Pa. House Democrats: Warren Legislation to Protect Consumers, Insurance Brokers Passes PA House

HARRISBURG, Pennsylvania, May 2 -- The Pennsylvania House Democrats issued the following news release on April 30, 2024:

State Rep. Perry Warren's bipartisan bill that would codify the surplus insurance lines fee structure for personal surplus lines transactions passed the PA House unanimously this week.

House Bill 2096 now heads to the PA Senate for consideration.

The surplus lines insurance market serves customers who need rare, specialty or high-risk coverage unavailable on the regular market in Pennsylvania. High-risk flood insurance is one common example.

Insurance agents selling surplus lines insurance typically receive a smaller commission than they would with regular insurance.

To ensure that Pennsylvania insurance agents can afford to serve this specialty insurance market, the bill would both permit and cap the fee that a Pennsylvania insurance agent can charge for placing a surplus lines insurance policy.

"This legislation creates a win-win situation for both consumers and their insurance agents," Warren said. "Consumers get to keep their insurance when there is not a product available in the Pennsylvania admitted market, and Pennsylvania insurance agencies will continue to be able to offer them."

Warren represents the 31st Legislative District in Bucks County, comprised of Lower Makefield, Newtown Borough, Newtown Township, Upper Makefield and Yardley.

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Original text here: https://www.pahouse.com/InTheNews/NewsRelease/?id=133914