What is the Surplus Lines Market?

The Surplus Lines market is an insurance marketplace established for the purpose of insuring unique or hard-to-place risks. The Surplus Lines market enables businesses and consumers to procure insurance not obtainable in the standard market. Because regulations and laws limit the ability of Surplus Lines insurers to market directly to consumers, Surplus Lines insurance is sold through licensed Surplus Lines producers. While Surplus Lines insurers are subject to regulation, they cannot participate in state insurance guaranty funds.