Insurance and Indemnity Requirements

Insurance Requirements

Contractors performing services for Allan Company shall procure and maintain, at their own expense, insurance for the duration of the services plus one (1) year against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the services by the contractor, its agents, representatives, employees or subcontractors, and anyone else for whom the contractor may be legally responsible. The coverage shall include the following:

• Commercial General Liability: ISO Occurrence Form CG 0001 or equivalent, including coverage for: products and completed operations, clients and contractorsʹ protective, per location aggregate limit, and with the XCD exclusion deleted (as appropriate). The policy limits shall be not less than $1,000,000 per occurrence and $2,000,000 in the aggregate for bodily injury, personal injury and property damage liability.
• Automobile Liability: ISO Form, CA 00 01, or equivalent, covering ʺany autoʺ coverage code ʺ1,ʺ to insure owned, non‐owned and hired automobiles, trucks and other vehicles utilized by the contractor in performance of the services. The policy limits shall be not less than $1,000,000 combined single limit per accident for bodily injury and property damage.
• Workerʹs Compensation and Employerʹs Liability: To comply with the statutory requirements of the State in which the Services are completed. The policy shall include Employerʹs Liability for not less than $1,000,000 per accident.
• Professional Errors and Omissions Liability: in a minimum amount of $2,000,000 annual aggregate limit, covering claims alleged to arise out of the negligent performance of the contractorʹs professional services. This coverage, if obtained on a ʺclaims madeʺ or equivalent form, shall be maintained during the entire period of the contractor's agreement with Allan Company plus four years.
• Policy Requirements:
• All policies required shall satisfy the following requirements, or provide equivalent coverage acceptable to Allan Company: (1) be written by insurance companies with a Bestʹs Rating of no less than ʺB+: VII,ʺ (2) provide that coverage shall not be suspended, voided, canceled, nonrenewed, reduced in scope or limits except after thirty (30) days prior written notice by certified mail, return receipt requested, has been given to Allan Company, and (3) provide for waiver of subrogation rights against Allan Company.
• The required Commercial General Liability, Automobile Liability and Professional Errors and Omissions Liability policies shall, to the extent appropriate provide endorsements protecting Allan Company, and its shareholders, directors, officers, invitees, employees, agents and representatives, as additional insureds. This coverage shall contain no special limitations on the scope of protection afforded to additional insureds, be primary with respect to Allan Company and its respective shareholders, directors, officers, invitees, employees, agents and representatives and non‐contributory with any insurance carried by the additional insured by or against whom claim is made or suit is brought, except with respect to the limits of the insurerʹs liability.
• Deductibles: Any deductibles or self‐insured retention must be declared to and approved by Allan Company. Allan Company may require reduction or elimination of such deductibles or self
  ‐insured retention with respect to Allan Company, its officers, directors and employer or require the contractor to procure a bond guaranteeing payment of losses and related investigation, claims administration and defense expenses.
• Proof of Insurance; Other Requirements: Prior to commencement of any work for Allan Company, evidence of all required insurance coverage in the form of certificates issued by the appropriate carriers shall be provided to Allan Company by the contractorʹs insurers. Copies of policies shall not suffice. If at any time, the contractor fails to provide adequate proof, to the satisfaction of Allan Company, of the insurance required, Allan Company may procure the required insurance and charge the contractor for the cost of said insurance plus an administrative fee of ten percent (10%). The contractor must waive any and all rights to any type of express or implied indemnity or right of contribution from Allan Company, and its respective shareholders, directors, officers, invitees, employees, agents and representatives, for any liability arising from, connected with, or related to the services performed for Allan Company.

Indemnity Requirements

Notwithstanding the foregoing, the contractor shall defend (if required by Allan Company and with counsel selected by Allan Company), indemnify and hold Allan Company, its related and affiliated companies, and the officers, directors, agents, employees, successors and assigns of each, harmless from and against any and all claims, demands, suits, judgments, losses, and expenses of any nature whatsoever (including, without limitation, attorneys' fees, costs of court, and the costs and expenses of other professionals) arising directly or indirectly from the following:

(i) any act, error, and/or omission of the contractor, its sub-contractors and/or their respective officers, directors, agents, subcontractors, invitees and/or employees;

(ii) any occupational injury and/or illness sustained by an employee and/or agent of the contractor in furtherance of the contractor's services;

(iii) any failure of the contractor to perform the services in accordance with the highest generally accepted professional standards;

(iv) any breach of the contractor's representations and warranties; and/or

(v) any other failure of the contractor to comply with any obligations on its part to be performed.

These foregoing indemnities shall not be limited by the insurance requirements (aboev) and shall extend indefinitely to all claims arising or occurring during as well as after the services have been performed.

 

This page was last modified on Friday, November 13, 2009 04:38:13 PM