§ 95-120.1. Liability insurance. - North Carolina Statutes

§ 95‑120.1.  Liabilityinsurance.

(a)        No person shalloperate a device subject to the provisions of this Article, unless at the timeof operation, there is in existence:

(1)        A contract ofinsurance providing coverage of not less than one million dollars ($1,000,000)per occurrence against liability for injury to persons or property arising outof the operation or use of the device; or

(2)        A contract ofinsurance providing coverage of not less than five hundred thousand dollars($500,000) per occurrence against liability for injury to persons or propertyarising out of the operation or use of the devices if the annual gross volumeof the devices does not exceed two hundred seventy‑five thousand dollars($275,000).

The insurance contract to beprovided must be made by an insurer or surety that is acceptable to the NorthCarolina Insurance Commissioner and authorized to transact business in thisState.

(b)        The Commissionershall not issue a certificate of registration until the operator or theoperator's authorized agent provides proof of the required contract ofinsurance.

(c)        The Commissionermay request from the operator of a device subject to the provisions of thisArticle or the operator's authorized agent, proof of the required contract ofinsurance, and upon failure of the operator or authorized agent to provideproof of insurance, the Commissioner shall have the power to prevent thecommencement of or to stop the operation of the device until such time as proofis provided. (2005‑347,s. 5.)