Present law authorizes any governmental entity to purchase insurance to cover its liability under the "Tennessee Governmental Tort Liability Act." Every policy or contract of insurance purchased by a governmental entity as authorized by such Act must provide certain minimum limits for bodily injury or death based on when the actions arise. For example, for actions arising on or after July 1, 2007, such policies or contracts must provide minimum limits of not less than $300,000 for bodily injury or death of any one person in any one accident, occurrence, or act, and not less than $700,000 for bodily injury or death of all persons in any one accident, occurrence, or act, and $100,000 for injury or destruction of property of others in any one accident, occurrence, or act. For actions arising on or after July 1, 2025, this bill revises the present law by requiring such policies or contracts of insurance to provide increased minimum limits of not less than $750,000 for bodily injury or death of any one person in any one accident, occurrence, or act, and not less than $1.5 million for bodily injury or death of all persons in any one accident, occurrence, or act, and $250,000 for injury or destruction of property of others in any one accident, occurrence, or act.

Statutes affected:
Introduced: 29-20-403(b), 29-20-403