1 Bodily Injury Actions Against Governmental Units; Liability for Negligence RSA 507-B:2 is repealed and reenacted to read as follows:

507-B:2 Liability for Negligence.

I. A governmental unit may be held liable for damages for:

(a) Bodily injury, personal injury, death, or property damages caused by the failure of the governmental unit or its officials or employees acting within the scope of their authority to follow the appropriate standard of care when that duty was owed to the person making the claim, including any right of action for money damages which either expressly or by implication arises from any law, unless another remedy for such claim is expressly provided by law; or

(b) Property damages suffered by a governmental unit employee or official during the performance of that employee's or official's duties while on the governmental unit's business where compensation is appropriate under principles of equity and good conscience;

(c) Provided, however, that the liability of any governmental unit with respect to its sidewalks, streets, and highways shall be limited as provided in RSA 231 and the liability of any governmental unit with respect to publicly owned airport runways and taxiways shall be limited as set forth in RSA 422.

II. The provisions of this chapter shall not apply to:

(a) Any claim based upon an act or omission of an employee or official of a governmental unit when such employee or official is exercising due care in the execution of any statute or any regulation of a public employer, or any municipal ordinance.

(b) Any claim based upon the exercise or performance or the failure to exercise or perform a discretionary executive or planning function or duty on the part of an employee or official of a governmental unit acting within the scope of his office or employment.

2 Bodily Injury Actions Against Governmental Units; Limit of Liability. Amend RSA 507-B:4, I to read as follows:

I. Liability of a governmental unit for bodily injury, personal injury or property damage sustained by any one person in actions brought under this chapter is limited to $325,000 . Such limit applies in the aggregate to any and all actions to recover for bodily injury, personal injury or property damage sustained by one person in a single incident or occurrence. Liability of a governmental unit for bodily injury, personal injury, or property damage sustained by any number of persons in a single incident or occurrence is limited to $1,000,000. The limits applicable to any action shall be the limits in effect at the time of the judgment or settlement.

3 Bodily Injury Actions Against Governmental Units; Insurance Policies Procured by Governmental Agency. Amend RSA 507-B:7-a to read as follows:

507-B:7-a Insurance Policies Procured by Governmental Agency. It shall be lawful for the state or any municipal subdivision thereof, including any county, city, town, school district, school administrative unit or other district, to procure the policies of insurance described in RSA 412 . In any action against the state or any municipal subdivision thereof to enforce liability on account of a risk so insured against, the insuring company or state or municipal subdivision thereof shall not be allowed to plead as a defense immunity from liability for damages resulting from the performance of governmental functions, and its liability shall be determined as in the case of a private corporation except when a standard of care differing from that of a private corporation is set forth by statute ; provided, however, that liability in any such case shall not exceed the limits of coverage specified in the policy of insurance or as to governmental units defined in RSA 507-B, liability shall not exceed the policy limit or the limit specified in RSA 507-B:4, if applicable, whichever is higher, and the court shall abate any verdict in any such action to the extent that it exceeds such limit.

4 Political Subdivision Employees; Indemnification for Damages. Amend RSA 31:105 to read as follows:

31:105 Indemnification for Damages. A city, town, county, village district or precinct, school district, chartered public school, school administrative unit, or any other municipal corporation or political subdivision may by a vote of the governing body indemnify and save harmless for loss or damage occurring after said vote any person employed by it and any member or officer of its governing board, administrative staff or agencies including but not limited to selectmen, school board members, chartered public school trustees, city councilors and aldermen, town and city managers, regional planning commissioners, town and city health officers, overseers of public welfare, and superintendents of schools from personal financial loss and expense including reasonable legal fees and costs, if any, arising out of any claim, demand, suit, or judgment by reason of negligence or other act resulting in accidental injury to a person or accidental damage to or destruction of property if the indemnified person at the time of the accident resulting in the injury, damage, or destruction was acting in the scope of employment or office .

5 Effective Date. This act shall take effect January 1, 2027.

1 Bodily Injury Actions Against Governmental Units; Liability for Negligence RSA 507-B:2 is repealed and reenacted to read as follows:

507-B:2 Liability for Negligence.

I. A governmental unit may be held liable for damages for:

(a) Bodily injury, personal injury, death, or property damages caused by the failure of the governmental unit or its officials or employees acting within the scope of their authority to follow the appropriate standard of care when that duty was owed to the person making the claim, including any right of action for money damages which either expressly or by implication arises from any law, unless another remedy for such claim is expressly provided by law; or

(b) Property damages suffered by a governmental unit employee or official during the performance of that employee's or official's duties while on the governmental unit's business where compensation is appropriate under principles of equity and good conscience;

(c) Provided, however, that the liability of any governmental unit with respect to its sidewalks, streets, and highways shall be limited as provided in RSA 231 and the liability of any governmental unit with respect to publicly owned airport runways and taxiways shall be limited as set forth in RSA 422.

II. The provisions of this chapter shall not apply to:

(a) Any claim based upon an act or omission of an employee or official of a governmental unit when such employee or official is exercising due care in the execution of any statute or any regulation of a public employer, or any municipal ordinance.

(b) Any claim based upon the exercise or performance or the failure to exercise or perform a discretionary executive or planning function or duty on the part of an employee or official of a governmental unit acting within the scope of his office or employment.

2 Bodily Injury Actions Against Governmental Units; Limit of Liability. Amend RSA 507-B:4, I to read as follows:

I. Liability of a governmental unit for bodily injury, personal injury or property damage sustained by any one person in actions brought under this chapter is limited to $475,000 per claimant and $1,425,000 per any single incident, or the proceeds from any insurance policy, whichever amount is greater . Such limit applies in the aggregate to any and all actions to recover for bodily injury, personal injury or property damage sustained by one person in a single incident or occurrence. The limits applicable to any action shall be the limits in effect at the time of the judgment or settlement.

3 Bodily Injury Actions Against Governmental Units; Insurance Policies Procured by Governmental Agency. Amend RSA 507-B:7-a to read as follows:

507-B:7-a Insurance Policies Procured by Governmental Agency. It shall be lawful for the state or any municipal subdivision thereof, including any county, city, town, school district, school administrative unit or other district, to procure the policies of insurance described in RSA 412 or participate in pooled risk management, or self-insurance, pursuant toRSA 5-B . In any action against the state or any municipal subdivision thereof to enforce liability on account of a risk so insured against, the insuring company or state or municipal subdivision thereof shall not be allowed to plead as a defense immunity from liability for damages resulting from the performance of governmental functions, and its liability shall be determined as in the case of a private corporation except when a standard of care differing from that of a private corporation is set forth by statute or common law ; provided, however, that liability in any such case shall not exceed the limits of coverage specified in the policy of insurance or as to governmental units defined in RSA 507-B, liability shall not exceed the policy or pooled risk limit or the limit specified in RSA 507-B:4, if applicable, whichever is higher, or for self-insurance, the limit specified inRSA 507-B:4, and the court shall abate any verdict in any such action to the extent that it exceeds such limit.

4 Political Subdivision Employees; Indemnification for Damages. Amend RSA 31:105 to read as follows:

31:105 Indemnification for Damages. A city, town, county, village district or precinct, school district, chartered public school, school administrative unit, or any other municipal corporation or political subdivision shall indemnify and save harmless for loss or damage any person employed by it and any member or officer of its governing board, administrative staff or agencies including but not limited to selectmen, school board members, chartered public school trustees, city councilors and aldermen, town and city managers, regional planning commissioners, town and city health officers, overseers of public welfare, and superintendents of schools from personal financial loss and expense including reasonable legal fees and costs, if any, arising out of any claim, demand, suit, or judgment by reason of negligence or other act resulting in accidental injury to a person or accidental damage to or destruction of property if the indemnified person at the time of the accident resulting in the injury, damage, or destruction was acting in the scope of employment or office and such acts were not wanton or reckless .

5 Effective Date. This act shall take effect January 1, 2027.