The Defense Base Act requires any government agency and private company to carry special insurance that functions like worker's compensation for employees and contractors working on U.S. military projects overseas. This includes work done in U.S. territories. Finding the insurance, in general, is simple, but finding an insurance policy and company that offers the coverage and service you need is not that simple, and it's definitely not easy if you're looking on your own. Working with a DBA insurance broker helps you get past a number of obstacles.

Your Workers Comp Insurance Provider Might Not Offer the Best Terms for DBA Insurance

A natural place to start looking for DBA insurance is with the company that provides your worker's compensation insurance. After all, the two types of insurance have similar purposes, just for different populations. Plus, your insurance company might offer small discounts for having more than one policy. However, it's also possible that your worker's comp insurance provider does not offer DBA insurance or does not offer good rates and service. A broker will help you find a company that offers the best possible coverage for your budget.

Finding out a Company's Reputation Isn't Easy

If you do have to go with another insurance company for DBA coverage, it's not that easy to find out what the company's reputation is like if you don't already know someone who uses their coverage. Online reviews may be inaccurate, if there are any reviews at all. Brokers tend to be familiar with how many companies work, and they can steer you toward those that have a good reputation.

Policies Change

Policies and waivers related to the Defense Base Act may change at any time. The broker should be up to date on these changes and let you know if the area your workers will be in is covered under a new waiver that changes the insurance status of the workers. Perhaps you're sending people to a territory where a new waiver has been issued, and you no longer need DBA insurance (or now need it after not needing it); the broker will help you figure out what you need to do.

DBA insurance is vital to the well-being of your contractors and workers going overseas for U.S. military projects — and it's vital to the well-being of your relationship with the U.S. government. Let a broker help you find the best policy for your company. 

For more help, contact a local company such as Risk Reconnaissance.