Indiana Administrative Code Title 762 - INDIANA POLITICAL SUBDIVISION RISK MANAGEMENT COMMISSION
Here’s a detailed overview of Indiana Administrative Code Title 762, which governs the Indiana Political Subdivision Risk Management Commission (IPSRMC):
📌 1. Purpose & Authority (762 IAC 2‑1‑1)
This chapter (762 IAC 2‑1-1) defines key terms used in the rules:
“Commission”: the IPSRMC
“Risk management fund” & “Catastrophic liability fund”: the respective financial pools
“Member”: a political subdivision (e.g., city, county) that joins either fund
“Assessment” & “Capitalization”: financial obligations associated with participation (law.cornell.edu, casetext.com)
2. Membership Criteria & Process (762 IAC 2‑1‑2)
Sections lay out how subdivisions join or exit the funds:
To join, a subdivision must:
File an application with the fund manager or vendor,
Submit 12 copies to the Commission,
Obtain a majority vote of acceptance,
Pay required assessments and capitalization (law.justia.com, law.cornell.edu).
To withdraw, subdivisions must:
File at least 90 days' notice with termination date,
Identify the insurer they’ll use after withdrawal,
Provide details of their insurance producer (law.cornell.edu).
Withdrawal can be rescinded before the effective date.
3. Commission Role & Structure
The Commission is formed by statute (IC 27-1-29), and while Title 762 omits structure details, the Indiana Code specifies:
Comprised of the Insurance Commissioner plus 10 gubernatorial appointees (each from a different congressional district; no more than five from one party), serving 4-year policy-making terms (law.justia.com).
Commission meetings require a quorum (6 members) and act via majority vote (law.justia.com).
4. Commission Powers & Fund Administration (IC 27‑1‑29)
Underlying the administrative rules, IC 27‑1‑29 grants the Commission broad authority:
Establish and administer the Risk Management and Catastrophic Funds; levy assessments and surcharges; invest, contract, and hire necessary professionals; manage claims and defenses for political subdivisions; issue bonds; and enforce coverage structure (law.justia.com).
Coverage limits (statutory caps):
Up to $700K per person (post–2008),
$1M per event total; punitive damages generally excluded (law.justia.com).
5. Key Practical Notes
Since January 1, 2018, no political subdivision remains a member of the IPSRMF; as a result, post‑2018 incidents are not covered (in.gov).
However, tort claims still require service on the Commission if the subdivision was a member at the time of the incident (pre‑2018) (secure.in.gov).
✔️ Summary
Title 762 IAC sets out definitions, membership rules, and administrative procedures for Indiana’s political subdivision insurance funds.
Underlying Indiana Code Chapter 27‑1‑29 (the statutory authority), the Commission is empowered to run these funds, manage membership, levy assessments, handle claims, and set coverage limits.
A practical and important update: Since 2018, political subdivisions no longer belong to the fund, meaning the fund is currently inactive—and coverage applies only to pre-2018 incidents.
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