R2-10-301. Insurance: Purchase and Contracts

A. An agency seeking to purchase property, liability, or workers’ compensation insurance shall request RM’s approval in writing at least 90 days before the desired effective date of coverage. RM shall not reimburse an agency for the purchase of property, liability, or workers’ compensation insurance that has not been approved by RM. B. An agency shall submit a written request for approval to RM before the agency does one or more of the following: 1. Names or agrees to name any person or entity as an additional insured under the state’s self-insurance or any other insurance obtained by or with RM’s approval; 2. Provides or agrees to provide a Certificate of Insurance; 3. Agrees to indemnify, hold harmless, or limit the liability of any party to a contract, lease, or other written agreement; or 4. Waives or agrees to waive the state’s or the agency’s right to subrogate with regard to any party to a contract, lease, or other written agreement. C. The written request prescribed in subsection (B) shall be signed by the agency director and include all of the following: 1. The circumstances of the request; 2. Whether the party to the contract, lease, or written agreement is a sole source for the state; 3. The level or additional risk of loss to the state resulting from the requested action; 4. Whether the requested action helps the agency accomplish the agency’s mission; and 5. An explanation of why the action to be approved is in the best interest of the state. D. If a contract requires the state to be named as an additional insured, the contracting agency shall ensure that the name of the contracting agency and the state are included on the applicable additional insured endorsement(s).