38.2-5109 - Restrictions on insurance purchased by purchasing groups. - Virginia Statutes

§ 38.2-5109. Restrictions on insurance purchased by purchasing groups.

A. A purchasing group may not purchase insurance from a risk retention groupthat is not chartered in a state or from an insurer not admitted in the statein which the purchasing group is located, unless the purchase is effectedthrough a licensed agent or broker acting pursuant to the surplus lines lawsand regulations of such state.

B. No purchasing group may purchase insurance providing for a deductible orself-insured retention applicable to the group as a whole; however, coveragemay provide for a deductible or self-insured retention applicable toindividual members.

(1987, c. 585; 1992, c. 588.)