[HISTORY: Adopted by the Municipal Council of the City of Clifton as indicated in article histories. Amendments noted where applicable.]
Article I Fire Insurance Claims
Article II Self-Insurance Fund
[Adopted 2-20-1979 by Ord. No. 4493-79 (Article 8 of Chapter 12 of the Revised Ordinances of the City of Clifton, New Jersey, 1960)]
This article is adopted pursuant to and in accordance with the authority vested in a municipality by virtue of Chapter 184 of the Laws of New Jersey 1978 (N.J.S.A. 17:36-8 et seq.), signed into law by the Governor of this state on January 8, 1979. The terms and provisions of said Chapter 184 are hereby adopted by reference and incorporated herein just as though fully recited in this article. In the event that any provision of this article varies or is not in accordance with the terms and provisions of the aforementioned Chapter 184, then it is intended that the terms and provisions of said chapter shall prevail.
No insurance company authorized to issue fire insurance policies in this state shall pay any claims in excess of $2,500 on any real property located within the City of Clifton, unless and until all taxes and assessments and all other municipal liens or charges due and payable appearing on an official certificate of search shall have been paid either by the owner of such real property or by the insurance company pursuant to and in accordance with the terms and provisions of said Chapter 184, or until the City submits to the insurance company a copy of a resolution adopted pursuant to and in accordance with the terms and provisions of said chapter.
Upon adoption of this article, a certified copy thereof shall be filed with the State Commissioner of Insurance.
This article shall become operative as soon as the aforementioned Chapter 184, by its terms, becomes operative.
[Adopted 10-5-2016 by Ord. No. 7326-16]
State statutes (N.J.S.A. 40A:100-1 et seq.) permit a local unit of local government to provide for insurance against loss by either insuring with any insurance company authorized to do business in the State of New Jersey, or through the creation of various insurance funds.
A combination of both methods results in the best opportunity to provide coverage at the lowest cost to the City of Clifton.
Said statutes referenced above require the establishment of insurance funds where coverages are to be retained and administered by the local unit of government.
There is established an insurance fund in accordance with the provisions of N.J.S.A. 40A:10-6, and for the reasons set forth therein, and to:
Insure against any loss or damage, however caused, to any property, motor vehicles, equipment or apparatus owned by it or owned by or under the control of any of its departments, boards, agencies or commissions;
Insure against liability resulting from the use or operation of motor vehicles, equipment or apparatus owned by or controlled by it or owned by or under the control of any of its departments, boards, agencies or commissions;
Insure against liability for its negligence and that of its officers, employees and servants, whether or not compensated or part-time, who are authorized to perform any act or services, but not including an independent contractor within the limitations of the New Jersey Tort Claims Act (N.J.S.A. 59:1-1 et seq.); and
Provide contributory or noncontributory self-funded, or partially self-funded, health benefits to employees or their dependents, or both, in accordance with rules and regulations of the Director of the Division of Local Government Services in the Department of Community Affairs.
The Municipal Council may designate the maximum or minimum amount of the insurance fund, and from time to time, provide for the disposition of any excess over and above the maximum amount fixed or of the interest or profits arising therefrom when the funds shall have breached the maximum limit.
Pursuant to the discretionary authority contained in N.J.S.A. 40A:10-12 et seq., the Workers' Compensation Insurance Fund is established.