Office of Insurance, Loss Control & Claims

Minimum Insurance Requirements
for Construction, Non-Construction and
Professional Design Contracts

Highlights

This site is informational. It does not supercede our construction contract.

There may be some variation between types of projects. Refer to the documentation provided (to the contractor) for details.

Depending on the insurance company, their forms may or may not be ISO standard forms. We rely on the agent to provide proof that our requirements are met. Work cannot begin until our requirements are met.

It is very helpful if the agent includes their telephone number and email address on the certificate.

Note: Where a dollar amount is specified below, each entry should be read as prefaced by "at least."

We reserve the right to require increased limits of coverage if, in our opinion, the project is hazardous in nature or poses a higher than usual risk.

If you are a contractor you must be aware that you are required to meet the insurance specifications during the time of construction and during the warranty period, usually two years after the project is accepted by us.

Insurance companies: All insurance companies selected by contractor must be rated "A-" or above in the most recent edition of the A.M. Best's Key Rating Guide.

Requirements Document

Obligations of Contractors and Consultants

emphasis added

Contractors and Consultants (whether corporation, sole proprietorship or partnership) shall procure and maintain during the term of the contract and until final acceptance of the completed work under the contract, insurance of the types of coverages and minimum limits as identified here and shall provide the Owner with Certificate(s) of Insurance evidencing these coverages prior to beginning work. With the exception of their "hold harmless" obligations, which are addressed separately below, Contractors and Consultants shall be referred to herein as "Contractor," irrespective of their area of expertise.



CERTIFICATE HOLDER:
The Trustees of Indiana University
1800 N. Range Road
Bloomington, In. 47405-2206

Check your contract for the address required. This may vary depending on which section of the University is issuing the contract.


Insurance Requirements

  1. General Liability
  2. Pollution Liability

  3. Automobile Liability

  4. Excess/Umbrella

  5. Professional Liability Insurance
    Any type of design or consulting contract requires Professional Liability coverage of at least $1 million..

  6. Owner reserves the right to require increased limits of coverage if, in the opinion of the Owner, project is hazardous in nature or poses a higher than usual risk. (This applies to all coverages.)

  7. Workers Compensation
  8. The Contractor shall procure and maintain a Workers' Compensation policy to cover its obligation under the applicable laws of any state or federal government to its employees employed on the jobsite or elsewhere on this project, including its liability as an employer under common law (commonly known as Employer's Liability Coverage "B") with limits of not less than that listed below. Before commencing work, Contractor shall submit to the Owner a valid State Form 41321 (Certificate of Compliance – Worker's Compensation and Occupational Diseases) or a facsimile thereof at Owner's option. (This form can be requested from the state's website www.in.gov/wcb. It is found under "Online Services" on the right–hand of our homepage and is the second choice from the bottom.) If the Contractor is not required to carry workers compensation insurance then a Certificate of Exception must be obtained from the State. See http://www.in.gov/dor/4473.htm. Form WCE-1 can be obtained at https://forms.in.gov/download.aspx?id=7134.
    Worker's Compensation:Statutory
    Employer's Liability:$ 500,000 each accident or disease
    $ 500,000 policy limit
    $ 500,000 each employee

Insurance Policy Endorsements

All insurance policies must provide the following endorsements to the policy and must be noted on the certificate(s):

  1. Additional Insured Endorsement (CG2010 10 01 and CG2037) or equivalent form required on General Liability, Automobile Liability and Excess/Umbrella Liability policies naming the Owner and/or Other Parties as defined in Owner's Contract and including coverage for completed operations. Owner shall be identified as: "The Trustees of Indiana University, its officers, agents and employees." If additional insured status is automatically granted by the insurance form "where required by written contract" then it is sufficient to note that on the certificate with a reference to the form number. This must include information about the Excess/Umbrella coverage, e.g., "Excess coverage is following form."
  2. Aggregate Per–Project Endorsement (CG2503) to the General Liability Policy indicating that the general aggregate applies separately to each project except certificates being sent for the Consultants Master Agreement.
  3. Waiver of Subrogation on General Liability, Automobile Liability, and Employer's Liability/Workers' Compensation Policies in favor of the Owner.
  4. The general and auto liability (and excess/umbrella, if used) insurance policies shall be primary and non-contributing with respect to any insurance carried by the Owner, and shall contain a severability of interests clause in respect to liability, protecting each insured as though a separate policy had been issued to each.
  5. All policies shall contain an endorsement requiring (30) days written notice by the insurer to the Indiana University Office of Insurance, Loss Control & Claims before cancellation, reduction or other modifications of coverage for any reason, whenever possible.

Certificate Details

Description of Operations

The DOO must include the project name and project number (or purchase order number, whichever is applicable) to which this coverage applies.

If the certificate is for the Consultants Master Agreement then, instead of a project name and number, state "for Master Agreement."

Insurance Companies

All insurance carriers selected by contractor must be rated "A-" or above in the most recent edition of the "A.M. Best's Key Rating Guide."

Hold Harmless Agreement

Contractor shall indemnify and save harmless the Owner from any and all losses, costs, damages, liability and expenses, including reasonable attorney fees ("Losses"), arising out of or in conjunction with claims or suits for damage to any property not included in the scope of work and/or injury to persons, including Contractor's employees and all Subcontractor's employees of any tier, including death, alleged or claimed to have been caused by or through the performance of the work or operations incidental to the work by the Contractor, its agents or employees, or by its Subcontractors of any tier, their agents or employees, whether through negligence or willful act; and Contractor shall, at the request of Owner, undertake to investigate and defend any and all such claims or suits against Owner.

Hold Harmless Agreement—Consultants

With regard to losses, costs, damages, liability and expenses, including reasonable attorney fees ("Losses") that may be covered by Consultant’s professional liability insurance, Consultant shall indemnify and save harmless the Owner from any and all Losses arising out of or in conjunction with claims or suits for damage to any property not included in the scope of work and/or injury to persons, including Consultant’s employees and all employees of a Sub-Consultant, if any, of any tier, including death, caused by or through the performance of the work or operations incidental to the work by the Consultant, its agents or employees, or by its Sub-Consultants, if any, of any tier, their agents or employees, whether through negligence or willful act and Consultant.

With regard to losses, costs, damages, liability and expenses, including reasonable attorney fees ("Losses") that may be covered by Consultant’s other liability insurance programs, Consultant shall indemnify and save harmless the Owner from any and all losses, costs, damages, liability and expenses, including reasonable attorney fees ("Losses"), arising out of or in conjunction with claims or suits for damage to any property not included in the scope of work and/or injury to persons, including Consultant’s employees and all employees of a Sub-Consultant, if any, of any tier, including death, alleged or claimed to have been caused by or through the performance of the work or operations incidental to the work by the Consultant, its agents or employees, or by its Sub-Consultants, if any, of any tier, their agents or employees, whether through negligence or willful act and Consultant shall, at the request of Owner, undertake to investigate and defend any and all such claims or suits against Owner.

Questions may be addressed to Larry Stephens or Kutina England (812-855-9758).