(1)A drainage board may enter into a contract with any person whereby, in consideration of payments by the board by way of premium or otherwise, that person undertakes to pay to the board such sums as may be provided in the contract in the event of any member of the board or of any committee thereof meeting with a personal accident, whether fatal or not, while he is engaged on the business of the board.
(2)Any sum received by the board under any such contract shall, after deduction of any expenses incurred in the recovery thereof, be paid by them to, or to the personal representatives of, the person in respect of whose accident the sum is received.
(3)The provisions of the Life Assurance Act, 1774, shall not apply to any such contract.