Exhibit B - Insurance Example - Service Agreement.pdf

EXHIBIT B - INSURANCE

Provider must obtain at Provider’s expense, and require its first tier Providers and subcontractors, if any, to obtain the insurance specified in this exhibit prior to performing under this Contract, and must maintain it in full force and at its own expense throughout the duration of this Contract, as required by any extended reporting period or continuous claims made coverage requirements, and all warranty periods that apply. Provider must obtain, and require its first tier Providers and subcontractors, if any, to obtain the following insurance from insurance companies or entities acceptable to the District and authorized to transact the business of insurance and issue coverage in Oregon. Coverage must be primary and noncontributory with any other insurance and self-insurance, with the exception of professional liability and workers’ compensation. Provider must pay and require its first tier Providers and subcontractors to pay, if any, for all deductibles, self-insured retention and self-insurance, if any.

Provider agrees to periodic review of insurance requirements by District under this Contract and to provide updated requirements as mutually agreed upon by Provider and District. All insurance providers are subject to District acceptance. If requested by District, Provider shall provide complete copies of insurance policies, endorsements, self-insurance documents and related insurance documents to District’s representatives responsible for verification of the insurance coverages required under this Exhibit.

REQUIRED

WORKERS’ COMPENSATION & EMPLOYERS’ LIABILITY

All employers, including Provider, that employ subject workers, as defined in ORS 656.027, shall comply with ORS 656.017 and provide workers' compensation insurance coverage for those workers, unless they meet the requirement for an exemption under ORS 656.126(2). Provider shall require and ensure that each of its subcontractors complies with these requirements. If Provider is a subject employer, as defined in ORS 656.023, Provider shall also obtain employers' liability insurance coverage with limits not less than $500,000 each accident. If Provider is an employer subject to any other state’s workers’ compensation law, Provider shall provide workers’ compensation insurance coverage for its employees as required by applicable workers’ compensation laws including employers’ liability insurance coverage with limits not less than $500,000 and shall require and ensure that each of its out-of-state subcontractors complies with these requirements.

REQUIRED

COMMERCIAL GENERAL LIABILITY

Commercial General Liability Insurance covering bodily injury and property damage in a form and with coverage that are satisfactory to District. This insurance shall include personal and advertising injury liability, products and completed operations, contractual liability coverage for the indemnity provided under this contract, and have no limitation of coverage to designated premises, project or operation. Coverage shall be written on an occurrence basis in an amount of not less than $2,000,000 per occurrence. Annual aggregate limit shall not be less than $3,000,000.

NOT

REQUIRED

CYBERSECURITY | NETWORK SECURITY & PRIVACY | DATA BREACH EXPENSE COVERAGE

Coverage related to cybersecurity risks like unauthorized access, data theft, or accidental exposure. Data breach coverage to include consumer notification costs, forensic investigations, public relations and crisis response, and credit or identity monitoring for affected individuals. Coverage of at least $1,000,000 per incident.

REQUIRED

PROFESSIONAL LIABILITY | ERRORS AND OMISSIONS | MEDICAL MALPRACTICE

It is expected that all personnel assigned by Provider to provide services under this Contract obtain and maintain any and all coverages appropriate to their profession at limits required by the State of Oregon. When limits are not required by the State, coverage shall be at least $1,000,000 per occurrence and $3,000,000 per annual aggregate.

REQUIRED

AUTOMOBILE LIABILITY INSURANCE

Automobile Liability Insurance covering Provider’s business use including coverage for all owned, non-owned, or hired vehicles with a combined single limit of not less than $2,000,000 for bodily injury and property damage. This coverage may be written in combination with the Commercial General Liability Insurance (with separate limits for Commercial General Liability and Automobile Liability). Use of personal automobile liability insurance coverage may be acceptable if evidence that the policy includes a business use endorsement is provided.

REQUIRED

SEXUAL ABUSE AND MOLESTATION

Provider’s General Liability policy must not specifically exclude coverage for sexual abuse and molestation. If sexual abuse and molestation coverage is excluded under the General Liability policy, evidence of separate sexual abuse and molestation insurance in a form and with coverage satisfactory to the District covering damages arising out of actual or threatened physical abuse, mental injury, sexual molestation, negligent: hiring, employment, supervision, investigation, reporting to proper authorities, and retention of any person for whom the Provider, its agents, subcontractors, or subgrantees is responsible, including but not limited to, any Provider’s employees and volunteers. Policy endorsement’s definition of an insured must include the Provider and its employees and volunteers. Coverage must be written on an occurrence basis in an amount of not less than $1,000,000.00 per occurrence. Any annual aggregate limit may not be less than $3,000,000.00. Coverage can be provided by a separate policy or as an endorsement to the commercial general liability or professional liability policies. The limits must be exclusive to this required coverage. Incidents related to or arising out of physical abuse, mental injury, or sexual molestation, whether committed by one or more individuals, and irrespective of the number of incidents or injuries or the time period or area over which the incidents or injuries occur, must be treated as a separate occurrence for each victim. Coverage must include the cost of defense and the cost of defense must be provided outside the coverage limit.

EXCESS/UMBRELLA INSURANCE - A combination of primary and excess/umbrella insurance may be used to meet the required limits of insurance.

ADDITIONAL INSURED - All liability insurance, except for workers’ compensation, network security and privacy liability (if applicable), required under this Contract must include an additional insured endorsement specifying the Corvallis School District 509J, its officers, employees and agents as Additional Insureds, including additional insured status with respect to liability arising out of ongoing operations and completed operations, but only with respect to Provider’s activities to be performed under this Contract.

WAIVER OF SUBROGATION - Provider waives, and must require its first tier Providers and subgrantees waive, rights of subrogation which Provider, Provider’s first tier Providers and subgrantees, if any, or any insurer of Provider may acquire against the District by virtue of the payment of any loss.

CONTINUOUS CLAIMS MADE COVERAGE- If any of the required liability insurance is on a claims made basis and does not include an extended reporting period of at least 24 months, then Provider shall maintain continuous claims made liability coverage, provided the effective date of the continuous claims made coverage is on or before the effective date of the Contract, for a minimum of 24 months following the later of: (i) Provider ’s completion and District’s acceptance of all Services required under the Contract, or (ii) District or Provider termination of the Contract, or (iii) The expiration of all warranty periods provided under the Contract.

NOTICE OF CHANGE OR CANCELLATION - Provider or its insurer must provide at least 30 days’ written notice to Agency before cancellation of, material change to, potential exhaustion of aggregate limits of, or non-renewal of the required insurance coverage(s).

CERTIFICATE(S) AND PROOF OF INSURANCE - Provider must provide to District a Certificate(s) of Insurance for all required insurance before performing any activities required under this Contract. Provider must furnish acceptable insurance certificates to: risk.management.staff@corvallis.k12.or.us or by mail to: Corvallis School District 509J, ATTN: Jennifer Bentz, 1555 SW 35th Street, Corvallis, OR 97333 prior to commencing the work.

mailto:risk.management.staff@corvallis.k12.or.us