ORS Chapter 731 — Administration and General

ORS 731.834. Insurance producers collection of taxes on wet marine and transportation insurance; report to director; rules. (1) An insurance producer that places wet marine and transportation insurance with a nonadmitted insurer shall collect taxes on the insurance in addition to the gross amount of premiums the insurance producer and other intermediaries charge. If an insurance producer collects taxes under this subsection, the insurance producer shall return directly to the policyholder the taxes that the state credited to the licensee on any portion of the premium that is unearned at the termination of the insurance. The insurance producer may not absorb the taxes or rebate any part of the taxes for any reason. (2) Each producer of nonadmitted wet marine and transportation insurance shall file with the Director of the Department of Consumer and Business Services, in accordance with the directors prescription, a verified report of any Oregon home state risk nonadmitted wet marine and transportation insurance the producer transacted during the previous 90 days and shall accompany the report with payment of the tax due on each transaction. The report need not show transacted insurance that the producer filed in an earlier report. The report must show: (a) Gross amount of premiums or return premium; and (b) The amount of the tax. (3) The director may require insurance producers to file the report described in subsection (2) of this section on a form the director specifies or on a form that the Surplus Line Association of Oregon prescribes. If the director specifies that a producer must file the report on a Surplus Line Association of Oregon form, the association shall file the report with the director. The director may also permit electronic filing and may exempt a licensee from the requirement to file for good cause shown. (4) Notwithstanding subsection (2) of this section, if an insurance producers license is terminated or not renewed for any reason, the taxes described in this section are due on the 30th day after the termination or nonrenewal. (5) The director by rule may establish requirements for filing reports on nonadmitted wet marine and transportation insurance transacted outside this state on Oregon home state risks for the purpose of collecting taxes on insurance that covers Oregon home state risks that is placed outside this state. (6) The director may collect taxes on 100 percent of the gross amount of premiums on Oregon home state risks for the purposes of carrying out the Nonadmitted and Reinsurance Reform Act of 2010 (P.L. 111-203, Title V, Subtitle B). If the director enters into a compact or otherwise establishes procedures with other states under ORS 735.418, the director by rule shall establish procedures to facilitate reporting, collecting, paying, allocating and disbursing premium taxes on Oregon home state risks that also include risks that are allocable to other states. (7) If an insurance producer does not pay within the prescribed time a tax the producer must collect under this section, the director may bring an action against the insurance producer to recover the amount of the unpaid tax.