General (United States Vendors Only)
It is always advisable to obtain the maximum levels of coverage that the vendor will accept. However, the following are the minimum insurance coverage and policy limits that must be included in all contracts with Contractors and External Users. Depending on the activity involved in the contract, additional coverage may be necessary (see Section B below).
Minimum Levels of Coverage
- Commercial General Liability
- $1 million – Each Occurrence
- $2 million – Aggregate
- $2 million – Products Completed Operations
- $1 million – Personal & Advertising Injury
- $100,000 – Fire Damage (any one fire)
- $5,000 – Medical Expense (any one person)
- Commercial Auto Liability2: $1 million Combined Single Limit
- Workers’ Compensation: Statutory Limits
- Employers’ Liability: $1 million
1 Consult Risk Manager for vendors outside the United States.
2 Auto Liability is only required when vendor vehicles are used for purposes other than commuting.
Additional Coverage
Additional coverage may be necessary depending on the contract's activity. Examples include:
- Events where alcohol will be served or sold
- Charters of aircraft, watercraft, or ground transportation
- Construction activities (e.g., facilities alteration, demolition, land use)
- Health-related contracts (e.g., with physicians, hospitals, medical vendors)
- Environmental activities (e.g., hazardous materials use, cleanup, testing)
- Professional service contracts (e.g., lawyers, actuaries, executive search consultants)
For further guidance, contact your local risk management office:
Document Revision Date: November 13, 2013