INSURANCE REQUIREMENTS IN CONTRACTS

INTEGRATED INSURANCE & FINANCIAL SERVICES

Insurance Requirements in Contracts Edition: April 2016 Version 9

Exhibit 8:

Insurance Requirements for IT Vendor Services

IT Vendor shall procure and maintain for the duration of the contract insurance against claims

for injuries to persons or damages to property which may arise from or in connection with the

performance of the work hereunder by the Vendor, its agents, representatives, or employees.

Vendor shall procure and maintain for the duration of the contract insurance claims arising out

of their services and including, but not limited to loss, damage, theft or other misuse of data,

infringement of intellectual property, invasion of privacy and breach of data.

MINIMUM SCOPE AND LIMIT OF INSURANCE

Coverage shall be at least as broad as:

1. Commercial General Liability (CGL): Insurance Services Office Form CG 00 01

covering CGL on an “occurrence” basis, including products and completed operations,

property damage, bodily injury and personal & advertising injury with limits no less

than $1,000,000 per occurrence. If a general aggregate limit applies, either the general

aggregate limit shall apply separately to this project/location (ISO CG 25 03 or 25 04)

or the general aggregate limit shall be twice the required occurrence limit.

2. Automobile Liability: Insurance Services Office Form Number CA 0001 covering,

Code 1 (any auto), or if Consultant has no owned autos, Code 8 (hired) and 9 (non-

owned), with limit no less than $1,000,000 per accident for bodily injury and property

damage.

3. Workers’ Compensation insurance as required by the State of California, with

Statutory Limits, and Employer’s Liability Insurance with limit of no less than

$1,000,000 per accident for bodily injury or disease.

(Not required if consultant provides written verification it has no employees)

4. Cyber Liability Insurance, with limits not less than $2,000,000 per occurrence or

claim, $2,000,000 aggregate. Coverage shall be sufficiently broad to respond to the

duties and obligations as is undertaken by Vendor in this agreement and shall include,

but not be limited to, claims involving infringement of intellectual property, including

but not limited to infringement of copyright, trademark, trade dress, invasion of privacy

violations, information theft, damage to or destruction of electronic information,

release of private information, alteration of electronic information, extortion and

network security. The policy shall provide coverage for breach response costs as well

as regulatory fines and penalties as well as credit monitoring expenses with limits

sufficient to respond to these obligations.

If the Vendor maintains broader coverage and/or higher limits than the minimums shown

above, the Entity requires and shall be entitled to the broader coverage and/or higher limits

maintained by the Vendor. Any available insurance proceeds in excess of the specified

minimum limits of insurance and coverage shall be available to the Entity.

INTEGRATED INSURANCE & FINANCIAL SERVICES

Insurance Requirements in Contracts Edition: April 2016 Version 9

Other Insurance Provisions

The insurance policies are to contain, or be endorsed to contain, the following provisions:

Additional Insured Status

The Entity, its officers, officials, employees, and volunteers are to be covered as additional

insureds on the CGL policy with respect to liability arising out of work or operations

performed by or on behalf of the Vendor including materials, parts, or equipment furnished in

connection with such work or operations. General liability coverage can be provided in the

form of an endorsement to the Consultant’s insurance (at least as broad as ISO Form CG 20

10 11 85 or both CG 20 10, CG 20 26, CG 20 33, or CG 20 38; and CG 20 37 forms if later

revisions used).

Primary Coverage

For any claims related to this contract, the Vendor’s insurance coverage shall be primary

insurance primary coverage at least as broad as ISO CG 20 01 04 13 as respects the Entity, its

officers, officials, employees, and volunteers. Any insurance or self-insurance maintained by

the Entity, its officers, officials, employees, or volunteers shall be excess of the Vendor’s

insurance and shall not contribute with it.

Notice of Cancellation

Each insurance policy required above shall state that coverage shall not be canceled, except

with notice to the Entity.

Waiver of Subrogation

Vendor hereby grants to Entity a waiver of any right to subrogation which any insurer of said

Vendor may acquire against the Entity by virtue of the payment of any loss under such

insurance. Vendor agrees to obtain any endorsement that may be necessary to affect this

waiver of subrogation, but this provision applies regardless of whether or not the Entity has

received a waiver of subrogation endorsement from the insurer.

Self-Insured Retentions

Self-insured retentions must be declared to and approved by the Entity. The Entity may require

the Vendor to provide proof of ability to pay losses and related investigations, claim

administration, and defense expenses within the retention. The policy language shall provide,

or be endorsed to provide, that the self-insured retention may be satisfied by either the named

insured or Entity.

Acceptability of Insurers

Insurance is to be placed with insurers with a current A.M. Best’s rating of no less than A:VII,

unless otherwise acceptable to the Entity.

Claims Made Policies

If any of the required policies provide coverage on a claims-made basis:

1. The Retroactive Date must be shown and must be before the date of the contract or the

beginning of contract work.

2. Insurance must be maintained and evidence of insurance must be provided for at least

five (5) years after completion of the contract of work.

3. If coverage is canceled or non-renewed, and not replaced with another claims-made

policy form with a Retroactive Date prior to the contract effective date, the Vendor

INTEGRATED INSURANCE & FINANCIAL SERVICES

Insurance Requirements in Contracts Edition: April 2016 Version 9

must purchase “extended reporting” coverage for a minimum of five (5) years after

completion of contract work.

Verification of Coverage

Vendor shall furnish the Entity with original certificates and amendatory endorsements or

copies of the applicable policy language effecting coverage required by this clause. All

certificates and endorsements are to be received and approved by the Entity before work

commences. However, failure to obtain the required documents prior to the work beginning

shall not waive the Vendor’s obligation to provide them. The Entity reserves the right to

require complete, certified copies of all required insurance policies, including endorsements

required by these specifications, at any time. We strongly recommend obtaining a copy of

the policy declarations and endorsement page (make this a requirement in your Contract) to

facilitate verification of coverages and spot any undesirable policy limitations or exclusions.

Subcontractors

Vendor shall require and verify that all subcontractors maintain insurance meeting all the

requirements stated herein, and Vendor shall ensure that Entity is an additional insured on

insurance required from subcontractors.

Special Risks or Circumstances

Entity reserves the right to modify these requirements, including limits, based on the nature of

the risk, prior experience, insurer, coverage, or other special circumstances.