Backing has now come from the Albany, N.Y.-based National Conference of Insurance Legislatures. NCOIL said that on July 12 its Task Force on Terrorism approved a resolution to back LRRA.

"Be it resolved that NCOIL supports the effort to expand the Liability Risk Retention Act to include all lines of commercial property and casualty insurance (not including workers' compensation)," the resolution reads. Currently, risk retention groups are only permitted to provide liability coverage.

It continues that, "NCOIL urges Congress and the Administration to take action as soon as possible on this important issue."

Robert H. "Skip" Myers, who is spearheading the effort as special counsel for the Minneapolis-based National Risk Retention Association, said NCOIL's support is important because it shows that "legislators at the state level that are most involved with insurance regulation endorse utilizing risk retention groups for commercial property and other commercial lines, particularly in view of the current hard market."

NCOIL's backing, he said, "should help us gain support at the federal congressional level."

NRRA, he added, continues to "have meetings on the Hill to gain support," and has not heard "one substantive argument as to why our proposal should not be enacted into law."

The group's biggest hurdle, he said, is the time limit of this session of Congress.