Delaware Code Title 18 Sec. 8005 – Compulsory associations
(a) No risk retention group shall be required or permitted to join or contribute financially to any insurance insolvency guaranty fund, or similar mechanism, in this State, nor shall any risk retention group, or its insureds or claimants against its insureds, receive any benefit from any such fund for claims arising under the insurance policies issued by such risk retention group.
Terms Used In Delaware Code Title 18 Sec. 8005
- Insurance: means primary insurance, excess insurance, reinsurance, surplus lines insurance and any other arrangement for shifting and distributing risk which is determined to be insurance under the laws of this State;
(6) "Liability":
- Risk retention group: means any corporation or other limited liability association:
- State: means any state of the United States or the District of Columbia. See Delaware Code Title 18 Sec. 8002
(b) When a purchasing group obtains insurance covering its members’ risks from an insurer not authorized in this State or a risk retention group, no such risks, wherever resident or located, shall be covered by any insurance guaranty fund or similar mechanism in this State.
(c) When a purchasing group obtains insurance covering its members’ risks from an authorized insurer, only risks resident or located in this State shall be covered by the State Guaranty Fund subject to Chapter 42 of this title.