I. Senate Bill 26-155 – The Enterprise

    On June 4, 2026, Colorado Governor Jared Polis signed Senate Bill 26-155, “Concerning Increasing the Availability of Homeowner’s Insurance in the State.” (the Bill). The Bill adds a new Part 20 to Article 4 of Title 10 of the Colorado Revised Statutes, creating the “Strengthen Colorado Homes Enterprise” (the Enterprise) within the Colorado Division of Insurance. The Enterprise is structured as a “government-owned business” designed to assist homeowners in retrofitting residential property against extreme weather events, principally hail and windstorms. Importantly for carriers writing homeowner’s policies in Colorado, the Bill authorizes the Enterprise to administer and collect a new annual fee, effective beginning in calendar year 2027, equal to 0.5% of the total premium collected by the insurer on multiperil homeowner’s insurance policies issued in Colorado for the preceding calendar year.

    Read More No Pain, No Gain For Homeowners’ Insurers: Colorado Senate Bill 26-155

    For the first time in more than 50 years, auto and homeowners insurers will be required to file insurance rates with the Illinois Department of Insurance. Illinois was one of the only states engaging in open competition, which it has done since 1971.

    Read More Illinois General Assembly Votes to Require Rate Review for Auto and Homeowners Insurance

    On May 19, 2026, the Connecticut General Assembly passed Substitute House Bill No. 5373, “An Act Concerning the Insurance Department’s Recommendations for Revisions to the Insurance Statutes” (the Act), which became Public Act No. 26-69. The Act represents a broad amendment to the Connecticut Insurance Code including amending, among others, statutes regulating service of process, license suspension, and premium tax assessments. The most consequential change for the surplus lines market is the amendment of Conn. Gen. Stat. § 38a-741(b) effective October 1, 2026, which repeals Connecticut’s longstanding diligent-effort (also referred to as “diligent search”) requirement for surplus lines placements and replaces it with an annual reporting regime administered by the insurance commissioner.

    Read More Connecticut Moves Beyond Diligent Effort: HB 5373

    On May 21, a panel of the Seventh Circuit Court of Appeals heard argument in Steidinger v. Blackstone Medical Services on whether text messages are covered as “telephone calls” in § 227(c)(5) of the Telephone Consumer Protection Act (TCPA). While questions asked by judges during oral arguments are no guarantee of how the court will ultimately rule, Judge Thomas K. Kirsch II and Judge Doris L. Pryor appeared skeptical of the plaintiff’s position that Congress intended “telephone call” to include text messaging in 1991. Judge Nancy L. Maldonado did not ask any questions. While we will need to wait for the decision, there is an excellent chance that the panel will hold that plaintiffs cannot sue over marketing text messages under § 227(c)(5), creating a potential circuit split with the Ninth Circuit’s opinion in Howard v. Republican National Committee that will need to be decided by the U.S. Supreme Court.

    Read More Reading the Tea Leaves: Text Messages May Not Be TCPA Calls in the Seventh Circuit

    Insurance regulators across the U.S. are responsible for protecting policyholders and consumers. It is therefore understandable that they are focused on the insurance industry’s business practices and how such practices may adversely impact consumers. Common areas of insurance department regulatory market conduct and investigatory interest include distribution, sales and marketing, policy administration and customer service, claims management, third party administration and delegated authority, data, technology and cybersecurity, and the use of data and AI in underwriting, pricing and claims. The upshot is that insurers, MGAs, TPAs, producers, and other insurance-related entities frequently face investigations and enforcement activity. Effectively dealing with insurance department enforcement actions requires highly specialized insurance knowledge and expertise as discussed in this publication.

    Read More Protecting Your License and Your Brand: Strategies for Insurance Department Enforcement Actions

    Industry veteran Andrew Norton was appointed by the Texas Department of Insurance (TDI) as captive insurance specialist in April 2026, following the departure of Robert Rudnai. Norton has more than 15 years of experience in the insurance industry and in this role will support the TDI’s regulatory oversight of Texas’ expanding captive insurance market.

    Read More Andrew Norton Appointed Captive Insurance Specialist for the Texas Department of Insurance

    In the ninth and final episode of Season 1 of our Surplus Lines 360 series, John Emmanuel and Zachary Lerner explore today’s hottest regulatory trends in the surplus lines market, including increased regulatory scrutiny through data calls, moratoriums, the rise of domestic surplus lines insurers, evolving diligent search requirements, and…

    Read More Hot Trends to Watch

    Welcome to the 26th edition of the Troutman Pepper Locke LLP Excess and Surplus Lines Law Manual. Updated for 2026, this edition reflects all of the pertinent changes in the surplus lines laws and regulations of the 50 states and U.S. territories during the past year. You can use the links below to download a complete PDF of the manual or navigate directly to specific state or territory updates on our website. 

    Read More 2026 Excess and Surplus Lines Law Manual

    On April 20, 2026, the California Department of Insurance (CDI) announced that it has submitted its Intervenor and Administrative Hearing Bureau Fairness and Accountability rulemaking package to the Office of Administrative Law (OAL) for final review. CDI describes this package as the most significant modernization of California’s intervenor system since Proposition 103 was enacted in 1988.

    Read More California Intervenor Reforms Move to Final Review as CDI Submits Proposition 103 Rulemaking