Regulatory Updates

On September 5, 2025, the Staff of the Division of Trading and Markets of the U.S. Securities and Exchange Commission (SEC) granted no-action relief to FINRA to permit the CRD records of Form U4 to satisfy the Securities Exchange Act rule of 17a-4 records retention requirement. Please see the attachment for more information.

Effective September 23, 2025, California is rolling out a new feature integration with DocuSign for completing the Diligent Search Report (SL-2 form).  The Surplus Line Association of California is hosting a webinar with a live demo on how the feature works. 

Please see the attachment for more information.

Posted September 9, 2025, the Florida Surplus Lines Service Office (FSLSO) posted September’s edition of The Wire. Highlights include: - SLIP+ will be releasing a multi-factor authentication (MFA) option for users - Wet Marine, transportation, and aviation policies are required to be filed in FSLSO SLIP+ - The department also includes answers to FAQ’s regarding penalties on invoices and billing reports

Please see the attachment for more information. 

Effective October 10, 2025, a new electronic application will be implemented for Puerto Rico to process Designated Responsible Licensed Producer updates.

Effective October 10, 2025, Puerto Rico will implement a new transaction type to process Primary Name Change (Demographics) updates. 

Posted September 2, 2025,  Alabama posted an update to a bulletin posted March 3, 2025, around Alabama not accepting or processing new filings for registration or licensing of captive insurance companies and risk retention groups.  After consideration, the moratorium will last until June 30, 2026. Interested captive insurance companies, risk retention groups, or captive managers acting on behalf of captive insurance companies or risk retention groups are requested not to submit application packages or fee payments for applications during the moratorium period. Please see the attachment for more information.

Posted September 5, 2025, the Florida Surplus Lines Service Office (FSLSO) posted a newsletter with highlights including: Upcoming Premium Report Deadline -The Foreign Insurer Q2-2025 reports are due on September 30th. Any surplus lines insurer that fails to file a report within the time required may be fined up to $500 per day.  Foreign insurers are required to file on a quarterly basis and alien insurers are required to file on an annual basis. You can log in and submit transactions in FSLSO SLIP+ at any time. Please see the attachment for more information.

Effective October 10, 2025, North Carolina will be reporting Single Service Company Licenses for display on the Producer Database. North Carolina is also allowing the following Line of Authority for online application and appointments, Vision Services.

Posted September 4, 2025, New Mexico posted a reminder that all licensees and applicants are required to comply with the disclosing and/or reporting requirements of New Mexico. Starting in October 2025, the state will conduct audits of all licensee records. Please see the attachment for more information.

Effective October 10, 2025, North Carolina is requiring Nonresident Adjuster License applicants who are residents of California, Hawaii, and New York to pass the North Carolina Adjuster Exam.   Nonresident Adjuster applicants are not allowed to designate California, Hawaii, or New York as their Designated Home State.