CHAPTER 12. SELF-INSURANCE FUND
IC 20-40-12
Chapter 12. Self-Insurance Fund
IC 20-40-12-1
"Fund"
Sec. 1. As used in this chapter, "fund" refers to a self-insurancefund established under section 4 of this chapter.
As added by P.L.2-2006, SEC.163.
IC 20-40-12-2
"Health care services"
Sec. 2. As used in this chapter, "health care services" has themeaning set forth in IC 27-8-11-1.
As added by P.L.2-2006, SEC.163.
IC 20-40-12-3
"Self-insurance program"
Sec. 3. As used in this chapter, "self-insurance program" meansa program of self-insurance established or maintained by a governingbody to provide coverage for health care services to a schoolcorporation's employees and the employees' dependents.
As added by P.L.2-2006, SEC.163.
IC 20-40-12-4
Establishment of fund
Sec. 4. The governing body of each school corporation:
(1) may establish a self-insurance fund in accordance with thischapter for the purposes described in:
(A) section 5(1) through 5(3) of this chapter; and
(B) section 5(4) of this chapter as section 5(4) of this chapterapplies to governing body or school employee coverageother than coverage for health care services; and
(2) shall, if the governing body elects to provide aself-insurance program to cover health care services, establisha self-insurance fund for the purposes described in section 5(4)of this chapter as section 5(4) of this chapter applies to healthcare services.
As added by P.L.2-2006, SEC.163.
IC 20-40-12-5
Uses
Sec. 5. The fund may be used to provide money for the followingpurposes:
(1) The payment of a judgment rendered against the schoolcorporation, or rendered against an officer or employee of theschool corporation for which the school corporation is liableunder IC 34-13-2, IC 34-13-3, or IC 34-13-4 (or IC 34-4-16.5,IC 34-4-16.6, or IC 34-4-16.7 before their repeal).
(2) The payment of a claim or settlement for which the schoolcorporation is liable under IC 34-13-2, IC 34-13-3, or
IC 34-13-4 (or IC 34-4-16.5, IC 34-4-16.6, or IC 34-4-16.7before their repeal).
(3) The payment of a premium, management fee, claim, orsettlement for which the school corporation is liable under afederal or state statute, including IC 22-3 and IC 22-4.
(4) The payment of a settlement or claim for which insurancecoverage is permitted under IC 20-26-5-4(15).
As added by P.L.2-2006, SEC.163.
IC 20-40-12-6
Transfers to fund
Sec. 6. Subject to the approval of the commissioner of insurance,the governing body of the school corporation may:
(1) transfer to the fund an amount of money in the general fundbudget;
(2) transfer money from the general fund to the fund;
(3) appropriate money from the general fund for the fund; or
(4) transfer money from the capital projects fund to the fund, tothe extent that money in the capital projects fund may be usedfor property or casualty insurance.
As added by P.L.2-2006, SEC.163. Amended by P.L.146-2008,SEC.479.
IC 20-40-12-7
Balance; nonreverting
Sec. 7. Any balance remaining in the fund at the end of the yeardoes not revert to the general fund.
As added by P.L.2-2006, SEC.163.
IC 20-40-12-8
Compliance with chapter; self-insurance programs
Sec. 8. Subject to IC 20-26-5-4(15) and this chapter andnotwithstanding any other law, a self-insurance program mustcomply with this chapter.
As added by P.L.2-2006, SEC.163.
IC 20-40-12-9
Appeals
Sec. 9. (a) A self-insurance program must provide for appeals toa review panel to:
(1) hear complaints; and
(2) resolve concerns;
regarding issues related to coverage, coverage discrimination, andaccess under the self-insurance program.
(b) The composition of the review panel under subsection (a):
(1) must reflect the populations covered under theself-insurance program;
(2) may include a member representative of each coveredpopulation; and
(3) must maintain a balance of administration and
nonadministration members.
(c) Self-insurance program documents provided to individualscovered under the self-insurance program must specify the appealprocess, including the name, address, and telephone number of theindividual with whom an appeal may be filed.
As added by P.L.2-2006, SEC.163.
IC 20-40-12-10
Incurred claim basis
Sec. 10. (a) A self-insurance program must be written on anincurred claims basis.
(b) The governing body must fund a self-insurance program asdescribed in section 4(2) of this chapter to include coverage for alleligible incurred claims.
(c) Subject to this chapter and notwithstanding any other law:
(1) contributions made on behalf of individuals covered underthe self-insurance program, including employee and employercontributions; and
(2) transfers or allocations of funds by a governing body;
for coverage for health care services under a self-insurance programmust be directly deposited into the fund and may not be transferredto other accounts or expended for any other purpose.
As added by P.L.2-2006, SEC.163.