In what year was the federal liability Risk Retention Act enacted?

The federal Liability Risk Retention Act was enacted in 1986. This legislation was significant because it allowed businesses to form risk retention groups, enabling them to self-insure by pooling their resources to manage liability risks. The act aimed to provide a solution for businesses facing difficulties in obtaining liability insurance, particularly in certain high-risk industries where coverage options were limited or prohibitive in cost. By allowing groups to come together to share liability risks, the act fostered a more stable insurance marketplace and increased access to coverage for many businesses. This legislative milestone is crucial for understanding the evolution of risk management and insurance practices in the United States.