Insurance Required by External Providers

Insurance Required by External Providers



The State of Louisiana, all State Departments, Agencies, Boards, Commissions and Southeastern (herein referred to as Agency) require suppliers, contractors, and tenants (i.e., the other party to an Agency contract) to maintain insurance covering the other party against claims or judgments arising from their products, operations, actions or activities for the Agency. The Agency must require that the contractor/subcontractor adds the Agency by endorsements, as an "additional insured" to protect the Agency, its officers, officials, employees and volunteers. The Agency should also require proof that these requirements have been fulfilled. The required insurance in a bid document does not take effect automatically. The other party's insurance company must first issue the required insurance policies or endorse existing policies to conform to the Agency's requirements. A certificate of insurance is then to be provided by the contractor/subcontractor to confirm that appropriate coverages and endorsements are in force.

 

 

In accordance with Act 558, enactment R. S. 38:2195, "Any provision that would require a public body to assume liability for damages caused by the negligence of anyone other than the public body, is prohibited in public contracts."



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