Indiana § 34-13-3-20 Liability insurance; prohibitions

Indiana Statutes

§ 34-13-3-20 — Liability insurance; prohibitions

Indiana § 34-13-3-20

Title 34CIVIL LAW AND PROCEDURE

Art. 13CAUSES OF ACTION: CLAIMS AGAINST THE

Ch. 3Tort Claims Against Governmental Entities and Public

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Bluebook

Ind. Code § 34-13-3-20 (2026).

Text

(a)A political subdivision may purchase insurance to cover the liability of itself or its employees, including a member of a board, a committee, a commission, an authority, or another instrumentality of a governmental entity. Any liability insurance so purchased shall be purchased by invitation to and negotiation with providers of insurance and may be purchased with other types of insurance. If such a policy is purchased, the terms of the policy govern the rights and obligations of the political subdivision and the insurer with respect to the investigation, settlement, and defense of claims or suits brought against the political subdivision or its employees covered by the policy. However, the insurer may not enter into a settlement for an amount that exceeds the insurance coverage without

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(a) A political subdivision may purchase
insurance to cover the liability of itself or its employees, including a
member of a board, a committee, a commission, an authority, or
another instrumentality of a governmental entity. Any liability
insurance so purchased shall be purchased by invitation to and
negotiation with providers of insurance and may be purchased with
other types of insurance. If such a policy is purchased, the terms of the
policy govern the rights and obligations of the political subdivision and
the insurer with respect to the investigation, settlement, and defense of
claims or suits brought against the political subdivision or its
employees covered by the policy. However, the insurer may not enter
into a settlement for an amount that exceeds the insurance coverage
without the approval of the mayor, if the claim or suit is against a city,
or the governing body of any other political subdivision, if the claim or
suit is against such political subdivision.
(b) The state may purchase insurance to cover the cyber liability of
itself or its employees, including a member of a board, a committee, a
commission, an authority, or another instrumentality of the state. Any
liability insurance so purchased shall be purchased by invitation to and
negotiation with providers of insurance and may be purchased with
other types of insurance. If such a policy is purchased, the terms of the
policy govern the rights and obligations of the state and the insurer
with respect to the investigation, settlement, and defense of claims or
suits brought against the state or state employees covered by the policy.
However, the insurer may not enter into a settlement for an amount that
exceeds the insurance coverage without the approval of the governor.
(c) The state may not purchase insurance to cover the liability of the
state or its employees. This subsection does not prohibit any of the
following:
(1) The requiring of contractors to carry insurance.
(2) The purchase of insurance to cover losses occurring on real
property owned by:
(A) the Indiana public retirement system; or
(B) a public pension and retirement fund administered by the
Indiana public retirement system.
(3) The purchase of insurance by a separate body corporate and
politic to cover the liability of itself or its employees.
(4) The purchase of casualty and liability insurance for foster
parents (as defined in IC 27-1-30-4) on a group basis.
(5) A purchase of cyber liability insurance under subsection (b).
(6) The purchase of insurance required by the federal government
in connection with the use of federal land for the state's wireless
public safety voice and data communications system.
[Pre-1998 Recodification Citation: 34-4-16.5-18.]