When does a business entity's surplus lines license expire?

The expiration of a business entity's surplus lines license is specifically aligned with the date of its issuance, meaning it expires on the last day of the month in which the license was issued. This detail is crucial because it establishes a clear timeline for businesses to renew their licenses before facing lapses in compliance. This ensures that entities remain legally authorized to operate in the surplus lines market on an ongoing basis.

Other options suggest different expiration timelines that do not accurately reflect the stipulations set for surplus lines licensing. For example, positioning the expiration on a set date such as December 31st each year would impose a uniform deadline that does not account for licenses issued at various times throughout the year. Similarly, linking expiration to the business's fiscal year or the last day of the year introduces variability that does not conform to the specified regulations governing surplus lines licensing in Pennsylvania.