§ 26-3-7-12 — Insurance; filing of certificate; settlement with depositor in case of destruction

(a) Each applicant for a license under this
chapter shall, as a condition to the granting of the license, file or have
on file a certificate of insurance evidencing an effective policy of
insurance issued by an insurance company authorized to do business
in Indiana insuring in the name of the applicant all grain that is or may
be in the licensee's facilities for its full market value against loss by
fire, internal explosion, lightning, and windstorm.
(b) In case fire, internal explosion, lightning, or wind-storm destroys
or damages any grain in a licensed facility, the licensee shall, upon
demand by the depositor and upon being presented with the receipt or
other evidence of ownership, make settlement, after deducting the
licensee's charges and advances, at the market value of the grain based
on the value at the average price paid for grain of the same grade and
quality on the date of the loss at the location of the facility. If a
settlement is not made within sixty (60) days from the date of demand,
the depositor is entitled to seek recovery from the insurance company.
Formerly: Acts 1973, P.L.268, SEC.1; Acts 1975, P.L.277,
SEC.8. As amended by P.L.125-1997, SEC.30.