2. SAFM 550 #6. Special Problems

3. SAFM 550 Employee Owned Vehicles Business use is on the increase Business use is on the increase Company exposure with employee accident Company exposure with employee accident Many people carry minimum liability limits Many people carry minimum liability limits In some states file uninsured motorist fee In some states file uninsured motorist fee Require $500,000 or $1,000,000 limits Require $500,000 or $1,000,000 limits

4. SAFM 550 Independent Contractors High potential for serious accidents High potential for serious accidents 90% chance of claim with serious accident 90% chance of claim with serious accident Assumption of risk theory no longer valid Assumption of risk theory no longer valid Duty to provide a safe work place Duty to provide a safe work place Uninsured employees may become statutory employees of the principal Uninsured employees may become statutory employees of the principal Degree of control exercised may determine extent of liability Degree of control exercised may determine extent of liability

5. SAFM 550 Contractor Control Measures Qualification process Qualification process Written contracts, hold harmless Written contracts, hold harmless Certificates of Insurance required, named as additional insured Certificates of Insurance required, named as additional insured Insurance limits equal or higher than principal Insurance limits equal or higher than principal

6. SAFM 550 Contractor Control Measures Favorable Workers Comp Experience Modification Favorable Workers Comp Experience Modification Furnish written safety program Furnish written safety program Furnish resumes of key project and safety management Furnish resumes of key project and safety management

7. SAFM 550 Contractor Control Measures Limit use of company equipment & facilities Limit use of company equipment & facilities Require training documentation Require training documentation Pre job meeting Pre job meeting Conduct accident investigations Conduct accident investigations Required to follow principal’s rules, attend meetings Required to follow principal’s rules, attend meetings

8. SAFM 550 Acknowledgements & Credits t Robert Brooks, Accordia, Bluefield, West Virginia t The Hartford, Hartford, Connecticut This material is based on a presentation by Rob Brooks and was later modified with the assistance of folks at the Hartford

9. The End