Tax Rate
5.00%
Filing Frequency
Quarterly
Quarterly reporting required. Form E - Tax Return must be filed to cover the preceding three-month period. Check should accompany filing but may be remitted separately if not otherwise paid. Specific quarterly due dates determined by NCSLA.
Filing Method
portal
Format: NCSLA SLIP Portal Submission + Form E
Requirements
North Carolina requires quarterly surplus lines filings through the SLIP portal managed by the North Carolina Surplus Lines Association (NCSLA). All placements require Form F application and an affidavit documenting three companies declining coverage. The 5% premium tax plus 0.3% stamping fee totals 5.3%. Form E quarterly tax returns must be notarized. North Carolina maintains an eligible insurer list and has both a surplus lines association and stamping office. Aviation, wet marine, and transportation insurance are exempt from surplus lines regulation.
Filing Methods
- Stamping Office Portal (SLIP)
Filing Steps
- 1Register for NCSLA SLIP portal access at https://slip.ncsla.com/
- 2File Form E quarterly tax returns with notarization
- 3Submit Form F application for each individual placement
- 4Provide affidavit with 3 declined companies immediately upon placement
- 5Include required disclosure language on all policies (12-pt type, contrasting color or underlined/bold)
- 6Pay 5% premium tax to broker, 0.3% stamping fee to NCSLA
- 7Verify insurer is on North Carolina eligible surplus lines list
- 8Aviation, wet marine, and transportation insurance exempt from filing
- 9NRRA exempt commercial purchasers recognized per N.C. Gen. Stat. § 58-21-16(b)(1)
- 10Service contract reimbursement policies require direct DOI filing for approval
- 11Lloyd's plans require $50M trust fund; exchanges require $50M aggregate with $3M per syndicate
- 12Foreign insurers filing electronically with NAIC need not file hard copy annual statement
Required Forms
- Form E - Tax Return on Insurance Placed in Surplus Lines Insurers
- Form F - Risk Purchasing Group Application
- Affidavit of Declined Insurers (3 companies required)
- Certificate of Compliance (from insurer domicile)
- Verification of Deposit (from insurer domicile)
Common Issues to Avoid
- Form E not properly notarized before submission
- Affidavit not submitted immediately upon placement
- Fewer than 3 declined companies documented
- Policy disclosure language missing or incorrect format
- Insurer not on eligible list at time of binding
- Stamping fee not remitted to NCSLA
- Form F not completed for each placement
- SLIP portal access/login issues
- Quarterly filing deadlines missed
- Service agreement policies not filed with DOI for pre-approval
Helpful Tips
- Set up NCSLA SLIP portal account well before first filing
- Keep notary available for quarterly Form E filings
- Create template for Form F to streamline placement process
- Document declined insurers immediately during placement process
- Use pre-approved disclosure language templates (12-pt contrasting color or bold/underlined)
- Verify insurer eligibility before binding, not at reporting
- Track quarterly filing calendar to avoid late submissions
- For service contract policies, file with DOI Property & Casualty Division for pre-approval
- Notify DOI of all insurer corporate changes including US Attorney-in-Fact changes
- Keep certificate of compliance and verification of deposit current for each insurer
- For multi-state policies, determine if NC is home state for tax collection
- Distinguish between non-admitted and domestic surplus lines disclosure requirements
Important Notes
North Carolina has specific requirements for premium calculation.
Frequently Asked Questions
What is the surplus lines tax rate in North Carolina?
The surplus lines tax rate in North Carolina is 5.00%.
When is surplus lines tax due in North Carolina?
Quarterly reporting required. Form E - Tax Return must be filed to cover the preceding three-month period. Check should accompany filing but may be remitted separately if not otherwise paid. Specific quarterly due dates determined by NCSLA.
How do I submit surplus lines filings in North Carolina?
portal