President Barack Obama signed the NRRA into law on July 21, 2010, as part of the Dodd-Frank Wall Street Reform and Consumer Protection Act. The bill includes language to standardize the reporting, allocation, and payment of non-admitted insurance premium tax on multi-state risks. The NRRA grants the insured's home state exclusive authority to regulate and tax surplus lines insurance that includes multi-jurisdictional boundaries. Additionally, the bill provides states the ability to enter into an agreement to collect and share premium taxes for these multi-state risks.

States that fail to adopt some means of tax allocation system will be subject to a single-state taxation that allows the home state to retain 100 percent of the tax on the gross premium effective July 21. (Without an agreement, Florida stood to lose an estimated $15 to $20 million per year in premium tax.)

The federal legislation launched much debate about how to implement the interstate tax sharing component. Two competing agreements quickly took center stage: NIMA and the Surplus Lines Insurance Multi-State Compliance Compact (SLIMPACT-Lite).  The National Association of Professional Surplus Lines Offices and the National Association of Insurance Commissioners came out in support of SLIMPACT. The National Association of Insurance Commissioners (NAIC) supports NIMA. (Insurance Commissioner Kevin McCarty is president-elect of NAIC and is slated to become its president in 2012.)