DBA Contractors: When You Need To Buy Defense Base Act Insurance

17 November 2021
 Categories: Insurance, Blog


A defense base act accident can cost you money, your house, or your life. You need defense base act insurance to provide for you and your family. A DBA insurance broker can help you find an affordable policy that provides the best coverage. Here is the DBA insurance information you need to know to ensure you are covered:

What is the DBA (Defense Base Act)?

Defense Base Act (DBA) insurance, also called contractor insurance, protects you from damage or injury while on a military installation. Contractors working on bases, ships, or in military housing all need DBA insurance. DBA insurance protects you from injury or damage to personal property, lawsuits, and accidents. It also covers liability claims if you injure someone or damage their property.

DBA insurance is expensive, and it can cost thousands of dollars a year. But you need to carry it or risk getting kicked off the base or being sued.

DBA insurance protects you from lawsuits for bodily injury, property damage, personal liability, personal injury, advertising injury, slander, copyright infringement, false arrest, and malicious prosecution. It also covers you for claims arising out of military regulations.

Who Are DBA Contractors?

DBA contractors perform services and work on construction projects for the federal government. They perform a variety of tasks, including building maintenance, waste removal, environmental cleanup, IT and facilities management, and specialized construction.

DBA contractors are prime contractors. That means they are the prime contractor for the services they perform; the prime contractor provides all services under the contract, from supervision to labor. DBA contractors may subcontract work, but they must still meet DBA insurance requirements.

DBA insurance requirements are quite extensive, and DBA contractors must carry both general liability and workers' comp insurance. They also must carry commercial general liability and auto liability insurance. They might also need other coverage depending on their work type, such as hazardous waste liability if they deal with hazardous materials.

Covered Losses Under the Defense Base Act

Under the DBA, the government pays for certain losses incurred by a contractor or subcontractor. The DBA covers losses to property, including damage to property on or off-site and loss of use. It also covers theft, vandalism, malicious mischief, and certain other losses, such as loss of business or revenue, loss of profits, and cost of interruption of operations.

DBA insurance for defense contractors covers you for personal property and workers' compensation. Contact a DBA insurance provider to get the insurance you need for your military contracts.