Exhibit_D_-_Insurance_Provisions.docx

PRE-RELEASE DRAFT

PRE-RELEASE DRAFT

EXHIBIT D – INSURANCE PROVISIONS

PROOF OF INSURANCE

The Contractor shall provide proof of insurance, in the form of a certificate to the Department of General Services (DGS) Contract Administrator before award of the Master Services Agreement (MSA) and upon request of a User Agency. Insurance companies must be acceptable to the DGS, Office of Risk Management (ORIM). If self-insured, review of financial information may be required.

GENERAL PROVISIONS APPLYING TO ALL POLICIES

1. COVERAGE TERM

Coverage needs to be in force for the complete term of the MSA. If insurance expires during the term of the MSA, a new certificate must be received by the State at least 30 days prior to the expiration of this insurance. Any new insurance must still comply with the original terms of the MSA.

1. POLICY CANCELLATION OR TERMINATION & NOTICE OF NON-RENEWAL

Contractor is responsible to notify the State within five business days before the effective date of any cancellation, non-renewal, or material change that affects required insurance coverage. In the event Contractor fails to keep in effect at all times the specified insurance coverage, the State may, in addition to any other remedies it may have, terminate this MSA upon the occurrence of such event, subject to the provisions of this MSA.

1. DEDUCTIBLE

Contractor is responsible for any deductible or self-insured retention contained within their insurance program.

1. PRIMARY CLAUSE

Any required insurance contained in this MSA shall be primary, and not excess or contributory, to any other insurance carried by the State.

1. INSURANCE CARRIER REQUIRED RATING

All insurance companies must carry a rating acceptable to the ORIM. If the Contractor is self-insured for a portion or all of its insurance, review of financial information including a letter of credit may be required.

1. ENDORSEMENTS

Any required endorsements requested by the State must be physically attached to all requested certificates of insurance and not substituted by referring to such coverage on the certificate of insurance.

1. INADEQUATE INSURANCE

Inadequate or lack of insurance does not negate the Contractor obligations under the MSA.

1. SATISFYING A SELF-INSURED RETENTION (SIR)

All insurance required by this MSA must allow the State to pay and/or act as the Contractor’s agent in satisfying any self-insured retention (SIR). The choice to pay and/or act as the Contractor’s agent in satisfying any SIR is at the State’s discretion.

1. AVAILABLE COVERAGES/LIMITS

All coverage and limits available to the Contractor shall also be available and applicable to the State.

1. SUBCONTRACTORS

In the case of Contractor utilization of subcontractors to complete the contracted scope of work, Contractor shall include all subcontractors as insured under Contractor’s insurance or supply evidence of insurance to the State equal to policies, coverages and limits required of Contractor.

COMMERCIAL GENERAL LIABILITY

Contractor shall obtain, at Contractor’s expense, and keep in effect during the term of this MSA, Commercial General Liability Insurance covering bodily injury, and property damage in a form and with coverages that are satisfactory to the State. This insurance shall include personal and advertising injury liability, products, completed operations, and contractual liability coverage for the indemnity provided under this MSA. Coverage shall be written on an occurrence basis in an amount not less than $1,000,000 per occurrence. Annual aggregate limit shall not be less than $2,000,000. The State of California, its officers, agents, and employees are to be covered as additional insureds with respect to liability arising out of work or operations.

AUTOMOBILE LIABILITY

By signing this Agreement, the Contractor certifies that the Contractor and any employees, subcontractors or servants possess valid automobile coverage in accordance with California Vehicle Code Sections 16450 to 16457, inclusive. The State reserves the right to request proof at any time.

WORKERS’ COMPENSATION AND EMPLOYER’S LIABILITY

Workers’ Compensation insurance as required by the State of California, with Statutory Limits, and Employer’s Liability Insurance with limit of no less than $1,000,000 per accident for bodily injury or disease. Policy shall be endorsed to include waiver of subrogation in favor of State of California.

Contractor shall maintain statutory worker’s compensation and employer’s liability coverage for all its employees who will be engaged in the performance of the Contract. Employer’s liability limits of $1,000,000 are required. The insurer waives any right of recovery the insurer may have against the State because of payments the insurer makes for injury or damage arising out of the work done under contract/permit with the State.

A Waiver of Subrogation or Right to Recover endorsement in favor of the State must be attached to the certificate.

PROFESSIONAL LIABILITY

Contractor shall obtain, at Contractor’s expense, and keep in effect during the term of this MSA, Professional Liability Insurance covering any damages caused by an error, omission or any negligent acts including third party losses, related to the services to be provided under this MSA by the Contractor and Contractor’s subcontractors, agents, officers, and employees in an amount of not less than $1,000,000 per occurrence, incident, or claim. Annual aggregate limit shall not be less than $2,000,000.

HEALTH INSURANCE PORTABILITY AND ACCOUNTABILITY ACT (HIPAA) STANDARDS FOR PRIVACY OF INDIVIDUALLY IDENTIFIABLE HEALTH INFORMATION Contractor shall understand and comply with the definitions, obligations, and Standards for Privacy of Individually Identifiable Health Information (hereinafter referred to as the Privacy Rule), the Health Insurance Portability and Accountability Act (HIPAA), Health Information Technology for Economic and Clinical Health (HITECH) Act, and all State and Federal requirements for any use, maintenance, and access to Protected Health Information (PHI), including electronic PHI, per United States Code (USC) Title 42 and U.S. Department of Health and Human Services.

Do not submit this attachment with your proposal.