Procedural Updates

The Texas Department of Insurance (TDI) issues a special data call, which is authorized by Insurance Code Section 2210.052.  Please review the Commissioner’s Bulletin # B-0013-21 directly for data call instructions and related information.

The data call is necessary to supplement TDI’s statistical information and to enable the Texas Windstorm Insurance Association (TWIA) to calculate participation shares for assessments, should they be required in 2021. The data may also be used in 2022 before data for 2021 is available. This data call is due no later than June 30, 2021.

TDI will email this data call only to companies reporting 2020 Commercial Property or Businessowners statistical data to ISO as well as Farm Mutual Insurance Companies acting as fronting insurers (Insurance Code Section 221.001(c)). Companies subject to this data call must submit the data call form and affidavit to TDI even if the company does not write any applicable business in the Texas catastrophe area.

Please submit data utilizing the TWIA Data Call Form. Additionally, complete and email or fax the TWIA Data Call Affidavit separately from the Data Call Form. This form requires Adobe Acrobat Standard 9.0, Adobe Professional 9.0, Adobe Reader 9.0, or a more recent version. If you have questions about this data call or need more information, see the TWIA Data Call Instructions or contact TDI’s Data Services team at DataCall@tdi.texas.gov or 512-676-6690.

The Texas Department of Insurance (TDI) adopted a rule change for 28 TAC 1.1301 & 1.1302 which requires individuals, agencies, and companies regulated by TDI to designate an email address for official communications from TDI. The rule also allows electronic submissions to TDI in most cases where a paper method was previously required.

The text of §1.1302 has been changed by adding subsection (f). Subsection (f) makes the requirement under subsection (c) that all regulated persons provide to TDI an email address designated for receipt of official communications applicable beginning January 1, 2022. This is intended to give regulated persons time to prepare for the shift to receiving electronic communications from TDI.

(c) Except as provided by Subsection (e) of this section, all regulated persons must provide an email address that is designated for receipt of official department communications. Regulated persons should provide the email address as specified on the department’s website. If communications may no longer be received at the designated email address, the regulated person must notify the department and designate a new email address within 10 business days.

(d) Notice or service sent by email under this section satisfies any notice or service requirements unless a different method of notice or service is required by statute or §1.90 of this title.

 (e) If a regulated person does not have the technological capability to maintain an email address designated for official department communications, or for good reason does not wish to receive communications by email from the department, the regulated person should notify the department as specified on the department’s website regarding address changes.

Please utilize the Agents, adjusters, and agencies link to update or change names, addresses, or emails through the Texas Department of Insurance (TDI). Contact TDI for further questions or concerns regarding this rule change.

The Surplus Lines Stamping Office of Texas (SLTX) has embarked on a new education strategy to enhance our ability to provide continuing education via our website.

This change will provide additional continuing education content to our education webpage. The pandemic has created the need to provide continuing education without the utilization of a classroom environment. While SLTX will continue to provide courses in person once conditions have improved, we will also provide additional resources on our website in the fourth quarter of 2021. We will provide updates via e-news as content is added to the education page. Please keep in mind as updates are continuous, the education page will undergo numerous changes. Stay tuned!

SLTX is here to serve our industry while continuing to provide excellent customer service and educational opportunities through our new communication strategy. For more information or additional questions regarding this update, please utilize the “Submit your Questions“ form on our website under “News”. Questions will be answered when they are received and may also be included in future newsletters.

Because of the nearly week-long power outage in mid-February, SLTX did not have a SMART release during that month. The March 2021 SMART release primarily includes a Report Landing page which will be available for all External Filers through the SMART application. This will allow those users to directly obtain the following monthly reports: Monthly Invoice, Detail Policy Activity Report, Policy Transaction Activity Report, and when appropriate, the Outstanding Ineligible Report, and Duplicate Policy Report. You will also be able to pay invoices, via credit card or ACH payments, through the SMART application. Online filers will continue to receive their reports via the existing Electronic Filing System (EFS) portal in the original format. Please note that all current EFS processes and procedures will continue to be available and both systems will remain functional and work concurrently until the entire suite of features in SMART are fully delivered which is expected to be in 2022.

Additionally, improvements were made to various reports to reduce overall spacing and to better handle specific data-related scenarios. The March 2021 release also includes features which are specific to SLTX’s Internal Filing (work assignments relating to and the processing of mailed transactions), additional search capabilities, as well as various bug fixes relating to previously released features.

As work continues on the Internal Filing features, SLTX is looking forward to the release schedule which will include External Filing (or the ability to manually input transactions within SMART). As we enter the planning stages, SLTX will resume round table or focus group discussions with current users of SLTX’s Electronic Filing System (EFS). Please stay tuned and be on the look-out for additional communications within the next few weeks regarding this schedule and feature sets to be discussed.

As a reminder, SLTX has already released portions of its new online filing system, SMART. This includes filing features that are specific to automated or “programmatic” filers as these filing methods make up the largest majority of the transactions filed with SLTX. Beta testing is ongoing and feedback by automated filing broker users is strongly encouraged as broker testing is the primary mechanism to ensure data-related scenarios are handled effectively and efficiently. If you, as an automated filer, have not requested the updated Technical Reference and User Guides or are ready to resume beta testing, please contact the SLTX Tech Support team by email.

With each new release or significant deployment, additional notifications will be sent to existing users of SLTX’s Electronic Filing System (EFS). These notifications may also be found directly on our website under News>Procedural Updates.

Please contact the SLTX Tech Support team by email or phone at (512) 531-1880 or (800) 681-5848 with any questions.

SLTX does not automatically apply open credit balances to any balance due.

If there is a balance due that includes one or more credits, you must contact SLTX’s Accounting department to request that the credit(s) be applied. Once that is complete, you will be able to pay your net amount due.

If there is a credit balance with no balance due, you must contact SLTX’s accounting department to request a refund check be issued.  Once issued, the check will be mailed to the address on file for the corresponding agency.

To contact SLTX’s Accounting Department, you may use SLTX’s “Contact Accounting” form. Please be certain to include your surplus lines license number with your request.

As a reminder, SLTX accepts payments via credit card or Automated Clearing House (ACH) through its Electronic Filing System (EFS). Once logged in to EFS, the “Pay Invoices” button will be visible on the left navigation menu. The payment portal will then open a new, secure tab in the browser. For step-by-step instructions, SLTX has created a how-to guide on the online invoice payment process. This guide is located on the SLTX Broker Forms page of the SLTX website.

On March 24, 2021, the Surplus Lines Stamping Office of Texas held their Finance & Audit Committee meeting pursuance to code 2(c)(10) of SLTX’s Plan of Operation. The committee discussed agenda topics including approval of the previous meeting minutes, discussion over the 2020 Financial Audit Review, discussion regarding the 2021 Finance YTD Update, reserve Balance and Stamping Fee Analysis, and review of the Annual Report for 2020.

The following day, the Stamping Office Board of Directors held their first meeting of the year. The meeting was held via teleconference and most members were in attendance. The board discussed various topics on the agenda including approval of previous board minutes, discussion over the F&A Committee report, Election of 2021 Officers, discussion regarding Subcommittee Activity and Reports, discussion over Company business Updates, and review the Deferred Compensation Plan.

The Board of Directors also discussed and passed motions regarding the approval of previous meeting minutes as well as discussion and approval of board leadership nominations, Finance & Audit Committee charter, Executive Committee charter, Plan of Operation Committee amendments, 2020 Annual Report, and Deferred Compensation Plan amendments.

This is a broad summary of the meeting and not intended to reflect official meeting minutes or detail the scope of any actions taken by the board. Once minutes are reviewed and approved by the Board, they will be added to the website under board minutes.

The dates for the next Finance & Audit Committee meeting and Board of Directors meeting are to be announced. As always, board meetings are available to the public, and information will be posted as they are announced.

The Texas Department of Insurance (TDI) has issued a data call to all insurers, including surplus lines insurers and insurers licensed to write property and casualty insurance in Texas, for the winter weather event that took place between February 11 – 19 throughout the state of Texas. Please review the Commissioner’s Bulletin # B-0009-21 directly for data call instructions and related information.

A list of the surplus lines companies which are required to respond to the data call can be found directly on TDI’s website relating to the data collection bulletin.

Companies must send all reports to TDI’s statistical agent, Insurance Services Office, Inc. (ISO). ISO needs reporting insurers that have not already registered with ISO to complete the attached form on Bulletin #B-0009-21 to set up the appropriate credentials for statistical reporting. Please return the form to ISO at TXCatStatAgent@verisk.com. Companies that registered with ISO in response to Bulletin B-0040-20 do NOT need to register again. Any questions about registering with ISO should be sent to TXCatStatAgent@verisk.com. Once your registration is processed, ISO will provide you with your credentials and relevant reporting instructions.

Property insurers should contact ISO even if the company does not have any claims to report for the winter weather event. These companies will still be required to respond to TDI’s bulletin as provided in the statistical plan.

The first report for data as of February 28, 2021, is due March 31, 2021. Subsequent reports are due monthly, at the end of each month. For any questions about how to submit data to ISO, please contact TXCatStatAgent@verisk.com.