Subcontractor

Subcontractor shall, at its own expense, maintain on all of its operations, not less than the following coverage and limits of insurance which shall be maintained under forms of polices and from companies rated A- or better by A.M. Best Company. Copies of policies shall be remitted annually and at the time of signing this Agreement and shall be provided through the time period for which a construction defect claim can be timely presented by a claimant, pursuant to applicable statutes and laws.

Each certificate shall provide 10 days’ advance written notice of cancellation or non-renewal. In the event of any changes in coverage, including without limitation, cancellation, non-renewal or limitations on coverage, Subcontractor agrees to inform Contractor immediately. In the event Subcontractor fails to secure and maintain the insurance required by this Agreement, Contractor may, at any time and in its sole discretion, procure the required insurance and deduct the costs of such insurance from any payments owed to Subcontractor or seek reimbursement for such insurance if payments are not owed or are insufficient to fully reimburse Contractor.

1. Commercial General Liability: Subcontractor agrees to obtain and maintain in full force and effect a commercial general liability insurance policy. The limits of this policy shall not be less than the following:
   • $1,000,000 Each Occurrence Limit (Bodily Injury and Property Damage)
   • $2,000,000 General Aggregate per Project
   • $2,000,000 Products & Completed Operations Aggregate
   • $1,000,000 Personal and Advertising Injury Limit
2. Workers Compensation Insurance covering all persons working on Contractor’s job sites including, but not limited to any principals or officers of the Subcontractor, employees of Subcontract and Subcontractors of the Subcontractor. Further, Subcontractor, including but not limited to a sole proprietor who has one or more employees shall also provide, at his own expense a current Certificate of Worker’s Compensation Insurance.
3. Umbrella Insurance with a minimum $1,000,000 umbrella limit.
4. Automobile Liability Insurance for any and all vehicles used at any jobsites or to transport individuals or materials to or from jobsites for a minimum coverage amount of $1,000,000 each accident.
5. Additional Insured Endorsement Contractor, General Contractor, and Owner are to be named as Additional Insured on Subcontractor’s General Liability and Automobile Liability policies, and all insurance of Subcontractor shall be on a primary basis. All insurance maintained by Contractor, General Contractor, and Owner shall be considered excess and non-contributory. Contractor, General Contractor, and Owner are entitled to insurance coverage under Subcontractor’s policies to the full extent of policy limits where such limits exceed the minimum limits stated herein.
6. Insurance requirements for Sub-Subcontractors Subcontractor shall require all lower-tier subcontractors (i.e. sub-subcontractors) to be subject to the same insurance requirements as Subcontractor. Subcontractor must cause all sub-subcontractors providing equipment, materials and/or services directly to Subcontractor in connection with Subcontractor’s work to furnish the same indemnity and insurance with sufficient limits as reasonably determined by Contractor to protect the interests of Contractor, General Contractor, and Owner. 

• Each sub-subcontractor must name Contractor, Subcontractor, General Contractor, and Owner as additional insureds under their General Liability and Automobile Liability, and all such insurance shall be on a primary basis. All insurance maintained by Contractor, Subcontractor, General Contractor, and Owner shall be considered excess and non-contributory.  Subcontractor shall require all sub-subcontractors to waive their rights of subrogation in each of their respective contracts as required of Subcontractor hereunder.  Subcontractor must obtain certificates of insurance evidencing such coverage and provide same to Contractor, General Contractor, and Owner upon request.  Subcontractor shall verify that each sub-subcontractor has satisfied the Workers Compensation requirements, as required by law, including but not limited to collecting all required certificates of insurance.

IN NO EVENT SHALL SUBCONTRACTOR APPEAR AT ANY JOB SITE IF ITS INSURANCE HAS BEEN CANCELLED, LAPSED OR NON-RENEWED.