New York Codes, Rules and Regulations › Title 17 - DEPARTMENT OF TRANSPORTATION › Chapter IV - Highways › Subchapter B - Work Permits on State Highways, State-owned Bridges and Culverts › Part 127 - Financial Security Requirements › Section 127.3 - General liability insurance requirements

Current through Register Vol. 46, No. 28, July 10, 2024
Liability insurance is required, not only for the
					 protection of the State of New York, but also as a means of assuring the
					 accountability of permittees to the traveling public. Insurance policies are
					 required to provide primary and non-contributory coverage for the State of New
					 York to cover claims that arise out of the permitted work/operations. Insurance
					 policies that remove or restrict blanket contractual liability located in the
					 "insured contract" definition (as stated in section V, number 9, Item f in the
					 ISO CGL policy) so as to limit coverage against claims that arise out of permit
					 work, or that remove or modify the "insured contract" exception to the
					 employers liability exclusion, or that do not cover the additional insured for
					 claims involving injury to employees of the named insured or subcontractors,
					 are not acceptable. The type and limits of liability insurance required from
					 permittees shall vary depending upon the type of permit, the nature of the work
					 being performed, and the dollar-value of the improvements, construction, work
					 or operations. Policies of insurance shall be endorsed to provide coverage to
					 "The State of New York and the Commissioner of Transportation and all employees
					 of the State Department of Transportation" for claims arising from the
					 permitted work. The required insurance shall be documented by means of a
					 certificate of insurance, upon a form satisfactory to the department, furnished
					 by the permittee before the commencement of any work/operations. In the absence
					 of an acceptable general liability insurance policy, a permittee, excluding a
					 permittee for a special use permit, may purchase a protective liability
					 insurance policy with the limits of coverage that would normally apply to
					 general liability insurance. Self-insurance is permissible from municipalities,
					 Federal agencies, public authorities, public benefit corporations, public
					 utilities, transportation corporations and railroads, by use of an undertaking
					 agreement acceptable to the department. Self-insurance from other permittees in
					 lieu of the required liability insurance may be accepted upon satisfactory
					 proof that permittee has the financial resources and an established
					 self-insurance program to adjust and pay liability claims.
(a)
Residential driveways.
Any contractor engaged to construct a residential driveway
					 permitted under Part 125.9 of this Title shall be required to have a commercial
					 general liability insurance policy with limits of liability of not less than
					 $500,000 per claim/occurrence. The permittee shall provide proof of the
					 insurance for any contractor being utilized to do the work, and shall be
					 required to comply with the indemnity and other security requirements set forth
					 in this Part. A homeowner that performs such work on his/her own residence
					 without the use of a contractor shall be exempt from the requirement to
					 maintain commercial general liability insurance coverage.
(b)
Commercial driveways.
Any permittee seeking a permit for a commercial driveway
					 permitted under section
					 125.10(a) 
					 of this Title, including those driveways described as either major or minor
					 commercial driveways under section
					 125.1(e) and
					 (f)  of this Title, shall be required to have
					 a commercial general liability insurance policy with limits of liability of not
					 less than $1,000,000 per claim/occurrence except that if any of the following
					 conditions apply to the permitted work, the limits of liability shall be not
					 less than $5,000,000 per claim/occurrence:
(1) the estimated value of permitted work in
				  State right-of-way is $250,000 or more;
(2) the permitted work requires or includes
				  the construction, alteration or maintenance of underground features where
				  workers will be expected to work at any depth five feet or more below
				  grade;
(3) the permitted work
				  requires or includes the construction, alteration or maintenance of overhead
				  features that include, but are not limited to, traffic signals, overhead sign
				  structures, retaining walls or other grade separation structures.