As the risk retention group industry emerges from a protracted soft market that contributed to a significant decline in operational RRGs, it is important to recognize the long-term success the industry has exhibited across most business sectors. There are 37 risk retention groups that have been active for over 20 years, representing 17% of active risk retention groups.
Among those 37 risk retention groups, seven of the nine business sectors with active risk retention groups are represented. The two sectors with no RRGs operational for two decades or more are the Financial and Leisure sectors. The Financial sector features ICI Mutual Insurance Company, a Risk Retention Group, one of the largest active risk retention groups in terms of gross written premium. Furthermore, ICI Mutual has been active since 1987, but didn’t convert to the RRG structure until 2009.
In contrast, the Leisure sector didn’t see much activity until the 2010s, when Crossfit Risk Retention Group, Inc.; Recreation Risk Retention Group, Inc.; and DAN Risk Retention Group, Inc. all issued their first policies.
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