§ 34-65. Liability insurance or bond.

(a)

No public vehicle shall be operated or license issued therefor unless the owner has filed with the city manager a liability insurance policy issued by an insurance company authorized to do business in the state, providing for motor vehicle liability insurance with a combined single limit which shall equal or exceed the greater of: (i) one hundred twenty-five thousand dollars ($125,000.00) or (ii) the amount of insurance required by the state corporation commission for operation of a taxicab as provided in Article 7 of Title 56 of the Code of Virginia, (1950), as amended.

(b)

In lieu of the insurance policy referred to in subsection (a) above, the owner of a public vehicle may deposit its bond on which a surety company authorized to do business in the state is obligated, naming the city as obligee and insuring persons who may be injured or whose property may be damaged by the operation of such public vehicle, in the same amounts, and conditioned that action may be brought thereon by any person so damaged against the surety company for the amount of such damage, up to the amount named therein.

(c)

The insurance policy or bond provided for in this section shall be subject to the approval of the city manager.

(d)

The policy of insurance or bond deposited pursuant to this section shall contain a clause obligating the company issuing the same to give twenty (20) days' notice in writing to the city manager before cancellation thereof. The license for the operation of such public vehicle shall expire upon the lapse or termination of such policy or bond, subject to reinstatement upon compliance with the provisions hereinabove contained, but such cancellation shall not relieve the insurance or surety company of liability for any injury happening before such cancellation becomes effective.

(Code 1956, Tit. XIX, Ch. 1, § 17; Ord. No. 32768, § 1, 12-11-95)

(Code 1956, Tit. XIX, Ch. 1, § 17; Ord. No. 32768, § 1, 12-11-95)