(1) The Director of the Division of General Services, with the approval of the State Fiscal Accountability Authority, shall provide insurance coverage on all state-owned school buses which are operated under the authority of, and which are being used for the purposes of, Article 3 of this chapter. Such insurance contracts must be provided either through commercial carriers or through the insurance reserve funds of the Division of General Services. The insurance contracts shall provide at least the following benefits:

(a) for the lawful occupant of any such school bus who suffers bodily injuries or death, a death benefit of not less than fifty thousand dollars;

(b) for the lawful occupant of any such school bus who suffers bodily injuries, an amount sufficient to defray the cost of hospitalization, surgery, dentistry, medicine, and all other medical expenses up to three thousand dollars or such amount as promulgated by regulation of the Department of Education;

(c) additional coverage must also be provided for the following named perils:

(i) for the loss of both hands or both feet or sight of both eyes, fifty thousand dollars;

(ii) for loss of one hand and one foot, thirty thousand dollars;

(iii) for loss of either hand or foot and sight of one eye, thirty thousand dollars; and

(iv) for loss of either hand or foot or sight of one eye, thirty thousand dollars.

(2) The benefits provided for in subsection (1) shall exist without regard to fault or negligence. The insurance shall cover any accident which occurs:

(a) while getting on a school bus;

(b) while riding within a school bus;

(c) by being thrown from within a school bus;

(d) while getting off a school bus;

(e) by being run down, struck, or run over while crossing a public highway while approaching or leaving a school bus at the point of loading or unloading; or

(f) by being run down, struck, or run over by any moving vehicle while en route between home and the point of loading or en route between the point of unloading and home.

(3)(a) For any action or claim for damages brought under the provisions of Chapter 78 of Title 15 of the 1976 Code, the liability may not exceed the following limits:

(i) Except as provided in Section 59-67-710(3)(a)(iii), no person may recover in any action or claim brought hereunder a sum exceeding two hundred fifty thousand dollars because of loss arising from a single occurrence regardless of the number of agencies or political subdivisions involved.

(ii) Except as provided in Section 59-67-710(3)(a)(iv), the total sum recovered hereunder arising out of a single occurrence may not exceed five hundred thousand dollars regardless of the number of agencies or political subdivisions or claims or actions involved.

(iii) No person may recover in any action or claim brought hereunder against any governmental entity and caused by the tort of any licensed physician or dentist, employed by a governmental entity and acting within the scope of his profession, a sum exceeding one million dollars because of loss arising from a single occurrence regardless of the number of agencies or political subdivisions involved.

(iv) The total sum recovered hereunder arising out of a single occurrence of liability of any governmental entity for any tort caused by any licensed physician or dentist, employed by a governmental entity and acting within the scope of his profession, may not exceed one million dollars regardless of the number of agencies or political subdivisions or claims or actions involved.

(v) The provisions of Section 59-67-710(3)(a)(iii) and (3)(a)(iv) shall in no way limit or modify the liability of a licensed physician or dentist, acting within the scope of his profession, with respect to any action or claim brought hereunder which involved services for which the physician or dentist was paid, should have been paid, or expected to be paid at the time of the rendering of the services from any source other than the salary appropriated by the governmental entity.

(b) No award for damages under Chapter 78 of Title 15 of the 1976 Code may include punitive or exemplary damages or interest prior to judgment.

(c) The insurance required by this section shall contain sufficient coverage for the provisions of this item.

(d) Any recovery from the State or governmental entity shall be reduced by the sum received pursuant to subsections (1)(a) and (c) and (2) of this section. In any recovery from a third party, the State shall have a right of subrogation for recovery of payments pursuant to this section.

HISTORY: 1962 Code Section 21-840; 1953 (48) 3, 396; 1959 (51) 287; 1968 (55) 3027; 1974 (58) 2335; 1977 Act No. 215 Section 1; 1986 Act No. 463, Section 4; 1988 Act No. 352, Section 11.