36-2237. Required insurance, financial responsibility or bond; revocation for failure to comply
A. The director shall not issue a certificate of necessity to an ambulance service unless the service has filed with the department a certificate of insurance or other evidence of financial responsibility in an amount the director deems necessary to adequately protect the interests of the public. The liability insurance shall bind the insurer to pay compensation for injuries to persons and for loss or damage to property resulting from the negligent operation of the ambulance service.
B. If an application for a certificate of necessity includes any type of subscription service contract and, in the director's discretion, a surety bond is necessary pursuant to section 36-2232, the director shall not issue a certificate of necessity until the applicant has filed a surety bond with the director in the form and amount determined by him on which bond the applicant is the principal obligor and this state is the obligee. The director shall approve the bond and the bond must be with a surety company authorized to transact business in this state as surety on the bond. The bond must be conditioned on the payment by the applicant to any subscribers that may be parties to any type of subscription service contract.
C. The director shall fix the total amount of the bond required and the director may increase or decrease the bond amount subject to criteria adopted by rule and regulation.
D. The director shall revoke the certificate of necessity of any ambulance service which fails to comply with this section.
Section: Previous 36-2227 36-2228 36-2232 36-2233 36-2234 36-2235 36-2236 36-2237 36-2238 36-2239 36-2240 36-2241 36-2242 36-2243 36-2244 NextLast modified: October 13, 2016