10 U.S.C. § 9514 — Indemnification of Department of Transportation for losses covered by defense-related aviation insurance
submitted 30 years ago by Pub. L. 104-201 to r/title-10-ARMED-FORCES · 687 words · no verdicts yet
Defense must promptly reimburse Transportation for covered defense-related aviation-insurance losses, subject to deadlines and procedures in this section.
(a)(1) For a covered loss, Defense must promptly reimburse Transportation for the amount required by their indemnity agreement. For an aircraft*-hull claim, payment is due within 30 days after Transportation decides it is payable or that policy amounts are due. For any other claim, it is due within 180 days after Transportation decides it is payable. (2) While a covered or possibly covered hull claim is pending, Transportation may make required periodic payments to the aircraft lessor or mortgagee, beginning within 30 days after the claim is presented. If payable, those payments reduce insurance due; if not payable, they become a debt to the United States payable to the insurance fund, and returned amounts go promptly back to the paying fund or account. (b) Defense may pay* indemnity from available operation-and-maintenance funds, and necessary sums are authorized for transfer to Transportation. (c) For a covered incident exceeding or expected to exceed $10 million, Defense must notify Congress as soon as possible and no later than 30 days after the loss. (d) Payment is not subject to sections 2214 or 2215 or another law requiring notice before transfer. Claims from the same incident need not be consolidated. (e) This transfer authority supplements other transfer authority and is not subject to another authority’s dollar limit or notice requirement. (f) “Defense-related aviation insurance” means aviation insurance or reinsurance issued by Transportation under chapter 443 of title 49, provided without premium at Defense’s request under section 44305(b), and covered by their indemnity agreement. “Loss” includes property damage or destruction, personal injury or death, and other covered liabilities and expenses.
In the event of a loss that is covered by defense-related aviation insurance, the Secretary* of Defense shall promptly indemnify the Secretary of Transportation for the amount of the loss consistent with the indemnification agreement between the two Secretaries that underlies such insurance. The Secretary of Defense shall make such indemnification—
in the case of a claim for the loss of an aircraft* hull, not later than 30 days after the date on which the Secretary of Transportation determines the claim to be payable or that amounts are due under the policy that provided the defense-related aviation insurance; and
in the case of any other claim, not later than 180 days after the date on which the Secretary of Transportation determines the claim to be payable.
When there is a loss of an aircraft hull that is (or may be) covered by defense-related aviation insurance, the Secretary of Transportation may make, during the period when a claim for such loss is pending with the Secretary of Transportation, any required periodic payments owed by the insured party to a lessor or mortgagee of such aircraft. Such payments shall commence not later than 30 days following the date of the presentment of the claim for the loss of the aircraft hull to the Secretary of Transportation. If the Secretary of Transportation determines that the claim is payable, any amount paid under this paragraph arising from such claim shall be credited against the amount payable under the aviation insurance. If the Secretary of Transportation determines that the claim is not payable, any amount paid under this paragraph arising from such claim shall constitute a debt to the United States, payable to the insurance fund. Any such amounts so returned to the United States shall be promptly credited to the fund or account from which the payments were made under this paragraph.
The Secretary of Defense may pay* an indemnity described in subsection (a) from any funds available to the Department of Defense for operation and maintenance, and such sums as may be necessary for payment of such indemnity are hereby authorized to be transferred to the Secretary of Transportation for such purpose.
In the event of a loss that is covered by defense-related aviation insurance in the case of an incident in which the covered loss is (or is expected to be) in an amount in excess of $10,000,000, the Secretary of Defense shall submit to Congress notification of the loss as soon after the occurrence of the loss as possible and in no event more than 30 days after the date of the loss.
Payment of indemnification under this section is not subject to section 2214 or 2215 of this title or any other provision of law requiring notification to Congress before funds may be transferred.
Consolidation of claims arising from the same incident is not required before indemnification of the Secretary of Transportation for payment of a claim may be made under this section.
Authority to transfer funds under this section is in addition to any other authority provided by law to transfer funds (whether enacted before, on, or after the date of the enactment of this section) and is not subject to any dollar limitation or notification requirement contained in any other such authority to transfer funds.
In this section:
The term “defense-related aviation insurance” means aviation insurance and reinsurance provided through policies issued by the Secretary of Transportation under chapter 443 of title 49 that pursuant to section 44305(b) of that title is provided by that Secretary without premium at the request of the Secretary of Defense and is covered by an indemnity agreement between the Secretary of Transportation and the Secretary of Defense.
The term “loss” includes damage to or destruction of property, personal injury or death, and other liabilities and expenses covered by the defense-related aviation insurance.
Source credit: (Added Pub. L. 104–201, div. A, title X, § 1079(a)(1), Sept. 23, 1996, 110 Stat. 2667; amended Pub. L. 108–136, div. A, title X, § 1031(a)(60), Nov. 24, 2003, 117 Stat. 1603; Pub. L. 112–81, div. A, title X, § 1064(10), Dec. 31, 2011, 125 Stat. 1587; Pub. L. 117–81, div. A, title X, § 1083(c)(1)(C), Dec. 27, 2021, 135 Stat. 1923.)
- 1996Enacted · Pub. L. 104-201 · 110 Stat. 2667
- 2003Amended · Pub. L. 108-136 · 117 Stat. 1603
- 2011Amended · Pub. L. 112-81 · 125 Stat. 1587
- 2021Amended · Pub. L. 117-81 · 135 Stat. 1923
A history note hasn’t been published yet. The record shows enactment by Pub. L. 104-201 on 1996-09-23.
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