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When the term indemnity is used in the authorized sense, it may also check with an exemption from liability for damages. The insurance may be for the period that’s set forth in specifications for aggressive bids or, when aggressive bidding just isn’t required, for the period that is mutually agreed upon by the political subdivision and insurance firm. The interval doesn’t need to be, but may be, limited to the fiscal cycle underneath which the political subdivision is funded and operates. All actions filed against a political subdivision shall be filed within the name of the real party or parties in curiosity and in no event could any declare be introduced or restoration be had underneath the proper of subrogation. Such judgments shall be paid from funds of the political subdivisions which have been appropriated for that objective.
