§ 74C-10. Certificate of liability insurance required; form and approval; suspension for noncompliance.
§ 74C‑10. Certificateof liability insurance required; form and approval; suspension fornoncompliance.
(a) through (d) Repealed by Session Laws 1983, c. 673, s. 4.
(e) No security guardand patrol, armored car, or special limited guard and patrol license shall beissued under this Chapter unless the applicant files with the Board evidence ofa policy of liability insurance. The policy must provide for the followingminimum coverage: fifty thousand dollars ($50,000) because of bodily injury ordeath of one person as a result of the negligent act or acts of the principalinsured or his agents operating in the course and scope of his employment;subject to said limit for one person, one hundred thousand dollars ($100,000)because of bodily injury or death of two or more persons as the result of thenegligent act or acts of the principal insured or his agents operating in thecourse and scope of his or her agency; twenty thousand dollars ($20,000)because of injury to or destruction of property of others as the result of thenegligent act or acts of the principal insured or his agents operating in thecourse and scope of his or her agency. If the licensee, other than a securityguard and patrol, armored car, or special limited guard and patrol licensee,carries a firearm while engaged in private protective services activities, thelicensee shall obtain a policy of liability insurance with a minimum coverageas specified above. A licensee is deemed to be "carrying a firearm"for purposes of this section while engaged in private protective services ifthe licensee has a firearm on the licensee's person or in the automobile thelicensee is using to perform private protective services.
(f) An insurancecarrier shall have the right to cancel such policy of liability insurance upongiving a 30‑day notice to the Board. Provided, however, that suchcancellation shall not affect any liability on the policy which accrued priorthereto. The policy of liability shall be approved by the Board as to form,execution, and terms thereon.
(g) The holder of anytrainee permit and persons registered pursuant to G.S. 74C‑11 shall notbe required to obtain a certificate of liability insurance.
(h) Every securityguard and patrol licensee, armored car licensee, special limited guard and patrollicensee, or licensee carrying a firearm while engaged in private protectiveservices shall at all times maintain on file with the Board the certificate ofinsurance required by this Chapter in full force and effect and upon failure todo so, the license of such licensee shall be automatically suspended and shallnot be reinstated until an application therefor, in the form prescribed by theBoard, is filed together with a proper insurance certificate.
No cancellation or refusal torenew by an insurer of a licensee under this Chapter shall be effective unlessthe insurer has given the insured licensee notice of the cancellation orrefusal to renew. Upon termination of insurance coverage for said licensee, theinsurer shall give notice to the Director of the Board.
(i) The Board may denythe application notwithstanding the applicant's compliance with this section:
(1) For any reason whichwould justify refusal to issue or a suspension or revocation of a license; or
(2) Because theapplicant engaged in a private protective services profession while theapplicant's license was suspended for failure to keep the required liabilityinsurance policy in force. (1973, c. 528, s. 1; 1979, c. 818, s. 2; 1981, c. 807,ss. 4, 5; 1983, c. 673, ss. 4‑6, 8; c. 794, s. 4; 1989, c. 759, s. 8;2001‑487, s. 64(e); 2007‑511, ss. 4, 5.)