(1) Each surplus line broker and every person that enters into an independent procurement for nonadmitted insurance shall remit to the division of insurance a tax on the net premiums, exclusive of sums collected to cover federal and other state taxes and examination fees, on nonadmitted insurance subject to tax under this article during the preceding reporting period as shown by the statement filed with the commissioner. The net premiums must be taxed at the rates described in section 10-5-111.5.
(2) If a surplus line policy or independently procured policy covers an insured whose home state is Colorado, and that policy covers risks or exposures located outside of Colorado, the tax payable is computed using the allocation method contained in section 10-5-111.5.
Source: L. 49: p. 470, § 10. CSA: C. 87, § 327. CRS 53: § 72-14-10. C.R.S. 1963: § 7213-10. L. 92: (1) amended, p. 1761, § 2, effective February 28. L. 2012: Entire section amended, (HB 12-1215), ch. 104, p. 353, § 4, effective August 8.
Cross references: For additional taxes required by this article 5, see § 10-3-209.