(a) The board of directors of a trust company shall maintain bonding and other insurance for the trust company against dishonesty, fraud, defalcation, forgery, theft, embezzlement, burglary, robbery, and other similar insurable losses and hazards as required by the department by regulation. The board shall obtain the bonding and other insurance from a person authorized under AS 21 to act as an insurer or a surety insurer in this state.
(b) The board of directors shall procure errors and omissions insurance in the amount of at least $500,000.
(c) At least once each year, the board of directors shall review the bonding and other insurance required by this section to determine whether the coverage is adequate in relation to the exposure of the trust company. The minimum amount of insurance required by this section does not automatically represent adequate bonding and insurance coverage in relation to the exposure. Immediately after procuring the bonding and other insurance, the board shall file copies of the documents representing the bonding and other insurance with the department.
Structure Alaska Statutes
Title 6. Banks and Financial Institutions
Chapter 26. Revised Alaska Trust Company Act
Sec. 06.26.500. Voting securities held as trust assets.
Sec. 06.26.510. Board of directors.
Sec. 06.26.520. Board meetings and review of reports.
Sec. 06.26.540. Prohibition of certain action by officer or employee.
Sec. 06.26.550. Trust committee.
Sec. 06.26.560. Prohibited acts.
Sec. 06.26.570. Transactions with management and affiliates.
Sec. 06.26.580. Trust asset transactions involving certain securities, assets, or information.
Sec. 06.26.585. Policies and procedures.
Sec. 06.26.590. Fiduciary responsibility.
Sec. 06.26.600. Trust account record keeping.
Sec. 06.26.610. Customer records confidential.