Arizona § 15-387 Procurement of insurance; eligibility of governing board members, former board members and surviving spouse and dependents; deposit of monies

Arizona Statutes

§ 15-387 — Procurement of insurance; eligibility of governing board members, former board members and surviving spouse and dependents; deposit of monies

Arizona § 15-387

Title 15Arizona Revised Statutes

Ch. 3LOCAL GOVERNANCE OF SCHOOLS

Art. 5Provisions for Insurance Coverage

This text of Arizona § 15-387 (Procurement of insurance; eligibility of governing board members, former board members and surviving spouse and dependents; deposit of monies) is published on Counsel Stack Legal Research, covering Arizona primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Ariz. Rev. Stat. Ann. § 15-387 (2026).

Text

A.Notwithstanding section 15-323, the governing board may procure insurance from any insurer authorized by the director of the department of insurance and financial institutions or may establish a self-insurance program as provided in section 15-382 for the management and administration of a system for direct payment of benefits, losses or claims or any combination of insurance and direct payments, including risk management consultation, to provide:

1.Health, accident, life or disability benefits for employees of the school district and their dependents and for members of the governing board and their dependents as provided in subsection B of this section.

2.Payment of any property or fidelity loss sustained, legal expenses incurred or lawful claim of liability or fortuitous loss made

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A. Notwithstanding section 15-323, the governing board may procure insurance from any insurer authorized by the director of the department of insurance and financial institutions or may establish a self-insurance program as provided in section 15-382 for the management and administration of a system for direct payment of benefits, losses or claims or any combination of insurance and direct payments, including risk management consultation, to provide:

1. Health, accident, life or disability benefits for employees of the school district and their dependents and for members of the governing board and their dependents as provided in subsection B of this section.

2. Payment of any property or fidelity loss sustained, legal expenses incurred or lawful claim of liability or fortuitous loss made against the school district or its employees, including leased employees, or officers if the employees, leased employees or officers are acting in the scope of their employment or authority.

3. Coverage for all construction projects for purposes of general liability, property damage and workers' compensation.

B. A governing board member is eligible to participate in an insurance plan provided as an employee benefit pursuant to subsection A, paragraph 1 of this section if the member pays the full premium and the participation of the member does not result in an expenditure of school district monies.

C. If the governing board allows its members to participate in the insurance plan, a governing board may also adopt a policy allowing participation in an insurance plan provided as an employee benefit pursuant to subsection A, paragraph 1 of this section for former board members and for surviving spouses and dependents of board members or former board members as follows:

1. The board may allow a former board member to continue to participate if the former board member served at least four consecutive years on the board, was covered under the insurance plan while serving on the board and pays the full premium and the participation does not result in an expenditure of school district monies.

2. The board may allow the surviving spouse and dependent of the board member or former board member to continue to participate in the insurance plan if the surviving spouse or dependent pays the full premium and the participation of the surviving spouse and dependent does not result in an expenditure of school district monies and if one of the following applies:

(a) The deceased board member or former board member met the qualifications for eligibility pursuant to paragraph 1 of this subsection.

(b) The deceased board member or former board member would have met the qualifications for eligibility pursuant to paragraph 1 of this subsection if the deceased board member or former board member had not died in office.

D. Monies that are provided by employees, board members, former board members and surviving spouses and dependents of board members or former board members and that are received pursuant to this section shall be deposited in an account as provided in section 15-1223.