Federal Liability Risk Retention Act

{
  "id": "MLC-T-INS-001477",
  "term": "Federal Liability Risk Retention Act",
  "field": "Insurance and risk management",
  "definition": "A 1986 United States federal law that allows businesses, professionals, and municipalities with similar liability exposures to form their own insurance companies. These entities, known as risk retention groups, are licensed as captive insurers in one state but are permitted to operate nationwide, bypassing the need for licensing in multiple states. The act preempts certain state laws that would otherwise regulate or prohibit such groups, facilitating the availability of liability insurance.",
  "url": "https://mlchart.com/terminology/insurance/federal-liability-risk-retention-act/"
}