[§346-157]  Liability insurance coverage; norequirement.  (a)  For the purpose of this section, "liabilityinsurance coverage" means a general casualty insurance policy issued to aprovider insuring against legal liability for injury resulting from negligenceto a child during the time the child is under the care of the child careprovider.

(b)  The department shall not require aprovider to obtain or maintain liability insurance coverage as a condition oflicensure, temporary permission, or registration to operate a child carefacility.

(c)  The department, as a condition ofcontinued licensure, temporary permission, or registration, shall require aprovider who does not have liability insurance coverage to disclose in writingthat the provider does not have coverage to each parent or guardian:

(1)  Applying to have a child cared for at theprovider's facility, if the provider has no liability insurance coverage at thetime of application; or

(2)  Within seven working days of cancellation ortermination of liability insurance coverage if the coverage is canceled orterminated while the parent's or guardian's child is cared for at theprovider's facility.

(d)  The department may suspend or revoke alicense, temporary permit, or certificate of registration of a provider inaccordance with section 346-164 or 346-175, if the provider or any employee ofthe provider knowingly makes a false statement to any person concerning theprovider's liability insurance coverage. [L 1986, c 298, §1]