Kentucky is requiring insurance companies to use a verified electronic risk location system to identify correct local taxing districts.

May 14, 2008 - New legislation has changed the statute that allows local governments to assess a premium tax on insurance companies. The revised statute addresses the method for filing of amended returns, assessment of penalties payable to local governments and policyholders for incorrect payment of tax, and the establishment of criteria for the verification of risk location systems and programs.

A risk location system or program is defined as any technology verified by the Kentucky Office of Insurance used to locate risks subject to taxes and fees defined in the statute. Upon presentation of proof that it has performed due diligence and used a verified risk location system, an insurance company shall not be subject to penalties that it would otherwise be required to pay for failing to use such a system. In 2010, an insurance company must use a verified electronic risk location system to identify the location of its risks, if total policies written in Kentucky for the preceding calendar year exceed 2,000.

"We want to be the first software vendor to receive approval for a verified electronic risk location system," said Todd Renz, product manager at TriTech Software. "You can be certain that once Kentucky has established the criteria, Premium Pro Allocator and Agent will be immediately updated with any necessary changes."

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About TriTech Software

TriTech’s software has been designed to streamline and simply the calculation and filing process specifically for the insurance industry. The Premium Pro suite of software includes state and municipal premium tax, premium allocation, miscellaneous premium tax forms and a tax calendar. In addition to Premium Pro, TriTech Software Development Corp. has expanded to include two subsidiaries: TriTech Services and Paperless Solutions.

TriTech Services tax processing offers an array of outsourcing resources to insurance companies, including a unique combination of consulting, preparation and software expertise related to premium taxes. Paperless Solutions allows companies to utilize an electronic filing cabinet and organizational system that includes the preparation, review, and storage of tax documents by using the Paperless Assistant Software which merges, stores, and organizes documents electronically.

Visit www.tritechservices.com to further investigate the benefits of partnering with their team and to see what services they can offer your company. For more information call (800)380-6407, or email sales@tritechservices.