The board will maintain a comprehensive insurance program to provide adequate coverage against major types of risk, loss, or damage, as well as legal liability. The board will
purchase insurance at replacement values, when possible, after reviewing the costs and availability of such insurance. The comprehensive insurance program is reviewed once
every three years. Insurance will only be purchased through legally licensed Iowa insurance agents.
The school district will assume the risk of property damage, legal liability, and dishonesty in cases in which the exposure is so small or dispersed that a loss does not
significantly affect the operation of the education program or financial condition of the school district.
Insurance of buildings, structures, or property in the open will not generally be purchased to cover loss exposures below $1,000 unless such insurance is required by statute or
contract.
The board may retain a private organization for fixed assets management services.
Administration of the insurance program, making recommendations for additional insurance coverage, placing the insurance coverage and loss prevention activities is the
responsibility of the superintendent. The superintendent is responsible for maintaining the fixed assets management system, processing claims and maintaining loss records.
NOTE: The board may choose the amount of its deductible in paragraph three. Since significant cost savings in insurance premiums can be generated with higher deductibles,
it is suggested the board give careful thought before subscribing to a deductible below $5,000. Maintaining the replacement cost in the school district's fixed assets
management system allows the school district to ensure insurance coverage is at the appropriate level.
Legal Reference: Iowa Code §§ 20.9; 85.2; 279.12, .28; 285.5(6), .10(6); 296.7; 298A; 517A.1; 670.7 (2007).
1974 Op. Att'y Gen. 171.
1972 Op. Att'y Gen. 676.
Cross Reference: 205.2 Board Member Liability
804 Safety Program
Approved 4-16-12
Reviewed
Revised
