Insurance_Requirements.pdf

CECIL COUNTY, MARYLAND 1

GENERAL REQUIREMENTS

Coverages Required:

Unless otherwise required by the specifications or the contract, the Contractor/Vendor shall purchase and maintain the insurance coverages listed herein.

Insurance Companies must be acceptable to Cecil County and have an A.M. Best Rating of A-, Class X or better.

Verification of Insurance:

Before starting work on the contract or prior to the execution of the Contract on those bids, the Contractor/Vendor shall provide Cecil County, Maryland with verification of insurance coverage evidencing the required coverages.

Cecil County as Additional Insured:

The coverage required, excluding Worker’s Compensation and Employers’ Liability and Medical Malpractice Liability/Professional Liability/Errors and Omissions Liability, must include Cecil County, Maryland as an additional insured.

Contractor’s/Vendor’s Responsibility:

The providing of any insurance herein does not relieve the Contractor/Vendor of any of the responsibilities or obligations the Contractor/Vendor has assumed in the contract or for which the contractor/Vendor may be liable by law or otherwise.

Failure to Provide Insurance:

Failure to provide and continue in force the required insurance shall be deemed a material breach of the contract.

INSURANCE COVERAGES

General Liability Insurance

• Minimum Limits of Coverage:

General Liability: $2,000,000 Annual Aggregate

$1,000,000 Each Occurrence

$1,000,000 Products and Completed Operations

$1,000,000 Personal Injury and Advertising

CECIL COUNTY, MARYLAND 2

• Such insurance shall protect the Contractor/Vendor from claims which may arise out of, or result from, the Contractor’s/Vendor’s operations under the contract, whether such operations be by the Contractor/Vendor, any subcontractor, anyone directly or indirectly employed by the Contractor/Vendor or Subcontractor, or anyone for whose acts any of the above may be liable.

• Minimum Coverages to be included:

1. Independent Contractor’s coverage;

2. Completed Operations and Products Liability coverage; and

3. Contractual Liability coverage

• Damages not to be Excluded:

Such insurance shall contain no exclusions applying to operations by the Contractor/Vendor or any Subcontractor in the performance of the Contract including but not limited to:

1. Collapse of, or structural injury to, any building or structure;

2. Damage to underground property; or

3. Damage arising out of blasting or explosion.

Automobile Liability Insurance

Business Auto Liability: $1,000,000 Combined Single Limit

• Minimum Coverages to be Included:

Such insurance shall provide coverage for all owned, non-owned, and hired automobiles.

Workers’ compensation and Employers’ Liability Insurance

• Such insurance must contain statutory coverage, including:

o Employers’ Liability insurance with limits of at least:

Worker’s Compensation: -- Statutory Excess $1,000,000 Each Occurrence

Professional Liability Insurance

Professional Liability: $1,000,000 (As Required)

Other

Such other insurance in form and amount as may be customary for the type of business being undertaken by the Contractor/Vendor.

CECIL COUNTY, MARYLAND 3

Notice of Cancellation

Commercial General Liability Insurance, Automobile Liability Insurance and Workers' Compensation insurance, as described above shall include an endorsement stating the following:

"Thirty (30) days advance written notice of cancellation, non-renewal, reduction, and/or material change shall be sent to: Cecil County, Maryland, Attn: Purchasing Department, 200 Chesapeake Blvd., Elkton, MD 21921."

Prior to starting the performance of the contract and for each extension of the contract, a certificate of insurance shall be furnished to the County. Insurance companies providing insurance shall be acceptable to the County. The contractor shall obtain at its own cost and keep it in force and in effect during the term of the contract. The proposer shall provide a Certificate of Insurance prior to the award of this contract.