23-962. Insurance by governmental units;
payment of premiums


A. Any county, city, town, municipal corporation or school district shall insure in
any manner prescribed by the terms of section 23-961. Effective July 1, 1983, this state
through the department of administration shall self-insure its liability, if any, under
chapter 5 of this title and this chapter without the necessity of complying with the
provisions of section 23-961, subsection A, paragraph 2. On or before June 30, 1983, the
state compensation fund and the department of administration shall enter into an
interagency contract pursuant to title 11, chapter 7, article 3 for the return to this
state of the reserves established and held by the state compensation fund for all claims
against this state which were incurred on or before that date. The first five hundred
thousand dollars of these reserves shall be credited to the workers' compensation
liability loss revolving fund established pursuant to section 41-622, and the remainder
shall be credited to the state general fund. The department of administration shall
direct the continuing payment and processing of all claims against this state for
injuries to state employees which were incurred both before and after July 1, 1983. All
claims payments shall be made or reimbursed by the department on behalf of this state and
for expenses incurred in connection with the payment and processing of such claims. The
department of administration may procure excess loss coverage from the state compensation
fund for individual or aggregate claims, or both, in such amounts and at such primary
retention levels as the department of administration deems in the best interest of the
state.


B. The clerk of the board of supervisors of each county, the clerk of each
political subdivision and the superintendent of each school district which insures its
workers' compensation liability with the state compensation fund shall furnish quarterly
to the state compensation fund a true payroll showing the total amount paid to employees
subject to the provisions of this chapter during each month of the quarter, segregated in
accordance with the requirements of the state compensation fund.


C. Each clerk and school superintendent shall thereupon prepare and submit to his
respective governing body for approval a claim for the amount of premiums due the state
compensation fund. Such premiums shall be at once paid to the state compensation fund by
the proper officer. The department of administration shall draw a warrant for such
premiums as are due until June 30, 1983 from the state in favor of the treasurer for the
benefit of the state compensation fund and the treasurer shall at once pay the warrant
from the general fund and the appropriation made therefor in the general appropriation
bill for the state compensation fund.