What is Fire Marshal Tax and why do I
have to pay it?
Fire Marshal Tax is charged on all applicable surplus line insurance
transactions in the State of Illinois by authority of Section
445 of the Illinois Insurance Code (215 ILCS 5/445). The surplus line
producer is required by law to remit this tax to the state on all property
insurance contracts written under his or her license. The law also permits the
producer to collect this tax from the insured. For a definition of
surplus line insurance, click here.
The materials and information contained herein are only synopses of laws,
regulations and other information and do not constitute legal advice. It is
recommended that you consult your legal advisers regarding application of
state and federal laws and regulations to any particular situation. The
Surplus Line Association does not undertake and hereby disclaims any
obligation to advise you of any change to laws and
regulations or the procedures of the Surplus Line Association.