(1) Any governmental entity within the state may self-insure, purchase commercial insurance, or self-insure and purchase excess commercial insurance in excess of the statutory limits of this chapter against:

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Terms Used In Utah Code 63G-7-801

  • Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
  • Discovery: Lawyers' examination, before trial, of facts and documents in possession of the opponents to help the lawyers prepare for trial.
  • Employee: includes :
              (3)(a)(i) a governmental entity's officers, employees, servants, trustees, or commissioners;
              (3)(a)(ii) a member of a governing body;
              (3)(a)(iii) a member of a government entity board;
              (3)(a)(iv) a member of a government entity commission;
              (3)(a)(v) members of an advisory body, officers, and employees of a Children's Justice Center created in accordance with Section 67-5b-102;
              (3)(a)(vi) a student holding a license issued by the State Board of Education;
              (3)(a)(vii) an educational aide;
              (3)(a)(viii) a student engaged in an internship under Section 53B-16-402 or 53G-7-902;
              (3)(a)(ix) a volunteer, as defined in Section 67-20-2; and
              (3)(a)(x) a tutor. See Utah Code 63G-7-102
  • Governmental entity: means :
         (4)(a) the state and its political subdivisions; and
         (4)(b) a law enforcement agency, as defined in Section 53-1-102, that employs one or more law enforcement officers, as defined in Section 53-13-103. See Utah Code 63G-7-102
  • Litigation: A case, controversy, or lawsuit. Participants (plaintiffs and defendants) in lawsuits are called litigants.
  • Settlement: Parties to a lawsuit resolve their difference without having a trial. Settlements often involve the payment of compensation by one party in satisfaction of the other party's claims.
  • State: means the state of Utah, and includes each office, department, division, agency, authority, commission, board, institution, hospital, college, university, Children's Justice Center, or other instrumentality of the state. See Utah Code 63G-7-102
  • Trust account: A general term that covers all types of accounts in a trust department, such as estates, guardianships, and agencies. Source: OCC
  • Trustee: A person or institution holding and administering property in trust.
     (1)(a) any risk created or recognized by this chapter; or
     (1)(b) any action for which a governmental entity or its employee may be held liable.
(2)

     (2)(a) In addition to any other reasonable means of self-insurance, a governmental entity may self-insure with respect to specified classes of claims by establishing a trust account.
     (2)(b) In creating the trust account, the governmental entity shall ensure that:

          (2)(b)(i) the trust account is managed by an independent private trustee; and
          (2)(b)(ii) the independent private trustee has authority, with respect to claims covered by the trust, to:

               (2)(b)(ii)(A) expend both principal and earnings of the trust account solely to pay the costs of investigation, discovery, and other pretrial and litigation expenses including attorneys’ fees; and
               (2)(b)(ii)(B) pay all sums for which the governmental entity may be adjudged liable or for which a compromise settlement may be agreed upon.
     (2)(c) Notwithstanding any law to the contrary, the trust agreement between the governmental entity and the trustee may authorize the trustee to:

          (2)(c)(i) employ counsel to defend actions against the entity and its employees;
          (2)(c)(ii) protect and safeguard the assets of the trust;
          (2)(c)(iii) provide for claims investigation and adjustment services;
          (2)(c)(iv) employ expert witnesses and consultants; and
          (2)(c)(v) provide other services and functions that are necessary and proper to carry out the purposes of the trust.
     (2)(d) The money and interest earned on the trust fund may be invested by following the procedures and requirements of Title 51, Chapter 7, State Money Management Act, and are subject to audit by the state auditor.
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