NRRA Gains in Florida While Nevada Gets into the Act
Florida Rebound Update – NRRA Gains Ground
NRRA’s continuing campaign asserting its leadership role on both the regulatory and legislative battle fronts threatening RRGs includes planning in place for the upcoming legislative session this fall.
For example, the Association’s exhaustive legal opinion letter directed recently to the Florida Department of transportation (FDOT) (see June 14th newsletter on our website) was recently the subject of a proactive meeting at the Florida Office of Insurance Regulation (FOIR) between several regulators and the President of the Florida Transportation Builders Association (FTBA). FTBA represents a number of the RRG-insured public works contractors which continue to be at risk from the FOIR “pop-up” message described in recent newsletters.
Although originally in support of the H57/SB516 Bill, the subject of vigorous opposition from NRRA, FTBA is now working with NRRA in our fight to get the FOIR to step back from its misleading and discriminatory communication(s).
Paul Handerhan, president of the Federal Association for Insurance Reform (FAIR), which continues to support NRRA in our campaign, observes that “following a review of the NRRA letter to FDOT, there may be some consensus growing between Florida insurance regulators and affected stakeholders to work collaboratively to seek a balanced solution that does not discriminate against RRGs, but still allows for appropriate consumer disclosures.”
In furtherance of these activities, NRRA is submitting a draft amendment of the pop-up, and also remains optimistic that its previously submitted amendment to the fatally flawed bill will now be received on a more level playing field this coming legislative session.
Nevada Gets into the Act
The launch of NRRA’s campaign to combat damaging legislation appears to be propitious in its timing, as our newest issue has now erupted in the state of Nevada, ironically a “domiciliary” state.
There we were recently surprised to learn about Assembly Bill 398, unfortunately already signed into law by the governor, which disallows liability insurers from using eroding policy limits, i.e., those which reduce policy limits by defense fees and costs for all insurance companies in the state.
This legislation will be cause for concern not just for risk retention groups, but also for the entire insurance industry. Numerous P&C carriers offering products covering professional negligence, e.g., MPL, E&O, D&O etc., utilize some form of eroding limits in their liability coverages. The bill, evidently sponsored by the Nevada Justice Association, i.e., the trial lawyers, passed by a vote of 19 to 1 before the Senate.
NRRA will have more to report on this bill after communications with the Commissioner and we follow-up with a number of the other industry associations which likewise have the bill on their agendas for contemplated action.
Meet NRRA at VCIA – a special event for RRG Executives
NRRA will naturally be exhibiting as we have for the past 30 years. This year, however, we have a special treat. The Association will be hosting an exclusive informal event for RRG executives to meet, become acquainted, share ideas and informally explore some new ideas we are developing. Light refreshments will be served.
The event will take place on Wednesday, August 9th between 1:00 and 2:30 PM in the Willsboro room at the conference hotel. This reception will be only available to RRG executives who will be able to spend some time with Joe Deems, NRRA Chair Tim Sullivan, and other RRG leaders, and learn more about what’s going on out there, in Florida and elsewhere, highlighting the need for risk retention groups and their leaders to stick together.
The timing of the reception will also be perfect because following our event the VCIA’s “RRG Hot Topics panel discussion group” at the conference will take place at 2:45 p.m. in the Hot Topics area at the hotel.
Since this will be open to all RRG executives, whether NRRA members or not, if you are planning on attending at VCIA, please click the following link and advise the executive office of your intent to participate. Space may be somewhat limited so availability will be on a first come, first-serve basis.
NRRA in the News Again
Be sure to check out the following link to Captive International’s Feature Article this month with its comprehensive analysis of all important aspects of the Florida Bill and which may also now appear in its annual “Focus” publication at VCIA.
Campaign to Oppose Discriminatory Legislation
Do contact our Executive Office below to arrange for your donation. We are moving these initiatives forward and need your help.
Save-the-date and register early for the NRRA National Conference
November 13-15, 2023 at the Sofitel Chicago Magnificent Mile
Let us know how you would like to become involved. It is important to you, to us, and to your industry. Please direct your responses to info@riskretention.org or click here for a one-on-one meeting with NRRA’s Executive Director.