What You Need To Know About the Defense Base Act

defense base act insurance

Defense Base Act insurance offers workers compensation insurance to civilian employees on US military bases. The act ensures that civilian employees are protected if they are injured or become ill while working overseas for a US Company on a military base. The DBA has federally mandated protection.


The insurance is similar to standard workers compensation in how it works, but there are some differences. The program covers disability, death and work-related injuries. The policies differ in that many offer 24-hour liability coverage to cover the employers increased liability to their employees. Certain employees may be eligible for higher benefit levels.


As an employer with US citizens, those employees need DBA insurance coverage when working on a government contract overseas. Regardless of the industry, your business operates in, the insurance is required to maintain your government contract.


Failure to provide DBA insurance for your employees can result in serious consequences for the employer. The federal government may impose fines, loss of contracts and penalties. In more serious situations, the employer may be imprisoned.

If you have employees working outside the US on a military base, make sure you have a Defense Base Act insurance policy in place. Your business may save money by bundling the DBA insurance with other business insurance policies.