When it comes to protecting your business from the many risks that can appear out of the blue, it isn’t always easy to know what direction to turn. Thankfully, having a quality insurance plan at your disposal can be a lifesaver. If you want to make the most out of your insurance policy, it is best to review all of the options available to you. For some business owners, the alternative of being a part of a Risk Retention Group can be an advantageous move. Review these points to see if the choice is a good fit for you.
Breaking Down RRG Insurance
Understanding RRG insurance is quite straightforward. A part of the Risk Retention Act of 1986, an RRG typically is a group of self-insurance plans that exist together in order to protect members from the various risks of running commercial businesses. While similar to a traditional plan, the policy itself is controlled and funded by the members of the risk retention group. Everything from general liability coverage to medical malpractice can fall under this umbrella, though areas like property insurance and workers’ compensation are not able to be included. Advantages of an RRG include:
- No fronting fees
- No market residuals
- No licensing fees
Assess Your Options
By looking at the advantages of being a part of an RRG, you can easily see why so many businesses decide to go this route. At the end of the day, knowing all your options can make a world of difference toward your success.