Assembly members agreed to allow councils to provide indemnities to its members or officers, on 12 November 2012.
Environment Minister Alex Attwood brought forward a statutory rule which would create new powers in addition to those councils may already have.
He said that, in the past, councils had raised concerns about the extent of their legal protections.
Mr Attwood added that the changes would mirror legislation available in rest of UK.
Sinn Fein's Cathal Boylan said it would "give more clarity and confidence to councils".
Environment Committee chairwoman Anna Lo welcomed the proposals.
The statutory rule was passed on an oral vote.