Revised Code of Washington - RCW Title 43 State Government -- Executive - Section 43.41.280 Risk management -- Principles

§ 43.41.280. Risk management -- Principles

It is the policy of the state for the management of risks to which it is exposed to apply the following principles consistently in a state program of risk management:

(1) To identify those liability and property risks which may have a significant economic impact on the state;

(2) To evaluate risk in terms of the state's ability to fund potential loss rather than the ability of an individual agency to fund potential loss;

(3) To eliminate or improve conditions and practices which contribute to loss whenever practical;

(4) To assume risks to the maximum extent practical;

(5) To provide flexibility within the state program to meet the unique requirements of any state agency for insurance coverage or service;

(6) To purchase commercial insurance:

(a) When the size and nature of the potential loss make it in the best interest of the state to purchase commercial insurance; or

(b) When the fiduciary of encumbered property insists on commercial insurance; or

(c) When the interest protected is not a state interest and an insurance company is desirable as an intermediary; or

(d) When services provided by an insurance company are considered necessary; or

(e) When services or coverages provided by an insurance company are cost-effective; or

(f) When otherwise required by statute; and

(7) To develop plans for the management and protection of the revenues and assets of the state.

[1985 c 188 § 2; 1977 ex.s. c 270 § 1. Formerly RCW 43.19.19361.]

Notes:
     Intent -- 2002 c 332: "It is the intent of the legislature that state risk management should have increased visibility at a policy level in state government. This increased visibility can best be accomplished by the transfer of the statewide risk management function from the department of general administration to the office of financial management. The legislature intends that this transfer will result in increasing visibility for the management and funding of statewide risk, increasing executive involvement in risk management issues, and improving statewide risk management accountability." [2002 c 332 § 1.]

     Effective date -- 2002 c 332: "This act shall take effect July 1, 2002." [2002 c 332 § 26.]

     Construction -- 1977 ex.s. c 270: See RCW 43.41.901.

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Last modified: April 7, 2009