§44305. Insuring United States Government property

(a) General.-With the approval of the President, a department, agency, or instrumentality of the United States Government may obtain-

(1) insurance under this chapter, including insurance for risks from operating an aircraft in intrastate or interstate air commerce, but not including insurance on valuables subject to sections 1 and 2 of the Government Losses in Shipment Act (40 U.S.C. 721, 722); and

(2) insurance for risks arising from providing goods or services directly related to and necessary for operating an aircraft covered by insurance obtained under clause (1) of this subsection if the aircraft is operated-

(A) in carrying out a contract of the department, agency, or instrumentality; or

(B) to transport military forces or materiel on behalf of the United States under an agreement between the Government and the government of a foreign country.

(b) Premium Waivers and Indemnification.-With the approval required under subsection (a) of this section, the Secretary of Transportation may provide the insurance without premium at the request of the Secretary of Defense or the head of a department, agency, or instrumentality designated by the President when the Secretary of Defense or the designated head agrees to indemnify the Secretary of Transportation against all losses covered by the insurance. The Secretary of Defense and any designated head may make indemnity agreements with the Secretary of Transportation under this section.

( Pub. L. 103–272, §1(e), July 5, 1994, 108 Stat. 1170 .)

In this section, the words "a department, agency, or instrumentality" are substituted for "Any department or agency" for clarity and consistency in the revised title and with other titles of the United States Code.

In subsection (a)(1), the words "obtain insurance under this chapter" are substituted for "procure from the Secretary any of the insurance provided under this subchapter" to eliminate unnecessary words. The words "overseas air commerce" are omitted for the reasons given in the revision note for section 40101.

In subsection (b), the words "or the head of a department, agency, or instrumentality designated by the President" are substituted for "and such other agencies as the President may prescribe" as being more precise and for consistency in the revised title. The words "when the Secretary of Defense or the designated head agrees" are substituted for "in consideration of" for clarity. The words "any designated head" are substituted for "the agreement of . . . such agency" and "such other agencies" for clarity and because of the restatement.

Section Referred to in Other Sections

This section is referred to in section 44302 of this title.