The Surplus Line Association of Oregon was originally formed in 1939 at the direction of the Insurance Commissioner of Oregon as an unincorporated Association of Surplus Line Brokers. Its purpose was to assist the Insurance Division in regulating and collecting taxes on the surplus lines business written in Oregon.
In August of 1980, the Association was incorporated as a non-profit corporation for the following purposes:
- To cooperate with recognized organizations of admitted insurance carriers and insurance agents for the proper use of the surplus lines market by members of the corporation.
- To discourage and prevent violations of the law regarding surplus lines insurance by members of the Association and insofar as possible, by non-members.
- To encourage fair dealing between members and with the public and admitted insurance carriers.
- To adopt and enforce rules, insofar as permitted by law, for the accomplishment of the objectives of the corporation.
Under the Oregon Surplus Lines Law, the Association also shall:
- Be the advisory organization of the surplus lines licensees.
- Provide means for the examination of all surplus lines coverages written by its members to determine whether such coverages comply with the law.
- Communicate with organizations of admitted insurers with respect to the proper use of the surplus lines market.
- Supervise the calculation, reporting and remittance of the state premium tax due on surplus lines placements. Supported by filing fees paid by policyholders on the approximately 61,000 (2022) new or renewal surplus lines policies examined each year, the Association today continues its role of examining surplus lines placements and reporting taxes to the state. In addition to its examining duties, the Association supports insurance education and research in the surplus lines industry. An Executive Director and staff are employed to discharge these responsibilities subject to the oversight of a volunteer board of five directors elected from the membership.