Insurance. A. The governing body of any corporation organized not for profit for the primary purpose of developing and providing rural water supply and sewage disposal facilities to serve rural residents and districts formed pursuant to the Rural Water, Sewer, Gas and Solid Waste Management Districts Act, Section 1324.1 et seq. of Title 82 of the Oklahoma Statutes, may: 1. Insure said entity against all or any part of any liability it may incur for death, injury or disability of any person or for damage to property, either real or personal; 2. Insure any employee of said entity against all or any part of his liability for injury or damage resulting from an act or omission in the scope of employment; 3. Insure against the expense of defending a claim against said entity or its employee, whether or not liability exists on such claim; 4. Insure said entity or its employee against any loss, damage or liability as provided by Sections 702 through 708 of Title 36 of the Oklahoma Statutes; or 5. Provide other forms of insurance provided for in Title 36 of the Oklahoma Statutes. The cost or premium of any such insurance is a proper expenditure of said entity. As used in this subsection, "employee" means any person who has acted in behalf of said entity, whether that person is acting on a permanent or temporary basis with or without being compensated or on a full-time or part-time basis. The term "employee" shall also include but not be limited to all elected or appointed officers, members of governing bodies of said entity, and other persons designated by said entity to act in its behalf. B. Any insurance authorized by law to be purchased, obtained or provided by said entity may be provided by: 1. Self-insurance, which may be, but is not required to be, funded by appropriations to establish or maintain reserves for self- insurance purposes; 2. Insurance with any insurer authorized to transact insurance in this state; 3. Insurance secured in accordance with any other method provided by law; or 4. Any combination of insurance authorized by this section. C. Two or more said entities or public agencies, by interlocal agreement made pursuant to Section 1001 et seq. of Title 74 of the Oklahoma Statutes, may provide insurance for any purpose by any one or more of the methods specified in this section. The pooling of self-insured reserves, claims or losses among said entities as authorized in this act shall not be construed to be transacting insurance nor otherwise subject to the provisions of the laws of this state regulating insurance or insurance companies. Two or more said entities may also be insured under a master policy or contract of insurance. Premium costs may be set individually for each entity or apportioned among participating entities as provided by the master policy or contract.
‹ Prev All Oklahoma sections Next ›
Lexace provides legal information, not legal advice, and no attorney–client relationship is created. Statute text is provided for general information and may not reflect the most recent amendments; verify against the official state code.