1714Responsibility for Damage Claims; Insurance

1714.1GENERAL

The Contractor shall defend, indemnify, and save harmless the Department, and the Department’s officers and employees, to the maximum extent permitted by law, from all claims, lawsuits, damages, expenses, and costs related to bodily injury, property damage , or other damages, arising or in any way resulting from:

misconduct by the Contractor or its agents, employees, Subcontractor, or others for whom the Contractor is responsible. This includes any third-party claim arising from Contractor’s breach of this Contract.

and operations of the Contractor or as a consequence of Contractor’s neglect in safeguarding the Work.

a government agency, withholding tax, social security, unemployment insurance, workers compensation insurance, disability insurance, or similar items, including interest and penalties.

copyright. Costs and expenses covered by this indemnity include court costs, expert fees, and reasonable attorney’s fees incurred by the Department. The Department may retain money due to the Contractor under this or any other Contract with the Department as the Department deems necessary, in its sole discretion, to protect the Department’s interests with respect to suits, actions, or costs subject to this indemnity provision. If no money is due to the Contractor, the Department may hold the Contractor’s Sureties liable until the Department receives evidence that suits, actions, or claims have been settled. The Contractor must identify a contact person for bodily injury and property damage complaints from the public, and maintain a log of all complaints and the Contractor’s response to each . The Contractor must provide the log to the Engineer upon request. When the Contractor’s act or omission, neglect, or misconduct causes bodily injury or property damage, or when the Contractor’s failure to act in accordance with 1514, “Maintenance During Construction,” causes bodily injury or property damage, the Contractor must accept monetary responsibility for the bodily injury or property damage and promptly resolve the complaint .

1714.2WORKERS’ COMPENSATION INSURANCE

The Contractor must provide workers’ compensation insurance for all employees and must require Subcontractors to provide workers’ compensation insurance in accordance with the Minnesota statutory requirements and must include the following:

the following minimum limits unless otherwise stated in the Special Provisions:

If the Contractor is self-insured for its obligation under the Workers’ Compensation Statutes in the jurisdiction where the Project is located, the Contractor must provide the Department with a Certification of the Authority to Self-Insure.

1714.3COMMERCIAL GENERAL LIABILITY INSURANCE

The Contractor must provide and maintain insurance to cover claims arising from operations under the Contract, whether such operations are by the Contractor, Subcontractor, lower -tier subcontractor or by anyone directly or indirectly employed under the Contract. A Minimum Limits of Liability The Contractor must provide the following minimum limits of liability:

The liability limits specified above are the minimum limits required, and any and all additional limits provided to the Contractor will be available on an excess, umbrella , or other basis to the additional insured for any and all covered claims. B Coverages The Contractor shall provide the following types of coverage:

Coverage Form – CG 00 01 12 04 13 or equivalent

arising out of the Contractor’s negligence or the negligence of those for whom the Contractor is responsible, for both ongoing and completed operations

construed for the owner as is available to the Contractor Contractor agrees its coverage will not contain any restrictive endorsement(s) excluding or limiting Broad Form Property Damage (BFPD) or Explosion, Collapse, Underground (XCU)

1714.4AUTOMOBILE LIABILITY INSURANCE

A Coverage The Contractor must provide and maintain insurance to cover liability arising out of the operations, use, or maintenance of all owned, non-owned, and hired automobiles. The following coverages must be included:

B Minimum Limit of Liability The Contractor must provide a minimum limit of liability of at least $2,000,000 Per Occurrence Combined Single Limit for Bodily Injury and Property Damage.

1714.5AIRCRAFT LIABILITY INSURANCE

A Coverage If the Contractor uses aircraft (including “Unmanned Aerial Vehicles”) to perform the Work, then the Contractor must provide Aviation (aircraft) insurance protecting it from claims for bodily injury and property damage whether the operations are by Contractor or by a subcontractor or by anyone directly or indirectly employed under the Contract. The insurance must cover the Contractor and its employees as well as the Department and the Department’s employees as additional insureds. B Minimum Limit of Liability The Contractor must provide a minimum of liability of at least $2,000,000 per occurrence for bodily injury and property damage.

1714.6UMBRELLA OR EXCESS LIABILITY INSURANCE

The Contractor may use an umbrella or excess liability insurance policy to supplement the Contractor’s policy limits to meet the full policy limits as required by the Contract.

1714.7ADDITIONAL CONDITIONS

The Contractor’s insurance policies must be primary and non-contributory insurance policies to any other valid and collectible insurance available to the Department or self -insurance maintained by the Department with respect to any claim arising out of the Contract. The Contractor must file certificates of insurance including evidence of Subcontractor insurance. The Contractor is responsible for paying for Contract-related insurance premiums and deductibles. The Contractor must provide policies from insurance companies meeting all of the following requirements:

Minnesota and have a Certificate of Authority/Compliance from the Minnesota Department of Commerce if the insurance company is not rated by AM Best

If the Contractor receives a cancellation notice from an insurance carrier affording coverage herein, the Contractor agrees to notify the Department within five Business Days with a copy of the cancellation notice, unless the Contractor's policy(ies) contain a provision that coverage afforded under the policy(ies) will not be cancelled without at least 30 Calendar Days advance written notice to the Department. The required insurance and insurance limits will not be deemed a limitation on the Contractor’s liability with regard to the indemnities granted to the Department under this Contract. The Contractor’s insurers must waive their rights to assert the immunity of the State or Department as a defense to any claim arising out of this Contract. The requirements above are minimum insurance requirements. The Contractor is solely responsible for determining the need for, and procuring, additional insurance that the Contractor may need in connection with this Contract.

1714.8NOTICE TO THE CONTRACTOR

If the Contractor fails to provide the Department with certificates of insurance for the policies or renewals, or if the insurance company fails to notify the Department of cancellation of policies as required by the Contract, that failure will not constitute a waiver by the Department of the Contractor’ obligation to provide insurance. The Department reserves the right to terminate the Contract in accordance with 1808, “Default of Contractor,” if the Contractor is not in compliance with the insurance requirements, and the Department retains all rights to pursue any legal remedies against the Contractor. All insurance policies must be open to inspection by the Department, and the Contractor must submit copies of policies to the Department’s authorized representative when requested by the Department in writing.