Technical Reports

Study of Liability, Insurance and Indemnification Problems for FRA Programs

  • 01
  • Jun
  • 1979
AUTHOR: The Research Group, Inc.
OFFICE: RPD
REPORT NUMBER: DOT-FR-74300
SUBJECT: Evaluation
KEYWORDS: Third-party, Liability, Insurance, Indemnification, Underwriting, Loss Experience
ABSTRACT: This report presents the findings, conclusions and recommendations of an extensive six-month study of liability, insurance and indemnification problems in certain FRA programs. To assemble this information, interviews were conducted, extensive legal research was performed, and relevant literature was surveyed. Final recommendations include hiring of an insurance broker, statutory authority to indemnify R&D contractors, use of self-insurance and claim servicing organizations, and limitations on conduct of R&D projects outside the TTC. Attention is paid to: aspects of FRA R&D programs which may give rise to liability; the feasibility of various insurance and indemnification approaches; FRA potential liability for acts of contractors; loss experience projections; and estimates of premium rates.

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