What Is The NASW RRG?
NASW Risk Retention Group Inc. is structured as an RRG – a liability insurance company that is owned by its members.
The NASW Risk Retention Group (RRG) is an insurance company authorized by federal law. It is not self-insurance. The company is chartered in the District of Columbia and regulated by its Department of Insurance, Securities and Banking, which required it to have sufficient capital and reserves before it could be authorized to write insurance. Additionally, the NASW RRG is reinsured by The Swiss Re Group.
RRG’s have been in place since 1986 when Congress passed the Liability Risk Retention Act. In fact, there are hundreds of RRGs which provide liability coverage to doctors, lawyers, educators and other professionals.
The NASW RRG is an insurance company that meets all regulatory requirements of insurance regulators and is registered in all states, so there should be no issue with the acceptance of insurance certificates. Policyholders have issued an insurance policy and certificate.
There are substantial benefits of the NASW RRG:
- Oversight by a board of directors comprised of social workers and association insurance experts who always keep members’ interests and needs in mind.
- Finances and operations are fully transparent.
- As an insurance company owned by its policyholders and regulated by the District of Columbia Department of Insurance, Securities, and Banking, the NASWRRG will never invest in risky business ventures which created serious financial difficulties for many other insurance companies during the recent financial crisis.
- Greater control and flexibility over how the professional liability program is structured, permitting quick improvements to the program. For example, we will no longer have to file program changes in all 50 states for approval.