What is a Purchasing Group? The Risk Retention Act of 1986 allows entities unrelated by ownership, (a purchasing group) in the same or related businesses and sharing similar loss exposures, to band together, typically on a national basis, to purchase their liability insurance coverage from an insurance company, This in effect allows the group members to pool their resources to obtain broader liability policies with higher limits, lower deductibles and premiums, than those, which would be available to each as an independent purchaser. Savings of 35%, 50% or more are common. As the name implies, the PG serves as an insurance purchasing vehicle for its members. What is the Risk Retention Act? The Risk Retention Act (LRRA) is a federal law that was passed by Congress in 1986 to help U.S. businesses, professionals, and municipalities obtain liability insurance, which had become either unaffordable or unavailable due to the "liability crisis" in the United States. Liability Crisis In the mid 1980's, a "liability crisis" hit the United States. During this time, insurance companies that had previously provided liability insurance to commercial insurance buyers either raised rates so high that the coverage became unaffordable or simply refused to renew policies or write new ones, making the insurance unavailable. Some people believe that today we are moving into an era similar to the mid 80's, with increasing prices, difficult placement of new and renewal business and a continuing hardening of the marketplace. We are positioned to assist you with markets and products and welcome suggestions for additional products.   Our online quote forms are on a SECURE SERVER, and any information provided by a consumer or customer via our online forms WILL be held in the strictest confidence. No information will be shared with others.     Community Association Online Application