Connecticut Diligent Effort Reform Signed into Law
A major legislative priority for Big I Connecticut has officially become law following Governor Ned Lamont’s signature on HB 5373. The new law eliminates Connecticut’s outdated “diligent effort” requirement, which requires agents to obtain and document three declinations from admitted carriers before placing coverage in the excess and surplus lines market.
The reform streamlines the placement of hard-to-place risks, reduces unnecessary administrative burdens, and helps consumers access coverage more efficiently.
The law’s enactment represents a significant advocacy victory for Big I Connecticut and its members. Throughout the legislative session, members engaged directly with lawmakers and regulators, sharing real-world examples of how the requirement created delays and inefficiencies for both agencies and consumers. Their grassroots advocacy helped drive the conversation and build support for meaningful reform.
The new law takes effect October 1, 2026. Until then, agents and brokers should continue complying with the existing diligent effort requirements. We anticipate that the Connecticut Insurance Department will issue additional guidance regarding implementation of the new law. Big I Connecticut will continue monitoring developments and provide members with additional details and compliance information as they become available.
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