Government Contractors

Overview

Most Government contractors understand the legal exposures they face here at home, but when they venture to other country’s they will come across many laws, languages and customs that are unfamiliar to them. Domestic insurance does not adequately respond to certain risks contractors may encounter while traveling or operating outside the country. Failure to fully evaluate and understand international insurance needs could result in unexpected financial losses, costly gaps in insurance coverages, and legal issues.

Global Underwriters takes great pride in serving those that serve us so well. Our number one priority is making sure that your small, large, or multinational contracting business understands the complexities of certain international insurance exposures while simultaneously providing valuable resources and education to help facilitate optimal mission and operational effectiveness for your company.

Global Underwriters, Looking after you:

• Simplifying Federally Mandated Insurance Requirements
• Educating Government Contractors About Sound Risk Management Strategies
• Managing & Preserving Human Capital While Ramping Up Operations & Deployments
• Budget Strategies & Contract Management
• Global Protection & Financial Efficacy.

Defense Base Act Insurance

The first line of defense for any U.S. Government contractor performing work Outside the Continental United Sates (OCONUS) is the Defense Base Act (DBA). This federally mandated insurance requirement is known as the “sole remedy” because it protects the employer from certain liability claims while also protecting the employee from work-related injuries, disabilities, and accidental death. U.S. Government-funded contract(s) that require work Outside the Continental U.S. (OCONUS) mandate that employers purchase Defense Base Act insurance for all U.S. civilian contractors, third-country nationals, and local nationals, whether they are considered primary contractors or subcontractors for the U.S. Government.

Failing to secure Defense Base Act insurance from an authorized insurance carrier or not receiving proper authorization from the United States Department of Labor to be self-insured could result in serious legal problems for that organization or company. Any employer who chooses to not purchase this federally mandated insurance coverage may be subject to criminal prosecution, imprisonment, and/or hefty legal fines and restitution, and loss of contract. Talk with one of our product experts right now to make sure your company is compliant.

Foreign General Liability

Mitigating risk is essential to the vitality of any contractor, but it is particularly important when contractors have sales, operations, property, and personnel working outside the continental United States. Global Underwriters’ Foreign General Liability (FGL) package includes foreign general liability with optional foreign workers compensation, foreign auto, travel accident, and even kidnap & ransom insurance. We can also include foreign property coverage for contractors renting or purchasing building space abroad.

Here are two extremely important things to know about Foreign General Liability Packages:

1. Know the difference between foreign voluntary workers comp (AKA: employers responsibility coverage) and Defense Base Act workers comp and know when each policy applies (HINT: foreign voluntary workers compensation coverage should only be considered for contractors working on private business contracts (Non-U.S. Government work) outside of the continental United States).
2. Foreign General Liability Packages will respond to lawsuits filed in another country or here in the U.S., as long as the event took place outside of the United States (HINT: Domestic GL policies do not respond to lawsuits filed in another country). Talk with one of our product experts right now to make sure your company is properly protected.

Product Utilization:

Foreign Commercial General Liability

• Situation: U.S. contractor is traveling overseas to South Africa and uses an electric plug adapter. The adapter overheats while out of the room, and smoke triggers the room sprinklers. The room, as well as the room below it, have water damage, and the hotel owner is demanding to be repaid for the damage. Your domestic GL policy declines to cover because it happened outside of the U.S.
• Solution: Your Foreign GL policy would provide third party property liability for damages caused by your employee while traveling internationally. It would pay for the cost of defense, expenses, and damages that you are liable for. This policy will respond whether the lawsuit is filed in that country or the U.S.

Foreign Voluntary Workers Compensation

• Situation: Your company sends workers overseas to install communication equipment for a company in the middle east. While working on a ladder, an employee falls and breaks his hip. He is unable to work for 6 months while healing, and your domestic Workers Comp only provides coverage in the U.S.
• Solution: A Foreign GL policy that includes Foreign Voluntary Workers Compensation provides State-of-Hire or Country-of-Origin benefits to all employees working internationally. This would pay for items such as their lost wages and medical bills, with the goal of making the employee whole and protecting your company.

Foreign Auto Liability

• Situation: U.S. contractor travels to Mexico and rents a car with $40,000 in local auto liability (compulsory under Mexico law). They are in an accident where a passenger in the other vehicle dies, and the driver is seriously injured. Their liability greatly exceeds the $40,000 they purchased, and the company and employee can both be held responsible.
• Solution: A Foreign GL policy can be bundled with contingent auto liability coverage, with limits of up to $1,000,000 per covered accident, and extends coverage to both the company and the employee.

International Group Travel Medical

Global Underwriters’ International Group Travel Medical policies are customized to meet the challenging needs of today’s Government contractors. Unfortunately, most domestic group and individual health/medical policies do not provide adequate insurance coverage for work performed outside of the United States. Our International Group Medical plans are carefully designed to mitigate gaps in coverage and eliminate any duplication of benefits.

Global Underwriters offers tailored plans with multiple medical benefits, deductibles and co-insurance options to meet the immediate insurance needs of your business. We also carefully consider the type of work being performed, location of contract and any geopolitical issues that may affect operations. The health, well-being and safety of employees is critical to any business, but we also consider mitigating the financial liabilities for your company by educating you about current travel risk management strategies, “duty of care” obligations and implementing “best practice” procedures for the entire operation.

Group Policy Highlights

• 24-Hour Worldwide Assistance Services is always included as part of our International Group Travel Medical plans for government contractors.
• Out of Country Medical (accident & sickness) coverage and accidental death & dismemberment (AD&D) are typically the foundation for any International Group Travel plan, but we offer flexible plan designs that can be tailored to meet your immediate international insurance needs.
• Emergency Medical Air Evacuation and Repatriation benefits are an essential part of any International Group Travel Medical plan that we offer to government contractors.
• Global Underwriters also offers seamless Claims Processing and Adjudication capabilities on certain cases that we write.
• Travel Risk Management services are also available to enhance and fully integrate global insurance needs, risk assessment, best practices, Security intelligence, travel risk and crisis management/response for government contractors.

Other Optional Enhancements

• War Risk Coverage
• Political Security Evacuations
• High Limit Accidental Death & Dismemberment (lump-sum payment)
• Hazardous Activity Coverage
• Coma & Paralysis Benefits

Kidnap, Ransom & Extortion

Kidnap, Ransom & Extortion and Crisis Management

Kidnap, ransom and extortion are very real and continue to present threats to U.S. Government contractors working abroad. As government contracted work outside the U.S. continues to grow, companies are potentially exposed to wrongful detention, hijacking, kidnapping and political unrest even in countries considered relatively safe. In many countries, Kidnap & Ransom situations are opportunistic and commoditized, but things can turn violent quickly if you do not have the right crisis management protocols and response team on your side.

Global Underwriters Kidnap, Ransom and Extortion Insurance not only protects against financial loss and liquidation, but also provides worldwide resources and immediate access to services of leading crisis management and security consultants to manage incidents and threats to the policyholder. Our enhanced coverage further extends a number of benefits/services that are unique to the KRE insurance market:

Product Utilization

• Kidnap, Ransom & Extortion insurance should be considered as part of a comprehensive approach to mitigate risk for government contractors.
• Proper Implementation of a KRE policy includes but is not limited to increasing awareness of potential security issues and proactively developing crisis management strategies and tactical solutions for government contractors.
• Global Underwriters Kidnap, Ransom & Extortion insurance is worldwide, including exposures at home.
• These plans also respond to extortion threats to harm employees and administrative staff, cause damage to physical property or to introduce a computer virus.
• Global Underwriters Kidnap, Ransom & Extortion policies include access to 24/7 Emergency Crisis Response services.
• In addition to providing ransom monies, these policies can include other mitigating coverages, such as extra expenses tied to violent attacks and threats, coverage for medical expenses, rehabilitation, psychiatric, accidental death & dismemberment and funeral expenses.

We Also Cover

• Express Kidnap (covers kidnaps involving victims and their ATM withdrawals as ransom)
• Disappearance Investigation (covers investigation when someone goes missing)
• Travel Evacuation (covers evacuation for political or security reasons)
• Threat Response (covers expense responding to a threat of any kind)
• Business Interruption Expenses

Contact one of our international experts for a confidential call about the different types of plans and services available. We look forward to working with you and we appreciate your business!

Global Expatriate Benefits

Comprehensive Global Expatriate Health Benefits

Global Underwriters offers an impressive portfolio of comprehensive Global Benefits that meet the changing needs of today’s multinational government contractors with globally mobile populations. Multinational government contractors are faced with unique challenges and unforeseeable risks for employees traveling or on assignment abroad. Global Underwriters’ International Expat benefits deliver both Global Health Care insurance solutions and Travel Risk Management strategies for any U.S. based multinational company with employees or group members assigned abroad.

Seamless plan designs are available worldwide and allow the client to pick and choose from several different pre-designed plans which offer a low, medium and high benefit option, or we can customize a plan to meet the specific needs of the client. Global Benefits include, but are not limited to – Medical, Life, Long Term Disability, Dental (LTD), Vision, Portability, Business Travel, Medevac/Repatriation, Travel Assistance, Crisis Management and a variety of other Travel Risk Management strategies and services.

Eligibility

• Expatriate (expat): U.S. contractors and staff on assignment abroad
• Inpatriate (inpat): Foreign National employees or group members on assignment in U.S.
• Third Country Nationals (TCN): Non-U.S. employees working outside their home country, but not working in the U.S.
• Local Nationals (LN): Local employees working in their home country
• Family Members: They can be covered too

Product Highlights

Attracting and retaining productive employees is essential for any contractor with a globally mobile population. The complexities of navigating and managing certain geopolitical issues, language barriers, cultural differences and compliance requirements in different countries can be a daunting task for any multinational company. Global Underwriters’ International Expat Benefit solutions are designed to make the process easy, efficient and seamless. We know your employees are your most important asset, so all of our Global Benefits and ancillary products and services carefully consider current “duty of care obligations” and “best practice” procedures for your company.

• Global Group Health Benefits
• Group Life & Accidental Death & Dismemberment
• Emergency Air Evacuation & Repatriation Benefits
• 24-Hour Multilingual Worldwide Assistance Services
• Long Term Group Disability
• Dental & Vision
• Rx Drugs
• Business & Personal Travel Protection
• Crisis Management & Response
• Security & Intelligence
• Personal Protection
• Travel Tracking & Intelligence