IP & Fire Marsal Tax Schedules
The system calculates all taxes and fees automatically when you file a policy or endorsement. All taxes and fees are rounded to the nearest whole dollar. For Industrial Insured /Independent Procurement (IP) transactions, the following taxes and fees apply.
IP Tax
- 0.0% for policies effective prior to 01/01/2015.
- 3.5% for policies effective from 01/01/2015 through 12/31/2017.
- 0.5% for policies effective 01/01/2018 and later.
Fire Marshal Tax
- 0.0% for policies effective prior to 01/01/2015.
- 1.0% of the fire premium for policies effective 01/01/2015 and later, as described below. (The coverages below are only those for which fire marshal tax applies. For a full list of coverages and codes, click here.)
| Code # | Coverage | Fire Marshal Tax Is … * | |
| 1001 | Property: Fire (1) | 1% of | 100% of the premium |
| 1002 | Property: Allied Lines | 1% of | 25% of the premium |
| 1003 | Property: Excess of Loss | 1% of | 55% of the premium |
| 1004 | Property: Earthquake | 1% of | 25% of the premium |
| 1006 | Property: Terrorism (Property) | 1% of | 100% of the premium |
| 1500 | Crop Hail: All | 1% of | 1% of the premium |
| 2001 | Multi-Peril: Farmowners (2) | 1% of | 40% of the premium |
| 2002 | Multi-Peril: Homeowners (2) | 1% of | 40% of the premium |
| 2003 | Multi-Peril: CMP / SMP (2) | 1% of | 40% of the premium |
| 2004 | Multi-Peril: Multi-Line (2) | 1% of | 40% of the premium |
| 2005 | Multi-Peril: Terrorism (Prop & Liab) (2) | 1% of | 40% of the premium |
| 2200 | All Risk: Real Property | 1% of | 50% of the premium |
| 3001 | Inland Marine: Jewl/Fur Block, Floaters | 1% of | 15% of the premium |
| 3002 | Inland Marine: Other | 1% of | 15% of the premium |
| 3003 | Inland Marine: Watercraft | 1% of | 15% of the premium |
| 3200 | Aviation: Physical Damage | 1% of | 10% of the premium |
| 7701 | Auto Phys Dam: Private | 1% of | 5% of the premium |
| 7702 | Auto Phys Dam: Commercial | 1% of | 5% of the premium |
| 7703 | Auto Phys Dam: Taxicabs | 1% of | 5% of the premium |
| 7704 | Auto Phys Dam: TNC | 1% of | 5% of the premium |
* Rounded to the nearest whole dollar
- Fire premiums that include allied lines are assessed the full 100%. If the premiums are separate and distinct (fire and allied) the allied lines portion may be assessed at 25%.
- For policies covering multiple perils, if the premium charged for each peril is shown separately on the declarations page or elsewhere in the policy, compute the fire marshal tax on the premium for each peril separately using the chart above (with each computation rounded to the nearest dollar). On the ipFile system, enter each peril and its associated premium on a separate line in the coverage code section.
- If the premiums are not broken out, compute the tax by charging the 1% tax rate against 40% of the entire policy premium. On the ipFile system, enter the entire premium on one coverage code line using the Multi-Line code (2004).