Hawaii Adjuster's Exam 2025 – 400 Free Practice Questions to Pass the Exam

The requirement for a surplus lines broker to file a statement of all surplus lines insurance transactions on a quarterly basis is established to ensure transparency and regulatory oversight in the insurance market. This frequent reporting allows the commissioner to monitor the activities of surplus lines brokers, which can include policies written with non-admitted carriers. By providing updates every three months, the commissioner gains timely insights into market trends, compliance with insurance regulations, and the overall health of surplus lines within the state.

This quarterly filing requirement aims to protect consumers and maintain the integrity of the insurance system by keeping authorities informed about the levels of business being conducted. It also enables early detection of any irregularities or potential issues in the surplus lines market.

The other options, while they provide different reporting frequencies, do not align with the standard regulatory practices that emphasize more regular oversight for surplus lines transactions. Therefore, the option that specifies a quarterly requirement accurately reflects the regulatory framework in place for surplus lines brokerage activities.