CRB (TSBVI) - BOARD MEMBER AND EXECUTIVE MANAGEMENT STAFF LIABILITY INSURANCE

The School may purchase or acquire liability insurance to protect members of the board and the School’s executive management staff to:

1. protect against any type of liability to third persons that may be incurred while conducting School business; and
2. provide for all costs of defending against that liability, including court costs and attorney’s fees.

The School may use any available funds to purchase or acquire insurance under this policy; a specific statement by the legislature that a particular appropriation of funds may be used to purchase or acquire insurance is not a prerequisite to using funds to purchase or acquire insurance under this policy. 

Texas Government Code 612.004. 

To purchase or acquire liability insurance under this policy, the board must take action at a regularly scheduled meeting.

EMPLOYEE LIABILITY INSURANCE FOR USE OF A MOTOR VEHICLE

The School may insure its employees against liability arising out of the operation, maintenance, or use of a motor vehicle or item of power equipment.  If the School elects to do so, the School shall purchase one or more policies from a liability insurance company authorized to transact business in Texas.  The liability insurance purchased under this policy must be provided on policy forms approved by the State Board of Insurance as to form and by the attorney general as to liability coverage. 

If the School elects not to insure its employees against liability arising out of the operation, maintenance, or use of a motor vehicle or item of power equipment,  an employee of the School is entitled to reimbursement, in addition to any compensation provided in the General Appropriations Act, from maintenance funds of the School, for any amount spent by the employee for liability insurance that is required by the agency.

The comptroller shall provide forms for claims of employee reimbursement for purchase of required liability insurance.  The forms shall require certification from the Superintendent that:

1. a regular part of the employee's duties is the operation of a state-owned motor vehicle, item of power equipment, aircraft, or motorboat or other watercraft; and
2. the School requires the employee to maintain liability insurance as a prerequisite to the operation of a state-owned motor vehicle or item or power equipment.

Texas Government Code 612.002. 

HABILITATIVE OR REHABILITATIVE WORK PROGRAM

From the proceeds of any habilitative or rehabilitative work program for students who are mentally ill or developmentally disabled, the School may purchase insurance to cover liability arising from the operation of the program if a contractor under the program does not accept indemnification provisions by the state as sufficient. 

Texas Government Code 612.003. 

Adopted: 5/23/97
Amended: 9/26/97, 1/24/02
Reviewed: 3/26/04, 4/1/05

CRB – 2 of 2

Search for a Policy
Policy Index Pages A B C D E F G