Illinois Domestic Surplus Line Insurers (DSLI)
Illinois allows insurers domiciled in the State to elect a domestic surplus line insurer (DSLI) status. Under Section 445a of the Insurance Code, these insurers choose to write Illinois risks on a surplus line basis only (and typically write surplus line policies for risks in other states, as well). As a producer, you deal with Illinois DSLIs in much the same way as you would any other surplus line insurer. They do, however, have a different Notice to Policyholder that needs to be shown on the dec page and their policies do not require a service of suit clause. A current list of Illinois DSLIs is available on SLAI Bulletin 16a.
If the insurer is an Illinois Domestic Surplus Line Insurer, there are a couple of special procedures. The federal NRRA law and paragraph 5 of the Illinois Surplus Line Law set forth the insurer eligibility requirements for surplus line risks.