Rhode Island Property and Casualty Insurance Guaranty Association

What this document is

R.I. Gen. Laws Title 27, Chapter 34: Rhode Island Property and Casualty Insurance Guaranty Association is a state statute published by webserver.rilegislature.gov. It is one of the Rhode Island documents that insurance license exam questions are written from, including rhode island property & casualty, rhode island personal lines practice questions. This page summarizes it and points to the official version, which is the text to rely on.

Sections cited in practice questions

Each practice answer shows the exact passage it comes from. These are sections of this document that questions cite, with a short excerpt from the source text.

• R.I. Gen. Laws § 27-34-2 (Purpose)

  “The purpose of this chapter is to provide a mechanism for the payment of covered claims under certain insurance policies to avoid excessive delay in payment and to the extent provided in this chapter, minimize financial loss to claimants or policyholders because of the insolvency of an insurer, and...”

• R.I. Gen. Laws § 27-34-7(a) (Board of directors)

  “A public representative may not be an officer, director, or employee of an insurance company or any person engaged in the business of insurance.”

• R.I. Gen. Laws § 27-34-8(a)(1)(i)(C) (Powers and duties of the association) [Effective January 1, 2026]

  “An amount not exceeding one million dollars ($1,000,000) for all first-party property loss claims arising from a single occurrence under a policy covering commercial or residential property for all other covered claims for insolvencies occurring after January 1, 2026. An amount not exceeding five...”

• R.I. Gen. Laws § 27-34-10(b)(1) (Duties and powers of the commissioner)

  “As an alternative, the commissioner may levy a fine on a member insurer that fails to pay an assessment when due. The fine shall not exceed five percent (5%) of the unpaid assessment per month, except that a fine not be less than one hundred dollars ($100) per month;”

• R.I. Gen. Laws § 27-34-3(5) (Scope) [Effective January 1, 2026]

  “Other than coverages that may be set forth in a cybersecurity insurance policy, insurance of warranties or service contracts including insurance that provides for the repair, replacement, or service of goods or property, indemnification for repair, replacement, or service for the operational or...”

• R.I. Gen. Laws § 27-34-5(13) (Definitions - "Insured") [Effective January 1, 2026]

  “"Insured" means any named insured, any additional insured, any vendor, lessor, or any other party identified as an insured under the policy.”

• R.I. Gen. Laws § 27-34-5(10)(i)(A)-(B) (Definitions - "Covered claim") [Effective January 1, 2026]

  “The claimant or insured is a resident of this state at the time of the insured event; provided, that for entities other than an individual, the residence of a claimant, insured, or policyholder is the state in which its principal place of business is located at the time of the insured event; or (B)...”

• R.I. Gen. Laws § 27-34-11(a) (Effect of paid claims)

  “Any person recovering under this chapter shall be deemed to have assigned any rights under the policy to the association to the extent of his or her recovery from the association. Every insured or claimant seeking the protection of this chapter shall cooperate with the association to the same...”

• R.I. Gen. Laws § 27-34-16 (Immunity)

  “There shall be no liability on the part of, and no cause of action of any nature shall arise against, any member insurer, the association, or its agents or employees, the board of directors, or any persons serving as an alternate or substitute representative of any director, or the commissioner or...”

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More Rhode Island sources

• General Laws of Rhode Island § 27-29-4 - Unfair methods of competition and unfair or deceptive acts or practices definedState statute
• R.I. Gen. Laws Title 27, Chapter 18: Accident and Sickness Insurance PoliciesState statute
• R.I. Gen. Laws Title 27, Chapters 2, 9.4, 13.1 and 16: Foreign Insurance Companies; Insurance Binders as Evidence of Coverage; Examinations; Unauthorized Insurance BusinessState statute
• R.I. Gen. Laws Title 27, Chapters 18.6 and 50: Large Group Health Insurance Coverage and the Small Employer Health Insurance Availability ActState statute
• R.I. Gen. Laws Title 27, Chapters 4.8 and 37: Group Life Insurance and Cancellation of Group InsuranceState statute
• R.I. Gen. Laws Title 27, Chapter 34.3: Rhode Island Life and Health Insurance Guaranty Association ActState statute
• R.I. Gen. Laws Title 27, Chapters 4, 4.3, 4.4, 4.9 and 4.10: Life Insurance Policies and Reserves; Standard Nonforfeiture Law for Life Insurance; Standard Nonforfeiture Law for Individual Deferred Annuities; Beneficiaries' Bill of Rights; Mandatory Disclosure of Alternatives to Lapse or SurrenderState statute
• R.I. Gen. Laws Title 27, Chapters 18.2 and 34.2: Medicare Supplement Insurance Policies and Long-Term Care InsuranceState statute