Virginia Code 38.2-5109: Restrictions on insurance purchased by purchasing groups
Current as of: 2024 | Check for updates
|
Other versions
A. A purchasing group may not purchase insurance from a risk retention group that is not chartered in a state or from an insurer not admitted in the state in which the purchasing group is located, unless the purchase is effected through a licensed agent or broker acting pursuant to the surplus lines laws and regulations of such state.
Terms Used In Virginia Code 38.2-5109
- 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 Commonwealth. See Virginia Code 38.2-5101
- Insurer: means an insurance company. See Virginia Code 38.2-100
- Purchasing group: means any group which:
1. See Virginia Code 38.2-5101
- Risk retention group: means any corporation or other limited liability association:
1. See Virginia Code 38.2-5101
- State: means any state of the United States or the District of Columbia. See Virginia Code 38.2-5101
B. No purchasing group may purchase insurance providing for a deductible or self-insured retention applicable to the group as a whole; however, coverage may provide for a deductible or self-insured retention applicable to individual members.
1987, c. 585; 1992, c. 588.