52.228-10
Vehicular and General Public Liability Insurance
Contractors must maintain specified vehicular and general public liability insurance, as well as workers’ compensation, for transportation-related contracts when required by the contracting officer.
Overview
FAR 52.228-10 requires contractors performing transportation or transportation-related services to maintain vehicular and general public liability insurance when legally required minimums are deemed insufficient by the contracting officer. The clause specifies that contractors must obtain insurance coverage at their own expense, with minimum limits for bodily injury and property damage set forth in the contract. Additionally, contractors must maintain workers’ compensation and any other insurance required by law for their employees and agents. This ensures adequate protection for the government and the public against potential liabilities arising from contractor operations.
Key Rules
- Mandatory Insurance Coverage
- Contractors must maintain vehicular and general public liability insurance with specified minimum coverage amounts for bodily injury and property damage.
- Workers’ Compensation
- Contractors are required to maintain workers’ compensation and any other legally mandated insurance for their employees and agents.
Responsibilities
- Contracting Officers: Determine when legal minimum insurance is insufficient and specify required coverage limits in the contract.
- Contractors: Obtain and maintain the specified insurance coverage at their own expense throughout contract performance.
- Agencies: Ensure compliance with insurance requirements and verify contractor coverage.
Practical Implications
- This clause protects the government and public from financial risk due to contractor operations.
- Contractors must budget for and secure appropriate insurance before contract performance.
- Failure to maintain required insurance can result in contract termination or liability exposure.