§ 54462 Enterprise Insurance Requirements

• •The government can decide what kind of insurance is needed for a business or project.
• •This insurance can cover accidents, damage, or destruction to the business or project.
• •It can also cover lost money if the business can't operate.
• •The insurance can pay for injuries to people or damage to property caused by the business.

A city owns a bus system. One day, a bus gets into an accident and is badly damaged. The bus system also has to pay for the medical bills of a person who got hurt in the accident.

The city can have insurance to pay for fixing the bus and the medical bills. This way, the city doesn't have to pay all the money itself.