Colorado Surplus Lines case studies
Colorado Surplus Lines · Put your knowledge to work in context.
The Colorado Surplus Lines Producer license is a Colorado Division of Insurance (DOI) credential that authorizes a licensed property and casualty producer to place coverage with eligible non-admitted insurers when the admitted market cannot or will not write the risk. It is intended for experienced commercial lines producers, agencies and brokers who regularly handle hard-to-place exposures - coastal or wildfire-prone property, specialty liability, unusual classes of business - and who need the ability to access the surplus lines market on a client's behalf. The Colorado Surplus Lines case studies are 5 cases and about 3,577 words.
1The Hillside Log Home: How Deep Must a Diligent Search Go?
A retail producer in Glenwood Springs has a client whose 1978 log home sits on a hillside above the Colorado River, with brush within 50 feet and a 60,000 smoke-damage claim paid in 2022. Dwelling replacement cost is 1.4 million and the client says the most he will pay is 4,500 a year.
785 words, about 4 min2The "Exempt Commercial" Claim on a Pueblo Fabricator
A Front Range metal fabricator has 480 employees, 62 million in annual revenue, and a 35 million net worth. It placed 340,000 of commercial insurance premium in the last 12 months and buys all of its insurance through an unaffiliated independent broker.
657 words, about 3 min3Allocating Premium Tax on a Three-State Restaurant Program
A Denver-based restaurant group with 40 locations - 28 in Colorado, 7 in Wyoming, and 5 in New Mexico - buys a 60,000 surplus lines property program through a Colorado surplus lines broker. The broker allocates the premium 70 percent to Colorado, 18 percent to Wyoming, and 12 percent to New Mexico.
685 words, about 3 min4The Market Conduct Exam: Missing Files, a Delisted Carrier, and an Unlicensed Negotiator
A Colorado Division of Insurance market conduct examiner requests the complete file for a commercial auto account placed in March 2020 and renewed in 2021 and 2022. The brokerage's written retention policy purges documents three years after policy expiration, and the 2020 file no longer exists.
726 words, about 4 min5"Same as Your Old Policy" - A Residential Exclusion Surprise
A roofing contractor with 6.2 million in revenue has carried an admitted commercial general liability policy for six years with no residential exclusion and a 2,500 per-occurrence deductible. At renewal the admitted carrier non-renews.
724 words, about 4 min