Author: Casey Charkowick, General Counsel at Falvey Insurance Group
As the surplus lines market continues to grow, so does regulatory scrutiny, particularly for marine cargo and hybrid logistics risks. What was once considered a straightforward “marine exemption” is now far more nuanced, with state-by-state rules, filing requirements, and tax obligations creating new complexity for brokers.
At the same time, cargo programs are evolving. Many placements now include transit, warehousing, and other exposures that can shift a policy into surplus lines territory. For brokers, this means that assumptions around exemption no longer hold up.
In this blog, we break down what’s changing and what to watch out for, including:
- Where marine exemptions apply and where they don’t
- Common compliance pitfalls across key states
- How hybrid cargo programs trigger surplus lines requirements
- Practical indicators your placement may not be exempt
Understanding these shifts can help you avoid delays, penalties, and coverage gaps.
Interested in learning more? Fill out the form to access the whitepaper.
Looking for additional insights? Watch the full interview with Chief Operating Officer Brody Karn and General Counsel Casey Charkowick as they discuss surplus lines, marine cargo, and the key takeaways from the whitepaper.
