MISSISSIPPI LEGISLATURE

2000 Regular Session

To: Insurance

By: Representative Stevens

AN ACT TO AMEND SECTION 83-21-25, MISSISSIPPI CODE OF 1972, TO PROVIDE THAT ONE-HALF OF THE SURPLUS LINES INSURANCE PREMIUM TAX SHALL BE DEPOSITED INTO THE SPECIAL INSURANCE DEPARTMENT FUND AND ONE-HALF SHALL BE DEPOSITED INTO THE STATE FIRE ACADEMY FUND; AND FOR RELATED PURPOSES.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:

SECTION 1. Section 83-21-25, Mississippi Code of 1972, is amended as follows:

83-21-25. The agent so licensed shall report under oath to the Commissioner of Insurance, within thirty (30) days from the first of January and July of each year, the amount of gross premiums received by him for such insurance in nonlicensed insurers, and shall pay to the Commissioner of Insurance a tax of four percent (4%) thereon which shall be deposited as follows: fifty percent (50%) into the Special Insurance Department Fund and fifty percent (50%) into the State Fire Academy Fund. The term "gross premiums" shall mean the total gross amount of premiums received on each and every insurance, less returned premiums. In default of the payment of any sum which may be due the state under this law, the Commissioner of Insurance may sue for the same. The agent so licensed shall keep a separate record of all transactions, as herein provided, open at all times to the inspection of the Commissioner of Insurance. The agent so licensed may designate another agent that actually procured the insurance from the nonlicensed insurer to report and pay, on behalf of the agent so licensed, to the Commissioner of Insurance the tax due the state under this law. The agent designated to pay the tax shall be deemed to have the same obligations and responsibilities for reporting and paying the tax due the state on the insurance procured from the nonlicensed insurer as the agent who was initially responsible for reporting and paying the tax, and the Commissioner of Insurance may sue such agent designated to pay the tax in the event such agent is in default of any sum which is due the state for which the designated agent is responsible or obligated to pay.

SECTION 2. This act shall take effect and be in force from and after July 1, 2000.