 1 is repealed.
SECTION 5. Ins 6.19 (3) is amended to read:
(3) Reporting and payment of tax for directly placed unauthorized insurance. All premium tax shall be reported and forwarded to the commissioner on or before March 1, for all insurance which applies to exposures located wholly or partially within this state procured, renewed or continued during the preceding calendar year in an unauthorized insurer. The report shall be made on a form substantially the same as Appendix 2 to this rule. and the premium taxes owed shall be submitted through an electronic filing system, a link to which may be found on the office’s website.
SECTION 6. Ins 6.19 Appendix 2 is repealed.
SECTION 7. Ins 13.08 (3) is amended to read:
(3) Unearned premium reserve. The financial statements of town mutuals which charge advance premiums shall show as a liability an unearned premium reserve. The unearned premium reserve must be calculated on all advance premiums, on the original or full-term premium basis,, plus all advance premiums on reinsurance assumed from other town mutual insurers, less advance premiums on risks assumed by other insurers under reinsurance contract. The minimum unearned premium reserves shall be calculated on the premiums in force as follows:
SECTION 8. EFFECTIVE DATE. The rule takes effect on the first day of the month following publication in the Wisconsin Administrative Register, as provided in Section 227.22 (2) (intro.), Stats.
