Alabama Attorney General Opinion 1979-0002

# THE ATTORNEY GENERAL STATE OF ALABAMA · MONTGOMERY, ALABAMA 36130 CHARLES A. GRADDICK ATTORNEY GENERAL File #2 January 23, 1979 79-00002 Mr. Gary L. Blume Assistant University Counsel The University of Alabama University, Alabama 35486 University of Alabama - State Insurance Fund - Code of Alabama 1975, §41-15-1 requires insurance against loss by fire, lightning, windstorm and hail or fire and all the perils included under extended coverage shall be carried in the State Insurance Fund. Dear Mr. Blume: Your request of October 26, 1978, pertaining to insurance on the University of Alabama properties in the State Insurance Fund, has been received and considered. The provisions of Code of Alabama 1975, §41-15-1, as cited in your inquiry require insurance "carried for the purpose of insuring loss by fire, lightning, windstorm and hail or fire and all the perils included under extended coverage on buildings in which title, in whole or in part, is vested in the State of Alabama or any of its agencies or institutions or in which funds provided by the State have been Mr. Gary L. Blume Assistant University Counsel The University of Alabama January 23, 1979 Page Two used for the purchase of the land, construction of the building, purchase or maintenance of any equipment, furniture, fixtures of supplies in such buildings" to be carried in the State Insurance Fund. The fact that self-insurance and other types of insurance are not mentioned in said Code section is indicative of the fact that such insurance is not intended to be carried by those agencies and institutions described in said Code section. As a matter of fact, the State Insurance Fund provides for a portion of self-insurance inasmuch as a portion of the coverage provided is reinsured with private insurance com- panies. Hence, the reinsurance feature is already in existence. It will be necessary for legislative action to provide any other or different type of coverage as mentioned in your request. If this office can serve you in any way in the premises, please advise. Yours very truly, CHARLES A. GRADDICK Attorney General by- Randolph G. Lurie Randolph G. Lurie Assistant Attorney General RGL:cd