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MAY 3 1 ` 0 0 07 � 48 <br />A GUIDE TO INSURANCE COVERAGE IN CITYCONTRACTING <br />' B;ief Description of City Contract Insurance Requirements <br />WorkersCompensation <br />P. 10 <br />This insurance coverage applies to contractor employees who have woric-related accidents while on the job working on a <br />contract. It k very important that a contractor with employees have Workers Compensation coverage because the <br />contractor employees who have an accident will not be insured otherwise. The definition of an employee as Per the State <br />of Minnesota Laws can be found atCityServe I�Common�PRCWow-10\WC-Def. There is a separate coverage Per injury <br />and as a total. The coverage levels that are required by the City stan�Jard contracts are minimal standards. <br />CommercialGenerall.iabitity <br />This insurance coverage applies to various Gabilit�r issues associated with the contract. It k composed of various pieces. <br />General Aggregate applies to the total insured General Liability of the contractor. Each Occurrence specifles the capped <br />amount for any'givan incideM. Products-completed operations applies to problems that occur as a resuU of the products <br />or operations created or mod'died by the co�tr'aCtor. Personal and at;�eRising injury refers to defamation of character, <br />libelous writings or slanderous statements of thecot�tractor while doing work on the contract. Fire damage refers to fire <br />damage to somebody eke's property by a contractor when doing work on the contract. Medical expense refers to injuries <br />that result from actions of the conVactor while working on the contract. The.coverage levels that are required by the City <br />standard c�ntracts are minimal standards. <br />CommercialAutoLiability <br />This insumnce caverage applies to ve11'►de accidents that oCCur while the coMractOr is ConduCting work on the contrBCt. <br />Even if the contractor has personal automobile insurance, thii insurance may not cover accidents that occur while the <br />contractor k working. The coverage may be given for cars owned by the contractor, cars leased by the contractor, <br />employee�owned carsbeing used forwork, of maycoveraU cars used by the contractor. The coveragelevets thatare <br />required by the City standard contrads are minimal standards. <br />Professional Liability <br />ihis insurance coverage applies to problems that occur du,e to a professional making emors or omissions which are <br />inappropriate given the profession- For example, doctors havemalpractice insurance that is afotm of professional rability <br />insurance. The professionals that should typically require Professional Liability insurance are: architects, engineers, <br />medical professionals, computer professionals, as well as otherp�ofessionals who have a high rkk of causing serious <br />Problems if their work is not done as per the standards of theirprofession. The coverage �evels that are required by �e <br />��h► standardcomrads are minimal standards. The deckiin as to use Professional Liability insurance is up to the <br />depaRmentconU`act manager. <br />Builders Risk <br />This insurance coverage applies to problems during building construction. There is special language for this that must be <br />used in the contrad. The language is available on theCitySen►e 1 network underCommonWRCWaw-tolspeGang.The <br />decision as to use Builders Risk insurance k up to the department contract manager. <br />� <br />�AE no� <br />Prepared by Lee Larson in aonjunctbn w�h Risk ManapemeM-revfsed 6Gl�98 <br />