Agency PIC
PIC owned by one or more entities that are either insurance producers or managing general agents. PIC only insures the risk on policies placed through its owners.ﾠ
Association PIC
PIC completely under the direct or indirect voting control of an association. An association is any lawfully formed association of individuals or business entities that has been in existence for at least one year and that is organized for a primary purpose other than procuring or providing insurance for its members.ﾠ
Industry Group PIC or Industrial Insured PIC
PIC that is completely under the direct or indirect voting control of any industry group. An industry group is two or more business entities or persons that are engaged in business or activities similar or related with respect to the liability to which they are exposed by virtue of any related, similar or common business, trade, product, services, premises or operations.ﾠ
Risk Retention Group
An insurer that is organized pursuant to the liability risk retention act of 1986 (15 United States Code sections 3901 and 3902)ﾠ
Protected Cell PIC or Sponsored Cell
PIC in which (a) the minimum capital and surplus is provided by one or more sponsors, (b) insures the risks of participants through participant contracts, (c) segregates liability under a participant contract through one or more protected cells.ﾠ
Pure PIC
PIC that insures only the risks of its affiliates and controlled unaffiliated business.ﾠ
CONTROLLED UNAFFILIATED BUSINESSﾠ
An individual or business entity that is (a) not an affiliate of the PIC insurer providing coverage or reinsurance, (b) has a contractual relationship with an affiliate of the PIC insurer providing coverage or reinsurance, and (c) whose risk management function is related to the covered risk of loss is controlled by an affiliate of the PIC insurer providing coverage or reinsurance.ﾠ
Note: Other types of PICs exist. This list is limited to the most common types of PICs, as found in the majority of the PIC domiciles.