Professional Liability Insurance Directory
Explanation of Terms
"Sponsored program" means that the program is sponsored by the state bar association.
"A" = Admitted. The company had met the minimum requirements established by statute and is authorized by that state to write lawyers' professional liability business. The importance of being admitted includes not only the protection to the insured of having the backing of the state's regulatory authorities to assist if a problem arises, but also the fact that the guaranty fund laws generally apply only to licensed insurers.
"NA" = Non-admitted. The company is a surplus line (non-admitted) carrier, which is a company that generally underwrites risks or part of risks for which insurance is not available through an admitted company. This business is, therefore, placed with a non-admitted insurer (a company not licensed in the state) in accordance with state surplus lines insurance laws.
"RRG" = Risk Retention Group. A special purpose liability insurance company formed under the Liability Risk Retention Act of 1986 that is wholly owned by its policyholders. After meeting the regulatory requirements of the state in which it is chartered, an RRG can provide insurance to members in other states without first having to meet their individual licensing requirements.
* Liberty International Underwriters is Admitted as to those policies it backs for Liberty Insurance Underwriters Inc., but it is Non-admitted as to those policies it backs for Liberty Surplus Insurance Corporation.
For further information, contact:
The Standing Committee on Lawyers' Professional Liability
American Bar Association
321 N. Clark St., 19th Floor
Chicago, IL 60654-7598