2006 South Dakota Code - 3-22-7 — Payment of claims for which member is liable--Exceptions--Reimbursement ofdeductible by members--Consultation with attorney general--Submission to bureau--Subrogation.

     3-22-7.   Payment of claims for which member is liable--Exceptions--Reimbursement of deductible by members--Consultation with attorney general--Submission to bureau--Subrogation. Except as limited by agreement between the bureau and a sub-pool or the state, the PEPL shall pay any valid claim up to the limits established by § 3-22-1, except claims for punitive damages, for which a member shall be liable arising under the areas covered by this chapter. Payment shall be based upon any final judgment or agreed upon settlement except that each member other than the state shall reimburse the PEPL, as a deductible amount, the first five thousand dollars of any claim including associated attorney's fees and expenses. Prior to payment of any claim, the director shall consult with the attorney general to determine if the claim should be further contested through trial, appeal, collateral attack, or should be paid. If the director and attorney general cannot agree upon the proper course of action the matter shall be submitted to the bureau whose direction is final. The PEPL shall be fully subrogated to any right of recovery a member may be entitled to, associated with any claim paid pursuant to this section.

Source: SL 1986, ch 413, § 7; SL 1987, ch 40, § 5.