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VA SB228

VA SB228
Localities; liability insurance, certain waiver of sovereign immunity.


summary

Introduced
01/10/2026
In Committee
02/12/2026
Crossed Over
Passed
Dead

Introduced Session

2026 Regular Regular Session

Bill Summary

Localities; liability insurance; certain waiver of sovereign immunity. Provides that a locality or political subdivision may provide liability insurance, including self-insurance, to cover damages or other expenses in certain civil actions arising out of an act or omission of certain officers, employees, board or commission members, or volunteers while such person is acting within the scope of his official duties. The bill provides that the provision of such liability insurance or self-insurance shall constitute a waiver of sovereign immunity in an amount not to exceed the combined total of any self-insurance coverage, insurance coverage under a group self-insurance pool, or any coverage pursuant to a policy purchased from an insurance company, including any excess or reserve coverage. The bill also provides that the insurer or self-insured shall not have a duty to defend or indemnify any covered person in cases where the act or omission took place outside the scope of such covered person's employment or official duties, where such act or omission was done maliciously or occurred as a result of gross negligence or willful misconduct, or is otherwise excluded by the terms of the policy.

AI Summary

This bill allows local governments and political subdivisions to purchase liability insurance, including self-insurance, to cover damages and expenses for civil lawsuits arising from the actions or omissions of their officers, employees, board or commission members, or volunteers while they are performing their official duties. The provision of this insurance or self-insurance will act as a waiver of sovereign immunity, which is a legal protection that shields government entities from lawsuits, but only up to the total amount of the insurance coverage. However, the insurer or self-insured entity will not be obligated to defend or indemnify anyone if the act or omission occurred outside the scope of their official duties, was done maliciously, or resulted from gross negligence or willful misconduct, or if it's otherwise excluded by the insurance policy. This bill also clarifies that the waiver of sovereign immunity does not expand a locality's liability beyond what is authorized, create new causes of action, or affect rights under the Virginia Tort Claims Act.

Committee Categories

Budget and Finance, Government Affairs

Sponsors (1)

Last Action

Continued to next session in Finance and Appropriations (15-Y 0-N) (on 02/12/2026)

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