Bill Text: MS SB2268 | 2012 | Regular Session | Engrossed
Bill Title: Tort Claims Act; local governments may purchase insurance for damages arising from use of its motor vehicles.
Sponsorship: Slight Partisan Bill (Republican 2-1)
Status: (Failed) 2012-04-03 - Died In Committee [SB2268 Detail]
Download: Mississippi-2012-SB2268-Engrossed.html
MISSISSIPPI LEGISLATURE
2012 Regular Session
To: Insurance; Judiciary, Division A
By: Senator(s) Kirby, Gollott, Jackson (11th)
Senate Bill 2268
(As Passed the Senate)
AN ACT TO AMEND SECTION 11-46-17, MISSISSIPPI CODE OF 1972, TO AUTHORIZE A POLITICAL SUBDIVISION OF THIS STATE TO PROVIDE LIABILITY INSURANCE FOR DAMAGES ARISING BY REASON OF OWNERSHIP, MAINTENANCE, OPERATION OR USE OF ANY MOTOR VEHICLE UNDER ITS MANAGEMENT, CONTROL OR SUPERVISION AND THAT WHENEVER A POLITICAL SUBDIVISION OF THIS STATE PURCHASES THE INSURANCE, ITS GOVERNMENTAL IMMUNITY SHALL BE WAIVED TO THE EXTENT OF THE AMOUNT OF INSURANCE SO PURCHASED; AND FOR RELATED PURPOSES.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MISSISSIPPI:
SECTION 1. Section 11-46-17, Mississippi Code of 1972, is amended as follows:
11-46-17. (1) There is hereby created in the State Treasury a special fund to be known as the "Tort Claims Fund."
All such monies as the Department of Finance and Administration shall receive and collect under the provisions of subsection (2) of this section and all such funds as the Legislature may appropriate for use by the board in administering the provisions of this chapter shall be deposited in the fund. All monies in the fund may be expended by the board for any and all purposes for which the board is authorized to expend funds under the provisions of this chapter. All interest earned from the investment of monies in the fund shall be credited to the fund. Monies remaining in the fund at the end of a fiscal year shall not lapse into the State General Fund.
(2) From and after July 1, 1993, each governmental entity other than political subdivisions shall participate in a comprehensive plan of self-insurance, * * * one or more policies of liability insurance, or both self-insurance and liability insurance, with any plan of self insurance to be administered by the Department of Finance and Administration. The plan shall provide coverage to each of such governmental entities for every risk for which the board determines the respective governmental entities to be liable in the event of a claim or suit for injuries under the provisions of this chapter, including claims or suits for injuries from the use or operation of motor vehicles; * * * however, * * * the board may allow the plan to contain any reasonable limitations or exclusions not contrary to Mississippi state statutes or case law as are normally included in commercial liability insurance policies generally available to governmental entities. In addition to the coverage authorized in the preceding sentence, the plan may provide coverage for liabilities outside the provisions of this chapter, including, but not limited to, liabilities arising from Sections 1983 through 1987 of Title 42 of the United States Code and liabilities from actions brought in foreign jurisdictions, and the board shall establish limits of coverage for such liabilities. Each governmental entity participating in the plan shall make payments to the board in the amounts, times and manner determined by the board as the board deems necessary to provide sufficient funds to be available for payment by the board of * * * costs * * * it incurs in providing coverage for the governmental entity. Each governmental entity of the state other than the political subdivisions thereof participating in the plan procured by the board shall be issued by the board a certificate of coverage whose form and content shall be determined by the board but which shall have the effect of certifying that, in the opinion of the board, each of the governmental entities is adequately insured.
Before July 1, 1993, the Board of Trustees of State Institutions of Higher Learning may provide * * * liability coverage for each university, department, trustee, employee, volunteer, facility and activity as the board of trustees, in its discretion, shall determine advisable. If liability coverage, either through insurance policies or self-insurance retention is in effect, immunity from suit shall be waived only to the limit of liability established by the insurance or self-insurance program. From and after July 1, 1993, such liability coverage established by the board of trustees must conform to the provisions of this section and must receive approval from the board. Should the board reject the plan, the board of trustees shall participate in the liability program for state agencies established by the board.
(3) All political subdivisions shall, from and after October 1, 1993, obtain a policy or policies of insurance, establish * * * self-insurance reserves, or provide a combination of * * * insurance and reserves as necessary to cover all risks of claims and suits for which political subdivisions may be liable under this chapter; except any political subdivision shall not be required to obtain pollution liability insurance. However, this shall not limit any cause of action against the political subdivision relative to limits of liability under the Tort Claims Act. The policy or policies of insurance or the self-insurance may contain any reasonable limitations or exclusions not contrary to Mississippi state statutes or case law as are normally included in commercial liability insurance policies generally available to political subdivisions. All such plans of insurance and/or reserves shall be submitted for approval to the board. The board shall issue a certificate of coverage to each political subdivision whose plan of insurance and/or reserves it approves in the same manner as provided in subsection (2) of this section. Whenever any political subdivision fails to obtain the board's approval of any plan of insurance, * * * reserves, or both insurance and reserves, the political subdivision shall act in accordance with the rules and regulations of the board and obtain a satisfactory plan of insurance, * * * reserves, or both insurance and reserves, to be approved by the board.
(4) (a) Any governmental entity of the state may purchase liability insurance to cover claims in excess of the amounts provided for in Section 11-46-15 and may be sued by anyone in excess of the amounts provided for in Section 11-46-15 to the extent of such excess insurance carried; * * * however, * * * the immunity from suit above the limits set forth in Section 11-46-15 shall be waived only to the extent of the excess liability insurance carried.
(b) (i) Any political subdivision of the state may secure and provide insurance to cover liability for damage to property of any person arising by reason of ownership, maintenance, operation or use of any motor vehicle by the political subdivision under its management, control or supervision, whether in a governmental undertaking or not, and to pay premiums for the insurance coverage.
(ii) 1. Whenever any political subdivision purchases the insurance authorized by paragraph (b)(i) of this subsection (4) to provide property damage liability coverage for the negligence of any duly authorized officer, agent, servant, attorney or employee in the performance of his or her official duties, its immunity shall be waived only to the extent of the amount of insurance so purchased. Neither the political subdivision nor the insuring company shall plead governmental immunity as a defense, and the political subdivision or the insuring company may make only those defenses that could be made if the insured were a private person.
2. The political subdivision may be found liable only for damages to property that are sustained while the insurance is in force and only to the extent of the limits or the coverage of the insurance policy.
3. If a verdict rendered by the jury exceeds the limits of the applicable insurance, the court shall reduce the amount of the judgment or award against the political subdivision to a sum equal to the applicable limits stated in the insurance policy.
(5) Any two (2) or more political subdivisions are hereby authorized to enter into agreement and to contract between and among themselves for the purpose of pooling their liabilities as a group under this chapter. Such pooling agreements and contracts may provide for the purchase of one or more policies of liability insurance and/or the establishment of self-insurance reserves and shall be subject to approval by the board in the manner provided in subsections (2) and (3) of this section.
(6) The board shall have subrogation rights against a third party for amounts paid out of any plan of self-insurance administered by the board pursuant to this section in behalf of a governmental entity as a result of damages caused under circumstances creating a cause of action in favor of the governmental entity against a third party. The board shall deposit in the Tort Claims Fund all monies received in connection with the settlement or payment of any claim, including proceeds from the sale of salvage.
SECTION 2. This act shall take effect and be in force from and after July 1, 2012, and shall stand repealed on June 30, 2012.
