Sec. 4a-19. (Formerly Sec. 4-37a). State Insurance and Risk Management
Board. There shall be a State Insurance and Risk Management Board consisting of
eleven persons whom the Governor shall appoint subject to the provisions of section 4-9a. Four of such appointees shall be public members and seven shall be qualified by
training and experience to carry out their duties under the provisions of sections 4a-20
and 4a-21. The Comptroller shall be an ex-officio voting member of said board and may
designate another person to act in his place. Not more than six appointed members of
said board shall, at any time, be members of the same political party. Said appointed
members shall receive no compensation for the performance of their duties as such but
shall be reimbursed for their necessary expenses. The Governor may fill any vacancy
on said board for the unexpired portion of the term. The board shall meet at least once
during each calendar quarter and at such other times as the chairperson deems necessary.
Special meetings shall be held on the request of a majority of the board after notice in
accordance with the provisions of section 1-225. A majority of the members of the board
shall constitute a quorum. Any member who fails to attend three consecutive meetings
or who fails to attend fifty per cent of all meetings held during any calendar year shall
be deemed to have resigned from office. No member shall serve more than two full
consecutive terms which commence on or after July 1, 1983. Said board shall be within
the Office of the State Comptroller for administrative purposes only.
(1963, P.A. 348, S. 1; February, 1965, P.A. 313, S. 1; 1967, P.A. 656, S. 67; P.A. 77-614, S. 84, 587, 610; P.A. 78-303, S. 3, 85, 136; P.A. 79-560, S. 2, 39; P.A. 83-570, S. 4, 17; P.A. 98-74, S. 1, 4.)
History: 1965 act changed name of board, formerly commission; 1967 act made provision for filling vacancy on board;
P.A. 77-614 deleted language concerning gubernatorial appointments to fill expired terms and providing for election of
chairman and placed board within department of administrative services for administrative purposes; P.A. 78-303 changed
number of members from seven to eleven to be appointed by governor and required that four be public members, effective
January 1, 1979; P.A. 79-560 changed number of members permitted to be of same political party from four to six; P.A.
83-570 amended section by adding reference to Sec. 4-9a, clarifying that comptroller is a voting member of the board and
may designate another person to act in his place, adding procedural and attendance requirements for board meetings and
limiting members' terms; Sec. 4-37a transferred to Sec. 4a-19 in 1989; P.A. 98-74 changed name of board from "State
Insurance Purchasing Board" to "State Insurance and Risk Management Board" and placed Board within the Office of the
State Comptroller rather than within the Department of Administrative Services, effective July 1, 1998.
See title 2c re termination under "Sunset Law".
See Sec. 4-9a for definition of "public member".
See Sec. 4-38f for definition of "administrative purposes only".
Annotation to former section 4-37a:
Cited. 24 CS 423.
Annotation to present section:
Cited. 34 CA 863.
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Sec. 4a-20. (Formerly Sec. 4-37b). Duties. The State Insurance and Risk Management Board shall determine the method by which the state shall insure itself against
losses by the purchase of insurance governed by the provisions of title 38a to obtain the
broadest coverage at the most reasonable cost. It shall direct the negotiations for purchase
of such insurance and determine whether deductible or other risk retention provisions
should be included in the insurance contract. Wherever appropriate it shall determine
that the state shall act as a self-insurer and may request funds from the contingency fund
to establish reserves and carry out such practices as are necessary to safeguard the self-insurance activity. Said board may develop and implement risk management and loss
prevention programs related to insurance plans established pursuant to the provisions
of sections 4a-19 to 4a-21, inclusive, and may recommend to the Governor and the
General Assembly the enactment of policies designed to reduce risks and hazards that
may result in state liability for tortious conduct. It shall designate the agent or agents
of record and shall select the companies from whom insurance coverage and surety
bonds shall be purchased. Notwithstanding any other provision of the general statutes,
including without limitation sections 38a-707 and 38a-825, it shall have full authority
to negotiate either a commission or fee structure to compensate the agent or agents of
record for services performed. It shall also have full authority to retain consulting firms
and to negotiate their fee compensation for services performed. Any refund, dividend
or other payment from any insurance company in connection with insurance for the
state shall be returned to the Comptroller for deposit in the General Fund. The board
shall establish specifications for each contract of insurance and shall request bids for
each such contract through the agent of record. Each such contract shall be for a specified
period of time.
(1963, P.A. 348, S. 2; February, 1965, P.A. 313, S. 2; P.A. 77-563, S. 2, 5; P.A. 83-570, S. 5, 17; P.A. 84-346, S. 3, 4;
P.A. 90-243, S. 173; P.A. 93-163, S. 1; P.A. 98-74, S. 2, 4; P.A. 05-170, S. 6.)
History: 1965 act changed "board" to "commission"; P.A. 77-563 included surety bonds under provisions of section;
P.A. 83-570 amended section to require board to establish specifications for insurance contracts and request bids through
the agent of record for each contract which shall be for a specified period of time; P.A. 84-346 changed the reference to
chapter 682 to chapter 682a, correcting an outdated reference; Sec. 4-37b transferred to Sec. 4a-20 in 1989; P.A. 90-243
made technical changes for statutory consistency; P.A. 93-163 replaced provision relating to the board as authority to
negotiate all elements of insurance and surety bond premiums and agent's commissions with provision authorizing agents'
compensation on a commission or a structured fee basis and also empowering board to retain and negotiate fees with any
consulting firm it employs; P.A. 98-74 substituted "The State Insurance and Risk Management Board" for "Said board",
inserted "or other risk retention" re provisions the board determines should be included in insurance contract, and authorized
the board to develop and implement risk management and loss prevention programs, effective July 1, 1998; P.A. 05-170
authorized the board to recommend to the Governor and the General Assembly the enactment of policies designed to reduce
risks and hazards that may result in state liability for tortious conduct.
Annotation to former section 4-37b:
Cited. 26 CS 423.
Annotation to present section:
Cited. 34 CA 863.
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Sec. 4a-20a. Compensation of agents. Negotiations with an insurance company. Notwithstanding the provisions of section 4a-20, the State Insurance and Risk
Management Board may negotiate directly with an insurance company to avoid any
commission or fee associated with the compensation of an agent or agents of record for
any services performed.
(P.A. 93-163, S. 3; P.A. 98-74, S. 3, 4.)
History: P.A. 98-74 replaced "State Insurance Purchasing Board" with "State Insurance and Risk Management Board",
effective July 1, 1998.
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Sec. 4a-21. (Formerly Sec. 4-37c). Annual report. The State Insurance and Risk
Management Board shall, on or before September first, annually, make a report to the
Governor and, in accordance with the provisions of section 11-4a, to the joint standing
committee of the General Assembly on the judiciary of its activities during the year
ending the preceding June thirtieth. Such report shall include (1) an evaluation of the
state insurance program in terms of adequacy and reasonableness of cost, (2) a complete
statement of the costs of said program enumerating lines of coverage, (3) an evaluation
of the effectiveness of each portion of the program involving deductibles or partial self-insurance, (4) a statement of the agent or agents of record, or consultants, if any, (5) an
evaluation of the agent or agents of record, or consultants, if any, (6) a breakdown of
the actual commissions or fees paid, (7) any recommendations adopted by the board for
the enactment of policies designed to reduce risks and hazards that may result in state
liability for tortious conduct, (8) the status and disposition of claims administered
through the state insurance program, and (9) such other matters as the board determines
to be appropriate and necessary. The portion of the report concerning the status and
disposition of claims shall include (A) the number of claims pending under the state
insurance program, categorized by the alleged ground for the claim, (B) the number of
new claims brought under the state insurance program in the preceding year, categorized
by the alleged ground for the claim, (C) the number of claims disposed of in the preceding
year, categorized by the ground for the claim that was disposed of and whether the claim
was disposed of by settlement or litigation to final judgment, and the amount paid for
claims within the respective categories, and (D) such other information within the cognizance of the board as may be requested, from time to time, by the joint standing committee of the General Assembly on the judiciary. The report shall identify each claim disposed of by payment of an amount exceeding one hundred thousand dollars. Each such
report shall become a public record.
(1963, P.A. 348, S. 3; February, 1965, P.A. 313, S. 3; P.A. 83-570, S. 6, 17; P.A. 93-163, S. 2; P.A. 05-170, S. 7.)
History: 1965 act changed "board" to "commission"; P.A. 83-570 replaced alphabetic Subdiv. indicators with numeric
indicators and required that evaluation of agent of record be included in annual report; Sec. 4-37c transferred to Sec. 4a-21 in 1989; P.A. 93-163 amended the section to require reporting re consultants to substitute breakdown of the actual fees
or commissions paid for breakdown of commissions paid as "percentage of the total premium and in terms of dollars of
commissions"; P.A. 05-170 replaced "Said board" with "The State Insurance and Risk Management Board", required the
board to make the report in accordance with Sec. 11-4a to the joint standing committee of the General Assembly on the
judiciary, added new Subdiv. (7) re recommendations for the enactment of policies designed to reduce risks and hazards
that may result in state liability for tortious conduct, added new Subdiv. (8) re status and disposition of claims administered
through the state insurance program, redesignated existing Subdiv. (7) as Subdiv. (9), added provision requiring the portion
of the report concerning the status and disposition of claims to include information re the number of pending claims, the
number of new claims brought in the preceding year, the number of claims disposed of in the preceding year and the amount
paid for those claims, and such other information as requested by the judiciary committee of the General Assembly, and
added provision requiring the report to identify each claim disposed of by payment of an amount exceeding one hundred
thousand dollars.
Annotation to former section 4-37c:
Cited. 26 CS 423.
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Secs. 4a-22 to 4a-24. Reserved for future use.
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