Sec. 1. 5 MRSA §1728-A, sub-§1, as amended by PL 1993, c. 470, §1, is further amended by amending the first paragraph to read:

1. Duties. The director shall provide insurance advice and services for all forms of insurance for State Government and any department or agency of State Government except for those departments or agencies and those types of insurance otherwise provided for by law through the self-insurance fund and to other entities designated as entitled to advice and services through the state-administered fund pursuant to section 1737. The director shall provide insurance services for foster parents and adoptive parents pursuant to section 1738. The director is responsible for the acquisition and administration of all insurance purchased by the State, including the authority to purchase insurance for the State for automobile, fire, liability and any other type of coverage necessary to protect the State from financial loss. The director may enter into contracts for various types of claims management services in order to ensure the most economically advantageous insurance protection in the operation of the State's insurance coverage program. In these regards, the director has the following duties:

Sec. 2. 5 MRSA §1738 is enacted to read:

§1738.__Foster and adoptive parent liability insurance

The director shall acquire and administer a liability insurance policy for foster parents and for adoptive parents who receive state adoption assistance pursuant to Title 18-A, section 9-401. For the purposes of this section, "foster parent" means a person maintaining a family foster home, as defined in Title 22, section 8101, subsection 3, or a person maintaining a specialized children's home, as defined in Title 22, section 8101, subsection 5. The liability insurance policy must include, but is not limited to, coverage for personal injury and for defense against claims that arise directly out of the insured's activities as a foster parent or adoptive parent.__The insurance premium for this policy must be deducted annually from the foster parent's reimbursement for foster care and from the adoptive parent's adoption assistance payment.

Sec. 3. 18-A MRSA §9-315, sub-§(d) is enacted to read:

(d)__Notwithstanding section 9-105, an adoptive parent may not be required to pay child support for an adopted child if the Probate Court has annulled the decree of adoption for that child.