537.620. Political subdivisions may jointly create entity to provide insurance--entity created not deemed an insurance company or insurer.
Political subdivisions may jointly create entity to provideinsurance--entity created not deemed an insurance company orinsurer.
537.620. Notwithstanding any direct or implied prohibitions in chapter375, RSMo, 377, RSMo, or 379, RSMo, any three or more political subdivisionsof this state may form a business entity for the purpose of providingliability and all other insurance, including insurance for elderly orlow-income housing in which the political subdivision has an insurableinterest, for any of the subdivisions upon the assessment plan as provided insections 537.600 to 537.650. Any public governmental body or quasi-publicgovernmental body, as defined in section 610.010, RSMo, and any politicalsubdivision of this state or any other state may join this entity and usepublic funds to pay any necessary assessments. Except for being subject tothe regulation of the director of the department of insurance, financialinstitutions and professional registration under sections 375.930 to 375.948,RSMo, sections 375.1000 to 375.1018, RSMo, and sections 537.600 to 537.650,any such business entity shall not be deemed to be an insurance company orinsurer under the laws of this state, and the coverage provided by such entityand the administration of such entity shall not be deemed to constitute thetransaction of an insurance business.
(L. 1978 H.B. 1650 § 3, A.L. 1988 S.B. 532, A.L. 1999 S.B. 28, A.L. 2006 H.B. 1703)