Federal, Out of State Auto, and Contractual Coverage

  • Many public entities reside in states with caps for tort claims, such as auto accidents, trip and fall, and other negligence based claims.  These caps are often confused with the unlimited nature of other areas of exposure for the public entity such as, federal claims found in section 1983, which protects certain rights of all Americans.  Those federal claims are unlimited in the damages that can be awarded and represent a very big exposure for any public entity.  Every entity in every state has an unlimited exposure to federal claims.
  • All entities would like coverage for the unlimited federal claims while using their immunity for the tort claims if it’s available.  Given this fact, GIE has designed a product to cover the unlimited federal claims and exclude the tort capped claims.  This product is often called a Tort Wrap, or “Federal, Out of State, and Contractual Coverage”.
  • It’s simple, for a substantial discount of 30% or more, coverage for any tort capped claim is excluded via endorsement from a very broad public entity policy.  The coverage left is normally for federal, out of state auto, and contractual claims.  This is a very efficient method to provide coverage for just the areas that need the protection!

For a quote on this coverage, please contact our team at 1-541-344-5411