True or False: A risk retention group is restricted to only writing property insurance.

A risk retention group is not limited to writing only property insurance, which is why the answer is false. Risk retention groups are allowed to provide a broader range of liability insurance coverages. They are formed by members of similar businesses or professions to manage and retain their own risks, primarily in the area of liability. This enables organizations, such as businesses in the same industry, to share the cost of liability insurance and retain more control over their insurance needs.

While many may associate risk retention groups primarily with specific types of insurance, they can engage in various liability-related lines. These often include general liability, professional liability, and other forms of liability insurance, thus allowing these groups to provide comprehensive coverage beyond just property insurance.

The other options regarding restrictions by state or variations in truth based on conditions also don't reflect the nature of risk retention groups accurately, reinforcing the choice that they are not singularly limited to property insurance.