72nd OREGON LEGISLATIVE ASSEMBLY--2003 Regular Session
Enrolled
Senate Bill 943
Sponsored by COMMITTEE ON RULES
CHAPTER ................
AN ACT
Relating to construction contractors; creating new provisions;
amending ORS 701.105; and declaring an emergency.
Be It Enacted by the People of the State of Oregon:
SECTION 1. ORS 701.105 is amended to read:
701.105. (1) { + Except as provided in subsection (2) of this
section, + } a contractor who possesses a license as required
under this chapter shall have in effect public liability,
personal injury and property damage insurance covering the work
of the contractor that is subject to this chapter, for an amount
not less than:
(a) $500,000 for a general contractor.
(b) $300,000 for a residential-only specialty contractor.
(c) $500,000 for all other specialty contractors.
(d) $100,000 for a limited contractor.
(e) $300,000 for an inspector.
{ + (2) The Construction Contractors Board by rule, in
consultation with the Department of Consumer and Business
Services, may allow a general or specialty contractor that is a
residential-only contractor to provide an alternative form of
security approved by the board instead of procuring a public
liability, personal injury and property damage insurance policy.
The board may approve an alternative form of security if the
board determines that the alternative form of security provides
protection to the public equivalent to the protection provided by
an insurance policy in the amounts otherwise applicable to the
residential-only contractor under subsection (1) of this section.
A board-approved alternative form of security may consist of a
combination of financial resources.
(3) A residential-only contractor who provides a board-approved
alternative form of security under subsection (2) of this section
is considered for purposes of this chapter to have obtained
insurance described in subsection (1) of this section. This
subsection does not subject to regulation as an insurer a person
who issues all or part of an alternative form of security, unless
the alternative form of security otherwise qualifies as an
insurance product. + }
{ - (2) - } { + (4) + } The contractor shall provide
satisfactory evidence to the { - Construction Contractors - }
board at the time of licensure and renewal that the insurance
{ + policy or board-approved alternative form of security + }
required by { - subsection (1) of - } this section has been
procured and is in effect.
Enrolled Senate Bill 943 (SB 943-A) Page 1
SECTION 2. ORS 701.105, as amended by section 1 of this 2003
Act, is amended to read:
701.105. (1) { - Except as provided in subsection (2) of this
section, - } A contractor who possesses a license as required
under this chapter shall have in effect public liability,
personal injury and property damage insurance covering the work
of the contractor that is subject to this chapter, for an amount
not less than:
(a) $500,000 for a general contractor.
(b) $300,000 for a residential-only specialty contractor.
(c) $500,000 for all other specialty contractors.
(d) $100,000 for a limited contractor.
(e) $300,000 for an inspector.
{ - (2) The Construction Contractors Board by rule, in
consultation with the Department of Consumer and Business
Services, may allow a general or specialty contractor that is a
residential-only contractor to provide an alternative form of
security approved by the board instead of procuring a public
liability, personal injury and property damage insurance policy.
The board may approve an alternative form of security if the
board determines that the alternative form of security provides
protection to the public equivalent to the protection provided by
an insurance policy in the amounts otherwise applicable to the
residential-only contractor under subsection (1) of this section.
A board-approved alternative form of security may consist of a
combination of financial resources. - }
{ - (3) A residential-only contractor who provides a
board-approved alternative form of security under subsection (2)
of this section is considered for purposes of this chapter to
have obtained insurance described in subsection (1) of this
section. This subsection does not subject to regulation as an
insurer a person who issues all or part of an alternative form of
security, unless the alternative form of security otherwise
qualifies as an insurance product. - }
{ - (4) - } { + (2) + } The contractor shall provide
satisfactory evidence to the { + Construction Contractors + }
Board at the time of licensure and renewal that the insurance
{ - policy or board-approved alternative form of security - }
required by { + subsection (1) of + } this section has been
procured and is in effect.
SECTION 3. { + The amendments to ORS 701.105 by section 2 of
this 2003 Act become operative on January 2, 2008. + }
SECTION 4. { + This 2003 Act being necessary for the immediate
preservation of the public peace, health and safety, an emergency
is declared to exist, and this 2003 Act takes effect on its
passage. + }
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Enrolled Senate Bill 943 (SB 943-A) Page 2
Passed by Senate August 22, 2003
...........................................................
Secretary of Senate
...........................................................
President of Senate
Passed by House August 25, 2003
...........................................................
Speaker of House
Enrolled Senate Bill 943 (SB 943-A) Page 3
Received by Governor:
......M.,............., 2003
Approved:
......M.,............., 2003
...........................................................
Governor
Filed in Office of Secretary of State:
......M.,............., 2003
...........................................................
Secretary of State
Enrolled Senate Bill 943 (SB 943-A) Page 4