thereafter. Continuous “claims-made” coverage will be acceptable in lieu of “tail-coverage” provided the retroactive
date is on or before the effective date of this Agreement, or twenty-four months “prior acts” coverage is provided.
Contractor will be responsible for furnishing certification of “tail coverage” or continuous “claims-made” coverage.
e. By requiring insurance herein, the State does not represent that coverage and limits will necessarily be adequate
to protect Contractor, and such coverage and limits shall not be deemed as a limitation on Contractor’s liability
under the indemnities granted to the State.
f. Contractor shall maintain insurance in amounts not less than the following;
(1) Commercial General and Umbrella Liability Insurance
Contractor shall maintain commercial general liability (CGL) and, if necessary, commercial umbrella insurance
with a combined single limit of not less than $1,000,000 each occurrence, $2,000,000 annual aggregate. The
CGL shall be written on standard ISO occurrence form (or a substitute form providing equivalent coverage) and
shall cover liability arising from premises, operations, independent contractors, products-completed operations,
personal injury, advertising injury, and liability assumed under an insured contract including the tort liability of
another assumed in a business contract.
(2) Worker’s Compensation Insurance
The Contractor shall maintain worker’s compensation insurance in amounts as required by statute in all states
in which the Contractor performs work, and employer’s liability insurance with a limit of $100,000 Bodily Injury
by Accident each Accident; $100,000 Bodily Injury by Disease – each employee; and $500,000 Bodily Injury by
Disease – Policy Limit.
g. The Contractor shall require all subcontractors utilized in performance of this Agreement to provide certificates of
insurance to the State evidencing insurance coverage with the required additional insured endorsements as set
forth in the preceding paragraphs.
9. TAXES
The State is generally exempt from payment of Idaho State Sales and Use Tax for property purchased for its use
under the authority of Idaho Code, Section 63-3622 as a government instrumentality. In addition, the State is generally
exempt from payment of Federal Excise Tax under a permanent authority from the district Director of the Internal
Revenue Service. Exemption certificates will be furnished upon written request by the Contractor. If the Contractor
is required to pay any taxes incurred as a result of doing business with the State, it shall be solely responsible for the
payment of those taxes. If the Contractor is performing public works construction (installation of fixtures, etc.), it shall
be responsible for payment of all sales and use taxes as required.
10. LICENSES, PERMITS & FEES
The Contractor shall, without additional expense to the State, obtain all required licenses and permits and pay all fees
necessary for executing provisions of this Agreement unless specifically stated otherwise herein.
11. INDEMNIFICATION
a. Contractor shall indemnify, defend, and save harmless the State, its officers, agents, employees, and
volunteers from and against any and all liability, claims, damages, losses, expenses, actions, settlements,
attorneys’ fees, and suits whatsoever caused by, arising out of, or in connection with Contractor’s acts or
omissions under this Agreement or Contractor’s failure to comply with any state or federal statute, law,
regulation, or rule.
b. Upon receipt of the State’s tender of indemnity and defense, Contractor shall immediately take all reasonable
actions necessary, including, but not limited to, providing a legal defense for the State, to begin fulfilling its
obligation to indemnify, defend, and save harmless the State. Contractor’s indemnification and defense
liabilities described herein shall apply regardless of any allegations that a claim or suit is attributable in whole
or in part to any act or omission of the State under this Agreement. However, if it is determined by a final
judgment that the State’s negligent act or omission is the sole proximate cause of a suit or claim, the State
shall not be entitled to indemnification from Contractor with respect to such suit or claim, and the State, in its