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8-00 Scope. This Section sets forth the type and limitations of b0Cd.s and in sur axe policies and re rui rem cnt s for the same for construc8-10 tlequiremeiits for Bonds. Requiremeiits for Bid, Performance andI_ Payment lior,ds are established by Bulletin GI,!-108. Requi.rer,ents for Fidelity Bo!lc?s are established by E ul let in GM-120. Requirements for o th%r bonds will be determircd by the Commission's Ee present at ive and must hxve the prior api;roval of the Insurance Section of the Finance Divisi-an a t 8-11 "Did Iiond. This isa bond accompanyinc a bid whcrt.by the bid---- d ? r and t h ? surety obligate themselves inan amount stated(thepm1 sun) which obligation is to be void i f (E) -;he bid i s not withdrawn after the opening within the pzrioci spec if j cd in tho bid ; (b)the bidder enters into a written contract with the 2ovsrnmest or its contractor. 8-12 Performance Eond. This isa bond, execut?d income c tio nwith a contract, which secures the performance and fulfi1lme:it of all the ucdei takinE:s, terms, conditions and agrcemr-nts contained i n the
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8-13 Papen tc_IBond. This is a bond, executed i n connection with a contract,w ; ,ich secures the paiflent of all persons supplying labor and material in the prosecution of the work providcd for in the contract, 8-14. Fidelity Bod.This is a bond indemnifying a n employzr by an obligor, up to a stated amount, for losses caused by dishonesty on the part of all employees excepting thosn expressly excluded by - mitten 8-15 Other Eonds, Such othsr bonds as Patent In f ring ment 3ondsJ bdvance Payment honds and Forgery Bonds provide protection urdcr special conditions as incic'zted by their titles. 8-20.:~ Insurance for Fixed Price Contracts. Eo in sur m ce is required in connection with fixed price construction contracts, except such insurance as is necessary to comply xith 3ppli.cable st-lte and federKi laws. Where. performance and payment bonds are not required fora lump sum construction subcontract in excess of $2,COO und,or a tive should review the ir.surance coverage of the s ut contractor to assure that the interests of the Government are adequately pro ted ted. 8-20,,2 Insurance f o r Cost Reimbursement Type Cont,ract. The Atomic Energy Commission's general policy is not to require insurance
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covering loss o r damage to property of the United States which isto be acquired or used i n connection with cost reimbursement o r cost-plusevery cost reimbursement type contract under which the contractor agrees that he does not and will not carry insurance for liability for Governk contract article should be inserted in ment-owned property. Managers of ape rations may consider that other forms of insurance 3re necessary in special cases. GM Bulletin 124 outlines the procedure for approval of insurance policies purchased by cost re im bursa ent type contractors, 8-21 Casualty Insurance. Cost-plus-a-fixed-fee or cost type construction contractors will be required to procure and maintain the following types of insurance subject to applicable gr s visions of the 8-21.1 Yiorkmen' s Compensation Insurance. This coverage will be- (1) In jurisdictions where there are workmen's compcmation laws, either mandatory or elective : (S) Wnere the workmen's compensation law does not cover all occupational diseases,occupational disease coverage by endorsement for limits of $50,000 per person inany one case and subject to that1S.mit of $100,000 for each year of the policy period;
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coverage under paragraph 1(b ) of the policy,an endorsement providing a $100,000 limit .for each accident ; and coverage under paragraph l(b) of the policy,an endorsemc-nt providing a $5'0,000 limit for each person; (Note: In certain states the occupGtional disease aggregate limit i sdetermined by the occupational disEase premium, If sxch basic aggregate limit is less than $lOG,OOC the lowest multiple thc re of necessary to increase the aggregat? lin lit to $100,000 will be used). s ation lam,or whzre work w n ' s compensation insurance is carried in a State Fund, which Fund does not afford complete covrrzge as hz re in re quir sd, employe rsl i abi li ty in sura me inc lud ing oc cupa t iona 1di sca se s to that limit fore ah pzrr59n, $103,000 for txo o r more pr sons in any one accident 2nd a n aggregate limit of $l.GO,OOO for each year of the policy period for occupation dais ease clcims. 8-21.2 Gen crs lLi a bil j ty Insurance, This insurance will be r e - corn pi was ive pol.icy form. Th.2 pl icy will be endorsed to include
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8-21.3 Automobile Fub li c Liability and i roper ty Damage Insurance--- This insurance will be required with limits of $F;O/lOO,OOO €or bodily hensive policy form covering all mined, non-owned and hired auto rm bile s which will be us:.cl i n connection with the work to be dorie under other than fj-xed or unit price type contract and which are not uscd ex clu s iw ly on tfie premises I.i.here t h e wcrk is performed. 8-22 Oticr Insurance. In iinusual instances, Iknagers of Operc'tions may epprovc sutjcct t o concurrence of tt;e Civ ki on of i.'iriance using other forms of insurance such a s ?ayrol.l Flobkry, Ilold-up and Szfe Robtery Insurance, Central Lia bil ii y Insurance for Dsrnage to Property of Others, and i rod uc is Liability Insurance.