The Basics of Insurance Compliance With Defense Contracts

defence contract

†If your company does business with government agencies like the Department of State, Defense, or Army Corp of Engineers, you are required by law to carry DBA insurance for any employees that are working oversees. This policy of a form of workers compensation insurance, protecting employees from the costs associated with injuries that occur overseas.

Coverage Extensions

When reviewing the information at, you will find that coverage is extended beyond accidents in the workplaces to situations that could include the following:

  • Medical evacuation
  • Emergency surgeries
  • Basic or urgent medical care

Policy Expenses

It can be expensive to carry a DBA policy, as the costs of healthcare in countries with civil unrest or undeveloped infrastructure have risen greatly. However, it also tough to determine how much your policy cost without an assessment of certain factors. The policy takes into account the geographical work region, the number of employees working overseas, the yearly payroll costs for overseas employees, the level of qualifications of your overseas employees, and if an employee will be working on or off the base. There are other factors considered as well.

Since DBA insurance can be complex, it is best to meet with a licensed agent to find out what coverage you need. Don’t avoid securing the right insurance, as DBA is required by U.S. law and you could lose a contract without it.