20-2404. Compulsory associations
A. No risk retention group is required or permitted to join or contribute
financially to any insurance insolvency guaranty fund, or similar mechanism, in this
state, and no risk retention group, or its insureds or claimants against its insureds,
may receive any benefit from any fund for claims arising under the insurance policies
issued by the risk retention group.
B. If a purchasing group obtains insurance covering its members' risks from an
insurer that is not authorized in this state or a risk retention group, no risks wherever
resident or located may be covered by any insurance guaranty fund or similar mechanism in
this state.
C. If a purchasing group obtains insurance covering its members' risks from an
authorized insurer, only risks resident or located in this state may be covered by the
state guaranty fund.
D. A risk retention group shall participate in this state's joint underwriting
associations and mandatory liability pools as provided by this title.
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