1. In each odd-numbered year, or upon application for insurance, every state agency, political subdivision, and winter show insured under the fund shall report to the office the insurable value of each building, excluding buildings insured by private insurance companies, and the value of the fixtures and permanent contents insured under the fund, excluding fixtures and permanent contents insured by private insurance companies. State agencies, political subdivisions, and winter shows shall report any additional information required by the office to administer this chapter. The office shall provide forms for reporting. 2. Once every six years, each state agency insured under the fund shall obtain a replacement cost appraisal on all buildings, fixtures, and permanent contents under the agency's custody which are insured under this chapter. The office shall determine the manner of conducting the appraisal. Annually, except for any year an appraisal is conducted, each state agency insured under the fund shall adjust the appraised value as required by the office and the amount must be considered the replacement value. If an appraisal results in a substantial premium increase the office determines may not be paid through existing agency appropriations, the amount must be considered an earned receivable of the fund, and the agency shall seek a deficiency or general appropriation sufficient for payment during the next legislative session.
26.1-22-10. Insurance for buildings and personal property - Additional coverage - Township and school district property. 1. Upon application, the office shall provide for insurance against loss by fire, lightning, inherent explosion, windstorm, cyclone, tornado and hail, explosions, riot attending a strike, aircraft, smoke, vehicles, or may insure any other risks of direct physical loss, subject to the restrictions and exclusions determined by the office. a. Insurance under this section applies to all buildings owned by state agencies, political subdivisions, and winter shows, and the fixtures and permanent contents in the buildings. b. Insurance coverage under this section may not exceed the insurable value of the property. c. State-owned buildings constructed after 1939 and fixtures and permanent contents insured under this chapter must be insured at replacement cost unless the office approves an alternate value. d. The office may allow property to be insured on a blanket basis. 2. An insurance policy under this chapter must include the name of the insured, the location and description of the insured property, the amount of insurance coverage, and the amount of the assessment. 3. In lieu of or in addition to the coverage under this section, a state agency, political subdivision, or winter show may purchase insurance from an authorized insurance company for all: a. Buildings and the contents of the buildings owned by the state mill and elevator association. b. Public buildings owned by a political subdivision. c. Public libraries owned by the state or a political subdivision for damage through vandalism. 4. The office shall develop guidelines to be used by state agencies, political subdivisions, and winter shows to determine insurable values of property for insurance coverage and indirect loss coverage under this chapter. 5. This chapter does not apply to the property of any township or school district located outside of the incorporated limits of a city unless the township or school district requests and applies for insurance coverage under this chapter. The application must be approved in writing by the office to be effective. 6. A state agency, political subdivision, or winter show may not make payments, enter contracts, or incur debt for insurance on buildings, fixtures, or permanent contents except as provided under this chapter. 7. If the insurance is canceled under section 26.1-22-16, the state agency, political subdivision, or winter show may procure insurance from any authorized insurance company. 8. If a disagreement or dispute arises under this section, the office and the state agency, political subdivision, or winter show shall settle the disagreement or dispute under section 26.1-22-11.