319.114. Evidence of financial responsibility required to cover certain damages--rules to be established by department.
Evidence of financial responsibility required to cover certaindamages--rules to be established by department.
319.114. 1. The department shall establish rules requiringthe owner or operator to maintain evidence of financialresponsibility in an amount and form sufficient for takingcorrective action and compensating third parties for bodilyinjury and property damage caused by sudden and nonsuddenaccidental releases arising from the operation of an undergroundstorage tank.
2. The form of the evidence of financial responsibilityrequired by this section may be by any one, or any combination,of the following methods: cash trust fund, guarantee,insurance, surety or performance bond, letter of credit,qualification as a self-insurer, or any other methodsatisfactory to the department. In adopting requirements underthis section, the department may specify policy or othercontractual terms, conditions, or defenses which are necessaryor are unacceptable in establishing the evidence of financialresponsibility.
3. The amount of financial responsibility required shallnot exceed the amount required for compliance with section 9003of subtitle I of the federal Resource Conservation and RecoveryAct of 1976 (P.L. 94-580), as amended.
4. The total liability of a guarantor shall be limited tothe aggregate amount which the guarantor has provided asevidence of financial responsibility to the owner or operatorunder this section. Nothing in this subsection shall beconstrued to limit any other state or federal statutory,contractual, or common law liability of a guarantor to its owneror operator, including, but not limited to, the liability ofsuch guarantor for bad faith either in negotiating or in failingto negotiate the settlement of any claim. Nothing in thissubsection shall be construed to diminish the liability of anyperson under section 107 or 111 of the ComprehensiveEnvironmental Response, Compensation and Liability Act of 1980(P.L. 96-510), as amended, or other applicable law.
(L. 1989 H.B. 77, et al. § 7)