(November 2022)
Planning to work near or around a railway? If you do, the railroad requires a contract due to the easements involved. The contract has an indemnification requirement that the Commercial General Liability Coverage Form does not satisfy if the operations are within 50 feet of railroad property. In addition, the railroad may require that full limits be available to meet any obligations. This requirement also cannot be met if the Commercial General Liability Coverage Form has an aggregate limit. These two problems are why the Railroad Protective Liability Coverage Form was developed.
Consult the policy for definitions and limitations. The terms of this
brochure do not represent contract terms. The policy is subject to company
underwriting practices.
The Railroad Protective Liability Coverage Form satisfies the indemnification requirements in a contract between a railroad and a contractor when operations are within 50 feet of railroad property and involve construction or demolition. It is also the only way the railroad can be sure that the limits are dedicated to the project and will not be called on to respond to other contracting situations. The coverage provided is specific to the job and location. Coverage ends when the job is completed.
Coverage A–Bodily Injury and Property Damage applies to the railroad’s liability that arises out of acts or omissions at the job location related to or connected with the work being done.
Coverage B–Physical Damage to Property applies to direct and accidental damage to the railroad’s property that arises from the operations performed or work done at the designated project that this coverage form insures. The only property covered is railroad rolling stock and its contents, mechanical construction equipment, motive power equipment, railroad tracks, roadbeds, catenaries, signals, bridges, and buildings.
Every insurance coverage form has certain exclusions and limitations. This is because only specific types of businesses need the coverage or the risk or exposure to loss is not considered insurable for some reason.
These exclusions apply to Coverage A:
These exclusions apply to Coverage B:
Always review the coverage form carefully for other limitations and exclusion details.
Conditions are obligations the railroad and/or you owe the insurance company as well as obligations the insurance company owes to the railroad when a loss occurs.
These conditions apply to both Coverage A and Coverage B:
These conditions apply to only Coverage A:
These conditions apply to only Coverage B:
Refer to the coverage form for a list and description of definitions.
This coverage form provides fairly narrow coverage. For this reason, the number and type of endorsements available to modify or adjust it is fairly limited.
Note to subscribers:
Related Article: Railroad Protective Liability Coverage Form Endorsements Checklist
PF&M subscribers in any manual or electronic form are permitted to reprint any portion of this brochure for their commercial insurance customers. Other uses require permission from The Rough Notes Company, Inc.