15.2-2704 - Powers of group self-insurance pool; self-insurer for motor vehicle security; surety. - Virginia Statutes

§ 15.2-2704. Powers of group self-insurance pool; self-insurer for motorvehicle security; surety.

A group self-insurance pool, for the purposes of carrying on the business ofthe group self-insurance pool whether or not a body corporate, shall have thepower to sue and be sued, to make contracts, to hold and dispose of real andpersonal property, and to borrow money, contract debts, and pledge assets inthe name of the group self-insurance pool. The assets of any groupself-insurance pool established pursuant to this chapter shall be invested inthose securities and investments permitted by regulation adopted by the StateCorporation Commission for group self-insurance pools.

A group self-insurance pool shall be deemed a self-insurer for motor vehiclesecurity under § 46.2-368. Members of the pool participating in the motorvehicle self-insurance provided by the pool shall be deemed to meet therequirements of security as required and an application for a certificate ofself-insurance under § 46.2-368 shall not be required. Additionally, a groupself-insurance pool shall not be subject to the provisions of § 38.2-2206relating to uninsured motorist coverage unless it elects by resolution of itsgoverning authority to provide such coverage to its pool members.

The provisions of any statute or charter requiring a public official to postbond or obtain a surety bond, the premium on which may lawfully be paid by apublic agency of the Commonwealth, may be satisfied with surety or fidelityinsurance coverage furnished by a group self-insurance pool organized underthis chapter, including any deductible amount or other portion self-insuredby the public agency itself.

The power to enter into intergovernmental contracts under § 15.2-2703specifically includes the power to establish the pool as a separate legal oradministrative entity for purposes of effectuating group self-insurance poolagreements.

(1986, cc. 520, 556, § 15.1-503.4:4; 1997, c. 587; 2003, c. 566.)