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December 18, 2024 Clouds | 49°F
The 193rd General Court of the Commonwealth of Massachusetts
  1. General Laws
  2. Part I ADMINISTRATION OF THE GOVERNMENT
  3. Title XXII CORPORATIONS
  4. Chapter 176L RISK RETENTION AND RISK PURCHASING GROUPS
  5. Section 6 Purchasing groups; exemptions

Section 6

Section 6: Purchasing groups; exemptions

Section 6. A purchasing group and its insurer or insurers shall be subject to all applicable laws of the commonwealth except that a purchasing group and its insurer or insurers shall be exempt, in regard to liability insurance for the purchasing group, from any law that would:

(A) prohibit the establishment of a purchasing group;

(B) make it unlawful for an insurer to provide or offer to provide insurance to a purchasing group or its members allowing advantages with respect to rates, policy forms, coverages or other matters, based on their loss and expense experience, which are not afforded to other persons;

(C) prohibit a purchasing group or its members from purchasing insurance described in clause (B) on a group basis;

(D) prohibit a purchasing group or its members from purchasing a group basis because the group has not been in existence for a minimum period of time or because any member has not belonged to the group for a minimum period of time;

(E) require that a purchasing group must have a minimum number of members, common ownership or affiliation, or certain legal form;

(F) require that a certain percentage of a purchasing group must obtain insurance on a group basis;

(G) otherwise discriminate against a purchasing group or any of its members; or

(H) require that any insurance policy issued to a purchasing group or any of its members be countersigned by an insurance agent or broker residing in the commonwealth.