                                 CODE OF VIRGINIA

RISK RETENTION GROUPS CHARTERED IN THIS COMMONWEALTH (§ 38.2-5102)

A. A risk retention group seeking to be chartered in this Commonwealth shall be
chartered and licensed as a liability insurance company authorized by the
insurance laws of this Commonwealth to write only liability insurance pursuant
to this chapter and, except as provided elsewhere in this chapter, shall comply
with (i) all of the laws, rules, regulations and requirements applicable to such
insurers chartered and licensed in this Commonwealth and with (ii) &#xA7;
38.2-5103 to the extent such requirements are not a limitation on laws, rules,
regulations or requirements of this Commonwealth.

B. Notwithstanding any other provision to the contrary, all risk retention
groups chartered in this Commonwealth shall file with the Commission and the
National Association of Insurance Commissioners (NAIC), an annual statement in a
form prescribed by the NAIC and in diskette form, if required by the Commission,
and completed in accordance with its instructions and the NAIC Accounting
Practices and Procedures Manual.

C. Before it may offer insurance in any state, each risk retention group shall
also submit for approval to the Commission a plan of operation or feasibility
study. The risk retention group shall submit an appropriate revision in the
event of any subsequent material change in any item of the plan of operation or
feasibility study, within ten days of any such change. The group shall not offer
any additional kinds of liability insurance, in this Commonwealth or any other
state, until a revision of the plan or study is approved by the Commission.

D. At the time of filing its application for licensure, the risk retention group
shall provide to the Commission in summary form the following information: the
identity of the initial members of the group, the identity of those individuals
who organized the group or who will provide administrative services or otherwise
influence or control the activities of the group, the amount and nature of
initial capitalization, the coverages to be afforded, and the states in which
the group intends to operate.

HISTORY: 1987, c. 585; 1992, c. 588.