42 USC 4082 - Use of insurance pool, companies, or other private organizations for certain payments

U.S Code last checked for updates: Nov 22, 2024

§ 4082.

Use of insurance pool, companies, or other private organizations for certain payments

(a)

Authorization to enter into contracts for certain responsibilities

In order to provide for maximum efficiency in the administration of the flood insurance program and in order to facilitate the expeditious payment of any Federal funds under such program, the Administrator may enter into contracts with pool formed or otherwise created under section 4051 of this title, or any insurance company or other private organizations, for the purpose of securing reinsurance of insurance coverage provided by the program or for the purpose of securing performance by such pool, company, or organization of any or all of the following responsibilities:

(1)

Estimating and later determining any amounts of payments to be made.

(2)

Receiving from the Administrator, disbursing, and accounting for funds in making such payments.

(3)

Making such audits of the records of any insurance company or other insurer, insurance agent or broker, or insurance adjustment organization as may be necessary to assure that proper payments are made.

(4)

Placing reinsurance coverage on insurance provided by such program.

(5)

Otherwise assisting in such manner as the contract may provide to further the purposes of this chapter.

(b)

Terms and conditions of contract

(c)

Competitive bidding

(d)

Findings of Administrator

(e)

Bond; liability of certifying officers and disbursing officers

(1)

Any such contract may require the pool, company, or organization or any of its officers or employees certifying payments or disbursing funds pursuant to the contract, or otherwise participating in carrying out the contract, to give surety bond to the United States in such amount as the Administrator may deem appropriate.

(2)

No individual designated pursuant to a contract under this section to certify payments shall, in the absence of gross negligence or intent to defraud the United States, be liable with respect to any payment certified by him under this section.

(3)

No officer disbursing funds shall in the absence of gross negligence or intent to defraud the United States, be liable with respect to any payment by him under this section if it was based upon a voucher signed by an individual designated to certify payments as provided in paragraph (2) of this subsection.

(f)

Term of contract; renewals; termination

(Pub. L. 90–448, title XIII, § 1346, Aug. 1, 1968, 82 Stat. 585; Pub. L. 98–181, title I [title IV, § 451(d)(1)], Nov. 30, 1983, 97 Stat. 1229; Pub. L. 112–141, div. F, title II, §§ 100232(d)(4), 100238(b)(1), July 6, 2012, 126 Stat. 954, 958.)

cite as: 42 USC 4082