In a step that is being applauded by insurance brokers, Republicans Ginny Brown-Waite and Dennis Moore have introduced federal legislation requiring US states to establish a uniform system of regulation for the surplus lines industry.

The new bill is a slimmed-down version of the proposed State Modernization and Regulatory Transparency Act (SMART), which deals with regulation of all lines of insurance and faced a lengthy legislative process. Waite and Moore pulled out pieces of the SMART legislation that target non-admitted insurance and reinsurance, in an effort to speed the legislation's path through Congress.

Several trade groups, including the National Association of Surplus Lines Stamping Offices and the Council of Insurance Agents and Brokers, said they will testify in support of the legislation at that hearing.