In two recent surveys, two-thirds of risk retention group (RRG) and purchasing group (PG) managers indicate they would be in favor of offering property coverage to their members.
While risk-retention groups (RRGs) saw premiums decline in 2010, RRG domiciles last year experienced marked overall growth—and for the first time ever, surplus surpassed total premiums.
The Liability Risk Retention Act (LRRA) will be celebrating its 25th anniversary in October of this year, marking many changes in liability insurance during that time. Changes include establishment of the two entities enabled by the LRRA—risk retention groups (RRGs) and risk purchasing groups (RPGs)—as effective alternative risk transfer vehicles.
As with other sectors of the insurance industry, the risk retention group market has seen a contraction in recent years as a result of the financial crisis, but it is expected to hold steady this year.
