(1) An elevator shall be constructed, equipped, maintained, repaired, and used with respect to the supporting members, car or platform, hoistways, guides, cables, doors and gates, safety stops and mechanisms, electrical apparatus and wiring, mechanical apparatus, counterweights, and all other appurtenances in accordance with the American standard safety code for elevators, dumbwaiters, escalators and moving walks, A 17.1-1965, and subsequent editions and amendments if adopted by rule of the board, and with rules adopted by the board. In case of conflict between the rules and the standard, the rules apply.

  (2) The construction standards that apply to a private residential incline elevator apply to an incline elevator for the exclusive use of members of a homeowners association and their guests in accessing the shoreline of a Great Lake or connecting waterway. A homeowners association shall maintain at least $1,000,000.00 of insurance coverage against liability arising from construction or use of an incline elevator constructed according to the standards that apply to a private residential incline elevator.

  (3) As used in subsection (2), “homeowners association” means an incorporated organization of the owners or lessees of not more than 20 residential dwellings.