Risk Management Fund
Liability coverage for the state of North Dakota, its agencies and employees is provided by the Risk Management Fund. The State Tort Claims Act, NDCC ch. 32-12.2 (43kb PDF), governs the administration of the Risk Management Fund and claims against the State and State employees for personal injury, death, or property damage caused by the State or a State employee acting within the scope of the employee’s employment.
Covered Damages: The Risk Management Fund will pay money damages for 1) an injury caused by the negligence or wrongful act or omission of a State employee acting within the employee’s scope of employment which the employee would be personally liable to pay a claimant under state law and 2) an injury caused from some condition or use of tangible property under circumstances in which the State, if it were a private person, would be liable to the claimant. Coverage includes claims for damages resulting from an occurrence, accident, wrongful act, error or omission or claim made because of bodily injury, personal injury, property damage, professional liability, or public officials’ professional liability or any combination thereof. The Risk Management Fund will not pay money damages for those claims excluded under NDCC ch. 32-12.2 or other applicable law.
Coverage Limits: The amount of money damages the Risk Management Fund may pay is limited to a total of two hundred fifty thousand dollars ($250,000) per person and one million dollars ($1,000,000) per occurrence. The Risk Management Fund will not be held liable or indemnify a State employee held liable for punitive or exemplary damages.
Legal Defense: The Risk Management Fund also provides legal defense of any claim brought against the State under NDCC ch. 32-12.2 or brought against a state employee acting within the scope of employment at no cost to the employee.
- These topics are discussed in more detail in the Risk Management Manual.