42 USC § 9674 - Purchasing groups

---
identifier: "/us/usc/t42/s9674"
source: "usc"
legal_status: "official_prima_facie"
title: "42 USC § 9674 - Purchasing groups"
title_number: 42
title_name: "THE PUBLIC HEALTH AND WELFARE"
section_number: "9674"
section_name: "Purchasing groups"
chapter_number: 103
chapter_name: "COMPREHENSIVE ENVIRONMENTAL RESPONSE, COMPENSATION, AND LIABILITY"
subchapter_number: "IV"
subchapter_name: "POLLUTION INSURANCE"
positive_law: false
currency: "119-84"
last_updated: "2026-04-17"
format_version: "1.1.0"
generator: "[email protected]"
source_credit: "(Pub. L. 96–510, title IV, § 404, as added Pub. L. 99–499, title II, § 210(a), formerly § 210, Oct. 17, 1986, 100 Stat. 1718; renumbered § 210(a), Pub. L. 99–563, § 11(c)(1), Oct. 27, 1986, 100 Stat. 3177.)"
---


# § 9674. Purchasing groups

**(a)** **Exemption** Except as provided in this section, a purchasing group is exempt from the following:

**(1)** A State law, rule, or order which prohibits the establishment of a purchasing group.

**(2)** A State law, rule, or order which makes it unlawful for an insurer to provide or offer to provide insurance on a basis providing, to a purchasing group or its member, advantages, based on their loss and expense experience, not afforded to other persons with respect to rates, policy forms, coverages, or other matters.

**(3)** A State law, rule, or order which prohibits a purchasing group or its members from purchasing insurance on the group basis described in paragraph (2) of this subsection.

**(4)** A State law, rule, or order which prohibits a purchasing group from obtaining insurance on 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.

**(5)** A State law, rule, or order which requires that a purchasing group must have a minimum number of members, common ownership or affiliation, or a certain legal form.

**(6)** A State law, rule, or order which requires that a certain percentage of a purchasing group must obtain insurance on a group basis.

**(7)** A State law, rule, or order which requires that any insurance policy issued to a purchasing group or any members of the group be countersigned by an insurance agent or broker residing in that State.

**1** A State law, rule, or order which otherwise discriminate [^1] against a purchasing group or any of its members.

So in original. Probably should be “discriminates”.

**(b)** **Application of exemptions** The exemptions specified in subsection (a) apply to the following:

**(1)** Pollution liability insurance, and comprehensive general liability insurance which includes this coverage, provided to—

**(A)** a purchasing group; or

**(B)** any person who is a member of a purchasing group.

**(2)** The sale of any one of the following to a purchasing group or a member of the group:

**(A)** Pollution liability insurance and comprehensive general liability coverage.

**(B)** Insurance related services.

**(C)** Management services.

**(c)** **Agents or brokers** A State may require that a person acting, or offering to act, as an agent or broker for a purchasing group obtain a license from that State, except that a State may not impose any qualification or requirement which discriminates against a nonresident agent or broker.

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**Source Credit**: (Pub. L. 96–510, title IV, § 404, as added Pub. L. 99–499, title II, § 210(a), formerly § 210, Oct. 17, 1986, 100 Stat. 1718; renumbered § 210(a), Pub. L. 99–563, § 11(c)(1), Oct. 27, 1986, 100 Stat. 3177.)