The importance of insurance in the school budget is the theme of this comprehensive bulletin on the practices and policies for Texas school districts. Also considered is the development of desirable school board policies in purchasing insurance and operating the program. Areas of discussion are: risks to be covered, amount of coverage, values, inventory procedures, coinsurance, bidding, types of insurance, adequacy of coverage, and record keeping. A sample of an insurance register, some selected references, and a glossary of insurance terms are included. (RH)