Self-procurement taxes

{
  "id": "MLC-T-INS-003732",
  "term": "Self-procurement taxes",
  "field": "Insurance and risk management",
  "definition": "A tax levied on policyholders who purchase insurance coverage directly from an insurer that is not licensed or admitted to operate in the policyholder's state of residence. The insured party is responsible for reporting the purchase and remitting the tax directly to the state's tax authority. Self-procurement taxes are designed to create parity between admitted insurers, who pay state premium taxes, and non-admitted carriers in the surplus lines market.",
  "url": "https://mlchart.com/terminology/insurance/self-procurement-taxes/"
}