Texas Insurance Code - Not Codified - Article 21.61. Volunteer Fire Department Motor Vehicle Self-Insurance Program
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Art. 21.61. VOLUNTEER FIRE DEPARTMENT MOTOR VEHICLE
SELF-INSURANCE PROGRAM.
Article repealed effective April 1, 2007
Definitions
Sec. 1. In this article:
(1) "Fund" means the volunteer fire department
self-insurance fund established under Section 5 of this article.
(2) "Program" means the volunteer fire department motor
vehicle self-insurance program established under this article.
(3) "Service" means the Texas Forest Service of The Texas
A&M University System.
(4) "Volunteer fire department" means a fire department
operated by its members that is operated on a not-for-profit basis,
including a department that is exempt from federal income tax under
Section 501(a) of the Internal Revenue Code of 1986 (26 U.S.C.
Section 501(a)) by being listed as an exempt organization in
Section 501(c)(3) of that code (26 U.S.C. Section 501(c)(3)).
Administration of Program
Sec. 2. (a) The Texas Forest Service shall administer the
volunteer fire department motor vehicle self-insurance program
established under this article.
(b) The service may employ staff to administer the program.
Self-Insurance Program
Sec. 3. (a) The service shall establish the program to:
(1) identify and evaluate risks arising from the use of
motor vehicles by volunteer fire departments;
(2) maintain a loss-prevention and loss-control program to
reduce risks arising from the use of motor vehicles by volunteer
fire departments;
(3) consolidate and administer volunteer fire department
risk management and self-insurance programs; and
(4) provide motor vehicle self-insurance coverage in
accordance with Section 4 of this article.
(b) The director of the service may adopt rules to implement
and administer the program.
Self-Insurance Coverage
Sec. 4. (a) The program shall establish a self-insurance pool
to provide coverage for motor vehicles used for fire fighting by a
volunteer fire department.
(b) The coverage may indemnify an official, employee,
member, or volunteer of a volunteer fire department for liability
arising from the use of a covered motor vehicle in the performance
of the fire fighting duties of the official, employee, member, or
volunteer. The coverage must be subject to a maximum limit of
$100,000 for each person and $300,000 for each single occurrence
for bodily injury or death and $100,000 for each single occurrence
for injury to or destruction of property.
(c) The director of the service may establish:
(1) eligibility requirements for participation in coverage
under this section; and
(2) equipment and safety standards for the motor vehicle to
be covered under this section.
(d) To participate in coverage provided under this section,
a volunteer fire department must submit a written request to the
program. The director of the program shall approve the request if
each motor vehicle to be covered meets the eligibility requirements
and equipment and safety standards established under Subsection (c)
of this section.
Fund
Sec. 5. (a) The volunteer fire department self-insurance fund
is an account in a depository selected by the board of regents of
The Texas A&M University System in the manner provided by Section
51.003, Education Code, for funds subject to the control of
institutions of higher education under Section 51.002, Education
Code.
(b) The fund is composed of:
(1) money collected under Section 6 of this article; and
(2) interest accruing on money in the fund.
(c) Money in the fund may be expended only for:
(1) administration of this article, including the salaries
and expenses of staff for the program and the fund; or
(2) funding self-insurance under the program.
(d) Self-insurance coverage provided under Section 4 of
this article may be funded only from money available from the fund.
(e) Coverage limits of self-insurance provided under
Section 4 of this article must be based on the liquidity of the fund
after deduction of the cost of administration of this article.
(f) The state's liability for a loss covered by
self-insurance provided under this article is limited to the assets
of the fund, and the state is not otherwise liable for that loss.
Self-Insurance Fee
Sec. 6. (a) The service may levy and collect a reasonable fee
from participating volunteer fire departments to provide
self-insurance coverage under this article. In establishing the
amount of the fee, the service shall consider the amount that could
be charged to the volunteer fire department for similar insurance
coverage provided to the department in accordance with this code.
(b) Fees collected under this section shall be deposited to
the credit of the fund.
Representation of Insured
Sec. 7. (a) The service may employ an attorney to represent a
volunteer fire department or an official, employee, member, or
volunteer of a volunteer fire department in a liability action for
which insurance coverage is provided under this article.
(b) The attorney general may not provide the services
described by Subsection (a) of this section.
Added by Acts 1995, 74th Leg., ch. 867, Sec. 1, eff. Sept. 1, 1995.
Sec. 4(b) amended by Acts 1997, 75th Leg., ch. 968, Sec. 3, eff.
Sept. 1, 1997; Sec. 5(a) amended by Acts 2005, 79th Leg., ch. 217,
Sec. 1, eff. May 27, 2005; Sec. 5(c) amended by Acts 2005, 79th
Leg., ch. 217, Sec. 1, eff. May 27, 2005.
Article: 21.50 21.52B 21.53X 21.54 21.58A 21.58B 21.58C 21.61 21.70 21.72 21.77 21.79 21.79E 21.79H 21.80
Last modified: August 11, 2007
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