Louisiana 2014 Regular Session

Louisiana Senate Bill SCR40 Latest Draft

Bill / Introduced Version

                            SLS 14RS-295	ORIGINAL
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Regular Session, 2014
SENATE CONCURRENT RESOLUTI ON NO. 40
BY SENATOR WHITE 
PRIVATE SECURITY.  Reduces the amount of insurance required of licensed private
security companies for care, custody, and control from $500,000 to $100,000.
A CONCURRENT RESOLUTI ON1
To amend the Department of Public Safety and Corrections rule (LAC2
46:LIX.203(A)(10)(a)) that provides relative to general liability insurance required3
of private contract security companies; to reduce the minimum amount of insurance4
coverage required for care, custody, and control from five hundred thousand dollars5
to one hundred thousand dollars; and to direct the office of the state register to print6
the amendment in the Louisiana Administrative Code.7
WHEREAS, R.S. 37:3276(E) requires a licensed private security company to have8
in effect general liability insurance of at least five hundred thousand dollars, with the state9
of Louisiana named as an additional insured; and10
WHEREAS, LAC 46:LIX.203(A)(10)(a) requires that the general liability policy11
required by R.S. 37:3276 shall, at a minimum, contain coverage provisions for hiring,12
training and retention, errors and omissions, firearms, and care, custody, and control, with13
minimum limits equal to those set forth in R.S. 37:3276 and with contractual liability14
exclusive of sole negligence; and15
WHEREAS, only one insurance company in Louisiana will issue a policy with a16
care, custody, and control endorsement with such high limits, thus placing an undue burden17
on many private security companies wishing to do business in this state; and 18 SCR NO. 40
SLS 14RS-295	ORIGINAL
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WHEREAS, the goal of state law should be to encourage business development and1
growth, while protecting the public, both of which can be accomplished with lower limits2
on care, custody, and control coverage for private security companies.3
THEREFORE, BE IT RESOLVED by the Legislature of Louisiana that LAC4
46:LIX.203(A)(10)(a) is hereby amended to read as follows:5
ยง203.  Application Procedure6
A. Application must be made to the board on application forms obtained7
from the board. If the applicant is an individual, the application shall be subscribed8
and sworn to by such person. If the applicant is a partnership, the application shall9
be subscribed and sworn to by each partner. If the applicant is a corporation, it shall10
be subscribed and sworn to by at least two principal corporate officers. The11
application shall include the following information:12
*          *          *13
10.  general liability insurance:14
a. the general liability policy as required by R.S. 37:3276 shall name the15
state of Louisiana as an additional insured and, at a minimum, shall contain16
contractual liability exclusive of sole negligence and:17
(i) coverage provisions for hiring, training and retention; errors and18
omissions; and firearms; care, custody and control, with minimum limits equal to19
those set forth in R.S. 37:3276 for general liability coverage and with contractual20
liability exclusive of sole negligence. The policy shall not void coverage for all21
insureds based upon the exclusion of one insured;22
(ii) an amendatory endorsement for care, custody, and control, with23
minimum limits of one hundred thousand dollars;24
*          *          *25
BE IT FURTHER RESOLVED that a copy of this Resolution be transmitted to the26
office of the state register and the secretary of the Department of Public Safety and27
Corrections.28
BE IT FURTHER RESOLVED that the office of the state register is hereby directed29
to have the amendments to LAC 46:LIX.203(A)(10)(a) printed and incorporated into the30 SCR NO. 40
SLS 14RS-295	ORIGINAL
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Louisiana Administrative Code.1
The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Alden A. Clement Jr.
DIGEST
White	SCR No. 40
Changes rule requiring a licensed private security company to have in effect a general
liability policy containing, at a minimum, coverage provisions for hiring, training and
retention, errors and omissions, firearms, and care, custody, and control, with minimum
limits of $500,000 and with contractual liability exclusive of sole negligence.
Changes the minimum limits for the required coverage for care, custody, and control
from $500,000 to $100,000.
Directs the transmission of copies of this Resolution to the office of the La. Register and the
secretary of the Dept. of Public Safety and Corrections.
Directs the La. Register to print the amendments in the La. Administrative Code.