1. (1) Each Enhanced Handgun Safety School must obtain, maintain, and provide evidence of financial responsibility as a condition of approval for certification.
2. (2) Schools operated by governmental bodies or other public entities approved by the Department to conduct Enhanced Handgun Safety Courses are exempt from the insurance requirement if they meet the requirements under the Governmental Tort Liability provisions of T.C.A. Title 29, Chapter 20.

3. (3) All Enhanced Handgun Safety Schools may comply with the financial responsibility requirement by providing the Department one (1) of the following:

   1. (a) Written proof of liability insurance coverage provided by a single limit policy with a limit of not less than three hundred thousand ($300,000) applicable to one (1) accident;
   2. (b) Written proof of liability insurance provided by a split limit policy with a limit of not less than one hundred and fifty thousand dollars ($150,000) for bodily injury to or death of one (1) person, not less than three hundred thousand dollars ($300,000) for bodily injury or death of two (2) or more persons in any one (1) accident and not less than fifty thousand dollars ($50,000) for damage to property in any one (1) accident;
   3. (c) A deposit of cash in the amount of three hundred thousand dollars ($300,000);
   4. (d) The execution and filing of a bond in the amount of three hundred thousand dollars ($300,000); or HANDGUN SAFETY PROGRAM
   5. (e) The filing of a surety in an amount of not less than three hundred thousand dollars ($300,000) subject to the approval of the Director.
4. (4) No policy or bond shall be effective unless it bears an issuance and expiration date, is issued by an insurance company or surety company licensed to do business in this state and unless such policy or bond provides security not less than the amounts specified in 1340-02-03- .09(3).
5. (5) This requirement does not preclude insurance which, by its nature, provides coverage for this purpose as well as other general liability provisions.

Authority: T.C.A. §§ 39-17-1351(b)(2) and 39-17-1360 and Public Chapter 934 of 1994. Administrative History: Original rule filed January 25, 1995; effective April 10, 1995. Amendment filed September 16, 1996; effective January 28, 1997. Amendments filed December 19, 2024; to have become effective March 19, 2025. However, the Government Operations Committee filed a 15-day stay of the effective date of the rules on February 26, 2025; new effective date April 3, 2025.